The State Supreme Court reaffirmed on Wednesday that the Trans-Alaska Pipeline is worth $10 billion.
Oil companies had argued that the pipeline should only be assessed at $850 million, and they based that number on the tariffs collected. At that lower value, the property taxes they pay to cities like Fairbanks and Valdez would be dramatically reduced.
The Supreme Court found that tariff income isn’t the only value derived from the pipeline. Its worth also comes from its ability to transport the billions of barrels of oil from the North Slope.
While the decision only concerns the 2006 assessment, oil companies have made similar arguments over the pipeline’s for other tax years.
- The Alaska Mental Health Authority's Trust Land Office is no longer pursuing action toward timber sales on Deer Mountain or land in Petersburg.
- Alaska Gasline Development Corporation has opened new office but not yet announced it.
- Walker said the state government risks spending all of its savings if it denies there’s a problem and hopes for oil prices to rise.
- Newtok had hoped President Obama would declare a major disaster on its behalf before leaving office. A disaster declaration would have unlocked federal relief funding that could be used for relocation.