The AKLNG gas line tax bill
A conference committee compromise unveiled July 2 would swap the state property tax on the Glenfarne-led Alaska LNG project for a volumetric tax after five years of operation or 500 MMcf per day, and extend the completion deadline to the end of 2034. The House deadlocked 19 to 19 on July 16 over an expanded S corporation income tax, the governor rejected that provision, and a third special session convened July 27 with no bill from the governor and almost no legislators in the room.
How the public reaches this
Legislators decide; constituents reach them directly. The gas line would feed the grid most Alaska compute would ride on.
Timeline
Sources
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How this decision moved
One dated line per material change, oldest first.
2026-07-08 Tracked. Vote target already slipped once, from July 1 to July 16.
2026-07-09 Re-checked (Alaska Beacon, July 7). The final floor vote is still targeted for July 16. The S corp corporate income tax provision remains the key sticking point, and the governor has pledged to veto a bill that keeps it.
2026-07-11 Floor votes still tentatively July 16, session ends July 19, per prior reporting. Alaska Beacon returned HTTP 403 on re-fetch this run; status carried forward unchanged. Watching for the vote.
2026-07-12 Conferees unveiled a draft compromise on July 2 and set a floor vote for July 16, with the second special session ending July 19. Glenfarne owns 75 percent of the project. The sticking point is an S corporation corporate income tax provision that Governor Dunleavy has vowed to veto, and it is unclear the provision has the House votes. The draft also bars the developer from billing the state if the project is abandoned and requires return of shares and assets within six months.
2026-07-14 Two days out. Floor votes still tentatively set for July 16 and the special session still ends July 19, per Alaska Public Media and Alaska Beacon reporting, with the S corporation income tax provision the unresolved sticking point. No schedule change surfaced this run. Watching the July 16 floor action.
2026-07-15 One day out. Floor votes remain tentatively set for July 16 and the special session still ends July 19, per Alaska Public Media and Alaska Beacon reporting from early July, with the S corporation income tax provision the unresolved sticking point. A search this run surfaced no fresh schedule change or an actual vote result. Watching the July 16 floor action.
2026-07-17 Update. A conference committee passed the final draft of the gasline tax bill HB 381 on July 16, but Governor Dunleavy rejected the expanded corporate tax and called a third Alaska LNG special session rather than accept it, so the tax terms stay unsettled. A final investment decision still waits on both the tax law and RCA review of the Enstar gas supply agreement.
2026-07-18 On July 16 the House deadlocked 19 to 19 and the Senate passed the gas-line tax bill 11 to 8 with a 9.4 percent pass-through tax on S corp oil and gas entities. Governor Dunleavy rejected that tax and called a third Alaska LNG special session to convene July 27 in Juneau, so the pipeline tax terms stay unsettled. The AI and data-center link here is indirect, the administration has courted large gas demand to help justify the line.
2026-07-19 The second special session ended today with the Alaska LNG gasline tax bill still unresolved. On July 16 the House deadlocked 19 to 19 and the Senate passed the bill 11 to 8 with a 9.4 percent pass-through tax on S corp oil and gas entities, which Governor Dunleavy rejected. He called a third special session to convene July 27 in Juneau, so the pipeline tax terms stay unsettled and the AI and data-center link stays indirect.
2026-07-21 Six days out from the third special session, which convenes July 27 in Juneau. Per Anchorage Daily News and Alaska Public Media reporting from July 16 and July 20 the up to 55 billion dollar, 800 mile gas line tax terms remain unsettled after the July 16 House deadlock, with some legislators blaming Hilcorp for the bill's collapse and the governor rejecting that claim. The tie to AI compute stays indirect, the administration has courted large gas demand, including proposed data centers, to help justify the line.
2026-07-23 Four days out from the third special session, which convenes July 27 in Juneau. Governor Dunleavy has said he will reintroduce the Alaska LNG gas line tax provisions without the expanded S corporation corporate income tax that stalled HB 381 in the July 16 House 19 to 19 deadlock. The session opens about three weeks before the August 18 primary, per Alaska's News Source and Alaska Public Media reporting from July 16 and July 21. The tie to AI compute stays indirect, the administration has courted large gas demand, including proposed data centers, to justify the roughly 55 billion dollar, 800 mile line.
2026-07-24 Three days out from the third special session, which convenes July 27 in Juneau. Carried forward against Alaska's News Source and Alaska Public Media reporting from July 16 and July 21. Governor Dunleavy plans to reintroduce the Alaska LNG gas line tax provisions without the expanded S corporation income tax that stalled HB 381 in the July 16 House 19 to 19 deadlock. The tie to AI compute stays indirect, the administration has courted large gas demand, including proposed data centers, to justify the roughly 55 billion dollar, 800 mile line.
2026-07-25 Two days out from the third special session, which convenes July 27 in Juneau. Re-verified this run by fetching the Alaska Public Media report of July 16. The governor rejected the pass-through S corporation provision that would have subjected Hilcorp and other private producers to Alaska's 9.4 percent corporate income tax while exempting the Alaska LNG project, and he called the third session rather than accept it. That session opens just over three weeks before the August 18 primary, which is the practical squeeze on it. The tie to AI compute stays indirect, the administration has courted large gas demand, including proposed data centers, to justify the line.
2026-07-26 Re-verified. The governor issued an executive proclamation calling the legislature back effective July 27, 2026 at 10:00 a.m. Alaska's News Source coverage of the session contains no data center or AI load argument, so the gas line remains a gas story on this docket and not an AI one.
2026-07-29 Re-verified by fetching Alaska Public Media's July 27 report. The third special session convened July 27 in Juneau with almost nobody in the room, only 3 of 40 House members and 1 senator at the opening technical session, and the governor had introduced no bill, saying his administration would continue meeting with all parties to determine the best path forward to an agreement. House Speaker Bryce Edgmon said the clock is ticking very loudly right now and the governor realizes that. The session opened three weeks before the August 18 primary. The tie to AI compute stays indirect, the administration has courted large gas demand, including proposed data centers, to justify the line.
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Alaska AI Docket, The AKLNG gas line tax bill.
Tracked since July 8, 2026, last verified
July 29, 2026. https://alaskaaihq.com/docket/aklng-tax-bill-second-special-session/ · Reuse permitted under
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