The current ACES tax program is so complicated that neither state legislators nor oil companies can truly understand it. Lesil McGuire and Tom Wagoner have both called for progressive tax reform to the current ACES tax. They both realize that if we don’t help spur investment into Alaska’s oil future, other states will get their investment dollars.
Hollis French and other legislators are opposed to these reforms, feeling that the oil companies had it too easy for too long. Unfortunately they forget that oil is not a renewable resource. The Prudhoe Bay oil field was developed with only a 30-year life expectancy. We need to help get more oil through the pipeline so that we may continue to collect tax revenue.
Our state legislators need to start by reforming how they work together and how to effectively budget and use state funds and then work with the oil industry to turn this into a win-win situation for both sides. We have to realize increase production also means increased revenue for the state of Alaska.
— Scott Parker