Alaska Administrative Code

(a) An appeal or request for reconsideration under this chapter must (1) be in writing; (2) be filed by personal service, mail, facsimile transmission, or electronic mail; (3) be signed by the appellant or the appellant's attorney, unless filed by electronic mail; an appeal or re…

(a) To be timely filed, an appeal or request for reconsideration must be received by the commissioner's office within 20 calendar days after issuance of the decision, as determined under (c) or (d) of this section, unless another period is set by statute, regulation, or existing …

(a) The department will, in its discretion, hold a hearing when questions of fact must be resolved. (b) The hearing procedure will be determined by the department on a case-by-case basis. As provided in 11 AAC 02.030(a) (13), any request for special procedures must be included wi…

(a) Except as provided in (c) and (d) of this section, timely appealing or requesting reconsideration of a decision in accordance with this chapter stays the decision during the commissioner's consideration of the appeal or request for reconsideration. If the commissioner determi…

The commissioner may, to the extent allowed by applicable law, waive a requirement of this chapter if the public interest or the interests of justice so require. Notes 11 AAC 02.070 Eff. 11/7/90, Register 116; am 9/19/2001, Register 159 As of Register 160 (January 2002), the regu…

Notes 11 AAC 02.080 Eff. 11/7/90, Register 116; repealed 9/19/2001, Register 159 The subject matter formerly set out at 11 AAC 02.080 has been moved to 11 AAC 02.900. State regulations are updated quarterly; we currently have two versions available. Below is a comparison between …

In this chapter, (1) "appeal" means a request to the commissioner to review a decision that the commissioner did not sign or cosign; (2) "appellant" means a person who files an appeal or a request for reconsideration; (3) "commissioner" means the commissioner of natural resources…

(a) The commissioner will establish the terms, conditions, and method of disposition of state royalty oil, gas, or associated substances which are or will be taken in-kind. (b) Before taking royalty oil, gas, or associated substances in-kind, the commissioner will determine in wr…

Royalty oil, gas, or associated substances taken in-kind as provided by AS 38.05.182 must be taken under the provision of the lease, including any amendments or supplements to the lease, which reserves the royalty to the state. If no such provision is in the lease, all or any por…

(a) If the commissioner disposes of royalty oil, gas, or associated substances by competitive bid, the commissioner will follow the procedures set out in 11 AAC 03.100 - 11 AAC 03.240. (b) If the commissioner disposes of royalty oil, gas, or associated substances by a method othe…

The commissioner disposes of royalty oil, gas, or associated substances to relieve storage conditions when (1) the royalty oil, gas, or associated substances have either been noticed for a taking in-kind or are being taken in-kind or are being taken in-kind by the state; and (2) …

The commissioner disposes of royalty oil, gas, or associated substances to relieve the market conditions when (1) in a noncompetitive disposition of royalty oil, gas, or associated substances the commissioner estimates that the sale price throughout the term of the disposition wi…

(a) Within 10 days after receiving written notice from a royalty purchaser of its intent to renegotiate price, as provided for by the terms of that purchaser's state royalty contract, or within 10 days after giving a royalty purchaser written notice of the state's intent to reneg…

(a) If the commissioner determines that the royalty oil, gas, or associated substances will be disposed of by a method other than by competitive bid, the commissioner will make this determination in writing. (b) The determination to dispose of royalty oil, gas, or associated subs…

If the commissioner intends to waive competitive bid, the commissioner will notify the Alaska Royalty Oil and Gas Development Advisory Board by having a copy of the proposed written determination delivered personally, sent by electronic mail with return receipt or sent by certifi…

The commissioner will, in the commissioner's discretion, set out in writing the procedures the commissioner intends to use in making a disposition of royalty oil, gas, or associated substances without competitive bid. If issued, those procedures will be followed unless the commis…

(a) A noncompetitive disposal will be made to the prospective buyer whose proposal reasonably offers the maximum benefits to the citizens of Alaska as determined by the commissioner. In determining which proposal offers the maximum benefits, the commissioner will consider the cri…

(a) If the commissioner has either (1) solicited proposals for the noncompetitive sale of royalty oil, gas, or associated substances, (2) issued a written determination to dispose of royalty oil, gas, or associated substances by a method other than by competitive bid, or (3) issu…

Notes 11 AAC 03.080 Repealed 5/22/93. State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compa…

Notes 11 AAC 03.090 Repealed 5/22/93. State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compa…

Notes 11 AAC 03.091 Repealed 5/22/93. State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compa…

(a) A disposition of royalty oil, gas, or associated substances by competitive bid will, in the commissioner's discretion, be made without a written determination by the commissioner that the disposition of royalty oil, gas, or associated substances by competitive bidding is in t…

A disposition of royalty oil, gas, or associated substances by competitive bid will be by sealed bid. The bids must be addressed to the commissioner and must be delivered in the manner, to the place, and by the date and time specified in the invitation to bid. Bids will be opened…

A disposition of royalty oil, gas, or associated substances by competitive bid will be initiated by the commissioner by issuance of an invitation to bid. The invitation to bid will specify the quantity of oil, gas, or associated substances to be sold, the term of disposition, the…

The commissioner may require that security, which in his judgment is adequate to ensure performance by a bidder, be submitted either with the bid, with the application for qualification, or at any other time the commissioner considers appropriate. The security may be a bid bond, …

The commissioner will give notice of the invitation to bid at least 30 days before the deadline for submission of bids. The commissioner will, in the commissioner's discretion, give notice in national business, financial, petroleum, or other publications. The notice will specify …

An invitation to bid will be mailed or personally delivered to any person requesting an invitation after the date of its issuance. Invitations will, in the commissioner's discretion, be mailed to persons who have expressed an interest in purchase of state royalty oil, gas, or ass…

The commissioner will set the qualifications of persons entitled to bid for royalty oil, gas, or associated substances. If the commissioner finds that the bid award process would be facilitated by determination of those persons who are qualified to bid before the submission of bi…

The commissioner will, in the commissioner's discretion, for a sale by competitive bid, establish special classes of bidders which may include in-state suppliers and processors as defined in 11 AAC 03.190 and 11 AAC 03.200. These special classes may be entitled to priority in rec…

A bidder is entitled to a priority over general bidders if the bidder meets the requirements of the special classes described in the invitation to bid and applies to the commissioner for a designation of priority rating before submitting a bid for royalty oil, gas, or associated …

An "in-state processor" is a firm which possesses, or will possess at the time of delivery of royalty oil, gas, or associated substances, the ability to process crude oil, gas, or associated substances into refined petroleum products at a processing facility owned by it in the st…

An "in-state supplier" is a firm which possesses the ability to process crude oil, gas, or associated substances into refined petroleum products at a processing facility owned by it inside or outside the state, and which sells refined petroleum products to distributors or consume…

(a) The commissioner will, in the commissioner's discretion, reject any or all bids received for royalty oil, gas, or associated substances in response to an invitation to bid, for any reason described in AS 38.05.183(b). (b) The commissioner will, in the commissioner's discretio…

Royalty oil, gas, or associated substances will be awarded to the highest responsible bidder unless a bidder in a special class, as defined in the invitation to bid, exercises a priority over a general bidder. A bidder entitled to exercise a priority may purchase the royalty oil,…

Any bidder who believes that his bid was rejected in error may request a conference with the commissioner to discuss his objections to the commissioner's action. At the conference the bidder shall present his objections to the commissioner in writing. After the conference, the co…

(a) After the opening of the bids but before the execution of the contracts, the commissioner will indicate the commissioner's intention to either reject all bids, or execute contracts with a bidder or bidders and reject all other bidders by awarding the royalty oil, gas, or asso…

Unless the context indicates otherwise, in this chapter (1) "award" means the preliminary identification of the successful bidder or bidders in a disposal of royalty oil, gas, or associated substances by competitive bid; (2) "commissioner" means commissioner of the Department of …

(a) The provisions of this chapter apply to royalty payments in connection with all state oil and gas leases. (b) This chapter does not apply to the accounting, reporting, and payment of the state's net profit share interest in connection with net profit share leases under 11 AAC…

The lessee shall make all royalty payments and any other payments, in accordance with its lease ownership interest, unless otherwise approved in writing by the department. Notes 11 AAC 04.020 Eff. 2/21/98, Register 145; am 12/26/2019, Register 232, January 2020 Authority:AS 38.05…

(a) Royalty payments are due on or before the last day of the calendar month following the month in which oil, gas, or associated substances are produced, saved, or removed or sold from a lease. If the last day of the month falls on a non-banking day for federally chartered banks…

(a) Supporting documentation for a royalty payment is due on the same day that the payment is due. Supporting documentation for a royalty payment must include all royalty reports, schedules, and attachments as required in forms prescribed by the department. (b) Repealed 12/26/201…

(a) The lessee shall make royally payments to the credit of the state by an automated cleaning house transaction. by a wire transfer through the Federal Reserve System, or by another method as approved by the commissioner, to the address specified in writing by the department. (b…

(a) If the commissioner determines that the lessee has made an overpayment, the division will make a refund of the amount of the overpayment by warrant or credit. The division will make a refund by warrant only upon request of the lessee and only if the refund amount is more than…

(a) If a royalty payment is unpaid or underpaid on the date the amount of the royalty payment is due, the division will assess an interest charge on the unpaid and underpaid royalty payment from the first day after the date the amount is due as specified in this chapter. The divi…

The division will charge an administrative fee of $75 per day for failure to (1) submit a complete set of original royalty reports and supporting documentation required under 11 AAC 04.040 to the division on or before the designated date due, beginning on the first day after the …

(a) The commissioner may waive an administrative fee established under 11 AAC 04.080 if a lessee provides sufficient facts to establish reasonable cause for a delayed or incomplete royalty report or failure to pay royalties when due. (b) A lessee must apply for a waiver of an adm…

A decision under this chapter may be appealed in accordance with 11 AAC 02.010 - 11 AAC 02.080. Notes 11 AAC 04.100 Eff. 2/21/98, Register 145 Authority:AS 38.05.020 State regulations are updated quarterly; we currently have two versions available. Below is a comparison between o…