H.R. 4837, The Military Construction Appropriations and Emergency Hurricane Supplemental Appropriations Act, 2005 [19], was signed into law on October 13, 2004. The Act provides for construction to support the operations of the U.S. Armed Forces and for military family housing. It also provides funds to help citizens in Florida and elsewhere in the aftermath of multiple hurricanes and other natural disasters. In addition, it authorizes construction of an Alaska Natural Gas Pipeline. 

Alaska Natural Gas Pipeline Loan Guarantee 

Section 116 gives the Secretary of Energy authority to issue Federal loan guarantees for an Alaska natural gas transportation project, including the Canadian portion, that would carry natural gas from northern Alaska through the Canadian border south of 68 degrees north latitude, into Canada, and to the lower 48 States. The authority would expire 2 years after the issuance of a final certificate of public convenience and necessity. In aggregate, the loan guarantee would not exceed: (1) 80 percent of total capital costs (including interest during construction), (2) $18 billion dollars (indexed for inflation at the time of enactment), and (3) a term of 30 years. The Act also promotes streamlined permitting and environmental review, an expedited court review process, and protection of rights-of-way for the pipeline. The impact of the loan guarantee is reflected in AEO2005 by a reduction of the expected return on debt and an increase in the percentage of pipeline costs financed through debt. Additional assistance related to the construction of the Alaska Natural Gas Pipeline is provided in the American Jobs Creation Act of 2004.

[19] This section describes the bill known as P.L. 108-324 (H.R. 4837), “Military Construction Appropriations and Emergency Hurricane Supplemental Appropriations Act, 2005.” For the full text of the bill, see web site http:// frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname= 108_ cong_public_laws&docid=f:publ324.108.pdf.

Contact: Sean Hill
Phone: 202-586-4247
E-mail: sean.hill@eia.doe.gov