644 



The other is the system of guaranteed bonds and the automatic 

 financing of impact moneys, with a payment of specified amounts per 

 barrel of production to the States or local governments, Trhich will, 

 in fact, retire those bonds that are guaranteed by the Secretary of 

 Commerce and assist the States and the local governments in taking 

 care of the problems within the coastal zone. 



As I say, I hope that, at some later date, we will get to the question 

 which is in the mind of the Senator from Delaware (Mr. Roth) and 

 that we have discussed in terms of revenue sharing. This is not tlnit 

 bill. As a matter of fact, as I pointed out to the Senator from Loui- 

 siana, as I understand the jurisdiction of the House committees, we 

 cannot even have OCS revenue sharing in a bill that will go to con- 

 ference with the House Fisheries and Merchant Marine Committee, 

 because if they are agreed to a position there 



Mr. Bellmon. Will the Senator yield ? 



Mr. Stevens. Yes, T yield. 



Mr. Bellmon. I wish to understand this. If there is an oil strike 

 in a small town in the State of Oklahoma, for instance, it will take 

 care of that? In terms of this bill, if there is an oil strike in the Outer 

 Continental Shelf, the Federal Government will take care of the 

 facilities it needs to accommodate that population. 



Mr. Stevexs. If there are Federal lands in Oklahoma 



Mr. Bellmon. There are no Federal lands in Oklahoma. 



Mr. Stevens. If there are private lands, in the first place, the State 

 will get a severance tax. In the second place, it will get a tax on the 

 private development Avithin its State. We cannot tax that development 

 outside of the 3-mile limit. We have no way at all to finance it. Those 

 platforms are outside the 3-mile limit. Yet the families and people live 

 onshore. There is no revenue associated wdth that. 



Mr. Bellmon. Does the State of Alaslia not levy a State sales tax 

 or an excise tax, the same as in Oklahoma ? 



Mr. Stevens. No, there is no State sales tax in Alaska. 



Mr. Bellmon. The State has the authority. 



Mr. Stevens. But, there is no such tax. 



Mr. Bellmon. Alaska has the same taxing authority any other State 

 has? 



Mr. Stevens. Yes, but we do not have that kind of tax. 



Mr. Bellmon. That is up to Alaska. 



Mr. Stevens. We do not have the oil revenues Oklahoma has, because 

 the resources that would be subject to tax that would produce revenue 

 are within Oklahoma's jurisdiction. Tliese OLCS facilities — the plat- 

 forms, the oil wells, the oil — are outside of the jurisdiction of the 

 State. We could not tax them. 



If the Senator would like to give us the permission to extend our 

 severance tax out to OCS production, he can be my guest. As I pointed 

 out, we would get 56 cents a barrel if it were within our jurisdiction. 

 We are only asking 8 cents a barrel here, and only to retiire those bonds 

 which have been guaranteed by the Secretary of Commerce or to meet 

 those impacts arrreed to by the Secretary of Commerce as being neces- 

 sary to meet OCS development. That is a very, very limited proposi- 

 tion. It is not somethin.fr that is an extension of the concepts that I 

 think the Senator from Oklahoma would recognize. 



