1031 



The State of Alaska will receive substantial amounts of loan or 

 bond guarantee assistance to be repaid by the State and its municipali- 

 ties with tax revenues earned by taxing oil companies' on-shore support 

 facilities. I am pleased that tlie automatic forgiveness provisions of 

 this legislation will provide the citizens of the State of Alaska with 

 peace of mind, knowing that should the anticipated tax revenues fail 

 to accrue, the Federal Government will automatically forgive the loan 

 indebtedness which my State will soon incur. 



The State of Alaska will also be eligible for formula grants. These 

 funds will be used to retire bond indebtedness, meet the State's critical 

 environmental needs, and construct public facilities when the antici- 

 pated tax revenues will not meet the cost of construction. 



Mr. President, this legislation is a great step forward for the State 

 of Alaska and for the Nation. It is the only means by which States 

 and municipalities will be al)le to bear the burden of impacts created 

 by Outer Continental Shelf oil and gas development and other coastal 

 energy facilities activities. After this legislation is signed into law. 

 States and municipalities will need no longer fear the financial strain 

 resulting from Outer Continental Shelf oil and gas development im- 

 pacts. The combination of loans and grants established by this legisla- 

 tion is a fair and equitable means by which the taxpayers of the United 

 States can assist State and local governments impacted by Outer 

 Continental Shelf oil and gas activity and other coastal energy activi- 

 ties which are necessary to achieve energy independence. I would urge 

 each of my colleagues to approve this conference report. 



Mr. Mansfield. Mr. President, will the Senator yield? 



Mr. HoLLiNGs. I yield. 



The Presidixg Officer. The Senate will be in order. 



Mr. Maxsfield. Mr. President, I ask unanimous consent, after dis- 

 cussing the matter with the distinguished Senator from Louisiana 

 (Mr. Johnston) and the distinguished Senator from South Carolina 

 (Mr. Hollings) and also with the chairman of the Committee on In- 

 terior and Insular Affairs, that the conference report be limited to 25 

 minutes, 20 minutes to be allocated to the Senator from Louisiana (Mr. 

 Johnston) and 5 minutes to the Senator from South Carolina (Mr. 

 Hollings.) 



The Presiding Officer. Without objection, it is so ordered. 



The Senator from Louisiana is entitled to be heard. Senators who are 

 conversing will please go to the cloakroom. 



Mr. Johnston. Mr. President, I would hope that the Senator from 

 California would remain for this coloquy, since he was on the confer- 

 ence committee. 



Mr. President, to say that I am disappointed, that I am upset, that I 

 am chagrined by this conference report would be a great understate- 

 ment. I am upset and concei-ned. First of all, I am upset with the ad- 

 ministration for specifically, designedly, with malice aforethought, 

 and intentionally i-equiring that provisions be taken out of this coastal 

 zone management bill which would have specifically helped my State 

 of Louisiana and any other State that has ongoing offshore production. 

 Second, I am upset and concerned and disappointed with the confer- 

 ence committee and, specifically, with the Senate Committee on Com- 

 merce, which in my view failed to live up to what I regarded as a very 

 clear and explicit understanding. 



65-319 O - 76 - 66 



