Severance tax cap-increase. 06LSO-0225.C1
FISCAL NOTE
|
FY 2008 |
FY 2009 |
|
NON-ADMINISTRATIVE IMPACT |
|
|
|
Anticipated Revenue Increase (Decrease): |
|
|
|
BUDGET RESERVE ACCOUNT |
(30,000,000) |
(30,000,000) |
(30,000,000) |
GENERAL FUND |
(15,000,000) |
(15,000,000) |
(15,000,000) |
CITIES AND TOWNS DIST |
4,200,000 |
4,200,000 |
4,200,000 |
COUNTY DIST |
1,700,000 |
1,700,000 |
1,700,000 |
HIGHWAY FUND |
2,000,000 |
2,000,000 |
2,000,000 |
HIGHWAY FUND - MULTI-LANE |
28,000,000 |
28,000,000 |
28,000,000 |
LOCAL GOVT. CAPCON |
1,100,000 |
1,100,000 |
1,100,000 |
STATE AID COUNTY ROADS |
1,300,000 |
1,300,000 |
1,300,000 |
WATER DEVELOPMENT I |
5,600,000 |
5,600,000 |
5,600,000 |
WATER DEVELOPMENT II |
900,000 |
900,000 |
900,000 |
WATER DEVELOPMENT III |
200,000 |
200,000 |
200,000 |
Source of revenue increase (decrease):
This bill does not increase or decrease revenues. It increases the severance tax distribution cap from $155 million to $200 million, and redistributes severance tax revenues under the severance tax distribution cap from the General Fund to the proposed Multi-Lane Highway Account. The net impact to all accounts is zero.
Assumptions:
The above estimates are based on October 2005 CREG projections.
This bill increases the severance tax distribution cap from $155 million to $200 million, decreases the under-the-cap General Fund distribution percentage from 62.26% to 48.25%, and creates a new under-the-cap distribution of 14.01% to the proposed Multi-Lane Highway Account within the Highway Fund.
This bill is effective July 1, 2006, and shall apply to distributions of fiscal year 2007 revenues, and thereafter.
Please see the attached schedule for additional information.
Prepared by: Dean Temte, LSO Phone: 777-7881