Severance tax distributions.

12LSO-0209.L2

 

 

                                                         

FISCAL NOTE

 

 

FY 2013

FY 2014

FY 2015

NON-ADMINISTRATIVE IMPACT

 

 

 

Anticipated Revenue Increase (Decrease):

 

 

 

CITIES AND TOWNS DIST   

4,200,000

4,200,000

4,200,000

COUNTY DIST             

1,700,000

1,700,000

1,700,000

STATE AID COUNTY ROADS  

1,300,000

1,300,000

1,300,000

LOCAL GOVT. CAPCON      

1,100,000

1,100,000

1,100,000

HIGHWAY FUND            

2,000,000

2,000,000

2,000,000

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

GENERAL FUND            

13,000,000

13,000,000

13,000,000

BUDGET RESERVE ACCOUNT  

(30,000,000)

(30,000,000)

(30,000,000)

 

 

Sources of revenue increase (decrease):

 

Increase in severance tax distribution cap from $155 million to $200 million

 

 

Assumptions:

 

The above estimates are based on projections from the October 2011 CREG forecast.

 

The approximate changes in annual severance tax distributions to the specific accounts and entities are reflected in the table above. These annual revenue changes are summarized below:

 

Annual combined increase – local government accounts            $ 8,300,000

Annual combined increase – Water Dev. Account I, II, and III    $ 6,700,000

Annual increase – Highway Fund                                  $ 2,000,000

Annual combined decrease – General Fund/Budget Reserve               ($17,000,000)

 

This bill goes into effect on July 1, 2012, impacting severance tax distributions beginning in FY 2013.

 

 

 

 

 

Prepared by:   Dean Temte, LSO       Phone: 777-7881