Oil and Gas Tax Study; where does it come from and where does it go in North Dakota?

[ad_1]

BISMARCK, N.D. (KFYR) – Since 2008, oil and gas taxes have provided North Dakota with $26 billion in revenue. Monday, at the State Capitol, oil and gas leaders presented a study on the tax benefits that come from energy exploration and production.

Legislators and leaders from the oil and gas industry gathered in Memorial Hall at the Capitol to present a comprehensive report on oil and gas tax revenue in North Dakota. Since 2008, the top counties to contribute to the tax revenue are Mountrail, McKenzie, and Williams.

“This map shows you the production, so while McKenzie, Williams, Mountrail, Dunn County, they are the largest producers of oil in the state by far, but yet all counties are receiving benefits from that production,” said Brent Bogar, senior consultant with AE2S.

Where does state oil tac come from and where does it go?(KFYR)

However, counties that receive the biggest portions of tax revenue are Williams, McKenzie, and Cass, despite Cass County not reporting any contributions to oil production. Energy leaders say we should focus on how everyone benefits from the energy industry’s tax revenue.

“Regardless of your opinion of oil production, you should be grateful for the oil production that we do have in North Dakota because it has literally benefited every tax-paying citizen in North Dakota. It’s gone to schools, it’s gone to infrastructure projects, it’s gone to the Outdoor Heritage Fund. All this money gets spread around North Dakota and everyone enjoys the benefits,” said Geoff Simon, executive director for the Western Dakota Energy Association.

According to the report, almost 30% of oil and gas tax revenue goes to the Legacy fund; the next sector to get money is Strategic Investments and Improvements; with Counties, Cities and School Districts rounding out the top three.

The 2021 Legislature earmarked $680 million to fund flood control projects in Fargo and Minot, the money will be used to repay the bond instead of raising taxes for repayment. If you’re interested in seeing the full report, you can go to the Western Dakota Energy Association’s website at ndenergy.org.

[ad_2]

Source link

You may also like