Sunday, May 15, 2011

From Frack Alliance...

An earlier increase to the natural gas severance tax, initiated by Governor Beebe and approved by the Legislature in 2008, has fallen short of the anticipated revenue that was projected to meet the needs of the Arkansas Highway Department’s construction projects. Revelation of damage amounting to $455 million to highways by truck traffic serving gas wells with only about $54 million from severance tax to offset this expense has made it necessary to look for additional income. An initiated act proposed by Sheffield Nelson, former President and Chairman of Arkla, Inc., has received clearance by the Arkansas Attorney General and proposes a severance tax increase for the industry to pay plus removal of current exemptions. Nelson will detail this proposal at a press conference 3:00 pm at the Fayetteville Town Center (Mockingbird Room), 15 West Mountain, Fayetteville, AR as to how this expense should be borne by those benefiting from extraction and not the taxpayers.

No comments:

Post a Comment