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State Revenue Collections Down

Tuesday, April 15, 2008 - Bud Elder

State Treasurer Scott Meacham today released a state revenue report showing that, while collections are down when compared to the previous year; they are more than what was initially estimated.

 

Over the past nine months, the general revenue fund totaled $4.173 billion.  This figure is 61 million or 1.4 percent below prior year collections but $25.8 million, or 6/10 of 1 percent of estimates.

 

Meacham reports that there are signs of continued growth in the economy, but at a much slower pace than when the year began.

 

“We are watching these figures very carefully,”said Oklahoma Public Employees Association Executive Director Sterling Zearley.  “This is a year in which the legislature and Governor must figure out a way to give state employees a raise.  We all know money is tight, but we are going to have to get creative to help solve this massive problem.” 

9 comments (Add your own)

1. J wrote:
The state gave $120 million taxpayers money to land a Pro Basketball Team, then dip into the rainy day fund and give us a raise.

April 15, 2008 @ 7:57 PM

2. T wrote:
That is so very true J how can one justify spending that much money for a Pro Basketball team but can't give the people of the state who runs the day to day affairs a pay raise that is so much needed with the cost of living going up. Not like we can get assistance cause we still make too much money for that.

April 16, 2008 @ 9:26 AM

3. mary wrote:
I am the only one in my family that works. And I still make too much to get help from DHS.And there is 5 people that live in my home. 2 of them are high school students. And 2 are babies.But a friend of my daughter she has 2 babies and she and her husband works and they get help with their rent groceries, and you name it. So where is the help for people that need it.

April 17, 2008 @ 9:53 AM

4. Jo wrote:
WHERE IS THE Oil and Gas REVENUE GOING? It is inexcusable that our Legislators are tooting their horns about not enough money for budget. So were their projections too high?
I am a nurse who travels to see patients among 4 counties in NW Oklahoma. In 2005, I was paying $1.86 per gal at the pump and today I am paying $3.37 per gal. Oklahoma should be meeting it’s own needs and the Rainy day fund should also have more funds.
I went in search of some answers on the Web and found some interesting articles :

But for a handful of states, the oil sticker shock is a boost to the bottom line. "Higher prices mean the state gets more revenue," said Harold Hamm, chief executive officer of Continental Resources Inc., an Oklahoma-based oil and gas company.

Higher world prices mean that private companies pay more to states in severance taxes for pumping oil found underground. States also get a take if the oil comes from federal lands within their borders. Coastal states such as Louisiana, Texas and Alabama get royalties from oil drilling in waters off their shores. Click here for a state-by-state listing of oil severance taxes from the Interstate Oil and Gas Compact Commission, which represents the governors of states producing oil and natural gas.
The price staying at the $40-a-barrel range is not something that anyone foresaw," said Chris Courtwright, principal economist for the Kansas Legislature.

That means budget crunchers are going back over their numbers and revising the estimated revenue for fiscal 2004, which for most states ends June 30, and looking cautiously ahead to fiscal 2005. Here is what some states are finding:
• Kansas, which ranks eighth among oil-producing states, got an extra $800,000 in oil-related taxes for 2004 and estimates the 2005 budget will have an additional $2.4 million if prices stay high.
• Louisiana is banking on an additional $109 million in its coffers for fiscal 2005.
• Oklahoma figures the Sooner State will have an additional $28 million for 2005.
• Texas, the largest U.S. oil producer, has collected $32 million more in oil-production taxes than last year at this time.
Total collections from all sources administered by the Commission during Fiscal
Year 2005 totaled $8,980,518,336.25. Gross collections from state-levied taxes, licenses
and fees, exclusive of city/county sales and use taxes and county lodging taxes, amounted
to $7,589,667,323.57.

April 17, 2008 @ 12:01 PM

5. Jo wrote:
WHERE IS THE Oil and Gas REVENUE GOING? It is inexcusable that our Legislators are tooting their horns about not enough money for budget. So were their projections too high?
I am a nurse who travels to see patients among 4 counties in NW Oklahoma. In 2005, I was paying $1.86 per gal at the pump and today I am paying $3.37 per gal. Oklahoma should be meeting it’s own needs and the Rainy day fund should also have more funds.
I went in search of some answers on the Web and found some interesting articles :

But for a handful of states, the oil sticker shock is a boost to the bottom line. "Higher prices mean the state gets more revenue," said Harold Hamm, chief executive officer of Continental Resources Inc., an Oklahoma-based oil and gas company.

Higher world prices mean that private companies pay more to states in severance taxes for pumping oil found underground. States also get a take if the oil comes from federal lands within their borders. Coastal states such as Louisiana, Texas and Alabama get royalties from oil drilling in waters off their shores. Click here for a state-by-state listing of oil severance taxes from the Interstate Oil and Gas Compact Commission, which represents the governors of states producing oil and natural gas.
The price staying at the $40-a-barrel range is not something that anyone foresaw," said Chris Courtwright, principal economist for the Kansas Legislature.

That means budget crunchers are going back over their numbers and revising the estimated revenue for fiscal 2004, which for most states ends June 30, and looking cautiously ahead to fiscal 2005. Here is what some states are finding:
• Kansas, which ranks eighth among oil-producing states, got an extra $800,000 in oil-related taxes for 2004 and estimates the 2005 budget will have an additional $2.4 million if prices stay high.
• Louisiana is banking on an additional $109 million in its coffers for fiscal 2005.
• Oklahoma figures the Sooner State will have an additional $28 million for 2005.
• Texas, the largest U.S. oil producer, has collected $32 million more in oil-production taxes than last year at this time.
Total collections from all sources administered by the Commission during Fiscal
Year 2005 totaled $8,980,518,336.25. Gross collections from state-levied taxes, licenses
and fees, exclusive of city/county sales and use taxes and county lodging taxes, amounted
to $7,589,667,323.57.

April 17, 2008 @ 12:36 PM

6. laurie wrote:
We all hear everybody in legislature bragging about revenues and how much money is in the rainy day fund. Have they realized yet for state employees it is raining every day? What happened to the promises that it is our turn? Looks like the ones in charge don't really care about the people that make this state work. I'm tired of the empty promises make it happen........

April 17, 2008 @ 1:08 PM

7. Vick wrote:
Well, This is a democracy by the people for the people. Folks let us vote all of these jerks out of office. Maybe that will help them think more clearly.

April 17, 2008 @ 2:01 PM

8. Dave wrote:
They aren't spendind $120 million, but we are LOSING $120 million in tax revenue that we would get ANYWAY since the Sonics are coming anyway. Rebates for $20 mill a year NBA salaries is ridiculous. And to do that, they don't give us a raise AGAIN. Without us, they'd have no money to spend on their pet projects, and to get their great seats at NBA games. Shame on you, the highest paid part time legislators in the country!

April 17, 2008 @ 4:12 PM

10. Rodney Fetterhoff wrote:
If I told the lies that is allowed by the Oklahoma tax commison. I would be fired. Same song differnent year. Remember last year.

April 21, 2008 @ 7:08 PM

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