Refreshing Recollection: 2013 LBB Recommendation to Roll Back Natural Gas Incentives

Refreshing Recollection: 2013 LBB GEER recommendation included modifying the natural gas tax incentives. LBB offered the following 3 recommendations:

Amend statute to use mean drilling and completion costs instead of median drilling and completion costs in the calculation of the high-cost gas tax benefit.
Amend statute to require CPA to include the estimated value of exemptions, discounts, and exclusions, when identifying taxes for inclusion in the biennial Tax Exemptions and Tax Incidence report.
Include a rider to require CPA to conduct a study to determine at what natural gas prices, if any, the high-cost gas-rate reduction incentivizes production.

Finance & Revenue