Monday, January 28, 2008

Special Session?

Who knows? There has been a fair amount of talk over the past week about the Governor calling a special session to deal with the severance tax issue. He speculated a few days ago that if he could get a consensus from lawmakers in favor of raising the current rate, he very well might call us into session. I doubted it then and after seeing reports over the week-end, I am fairly certain it won't be happening soon. My stance on the severance tax is simply that I believe the tax on extracting the gas has always been too low, but I'm having mixed emotions about jumping in and raising the tax now that the Fayetteville shale play is booming. I'd like to see a definitive plan on how much of an increase we're talking about and exactly where the money would go before I make a decision. I would also like some input from my constituents because ultimately, they could have the chance to vote on this very issue come November. I think that is the best solution since any action in the ledge will take a 3/4 majority, and in my opinion, that would be virtually impossible to do.

2 comments:

Gascious Clay said...

David,
Arkla Gas and the Stephens machine has kept this rate down way too low for way too long. It is my understanding that the rate increase will be paid by the utility users out of state. I say raise it and don't do it over so many years. Jump it now. Our state needs the money especially if they are taking our natural resources out of state for their own personal gain.

David "Bubba" Powers said...

Clay, Thanks for the input and I think you have it about right. But I would like to see the Governor's plan. Even though I would most likely support the increase, I am skeptical it can be done legislatively because of the 3/4 vote needed.