Letter to the Editor

Natural gas bill to be considered

By Sen. David O'Connell

02/03/2015

SB 2276, which is about moving natural gas to areas of the North. This hearing will be in front of the Senate Finance and Tax committee and the bill features a property tax incentive for ten years at 100 percent and a consumer income tax credit for 50 percent of conversion costs if one would want to switch fuels. 

As with any decision, some are excited about the potential growth and advantages, while others, mostly the current propane providers, are understandably upset about the state providing help to competing corporations. 

We had a hearing on the revenue forecast for the state. Looks like revenue for the state will be down about $4.2 billion. We had 200 rigs drilling, and the state forecast is for 136. 

Each rigged employees approximately 126 workers. Each rig generators about $225,000 in sales tax. Oil plays a big part with our economy number of workers income tax corporate tax and related jobs.

Vern Jacobson testified on giving Lake Metigoshe $2 million for improvement of their streets, no action on the bill at this time.
A bill sponsored by Hunskor, Anderson and O’Connell was introduced. To help McHenry County with the flooded ranch-land a delegation from Minot, the four county joint water board (Bottineau, Renville, McHenry and Ward counties) and, gave testimony on what’s happening. The committee took no action at this time.

Have a safe week.