From Deseret News archives:

Uinta Basin counties appeal for road funds

They cite need to repair, build roads for use by oil tankers

Published: Wednesday, July 27, 2005 12:25 p.m. MDT
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Despite the past failures of proposals to amend the administration of the severance tax, the issue could have more steam by the next legislative session because of Gov. Jon Huntsman Jr., who said during a trip to the Uinta Basin last week that finding a way to return more money to specific counties "is an issue that deserves legitimate discussion by legislators." It was also part of the tax reform proposal put forth by former Gov. Olene Walker in 2004.

What is not yet known is the amount of new revenue that will be generated by the new oil and gas wells in the Uinta Basin. More than 700 new wells have opened this year, and the Bureau of Land Management is looking at more than 3,000 new applications. There are also new wells opening in other areas of the state. While the counties will still need some infrastructure help, commission member Mark Buschi said that he would like to see the entire fiscal picture before recommending shifting a specific tax.

"There's no doubt that these folks are being impacted, but other taxes will go up," he said. "This isn't a simple issue that can be solved by dealing with the severance tax. There are many other taxes that will be impacted."


E-mail: jloftin@desnews.com

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