A program of the West Virginia Oil & Natural Gas Association

OIL/GAS SEVERANCE TAX COLLECTIONS MORE THAN DOUBLE IN FY 2014; WEST VIRGINIA COUNTIES AND CITIES SHARE IN MORE THAN $13 MILLION

April 21, 2015 | Press Release

Charleston, WV – The West Virginia oil and natural gas industry paid more than $188.3 million in severance taxes in 2014, more than doubling the $79.2 million paid in 2013, according to review of information provided by West Virginia Department of Tax and Revenue and the State Treasurer’s Office (STO)

 

Ninety percent (90%) of the natural gas severance taxes collected are allocated to the State. The remaining ten percent is distributed two ways – 75 percent is dispersed to gas-producing counties, and the other 25 percent is distributed to all counties and municipalities.

The doubling of severance tax receipts helped the Stateof West Virginia balance its 2014 budget and providedneeded revenue to county and city governments,” said Corky DeMarco, executive director of the West Virginia Oil and Natural Gas Association. “The local funds are used to support vital public services – everything from local emergency responders, community projects and social programs,” he said.

 

Bob Gorby, President of Wetzel County Commission, said, “Six or seven years ago, Wetzel County was classified as a depressed county. With the additional resources made available by the gas industry severance tax revenue, we are able to provide additional services to Wetzel County citizens. As a result, we are no longer listed as a depressed county.”

According to the STO, more than $13 million in severance tax payments were made to counties and cities in 2014(October 2014 distribution).

Four counties received more than $1 million in payments from the fund. They are: Harrison - $1,945,355.08Wetzel - $1,666,244.49Doddridge - $1,255,323.42; and Marshall - $1,114,206.85Other counties receiving significant severance distribution include, Ohio ($680,626.00), Kanawha ($555,169.00) and Ritchie ($395,852.49).

 

Severance to cities is based on population, so Charleston ($93,419.92), Huntington ($82,176.82), Parkersburg ($57,236.98), Morgantown ($53,907.30) and Wheeling ($51,271.91) received the largest portion of thoserevenues.

 

**30**

 

For more information, contact: 

Corky DeMarco

President, WV Oil & Natural Gas Association

(304) 343-1609


Be the first to comment

Please check your e-mail for a link to activate your account.

Sign-up to energize WV today