AUSTIN, Texas (Nexstar) – According to data from the Texas Oil & Gas Association, the Texas oil and natural gas industry paid $13.9 billion in state and local taxes and state royalties in fiscal year 2020. These funds directly support Texas schools, teachers, roads, infrastructure, and essential services.
“Even in an extremely difficult year, the Texas oil and natural gas industry continues to contribute tremendously to state and local tax coffers, while fortifying our energy security and leading the way in innovation and investment that is advancing environmental progress,” said TXOGA President Todd Staples in a media briefing Monday.
“The ongoing recovery of the oil and natural gas industry is essential to the state’s continuing economic improvement.”
Reeves County and Pecos-Barstow-Toyah ISD saw dramatic increases in oil and natural gas property tax revenue in fiscal year 2020, both ranking #1 statewide for property taxes received.
Pecos-Barstow-Toyah ISD received $167.6 million from mineral properties producing oil and natural gas, pipelines, and gas utilities. Reeves County received $74.5 million in oil and natural gas property taxes. An increase from 2019 of 53% and 80% respectively.
“The oil and natural gas industry is very important to our area. It has both a direct and indirect impact on our economy. It is great to hear that Reeves County is currently the top producing county in the State of Texas even though production is significantly down from last year,” said Reeves County Judge Leo Hung. “We are optimistic that production and drilling will increase in the coming months as a result of availability of COVID-19 vaccines and the rebound of our economy.”
Statewide, Texas school districts received more than $2 billion in property taxes from mineral properties producing oil and natural gas, pipelines, and gas utilities in 2020. Counties received $688.4 million in these property taxes.