North Dakota officials analyze Measure 1's impact on spending
BISMARK, North Dakota: One of two measures scheduled to appear on the November 2, 2010 statewide ballot, Measure 1 calls for the creation of a state legacy fund, for the deposit of certain oil and gas tax revenues in the fund. In a legal opinion, requested by Rep. Kari Conrad, Attorney General Wayne Stenehjem said that the proposed amendment may affect the amount of funds other oil tax recipient receive but would not change the current spending formulas.
Specifically, the proposed amendment would take 30% of the total collections of both the extraction tax and production tax. The oil revenue currently goes to cities, counties and schools in oil-producing areas; a resources trust fund; a permanent oil and gas trust fund; and an impact fund. According to reports, however, the largest portion of oil revenue goes towards the state's general fund.
"It is premature to speculate on what changes may ultimately be made to the statutory programs and (oil tax) allocations, as well as to the general fund," said Stenehjem. In an interview with the Associated Pres he said that there is nothing in the proposed measure that would make things "inconsistent" or unworkable.