No fracking? Then no bonds, New Mexico bill says

New Mexico Watchdog ^ | January 23, 2015 | Rob Nikolewski

[CedarDave]

SANTA FE, N.M. — New Mexico receives about $2 billion a year in direct revenue from oil and gas production through severance taxes, property taxes and royalty and rental income. At the same time, a number of communities in the state have passed ordinances restricting oil and gas development.

Now, as lawmakers start their 60-day legislative session, here comes a bill that’s sure to spark plenty of arguments.

A state senator has introduced legislation that would strip severance tax bonds from communities that impose 25 percent or more in costs to mining as well as oil and natural gas production.

By extension, the legislation would include bans on hydraulic fracturing.

“The reality is, we need to send a message to counties and let them understand that the money that builds their public buildings comes from (the) oil and gas industry,” said state Sen. William Sharer, R-Farmington, who has represented one of the most energy-rich areas in New Mexico during his 15 years in the Roundhouse.

“If they really hate it that much, then let them find some other source of revenue. That’s what they need to do. I’m okay with that but don’t ask one group of people to build your buildings if you want to beat up that group of people in the same breath.”

Environmentalists, many who had not heard of Sharer’s bill before Watchdog.org contacted them, reacted angrily.

“This is blatant intimidation, intimidation of people who want a good and clean environment and preserve natural resources,” said Eleanor Bravo, senior organizer for Southwest Food and Water Watch.

~~ snip ~~

New Mexico is one of the country’s most reliant states on oil and gas. It’s estimated that 31.5 percent of the state’s general fund is related to the oil and natural gas industry.

[CedarDave]

Oh how I love it! Poking a stick at the enviros gets them all hot and bothered but they can do nothing about it except complain that they want more windmills and solar panels.

[CedarDave]

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[SierraWasp]

What say you BOB? POING!!!

[UCANSEE2]

I think I’ll start selling windmills made out of solar panels.

[Lurker]

I love it.

[lonestar67]

This kind of thing needs to be done exponentially.

Anti fossil fuel ordinances and locales must be met with punitive taxes and tariffs on their economic activities.

California should be hit with massive charges for its anti-energy and anti-water stances.

[JimSp]

Something good came out of Farmington! (Lived there for 4 years)

[digger48]

They are floating a similar idea in Indiana.

But what happens when they decide to expand that power and take away local control allowing for Big Blow to cover the counties in 500 foot tall spinning monuments to Gaia?

Slippery slope IMO

[demshateGod]

“This is blatant intimidation, intimidation of people who want a good and clean environment and preserve natural resources,’ said Eleanor Bravo, senior organizer for Southwest Food and Water Watch.”

Good for you Sugar. Way to take a stand for you beliefs. Now get your own funding since the oil and gas companies are upsetting Gaia so much.

[Balding_Eagle]

How much tax revenue do windmills produce?

Or are they really just a recipient of same?

[leapfrog0202]

Thanks for the ping! I agree with the idea behind this bill.

[digger48]

I understand the difference, but it’s not so much the revenue as it is the state taking away local control over its own zoning.

What would stop them from withholding state money for other reasons?

I only raise this because our local residents just fought a long battle stopping Big Blow from covering our entire county in windmills. We got absolutely no help from any state or federal officials. But we did manage to unseat 2 of the 3 commissioners and a couple of the county council members last year.

My state is not exactly a big contributor to gas and oil, but they are still floating a similar proposal.

http://iga.in.gov/static-documents/4/8/3/4/4834fa14/HB1321.01.INTR.pdf

[digger48]

Here's summary from the Indiana General Assembly

Amends the statute concerning home rule for units of local government to specify that such units do not have the power to regulate or prohibit oil and gas exploration, development, or production activities, including activities involving horizontal drilling or hydraulic fracturing.

[goodnesswins]

Need to do this with coal also

[SunkenCiv]

"The reality is, we need to send a message to counties and let them understand that the money that builds their public buildings comes from (the) oil and gas industry," said state Sen. William Sharer, R-Farmington, who has represented one of the most energy-rich areas in New Mexico during his 15 years in the Roundhouse. "If they really hate it that much, then let them find some other source of revenue. That's what they need to do. I'm okay with that but don't ask one group of people to build your buildings if you want to beat up that group of people in the same breath."

[IYAS9YAS]

“This is blatant intimidation, intimidation of people who want a good and clean environment and preserve natural resources,” said Eleanor Bravo, senior organizer for Southwest Food and Water Watch.

No, you ignorant putz, the intimidation is from situations just like this, where people like you want to retain the benefits, but want others to bear the burden.

[Army Air Corps]

Ping.