[Red Steel]

Boehner: you got to pass it before you see what's in it.

[Red Steel]

Article by MATTHEW DALY Dec 18, 2013 3:47 PM CST

[PAR35]

Until 2008

Who was president in 2008? The same guy who abolished civil liberties and established a police state, wasn't it? They guy that said we couldn't fly while allowing Saudis to fly around the country in chartered jets?

Tell me again why I'm supposed to vote for any Republican on the ballot?

[RKBA Democrat]

Makes you wonder when one of the states will decide to make it a 100-0 split.

[Milton Miteybad]

Legislation implementing the agreement makes permanent an effective 51-49 percent split that favors the federal government in dividing the 12.5 percent royalty collected from energy companies on oil and gas production on federal land. Until 2008 when the Interior Department began setting aside 2 percent of the royalties as an administrative fee, the split between the federal and state government had been 50-50. The administrative fee, renewed several times by Congress, had been scheduled to expire in January.

The part in bold is key. This is a revenue split between the feds and the respective state governments on BLM land within a given state, where said land is owned in fee by the federal government. In each township, two sections (usually Sections 2 and 36) were granted to the states in fee by the U.S. government, and those sections are held by the states today (unless the state has issued patents for them to private parties).

Does the federal government share in the royalties arising from mineral production on state lands? Not that I'm aware of. But the feds apparently share royalty revenues from federal lands with the host state, which is compensation for so much of the tax base in that state being off the tax rolls because it's publicly owned.

The point being...under common law, a party who owns real estate is entitled to the benefit of any income derived therefrom. That owner is not obligated to share that income with anyone else, although he/she could do it if so motivated. I'm not sure the feds have any obligation to share royalties from federal lands with the host states, but they do so in the interest of equity.

It's as if these state governments view 50% of the federal lands as being owned by theem, not the Feds. They're already collecting 49% of the royalty revenue attributable to federal lands that they do not own under an existing policy, and they're whining about it not being a full 50%.

[Elsiejay]

Gradually, inexorably, state and local governments in myriad ways, some small and hidden, are being deprived of revenue sources and thus rendered incapable and ineffective in providing even basic and necessary public services.

The Federal Office of the Chief Executive is to be solely in control.