The head of the New Mexico Oil and Gas Association says if a bill in the state legislature is approved to create an 85% tax increase on oil production, it will drive oil and gas production to Oklahoma and Texas.
Further, Missi Currier, President of the group called it a direct threat to thousands of New Meico jobs and to the revenue funds New Mexico schools and healthcare.
HB548, according to Currier would affect affordable energy for families and businesses and hart economic growth in towns and cities.
“This bill will make the state even more dependent on oil and gas production and risk further diversifying our economy. If passed, this new tax would drive energy production to neighboring states like Texas and Oklahoma, where the regulatory environment is more favorable. We’ll lose the jobs but still face higher energy costs,” wrote Currier in a weekend message to Association members.
The oil and gas industry contributes over $7.4 billion to New Mexico’s economy and funds about 49% of our state’s budget, according to Currier’s statement.
“This new tax puts that revenue at risk – revenue our communities desperately need.”
