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In recent months, the Equality State Policy Center (ESPC) has drawn public attention to tax policy and tax system accountability issues affecting our state's fiscal health and every citizen's pocketbook. Among other things, the ESPC has pointed out the significant losses to state coffers due to tax rate reductions and tax breaks to the mineral industries, and the need to capture more value from our publicly-owned and non-renewable resources, including coal. Since 1985, the Wyoming Legislature has allowed taxes to expire and awarded tax breaks that reduced revenue for the 1999-2000 biennium by $190.4 million - the equivalent of nearly 20% of the state's discretionary General Fund income. $86.6 million was in severance tax reductions on coal production.
From 1987-1997, coal production in Wyoming increased by 110%, while employment fell by 1%. Wyoming is now the nation's #1 coal producer. Now, a state with vast mineral wealth, the nation's largest producer of coal, is on the verge of a financial emergency. Instead of restoring previous levels of mineral taxation, the Governor and legislative leadership are attempting to increase taxes on citizen and small business taxpayers to replace what has been given away in mineral tax giveaways and balance the state's budget. The ESPC feels that the 33% reduction in state severance taxes on coal production that the coal companies have received in recent years is not warranted, and that the taxes that have historically been paid on coal production should not be shifted onto citizen and small business taxpayers. For more information, please visit the following ESPC reports:
Citizens Deserve More Value For Their Coal
The Casper Star Tribune, Wyoming's statewide newspaper, also obtained and reported on a secret Wyoming Coal Information Committee memo describing a $250,000 per year plan to buff up the coal industry's image with the public and government officials. The Equality State Policy Center warns the public to expect a "flood of propaganda" to besiege the state from the coal industry. The ESPC also expressed surprise that the coal companies portray local governments as their opposition; support "de-earmarking, a policy that is very damaging to local governments and all levels of education; and promote a blatant electoral strategy to elect coal industry-friendly local and state officials and legislators.
See the Wyoming Coal Information Committee's |
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www.equalitystate.org Copyright 1999, Equality State Policy Center | |||||||||||||||||||||||||||||||