Kansas and other states that receive taxes from the production of oil and natural gas, could face budgetary challenges as prices fall.
Two taxes are tied to oil and gas prices and production: severance and property taxes.
The severance tax is a state levy on minerals extracted from the ground in Kansas, while property taxes are also collected by the state and most local governments on oil and gas wells.
Although the average gas price in Kansas is only a penny below where it was a month ago, a report from AAA reveals a significant decrease in cost from last year. KMUW’s Abigail Wilson has more...
Kansas gas prices are 32 cents less than they were a year ago, ranking the state second for year over year declines in gas prices.
Jim Hanni, spokesperson for AAA, says the price decrease is the result of what was happening at this time last year.
The Citizens Utility Ratepayers Board, a consumer advocacy agency for utility customers, says the agreement recently reached on a Kansas Gas Service rate hike was a fair one.
David Springee, an attorney with CURB, says it's actually a significantly lower increase than the utility had requested.
"There are certain things, like the Kansas Gas Service asked for a 10.75 shareholder profit to be built into rates," says Springee.
Gov. Brownback in Ohio stumping for Romney; Healthcare firm moving 300 employees into Kansas; Executive bonuses are considered a factor in KS gas rate.
Gov. Brownback Stumps For Romney In Swing State Of Ohio
Kansas Governor Sam Brownback spent Tuesday on a five-city tour of northeastern Ohio stumping for the Republican presidential ticket of Mitt Romney and and Paul Ryan.
Brownback is a former U.S. senator. Ryan served on Brownback's U.S. Senate staff in the 1990s.