Reeves County Leaders Advocate at Capitol for Oil and Gas Severance Tax Legislation

Reeves County officials, along with representatives from the Town of Pecos City and the county’s economic development lobby team, testified at the Texas State Capitol on Monday in support of legislation that could bring vital revenue back to energy-producing counties.

County Judge Leo Hung, Pecos City Manager Charles Lino, and lobbyist Ernie Gonzalez of EMC Strategy Group appeared before the House Appropriations Committee to back House Bill 188 and House Joint Resolution 47, both authored by State Representative Brooks Landgraf and supported by Representative Eddie Morales Jr.

If passed, the measures would allow counties like Reeves to recapture a portion of the severance taxes generated from local oil and gas production. Those funds could then be reinvested into economic development projects, infrastructure improvements, public safety, and other critical services needed to support the booming energy economy.

Judge Hung emphasized the importance of the legislation, stating, “We fully support this bill and we will work with Senator Cesar Blanco to work with his colleagues in the Senate, especially Senate Finance Chairwoman Joan Huffman, to hear this bill on the Senate side. This legislation is critical to the further development of Reeves County and all other counties in the Permian Basin.”

Representatives Landgraf and Morales are expected to continue advancing the bills through the Texas House before moving them to the Senate for consideration.

Energy-producing counties like Reeves have long sought ways to capture more of the tax revenues generated from their natural resources, arguing that the infrastructure and service needs created by oil and gas operations put significant strains on local budgets.

Image Credit: Reeves County Texas

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