ODESSA, Texas (KOSA) – The Texas Economic Stabilization Fund is projected to reach its limit by 2025 raising the question of where those extra funds will go.
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Representative Brooks Landgraf says because most of the money in the Texas Economic Stabilization Fund comes from the State Oil and Gas Severance Tax, he hopes that revenue is put back into the major energy producing regions of the state including the Permian Basin
The stabilization fund is not the same as the state’s record budget surplus of nearly $33 billion. The stabilization fund is money saved for emergency situations.
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“We hope that the legislature remembers where so much of this revenue came from and continues to support the continued growth of that revenue in the future,” said Executive Vice President of the Permian Basin Petroleum Association Stephen Roberston.
Representative Brooks Landgraf says because most of the money in the Texas Economic Stabilization Fund comes from the State Oil and Gas Severance Tax, he hopes that revenue is put back into the major energy producing regions of the state including the Permian Basin.
“Taking care of the people who make Texas prosperous and who make America energy independent and look we are proud of what we do in the Permian Basin but a little bit of an investment from the state to make sure we take care of people out here I think is a good policy,” said Rep. Landgraf.
The limit for the fund in 2025 is $26.38 billion but it is projected to be at $27.13 billion.
Landgraf says in addition to the Permian Basin being a great place to produce oil and gas we need to make sure that it’s also a good place to live and raise a family.
Last week Landgraf filed a proposal called the Texas Strong Defense Fund that will reinvest billions of dollars generated from oil and gas severance tax revenue back into the major energy producing regions of the state including the Permian Basin.
“We generate so much wealth for Texas here in the Permian Basin but the people who bear the burden of that are the people who are part of this community so this is just designed to help even that playing field out and take care of some of the bumps in the road that come along with being the energy production epicenter of North America,” said Rep. Landgraf.
Robertson says since we’re in the midst of the Texas legislative session and the state has a good amount of revenue, there’s going to be a lot of opportunity.
“Investment in things like infrastructure, roads transmission distribution for electricity education, healthcare are all of the things that support the community that work and live out here,” said Robertson.
Landgraf mentioned in this case even a little bit of help would go a long way.