HB572 Summary

• Limits local tax prohibitions on oil and gas production by allowing counties, cities, towns, and municipalities to only be prohibited from levying taxes on oil and gas that has already been subject to state severance taxes.

• Clarifies that local governments receiving a share of state severance tax revenues cannot levy local taxes specifically on severed oil and gas on which state severance taxes have been paid.

• Preserves local government authority to collect ad valorem property taxes on real or personal property related to oil and gas operations not otherwise exempted by law.

• Maintains existing exemptions for local governments that do not receive a share of state severance tax revenues and preserves full restrictions on offshore production taxation.

• Becomes effective on the first day of the third month following passage and approval by the Governor.