The people of Oklahoma Oil & Natural Gas are investing in the state and local communities at record levels, contributing more than $2.5 billion in total taxes and an estimated $800 million directly to education in the fiscal year 2022.
Contributions in the first part of FY23 are up by more than 20% so far. In McClain County, school districts received $3.7 million in FY22. A new report completed by RegionTrack, Inc. for the Oklahoma Energy Resources Board (OERB) highlights the oil and natural gas industry’s impact on our state’s economy.
The report found that:
• More than a quarter of the total state gross domestic product (GDP) and one in every five dollars in household income comes from oil and gas.
• In FY 2022, gross production tax reached a record $1.5 billion and will be even higher in the first quarter of FY23. This money provides huge impacts on the local level. In fact, oil and natural gas is the only industry with a tax providing direct funding for education and county roads. However, GPT is just one source of tax revenue contributed by oil and natural gas.
• In addition, the industry also contributed an estimated $220 million in ad valorem, $282 million in personal income taxes, and $466 million in sales and use tax.
On a local level, the industry provided $124 million for county road funds and $124 million for local school districts. In McClain County, school districts received double or more than double what they received in FY21 funding.
• Blanchard $929,350
• Dibble $315,265
• Newcastle $1,102,890
• Purcell $656,275
• Washington $495,603
• Wayne $210,728 The report also highlights that the people of Oklahoma Oil & Natural Gas live and work here. In 2022, 43 oil and natural gas businesses were based in McClain County, had an estimated 277 employees, and provided nearly $20 million in household income.
The OERB is funded by the more than 2,500 producers and thousands of royalty owners across Oklahoma through a voluntary one-tenth of 1% assessment on oil and natural gas production. The mission is centered around the idea of empowering unlimited opportunity for all Oklahomans.
An OERB spokesperson said, “We are committed to investing in education and land restoration.”
