Thanks to Oil and Gas Revenue, Oklahoma Ends 20-months of Shrinking Revenue

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Driven by increased oil and gas production and prices, Oklahoma’s finally ended 20 months of shrinking state revenue.

State Treasurer Ken Miller announced Wednesday that gross receipts grew in January and largely because of increased gross production tax revenue.

“Low prices and curtailed production in the oil field led us into the latest downturn, and it appears rising prices and production are leading us out,” said Miller in announcing that January Gross Receipts totaled $990.5 million. The total was $5.1 million more than January of 2016, which represented an increase of 0.5 percent.

The oil and gas revenue totaled $33.1 million, or $7.8 million more than the same month of last year. That’s a fourth consecutive month of increases in gross production tax revenues and represented a 31 percent increase from last January. January collections come from November oil field activity when the average price of benchmark West Texas Intermediate crude oil was $45.66 per barrel.

The gross receipts for the past year totaled $10.8 billion but they are still 6.2 percent blow the previous 12 months. The Treasurer’s monthly report indicated each of the state’s major revenue sources—-income, gross production, sales and motor vehicle taxes were less than collections in the previous 12 months.

Gross income tax collections generated $379.8 million or an increase of $2.7 million for January.

Sales tax collections came to $365.7 million which was $8.9 million less than January of last year.

Motor vehicle taxes produced $72 million or $4.7 million than a year ago.