Texas Oil & Gas Association said this week the state’s oil and gas industry paid $15.8 billion in state and local taxes and state royalties in fiscal year 2021 – funds that directly support Texas schools, universities, roads, infrastructure and other essential services. TXOGA released the data Tuesday in Austin. Payments last year increased 14 percent from $13.9 billion in 2020 to reflect the industry’s recovery from the global pandemic. The state’s revenue from oil and gas peaked at $16.3 billion in 2019 before the pandemic.
Todd Staples, president, said, “Despite an incredibly difficult two years, the Texas oil and natural gas industry contributed tremendously to state and local tax coffers. This revenue from oil and natural gas production, pipelines, refineries and LNG facilities translates to well over $43 million each and every day that pays for our schools, universities, roads, first responders and essential services.”
The permanent school fund supporting public K-12 schools received $1.099 billion ($942 million in 2020), the permanent university fund supporting state universities and colleges received $979 million ($771 million in 2020), and the economic stabilization fund (“rainy day fund”) received $1.134 billion. TXOGA said Texas school districts received $1.84 billion in property taxes from mineral properties producing oil and natural gas, pipelines and gas utilities. Counties received $640 million in property taxes. Midland ISD ranked No. 1 among school districts by receiving $134.9 million, and Reeves County ranked No. 1 among counties by receiving $47.4 million in oil and natural gas property taxes. The industry employed 422,122 Texans in 2021.