Beebe Formally Signs Tax Increase into Law - KAIT Jonesboro, AR - Region 8 News, weather, sports

Little Rock, AR

Beebe Formally Signs Tax Increase into Law

LITTLE ROCK, AR - Governor Beebe has signed a bill to raise the state's severance tax on natural gas.  He put his signature on the tax hike only hours after Arkansas legislators gave their final approval in a special session that he called.

Beebe pushed for the tax increase to raise money for road improvements.  He expects it to eventually generate $100 million annually.  The tax goes into effect January 1 and updates a levy that was among the lowest in the country and had not been changed since 1957.

Beebe asked for the increase after negotiating an agreement with natural gas companies that in recent years have been drilling heavily in the Fayetteville Shale.

The legislation passed in the third day of the special session.  It calls for the state to levy a five percent base rate on the market value of gas extracted, with exemptions built in to lower the tax rate for certain wells.

The Legislature also dispensed with the only other two items on its agenda, repealing a 2007 law that mistakenly allowed children to marry with parental consent and another measure to allow two school districts more time to seek release from federal court supervision of their desegregation efforts.

(Copyright 2008 by The Associated Press.  All Rights Reserved.)

  • Region 8 News</span><a class="customMoreLink" href="/Global/category.asp?C=4391" target="_top">More >></a>Region 8 NewsMore>>

  • CASA expanding location to Mississippi County

    CASA expanding location to Mississippi County

    Wednesday, September 20 2017 5:13 PM EDT2017-09-20 21:13:15 GMT
    Wednesday, September 20 2017 5:45 PM EDT2017-09-20 21:45:14 GMT
    (Source: CASA of the 2nd Judicial District of Arkansas)(Source: CASA of the 2nd Judicial District of Arkansas)

    CASA just took a leap in the right direction to serve children in foster care after expanding locations in the 2nd Judicial District in Arkansas.

    CASA just took a leap in the right direction to serve children in foster care after expanding locations in the 2nd Judicial District in Arkansas.

  • September Teacher of the Month: Natasha Turner

    September Teacher of the Month: Natasha Turner

    Wednesday, September 20 2017 11:19 AM EDT2017-09-20 15:19:05 GMT
    Wednesday, September 20 2017 5:43 PM EDT2017-09-20 21:43:31 GMT
    (Source: KAIT)(Source: KAIT)

    A Lawrence County teacher was selected as our September Teacher of the Month.

    A Lawrence County teacher was selected as our September Teacher of the Month.

  • Follow the signs: hospital lists new way to enter ER

    Follow the signs: hospital lists new way to enter ER

    Wednesday, September 20 2017 2:42 PM EDT2017-09-20 18:42:21 GMT
    Wednesday, September 20 2017 5:41 PM EDT2017-09-20 21:41:40 GMT

    A Jonesboro hospital has new directions for those heading to the emergency room using their own vehicle.

    A Jonesboro hospital has new directions for those heading to the emergency room using their own vehicle.

Powered by Frankly