Saturday, February 06, 2010
Coal Industry Opposes New Taxes
WEST VIRGINIA....
Coal companies are objecting to a proposal from the Obama administration that could raise their state taxes to cover the cost of regulating surface mining. To help cut its spending by $16.7 million, the federal Office of Surface Mining Reclamation and Enforcement is considering an idea to cut funding to coal states. The agency has proposed a $146.1 million budget for fiscal 2011..The agency is encouraging states to raise more money with higher fees.
In the current fiscal year, West Virginia has taken in $171 million in general revenue from coal. Through January, coal production was down 8.3% from the prior year. Coal producers are struggling with weak demand from their largest market (electric utilities) and slumping industrial production. National Mining Association President Hal Quinn says "Their efforts should not be stopped by new taxes that will cost jobs and hurt our economy."
Coal companies are objecting to a proposal from the Obama administration that could raise their state taxes to cover the cost of regulating surface mining. To help cut its spending by $16.7 million, the federal Office of Surface Mining Reclamation and Enforcement is considering an idea to cut funding to coal states. The agency has proposed a $146.1 million budget for fiscal 2011..The agency is encouraging states to raise more money with higher fees.
In the current fiscal year, West Virginia has taken in $171 million in general revenue from coal. Through January, coal production was down 8.3% from the prior year. Coal producers are struggling with weak demand from their largest market (electric utilities) and slumping industrial production. National Mining Association President Hal Quinn says "Their efforts should not be stopped by new taxes that will cost jobs and hurt our economy."
# posted by Homer Owens @ 1:23 AM 
