Fuller says committee removed tax from A656


The controversial oil severance tax is apparently off the table, at least for the time being.

Assembly Bill 656 was passed by the   Assembly Appropriations Committee, but without the 12.5 percent oil severance tax.

A press release issued late Thursday afternoon by Assemblymember Jean Fuller’s office said oil tax was removed from the bill and only a study of the effect the tax would have on funding for higher education will be conducted.

Fuller called it a tremendous victory for the oil industry and for Kern County, where 70- percent of the state’s oil is produced.

Fuller testified against the bill Thursday at the committee hearing.

Les Clark, executive vice president of the Independent Oil Producers Agency said severance tax, which they say will have a major impact on the oil industry, the local economy and government services, said the oil tax may not be dead yet.

He said Fuller’s announcement was good news, but the bills opponents need to be vigilant.

 “I don’t trust those guys,” the veteran oil industry lobbyist said about the legislators. “They can still tamper with bills.”