MIKE McCLEARY/TribuneSen. Bill Bowman, R-Bowman, testifies in front of the House Appropriations Government Operations Division on Tuesday in support of SB2178 dealing with oil and gas gross production tax revenues in relation to road maintenance. Bowman is also a Bowman County commissioner and alternately answered committee questions between his two elected responsibilities.
After a year in which increased oil production wrecked havoc on county roads, legislators from western North Dakota came to Bismarck in January seeking relief.
Their hope was that the state would adjust the formula it uses to distribute more oil tax money back to the counties, which are facing a growing backlog of road repairs.
With just under a month left in the session, lawmakers and lobbyists from the oil patch are cautiously optimistic about the passage of two bills that would provide about $14 million to the counties.
"I think the legislators have been really receptive and understanding of the fact that there are impacts that come with oil production," said Vicki Steiner, executive director of the North Dakota Association of Oil and Gas Producing Counties.
Dunn County Commissioner Cliff Ferebee said he's happy to see legislators are recognizing road needs in the oil counties.
"Basically, our roads are just getting torn up by the oil activity," Ferebee said
The first bill being considered is a measure that would tweak the oil tax distribution formula to give $11.8 million more to oil producing counties. It also would allow the counties to get their share of the money earlier in the fiscal year so they can plan their road budgets better.
The second bill was designed to raise the state-imposed caps that limit the total oil money that counties can receive through the formula. It was designed to ease the budget strain on Bowman County, which lost out on $4.3 million last year by hitting the cap.
The bill's sponsor, Sen. Bill Bowman, R-Bowman, said the money is desperately needed because the recent oil boom has brought more trucks and heavy equipment than the roads can handle.
Bowman, who also serves as a county commissioner, said his county is $14 million behind in road repairs.
With just over 3,000 people, Bowman County accounts for more than 40 percent of the state's oil production. It maintains a five-person crew on a road budget of about $3 million a year.
"We're busy from the time we get started," Bowman said. "We've got a lot of projects to do."
His original request for $10 million in aid was approved by the state Senate but cut to $2 million in the House.
House Appropriations Chairman Ken Svedjan, R-Grand Forks, said the cuts were made after committee members determined that the lower amount was enough to address Bowman County's needs. He said it was part of the ongoing appropriations process, where many bills are trimmed to make sure the state passes a balanced budget.
Bowman's bill is currently awaiting a vote on the House floor.
The first measure, which would impact all 16 oil producing counties, found a warmer reception.
It passed through the House intact and is awaiting action in the Senate Appropriations Committee.
Steiner said this bill was an easier sell than the Bowman County bill because it benefited a broad swath of counties instead of just one specific area.
"We knew that was going to be the tougher one and that's how it played out," she said.
After spending nearly six months pushing for the increased aid, Steiner said she thinks legislators are getting the message.
But she's careful to not be overconfident.
"You never know what's going to happen here," Steiner said.
(Reach reporter Jonathan Rivoli at 223-8482 or jonathan.rivoli@;bismarcktribune.com.)
Posted in Local on Tuesday, March 20, 2007 7:00 pm Updated: 3:50 pm.
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