HLS 20RS-1570 ENGROSSED
2020 Regular Session
HOUSE CONCURRENT RESOL UTION NO. 65
BY REPRESENTATIVE BISHOP
TAX/SEVERANCE TAX: Suspends the severance taxes levied on oil, natural gas,
distillate, and condensate
1 A CONCURRENT RESOL UTION
2To suspend through the final day of the last full month prior to sixty days after final
3 adjournment of the 2021 Regular Session of the Legislature of Louisiana the
4 severance taxes levied pursuant to R.S. 47:631 on oil, natural gas, distillate, and
5 condensate at the rates set forth in the provisions of R.S. 47:633(7), (8), and (9).
6 WHEREAS, the oil and natural gas industries are important industries in Louisiana
7that employ over thirty thousand workers with wages that exceed three billion dollars
8annually which contributes to the state's overall economy; and
9 WHEREAS, Louisiana needs the oil and natural gas industries in this state to remain
10strong in order to help continue to drive the state's economy; and
11 WHEREAS, the oil and natural gas industries in Louisiana are facing imminent peril
12as the price of oil per barrel has dropped nearly sixty percent since January 1, 2020, and the
13price of natural gas has dropped nearly sixty percent since October 1, 2019; and
14 WHEREAS, contributing factors to the recent drop in the price of oil per barrel is the
15recent surge in the supply of oil in the market from Russia and OPEC as well as a drop in
16demand for oil as a result of the COVID-19 pandemic; and
17 WHEREAS, the oil and natural gas industries in Louisiana need immediate relief
18from severance taxes in order to make it financially feasible for oil and natural gas
19production to continue in this state which in turn will help boost the overall economic health
20of the state's budget.
Page 1 of 2 HLS 20RS-1570 ENGROSSED
HCR NO. 65
1 THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby
2suspend the severance taxes levied pursuant to R.S. 47:631 on oil, natural gas, distillate, and
3condensate at the rates set forth in the provisions of R.S. 47:633(7), (8), and (9).
4 BE IT FURTHER RESOLVED that this suspension shall become effective on the
5first day of the month following adoption of this Resolution and shall extend through the
6final day of the last full month prior to the sixtieth day after final adjournment of the 2021
7Regular Session of the Legislature of Louisiana.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HCR 65 Engrossed 2020 Regular Session Bishop
Suspends the severance taxes levied on oil, natural gas, distillate, and condensate.
(Suspends R.S. 47:631)
Page 2 of 2