Utility taxation and deregulation - commentary requested

greenspun.com : LUSENET : Deregulation / Restructuring Discussion: - Energy Utilities in the 21st Century : One Thread

I'm in the process of writing an article on energy industry taxation issues, and how deregulation will affect state and local level appropriations. The focus of the article will include: the reasonableness of GRT (gross receipts taxes), what replaces GRT if it is eliminated (as has been done in CT, NJ, and is being proposed in NY), the impact on a local level, and the impact to property valuations / tax rates as generating facilities are being auctioned/sold for pennies on the dollar.

I am interested in perspective from the utility industry, residential customers who understand the issue, and business / commercial customers and groups.

Your commentary would be most welcomed; drop me an email if you want to speak on the phone.

-- Rick Cowles (rick@csamerica.com), February 02, 2000


Let me clarify - it's not my intent to provide an indepth analysis, because I can point you to a great study that was done by the National Council of State Legislatures that covers many of these topics. My intent is to put on a different hat. A few years back, I had the opportunity to sit on the town council where I live. I know how much impact losing these taxes could have on the local tax rate, municipal services, and the ability to float general purpose bonds. I know what the impact could be on the property tax on my house - and it seems to me that this impact could more than offset any savings that I'm ever likely to see on my electric or gas bill.

That's the perspective I'm bringing to the article, so let me add another group to my list above - politicians and municipal government officials who would bear the brunt of losing this source of revenue.

-- Rick Cowles (rick@csamerica.com), February 11, 2000.

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