Lawmakers Will Get Update on Struggling Coal Tax Fund
Kentucky lawmakers will be briefed next week on the state’s ailing coal severance tax fund. The office of the state budget director will update the lawmakers of the fund’s future on Wednesday, during a regularly scheduled meeting of the interim committee on natural resources and environment.
The coal severance fund is made up of a tax collected on each ton of coal mined in Kentucky. But the coal industry has had a rough year, and officials are forecasting problems maintaining previous levels of revenue.
The fund helps coal-producing counties with public projects and a portion of the fund goes directly to the state government.
A decline in the fund could put some projects and areas in economic trouble.