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FL advocates worry about the EPA delaying an important decision on emissions; WV is a leading state in criminal justice reform thanks to national backing; CA groups are celebrating a judge rejecting a federal moratorium on offshore wind; U of MI child care workers are fighting for a livable wage; gray whales might not be bouncing back as fast as previously thought; and NY advocates are celebrating a federal ruling saying the Trump Administration's wind energy ban was illegal.

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The Senate fails to extend ACA subsidies all but ensuring higher premiums in January, Indiana lawmakers vote not to change their congressional map, and West Virginia clergy call for a moratorium on immigration detentions during the holidays.

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Farmers face skyrocketing healthcare costs if Congress fails to act this month, residents of communities without mental health resources are getting trained themselves and a flood-devasted Texas theater group vows, 'the show must go on.'

Changes in WY coal production may call for changes in tax structure

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Wednesday, May 29, 2024   

A new policy could affect the future of coal mining in the Powder River Basin and in turn, Wyoming's tax structure.

The Powder River Basin produced nearly 44% of the country's coal last year, at 252 million tons. The U.S. Bureau of Land Management has proposed ending new federal coal leases there and, if approved, the state may need to restructure its tax revenue streams.

Robert Godby, associate professor of economics at the University of Wyoming, said there is no easy substitute for the coal industry's contributions to the tax base, especially since much of the coal is exported, and Wyoming benefits from taxing its importers.

"The challenge is we will have to find multiple sectors of economic development to replace the private benefit that coal creates," Godby explained.

If the new policy moves ahead, Godby pointed out the state will need to use caution in taxing other industries, building new revenue streams without chasing business out of Wyoming. The coal industry is responsible for about 20,000 jobs and roughly $250 million in state tax revenue, which largely funds K-12 schools across Wyoming.

The continuation of current leases means coal production in the area would play out through about 2041. The proposal is being touted as a win for climate advocates, and Gov. Mark Gordon has said he plans to act against it.

Godby noted coal production has already been declining for years as renewable energy sources and the oil and gas industries have grown.

"While the moratorium on the face of it seems very significant, the reality is that market forces may already be leading to the same outcome anyway, regardless of the moratorium," Godby contended.

The comment period for the BLM's moratorium on new coal leases is open through June 17.


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