To the editor: If the Department of Justice seeks to override California law and regulations and invoke the Defense Production Act to allow offshore oil production, the state should consider implementing an oil severance tax, which 42 other states use to fund infrastructure and social programs (“Gas prices soaring, Trump administration sets stage to OK controversial offshore oil plan,” March 7).
California is one of the few U.S. states without a severance tax and relies instead on property taxes. Imposing an oil severance tax, as other states do, could bring in approximately $1.5 billion annually to California’s coffers.
If California is forced to permit oil companies to extract oil, urge the state legislature to act swiftly to oppose this federal action with an oil severance tax.
Gene Dorio, Santa Clarita
