SENATE BILL NO. 137


   January 27, 1999, Introduced by Senators NORTH, KOIVISTO, 
        MC MANUS, BENNETT and GOSCHKA and referred to the 
        Committee on Families, Mental Health and Human 
        Services.



        A bill to amend 1929 PA 48, entitled

   "An act levying a specific tax to be known as the severance tax
   upon all producers engaged in the business of severing oil and
   gas from the soil; prescribing the method of collecting the tax;
   requiring all producers of such products or purchasers thereof to
   make reports; to provide penalties; to provide exemptions and
   refunds; to prescribe the disposition of the funds so collected;
   and to exempt those paying such specific tax from certain other
   taxes,"

   (MCL 205.301 to 205.317) by adding section 14a.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         SEC. 14A.  THE REVENUE DESCRIBED IN SECTION 14(B) SHALL BE

 2    DISBURSED AS FOLLOWS:

 3         (A) FIFTY PERCENT TO THE COUNTY FROM WHICH THE OIL OR GAS

 4    WAS REMOVED.

 5         (B) FIFTY PERCENT TO THE CITY, VILLAGE, OR TOWNSHIP FROM

 6    WHICH THE OIL OR GAS WAS REMOVED.





   01491'99          Final page.                            JLB