Natural Resource Revenues and Expenditures

5.2.24 New Revenues to Fill the Fiscal Gap—Natural Resource
Revenues

Revenues from natural resources, other than oil and gas, have never been very big, and studies have shown that the state typically spends more on management of its natural resources than it collects in revenues from their production. In 1995 gross state revenues from non-oil resources were about $132 million while management expenditures were $208 million. These expenditures exclude the general costs of government associated with the workers in these industries such as the schools for their children. It also excludes the capital expenditures of government on infrastructure associated with development and management of the resources.

STATE RESOURCE REVENUES AND EXPENDITURES ON RESOURCE MANAGEMENT IN 1995 (million $)
Resource Category	Total Gross Revenues*	Total Operating Expenditures for Resource Management	Difference Between Revenues & Expenditures	Amount the State Receives for Every $1 Spent on Management

Oil and Gas	$2,148.024	$44.312	$2,103.711	$48.00
Minerals	$3.953	$8.016	-$4.063	$0.50
Fisheries	$87.917	$101.673	-$13.755	$0.85
Wildlife	$18.509	$28.298	-$9.789	$0.65
Timber	$1.288	$10.664	-$9.376	$0.10
Lands	$21.478	$59.674	-$38.195	$0.35
TOTAL	$2,281.171	$252.639

NOTES:
For more detail on the categories as well as revenues and spending in each category, see Revenue Source Summary \| Expenditure Source Summary

*The Alaska Department of Revenue was unable to disaggregate nonpetroleum corporate income tax revenues beyond a grand total of $67 million. Corporate income tax revenues from nonpetroleum corporations, therefore, have not been included here.

SOURCES:
Revenue data were obtained from the Alaska Departments of Natural Resources, Fish and Game, Commerce & Economic Development, Community and Regional Affairs, Environmental Conservation, Fish and Game, Labor, Law, Natural Resources, Public Safety, and Revenue.

Reference: Legislative Research Services Memorandum to Representative Con Bunde, June 27, 1996.

Alaska Resource Revenues by Resource Category

Oil and gas revenues include taxes (Alaska net income tax, O&G properties production tax, O&G regulation/conservation tax, property tax and oil, and hazardous release response tax); royalties for oil and gas, oil settlements and interest, revenue from leases and sales, and fees.

Mineral revenues come primarily from taxes (income tax, mining license tax) royalties, leases, fees, and federal development revenues.

Fisheries revenues include sport fisheries and commercial fisheries.

Commercial fisheries revenues come from taxes (income, salmon enhancement tax, seafood marketing assessment, fisheries business tax, fisheries resource landing tax, salmon marketing tax, and marine fuel tax); sales (confiscated fish sales and test fish sales); fees (commercial crew member licenses, limited entry permit renewal fees, housing rental at hatcheries, fish loan transfers to general fund, business licenses); federal revenues (USDA funds for ASMI, NOAA); and other (criminal penalties, civil fines, judgment settlements, program receipts—ADF&G, and interagency receipts outside ADF&G).

Sport fisheries revenues come from taxes (income tax, marine fuel tax), sales (roadside guide sales), fees (sportfishing licenses, king salmon stamps, housing rental at hatcheries), federal revenues (Dingell-Johnson Funds, U.S. Department of Commerce-NOAA) and other (criminal penalties, program receipts to ADF&G, and interagency receipts from outside ADF&G).

Wildlife revenues come from taxes (income tax), sales (waterfowl conservation prints, hide and ivory sales), application and user fees (McNeil River Sanctuary, Rabbit Creek Rifle Range, drawing hunts, wildlife refuge receipts, housing rental), and licenses and tags (hunting licenses and tags, trapping licenses, waterfowl conservation tags, special licenses, game-related fees, guide board and business licenses) federal revenues (Pittman-Robertson funds, NOAA) and other (criminal penalties, program receipts—ADF&G, interagency receipts).

Timber revenues come from Alaska income tax, sales (timber sales, sale of seedlings), fees (forestry document handling fees, log brand registration, business licenses), federal revenues for forestry management and development, and other (timber bond, state forest or damage to state lands).

Lands revenues come from Alaska income tax, sales (land disposal sales, material sales, sale of public documents), leases (land, tideland, shore fisher leases, aquatic farms permit/lease rental); fees (trapping cabins permits, land filing fees, recorder's office fees, water development fees, parks and recreation fees, agricultural development fees, document handling fees); federal revenues (fire suppression, water development funds, agricultural development funds, historic preservation funds, and conservation reserve/land development), and other (service charges, historic preservation, commission receipts, Childs Pad Project Bond Default, and survey instructions).

Alaska Agency Expenditures by Resource Category

This table shows which agencies of state government have some management authority over various natural resources.

Agency	Oil & Gas	Minerals	Fisheries	Wildlife	Timber	Lands
Office of the Governor	X	X	X	X	X	X
Dept. Of Commerce & Econ. Dev.	X	X	X	X	X
Dept. of Community & Regional Affairs	X	X	X	X	X	X
Dept. of Env. Conservation	X	X	X	X	X	X
Dept. of Fish & Game	X	X	X	X	X	X
Dept. of Labor	X	X	X	X	X	X
Dept. of Law	X	X	X	X	X	X
Dept. of Natural Resources	X	X	X	X	X	X
Dept. of Public Safety			X	X
Dept. of Revenue	X	X	X
Alaska State Legislature	X	X	X	X	X	X

5.2.24 New Revenues to Fill the Fiscal Gap—Natural Resource Revenues

5.2.24 New Revenues to Fill the Fiscal Gap—Natural Resource
Revenues