The direct contribution of severance, and income taxes on payroll and royalties amount to approximately 4% of total state revenue in fiscal 1993. This percentage of total state revenue has remained fairly constant over the years except for the oil boom years of 84 through 86.
While this amount of revenue is significant to the fiscal health of state government it does not consider the probably even greater contribution of other taxes that result from the activity of the oil and gas industry in Kansas. These include indirect taxes on the goods and services purchased by the oil and gas industry, and the taxes generated by the downstream oil and gas industry (e.g., refining and distribution, and manufacture of hydrocarbon based commodities as plastics and fertilizer).
At the county government level the oil and gas industry is a major source of property taxes. The oil and gas industry remains one of the important "contributors" to the fiscal health of our state and local governments.