M E M O R A N D U M To:

Citations and links are included at the end of the attached table, and in the second tab of the Excel version of the workbook. [...] 2.1 Exploration Excess of percentage State_CA Tax Allows a fixed percentage of gross income to be deducted for resource depletion, limited to 50% of net income prior to the depletion and over cost depletion of expenditure deduction, or 100% in the case of oil and gas properties. [...] Evaluation would Multiple sectors Yes 1980 to present Very large and valuation of legacy require three main steps: comparing the production property under reported values of oil and gas reserves Proposition 13, (ideally at the county level) to the market including oil and gas value of those reserves; comparing the reserves and effective rate on the actual value to the commercial property property. [...] One review of the costs and benefits of oil development to different levels of state governments did include a case study of California (Raimi and Newell, Duke 2016: 30) and found road damage was commonly the major cost of oil and gas development at the county level. [...] The credit is reduced in proportion and credit expenditure to the ratio of the reference price of oil for the previous calendar year minus $28 (adjusted for inflation from 1990) to $6.