There was a rumor a while back that the State Treasurer’s Office had somehow overpaid counties for severance taxes in FY 1995 and that the state would demand repayment of the tax at some point in the future.

The future is now.  According to the State Treasurer’s Office, repayment of the severance tax will begin on July 1, 2010 and continue for the next 16 quarters. 

The link below is to a worksheet provided to Cindy DeLancey, Executive Director of the Wyoming County Commissioners Association, calculating the amount of payment reductions over the four year period. 

These are still not final number.  The State Treasurer’s Office is still determining the amount of the overpayments (this must be quite arduous) which will then effect the amount to be withheld from future distributions.

There’s no word on what materials will be provided to counties documenting the overpayment and appropriate withholdings.

Severance repayment worksheet