State Treasurer, Scott Meacham, a former banker from Elk City, is correct to ask the Oklahoma Tax Commission and the State Board of Equalization to revisit the issue of what the target price for natural gas will be for the upcoming fiscal year.
The OTC provides the projections to the Board of Equalization which is composed of the Governor, Lieutenant Governor, Treasurer Meacham and others. Then the Board prepares the State budget.
Meacham is concerned that the OTC’s numbers of $7.80 per 1,000 cubic feet is overly optimistic. If he is correct, it would result in overspending—creating a budget problem for Oklahoma. Meacham also points out that the future market is projecting $7.50 per 1,000 cubit feet and that, if Oklahoma has a warm winter, it may be less.
It is better to err on the side of caution, and Meacham is on the right track. The State is fortunate to have this banker at the helm of developing our State’s budget.