BOUNTIFUL — By approximately one percentage point, voters approved a constituional amendment forcing the state to save some severance tax proceeds for the future.
The amendment, sponsored by Rep. Jim Nielson, R-Bountiful, requires the state to set aside a portion of all the state severance taxes into a state trust fund beginning July 2016. Severance taxes are earned after a natural resource is severed from the ground, and according to Nielson the state currently spends all they receive.
“The goal of the amendment is to create an endowment for future generations,” Nielson said. “It’s in order to impose some discipline, to try to do what’s needed to make long-term savings a reality.”
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