WV Farm Bureau Magazine January 2015 | Page 22

than to the State of West Virginia, and the eventual reunification of the mineral estate with the surface estate in cases where the owner of the mineral estate is unidentifiable or cannot be found. In circumstances where any portion of the subsurface estate is sold by a governmental entity for nonpayment of taxes, the owner of the surface estate should be given a right of first refusal to purchase that portion offered for sale. Farm Bureau is concerned about the removal of surface acreage from agricultural (cropland, pasture, hay and forestry) production to accommodate the needed infrastructure for oil and gas extraction. Farm Bureau believes that conservation of West Virginia’s farmland is essential to meet the growing demands for food and fiber production in America. Moreover, we support proposals that ensure landowners are adequately compensated for damages caused by the extraction of subsurface resources both in the short and long terms. We also support proposals requiring equal agriculture representation on the West Virginia Oil and Gas Conservation Commission. 70. TAXATION OF OIL AND NATURAL GAS LIQUIDS Farm Bureau believes in the fair apportionment of taxes and supports the farm use valuation for agricultural land as a means to encourage land to stay in agriculture production. We support proposals which ensure a landowner’s tax burden is not increased by the location of oil or gas extraction or processing point. Severance taxes should be calculated based on the wellhead production of oil, gas and natural gas liquids and valued at the point of an arm’s length sale. As for the oil and gas industry, we share the belief that natural resource extraction can be an important part of West Virginia’s economy for the foreseeable future, but we expect the tax burden associated with harvesting these resources to be borne by the industry, not by West Virginia farmers (surface owners). 71. NATURAL GAS, OIL & CONSTITUENT ROYALTY West Virginia Farm Bureau recommends that a royalty for all ga