Rise in coal prices blunts decline in Campbell County property values

Coal prices blunt Campbell property decline

GILLETTE, Wyo. — An unexpected rise in coal prices has blunted a decline in overall property values in Campbell County, which means tax revenues for local schools and government agencies won’t be as low as they expected.

Campbell County is the nation’s top coal-producing region. As a result, the assessed value of coal in the county, which is based on production and coal prices, has a significant effect on local property tax revenues.

The assessed value of property in the county this year came in at $5.01 billion. That’s down 12 percent from last year but higher than an estimate earlier this year, $4.1 billion.

Likewise, tax revenue for county agencies, schools and the local hospital will be down this year but by less than expected.

“When coal numbers drop or rise, that’s what seems to affect our total assessed value,” County Assessor Troy Clements said. “In all honesty, coal has once again held us steady.”

Booming minerals development has caused the county’s assessed value to increase steadily from $1.6 billion in 2000 to $5.7 billion in 2009 before declining this year.

Coal production in the county dropped 8 percent this year. The price of coal increased 10 percent, offsetting the decline in production.

The taxable value of the local oil and gas industry fell sharply: 44 percent for oil, 60 percent for gas. Combined, the value of the oil and gas industry is $704 million, down from $1.5 billion last year.

Information from: The Gillette News Record - Gillette, www.gillettenewsrecord.com