The Legislature's severance tax committee hashed out 16 bills Wednesday to change the way the state spends its money from oil and gas production. Currently, it's a complicated system that funds water projects, schools, the Department of Natural Resources and local communities affected by drilling.

Western Slope lawmakers want to protect or increase the money counties get to deal with the effects of drilling. But others want a piece of the pie for higher education, low-income utility bill assistance or a permanent fund for the benefit of future Coloradans.

The special summer committee has the power to introduce eight bills when the full Legislature returns in January. It will meet again at the end of the month to finalize its list of bills.

The committee got help from a working group of local experts that included La Plata County Commissioner Kellie Hotter. That group wants to increase aid the state gives to cities and counties that have lots of energy production.

But that didn't sit well with legislators from energy-poor counties.

"I feel like I would not be representing my district well if I didn't speak up and say the mineral wealth of Colorado belongs to all the citizens of Colorado. It doesn't just belong to the energy-impacted communities," said Rep. Randy Fischer, D-Fort Collins.

"Any comments?" asked committee chairwoman Sen. Gail Schwartz, D-Snowmass Village.

"None that are politically correct," said Craig Meis, a Mesa County commissioner who is co-chairman of the working group.

Mesa County is coping with a boom of employees who work in the gas fields of neighboring Garfield County.

The group recommended that grants by the state Department of Local Affairs be prioritized based on the number of energy workers who live in a county, the amount of production and the number of drilling permits. Currently, part of the money the Department of Local Affairs sends to counties is based on the number of energy workers who live there. The rest is based on competitive grants that go to counties statewide.

The change could work out well for southwestern counties, because energy workers often live across the state line.

"We are really, really excited about that one," Hotter said. "It's so important for us to be looking at bigger projects and bigger impacts."

However, the committee rejected ideas to raise the severance tax Wednesday, because the bill that set up the committee didn't call for such a change.

Earlier this week, environmental groups released a report saying Colorado would have gained an extra $1.3 billion over the last five years if it had raised its severance tax rate to match Wyoming's.

Click here to send an email to the author