Tuesday,  May 15, 2012 • Vol. 12--No. 306 • 19 of 37 •  Other Editions

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oil and gas development.
• Increased drilling is expected to bring increased truck traffic, housing shortages, skyrocketing rents and the need for additional restaurants, truck stops and other services in western South Dakota. The influx of oil and gas workers will likely require additional law enforcement, firefighting and medical services, and small towns will be faced with demands that exceed their current water and sewer systems.
• "There's maybe the prospect of additional revenue from the potential development. There's also the prospect of additional headaches," said Fred Baatz, a research analyst for the Legislature.

• Increased oil and gas drilling would boost tax collections for the state and counties, Baatz said. State law now imposes a tax, shared equally between the state and counties, equal to 4.5 percent of the market value of oil produced. And sales and construction taxes also would be applied to oil rigs and associated development, he said.
• One of the biggest problems in encour

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