Before 2010, the Texas legislature faced numerous fiscal problems, including budgetary shortfalls that plagued the state for nearly a decade. Since then, however, rapid increases in oil production have reversed the trend and led some policymakers to refer to the present era as a "golden age" for the state.
"It's best to recognize you are in a golden age while you're in it," James Lebas, former chief revenue estimator for the Texas Comptroller's officer, told Forbes.
"We have reached new highs, it is paying handsome dividends to the state and the state is doing very well," he added. "We've gone from one million barrels a day to three million, and the day may come when we eclipse the all-time record set in 1972."
These days, of course, Texas is among the leading states for oil production and has capitalized on the domestic energy boom of the past several years. Forbes reports that if Texas were its own country, it would be the eighth largest oil producing nation and the third largest natural gas producer. As a result of this impressive growth, the state has been amassing more than 1,000 new jobs every day.
Obviously, the new jobs and increased tax revenue that oil development has brought to the table has been great for the Texas economy. But, as Lebas argues, it is important for policymakers to recognize what is happening and act to support it.
By approving policies that will facilitate the development of CNC machine shops, policymakers can ensure that the oil and gas industries have the resources to grow in Texas.