Notice of 2026 assessment roll tentative oil and gas unit of production values

TO:  assessors, county directors of real property tax services and producers
FROM: Mary Malaty, Manager of Special Valuation and Fiscal Support Bureau 

This memo applies only to assessors and county directors who currently have oil or gas producing wells in their municipalities, and all producers of oil or gas. If you are not part of either of these categories, you may disregard this memo. 

On January 28, 2026, the Commissioner of Taxation and Finance established the following tentative oil and gas unit of production values. The Tax Department will conduct a hearing at the Genesee County Building No. 2, 3837 West Main Road, Batavia, New York 14020 on February 18th at 10:00 A.M. If you plan to attend the hearing, please send an email to Jeremy.Kergel@tax.ny.gov or call 518-530-4049. Following the receipt of written comments and statements submitted at the hearing, final oil and gas unit of production values will be established for use on all 2026 assessment rolls.

The unit of production values for oil and gas economic units have been determined in accordance with Title 5 of Article 5 of the Real Property Tax Law (RPTL) and Title 20, Chapter XVI, Part 8196 of the Official Compilation of Codes, Rules and Regulations of the State of New York. The tentative 2026 oil and gas unit of production values and a comparative analysis for this year and the previous can be found below.

Tentative 2026 oil and gas unit of production values

Gas

All gas wells: $ 2.82

Oil

All oil wells: $67.42

The methodology to be applied in using certified final unit of production values to determine the assessment of oil and gas economic units is set forth in Real Property Tax Law, Article 5, Section 594 (2):

Upon receipt of the appropriate final unit of production value certified by the Commissioner, each assessor shall compute and determine the assessed value of oil and gas economic units located in that assessment unit. Except as otherwise provided, economic units shall be assessed as follows:

1. 1. multiply the appropriate unit of production value, by
   2. the amount of production from that economic unit in the production year, by
   3. the latest State equalization rate, except that where such rate exceeds or would exceed 100, a special equalization rate of 100 will be established by the State Board for purposes of this section.

Written comments in regards to the tentative unit of production values may be submitted by March 4, 2026, to Jeremy Kergel, Oil and Gas Coordinator, New York State Department of Taxation and Finance, Office of Real Property Tax Services, Building 8a Harriman State Campus, Albany NY 12227.  Following a review of these comments, final unit of production values will be certified to assessors for use in the assessment of oil and gas economic units.