Dueser, who had surveyed 20 area bankers for his presentation to 430 participants at the conference, said the price of oil is a killer. Some producers are shutting in and plugging wells, while others are living on cash flow. Dueser used Breckenridge as an example. That means that less money is coming in through ad valorem taxes. Other counties have seen similar reductions in production value.
Agriculture is in no better shape.
Ag production in 1998 was down 40 percent from 1997, he said. Bankers are worried about the effects of the drought and federal disaster loans may help. Kim said Abilene's economy grew a little better than 2 percent last year and he expects the same this year. In 1993-94, the city grew at a rate faster than the state as a whole. Since then, it has continued to grow, he said, but not a rapidly as Texas.