Two State House Republicans Call for Drilling Tax
Governor Corbett has proposed an impact fee on natural gas wells to be assessed at the county level, but some lawmakers continue to push for a broader fee on gas extraction, with more money going statewide. Two House Republicans, Representatives Tom Murt and Gene DiGirolamo, are calling for a tax of 4.9 percent on the gross value of units of deep gas reserves extracted at the well head.
Representative DiGirolamo (R-Bucks) says their plan would divide the revenue three ways, with 28% of staying at the local level, 28% going to environmental programs and 44% being used for state programs. The plan would dedicate some of the revenue from a severance tax to Drug and Alcohol Treatment and services for adults with special needs.
The Governor’s plan calls for 75% of the money to be spent for impacts at the county and municipal level and 25% to be divided among specific state agencies. Representative Tom Murt (R-Montgomery/Philadelphia), says they agree with the Governor’s position that any tax or fee assist local communities with the cost and impact of drilling. They also propose the revenue make long term investments in natural resources, environmental programs, our economy and our human capital.
Representative DiGirolamo says it’s imperative to support environmental programs around the state and all of Pennsylvania’s residents should benefit from the shale. He believes the bill is a reasonable approach to the issue.
The lawmakers were joined by environmental, labor, Christian advocacy, fair housing, good government and other groups in urging support for a drilling tax. Among them was Jan Jarret, president of PennFuture. She says the bill makes long term investments in environmental restoration and conservation to make sure we have the resources on hand to address problems the industry will bring to the state’s forests, streams and air. She says it also makes sure the resources are there to police the drilling industry.
