State House passes its version of Marcellus Shale rules, fees
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HARRISBURG -- After four days of debate, the state House of Representatives has approved a Marcellus Shale impact fee and regulatory measure on a vote of 107-76.
The vote came after Democrats, who have repeatedly called for an assessment on gas drillers, criticized the bill for hours.
They described it as a tax -- a reference to the Americans for Tax Reform no-tax-hike pledge that many of their GOP colleagues have signed -- but a tax that is too low to provide sufficient funds for environmental programs and community impacts.
"Why anyone would break that pledge for such a bad bill?" asked House Minority Whip Mike Hanna, D-Clinton. "We should be supporting a robust severance tax that provides protection to Pennsylvania's water, air and land."
The majority Republicans, whose bill is similar to what Gov. Tom Corbett has said he would support, defended the proposal as an approach that balances the needs to encourage economic development and to ensure that gas extraction is done safely.
"It's been about jobs, jobs, jobs, private-sector job creation, and providing safety and protection of our environment," said House Majority Leader Mike Turzai, R-Bradford Woods.
The Senate also passed a bill this week that would beef up gas drilling oversight and enact an impact fee. Differences between the two proposals will need to be reconciled over the next few weeks if lawmakers are to get a bill to the governor's desk before they leave session in mid-December.
Under the House version, counties would be allowed to implement a fee on producing wells at a rate of up to $40,000 per well in the first year and decreasing annually to $10,000 in years four through 10.
Among its environmental provisions, the measure would increase the setback distance between a well and any nearby waterways or buildings, boost bonding requirements and penalties, and increase the required information to be released on hydraulic fracturing chemicals.
It also would set a state standard for local zoning ordinances related to oil and gas operations, authorizing the attorney general to determine whether municipal rules go too far.
First Published November 17, 2011 4:27 pm
