Airport drilling: The county is right to explore a deal, with caution
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Just like any other owner evaluating the wisdom of leasing property for Marcellus Shale gas drilling, Allegheny County shouldn't let dollar signs obscure the need to make certain that a deal is in the best interest of taxpayers over the long run.
County Executive Dan Onorato has set a goal of reaching agreements for rights on county-owned land around Pittsburgh International Airport, and the idea is certainly worth exploring. The county owns about 9,000 acres of land in Findlay and Moon, and gas-exploration options on it might generate significant revenue for the county.
Because the land is largely undeveloped, drilling on it presumably would not pose the same concerns about truck traffic, noise and unsightliness that have been objections in more residential parts of the county and the state.
But the same worries associated with deep-well drilling in other locations also apply to the county property. Like other owners, the county will be relying on the state of Pennsylvania to impose and enforce rigorous standards and regulations of the drilling, and tax it fairly, in order to safeguard drinking water and ameliorate other environmental damage.
In addition, the county must be careful not to do anything that would hurt the viability of the land for future development, which is close to interstate highways and a world-class airport.
When the county's airport authority proposed selling off the natural gas rights under the airport two years ago, at a time when prices were plummeting, there were no bidders. Since then, interest in natural gas exploration using techniques that allow companies to reach deep underground has boomed.
If leasing is to go forward, the county will need to reach agreement with the airport authority and the Federal Aviation Administration, and to determine if any restrictions on income from the property could prevent taxpayers from being the beneficiaries.
It should follow the same advice that any property owner considering a Marcellus Shale lease should heed: Proceed with caution.
First Published January 19, 2011 12:00 am
