Progress: PA Minimum Royalty Bill Heads to Full House for Vote

Garth Everett

PA Rep. Garth Everett

Pennsylvania State Rep. Garth Everett introduced a bill last year to guarantee landowners get a minimum of 12.5% royalties, regardless of post-production deductions (see New Bill HB 1391 Will Guarantee PA Landowners 12.5% Royalties). Organizations like the PA chapter of the National Association of Royalty Owners (NARO) fully support the bill. However, drillers make the counterargument that duly signed contracts which allow for certain deductions should not be swept away with the stroke of a pen. The industry is steadfast against this and other bills like it. This spring HB 1391 got a brief hearing in the House (see Landowners vs Drillers: PA Minimum Royalty Bill Gets a Hearing). Since that time it went nowhere fast. That is, until two weeks ago when Everett used a legislative “stunt” to attach the bill to other legislation, quickly retracting it, in an effort to focus attention on the bill again (see Rift Continues Between Drillers & Landowners re Royalty Bill). Looks like Everett’s stunt worked, at least to some degree. The bill was just moved out of a House committee where it was stalled. The full House of Representatives will now consider the bill–but not likely before this fall. Still, it’s progress…

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