Just how much money would be generated in taxes by a single Marcellus Shale gas well in New York State? The Independent Oil and Gas Association of New York (IOGA of NY) wants you to know, and has created a calculator on their website that will tell you. You can find it here.
“This simple calculator on the IOGA of NY website’s homepage tells a dramatic story in just a few words,” said John Holko, president of Lenape Resources in Alexander and an IOGA of NY director, in a statement. “The calculator shows the amount of ad valorem tax the operator pays to a county in one year if only one Marcellus Shale well would be drilled in that county. This tax revenue stays in the county and supports essential services to county residents.”*
The IOGA of NY website makes it clear that ad valorem taxes stay 100 percent in the local community—they do not go to Albany or to the state’s general fund. MDN is written from Broome County, NY, and the IOGA frack calculator reports tax revenue from a single well in our community for one year would be an astonishing $385,267.94. Multiply that by just 10 and we would have over $3 million in new tax revenue, split between the towns where the wells are drilled, their local school districts, and the county.
*Gotham Gazette (Dec 13, 2011) – Frack Calculator