PA DEP Shuts Down 2 Marcellus Wells for Not Paying Impact Tax

Xtreme Energy Co., headquartered in Victoria, Texas, has been ordered by the Pennsylvania Dept. of Environmental Protection (DEP) to shut down/stop producing at two Marcellus wells operated by the company located in Somerset County, PA, in the southwestern part of the state. Why? Because, says the DEP, Xtreme has not paid its impact fee (i.e. severance tax) for those wells for 2014, 2015 and 2016.
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8 OH Counties Rake in $142M in Real Estate Taxes from Utica Shale

Eight of Ohio’s top Utica Shale development counties collected nearly $142 million in real estate property taxes on oil and natural gas production from 2010 through 2017, according to an updated report by Energy In Depth (EID) and the Ohio Oil and Gas Association (OOGA). The Utica Shale Local Support Series report titled, “2019 Update: Ohio’s Oil and Gas Industry Property Tax Payments” (full copy below) analyzes the economic impacts of oil and natural gas real estate property taxes (called “ad valorem” taxes) paid in eight counties: Belmont, Carroll, Columbiana, Guernsey, Harrison, Jefferson, Monroe and Noble.
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PA Dems Intro Bill to Block New Marcellus-Fired Power Plants

Leftist Democrats in Pennsylvania are still hopping mad that they couldn’t block Invenergy’s 1,480 megawatt, $1 billion Marcellus gas-fired electric plant called the Lackawanna Energy Center, located near Scranton, PA (see Huge Marcellus-Fired Power Plant Near Scranton Now 100% Complete). So they’ve decided to NEVER let it happen again. How? By introducing what they’re trying to pass off as a “reasonable” new law to establish “minimum standards for host community agreements between new power plants and their surrounding communities and school districts as well as a minimum host community fee.” In other words, the new law will micromanage and tax any prospective new gas-fired power project right out of the state.
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WV Property Taxes on Shale Jump 40% from 2018 to 2019

West Virginia shale producers pay a 5% severance tax on all natural gas produced–you knew that, right? And in 2018 WV’s oil and gas producers (mostly shale) paid $138 million in severance taxes (see WV O&G Pays $138M in Severance Tax in ’18, Up 4.3% from ’17). But did you know that producers (i.e. drillers) also pay property taxes, on top of severance taxes? That’s right! And in 2019 WV’s drillers will pay an extra $123 million in property tax on top of the severance tax they pay this year–up 40% from last year.
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PA Sen. Dinniman Takes Credit for Green Projects Funded by Shale

In 2012, Pennsylvania State Senator Andy Dinniman, Democrat from Chester County, PA (near Philadelphia) voted against passage of the Act 13 law that created the impact “fee” (actually a tax) on Marcellus Shale drillers in the state. Yet earlier this week Dinniman issued a press release to tout $740,000 in new grants for “green” projects in his district, essentially taking credit for getting the money for those projects, paid for by impact fee revenue! Is it any wonder politicians like Dinniman rate below used car salesman in opinion polls?
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Wolf’s PA Severance Tax Now Much Less Likely – Enviros Oppose

Can it be possible that the shale industry and anti-shale environmentalists (those who irrationally espouse the end of using all fossil fuels) can actually agree on something? Turns out, we can! The something we agree on is opposition to PA Gov. Tom Wolf’s plan to tax a single industry, shale drilling, $4.5 billion in order to use that money for Big Government programs.
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F&M Push Poll Finds Majority PA Residents Want Severance Tax

One of the most liberal governors in America, Pennsylvania Gov. Tom Wolf, continues his campaign to kill the Marcellus Shale by slapping a severance tax on top of an already-high impact tax. He’s now getting a little help from his lib friends at the polling unit at Franklin & Marshall College. When asked a misleading question, a recent poll of 627 PA residents found 69% of them “strongly” or “somewhat” favor Wolf’s Santa Claus promises in his “Restore PA” plan–if it’s funded by a severance tax on Marcellus Shale.
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PA Gov Magically Finds $ to Fix Philly Schools w/o Severance Tax

In March, Pennsylvania Gov. Tom Wolf traveled to an elementary school in South Philadelphia with the message that only a severance tax on Marcellus Shale production stands in the way of cleaning up lead paint problems that are poisoning the little kiddies at the school (see Gov. Wolf’s Campaign of Lies re Severance Tax Continues in Philly). We were, rightly, incensed. If children are being poisoned by lead paint in Philly schools, find the money somewhere and fix the problem–NOW. It seems we weren’t the only ones thinking that way. Wolf has magically found $4.3 million to fix the problem…without a severance tax.
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Newspaper Editors Say Impact Fee Superior to Severance Tax in PA

It’s not every day you read an editorial in a prominent Pennsylvania newspaper lending a full-throated endorsement for PA’s impact fee over a so-called severance tax, but it just happened in Williamsport. The Sun-Gazette editorial board published a column pointing out the superiority of an impact fee (actually an impact tax) over a severance tax. They make some great points, pointing out the numbers speak for themselves…
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PA PUC Distributes $252M from Impact Tax – Highest Ever!

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Each June the Pennsylvania Public Utility Commission (PUC), the agency charged with keeping tabs on impact fee revenue from shale drillers (PA’s version of a severance tax) releases the final numbers of impact fee revenues and disbursements for the prior calendar year. Yesterday was the appointed day for 2018 fee revenue generated. The PUC reports impact fees on natural gas producers in 2018 totaled $242,964,000–the highest-ever yearly amount of revenue generated since the fee/tax was implemented in 2011. If you add in another $8,866,900 disbursed after a court case was settled about “stripper wells,” the total that was disbursed this year amounts to a whopping $251,830,900–a quarter of a billion dollars!
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WV Supreme Court Tweaks Shale Well Property Tax Calculation

Last Wednesday the West Virginia Supreme Court issued a consolidated opinion lumping together seven similar lawsuits filed by Antero Resources and CNX Resources against the WV state tax commissioner and the Doddridge County Commission. The lawsuits take issue with the way gas well valuations are calculated for property taxes.
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PA Severance Tax Bills Intro’d in House & Senate w/Strong Support

It looks like Pennsylvania Gov. Tom Wolf’s “promise them anything and everything” Santa Claus routine is working. We’re referring to Wolf’s so-called Restore PA plan that will provide (over a number of years) $4.5 BILLION worth of goodies to Pennsylvanians by slapping a Marcellus-killing severance tax on the already impact taxed shale industry. Legislation was introduced yesterday in the PA House to create Restore PA (House Bill 1585) and fund it with a severance tax, and we’ll be darned if there weren’t 99 House members who signed up to sponsor it (16 of them traitorous Republicans).
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PA Sen. Yaw Sees the Light – Doesn’t Support Severance Tax

Pennsylvania State Sen. Gene Yaw, Republican from Lycoming County, PA, seems to have changed his mind about a severance tax on Marcellus Shale production. The Marcellus Shale Coalition (MSC) visited Williamsport in Yaw’s home district yesterday. At a joint press conference to discuss the superiority of an impact fee to a severance tax, Yaw called those supporting a severance tax “bobbleheads.” Whoa, way to go Sen. Yaw! That’s a far cry from his vote in favor of a severance tax in 2017 (see PA Sen. Gene Yaw Defends Vote for Severance Tax).
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PA Republicans Push Alternative to Wolf’s Insane Severance Tax

In April MDN told you that Pennsylvania State Senators Camera Bartolotta (Washington County) and Pat Stefano (Fayette County) had beaten PA Gov. Tom Wolf at his own game by offering to pay for his so-called Restore PA plan, not by using a severance tax on shale production, but instead by allowing more shale drilling on PA state lands (see PA Senators Steal Wolf’s Thunder, Propose Drilling to Fund Goodies).
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PA Gov. Wolf & PGC Exposed: Hiking Trail Closed Over NatGas Tax

Yesterday MDN brought you the news that Pennsylvania Gov. Tom Wolf has sunk to a new low in his effort to slap a $4.5 billion severance tax on the Marcellus gas industry (see Gov. Wolf Holds Hiking Trail Hostage – Won’t Reopen w/o Sev. Tax). Wolf closed the scenic Glen Onoko Falls Trail (in Jim Thorpe, PA) on May 1, ostensibly because of safety issues. He refuses to reopen it unless he gets his tax. We now have evidence that closing the trail was a political stunt orchestrated by Wolf.
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Gov. Wolf Holds Hiking Trail Hostage – Won’t Reopen w/o Sev. Tax

Pennsylvania’s worst governor in a generation, Tom Wolf, continues his Santa Claus routine. Only this time with a twist…he’s become Bad Santa. Wolf has traipsed around the state for the past few months touting his so-called Restore PA program–a program that will fund all sorts of projects around the state–to the tune of a massive $4.5 billion. However, the only revenue source Wolf will consider to fund his Santa Claus giveaways is a Marcellus-killing severance tax.
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