The Pennsylvania Public Utility Commission (PUC) will release numbers today detailing which drillers have paid what amount in “impact fees” (PA’s version of a severance tax) for 2011. The newly enacted Act 13 drilling law in PA, passed in the spring of this year, calls for an impact fee on each new well drilled, beginning with wells drilled in 2011.
Read More “PA to Release Impact Fee Collection Numbers Today”
As of next week, the Pennsylvania Public Utility Commission (PUC) will know just how much money the new Act 13 drilling law will have generated for drilling that was initiated in 2011. The Act 13 law provides for an “impact fee” which is due payable by September 1.
Impact fee revenue will be used for a variety of reasons by local municipalities where drilling has occurred. In addition, 40% of the fees collected (in the spirit of compromise and American socialism) will be “spread around” to all 67 PA counties—the price of getting the legislation passed.
Read More “Final Numbers for 2011 PA Impact Fee Revenue Due Next Week”
Ohio Gov. John Kasich (a Republican) continues to get pushback on his plan to “spread the wealth around” by increasing taxes on the shale drilling industry and giving Ohio residents a cut in their state income tax. The pushback is now coming from conservative groups, including the National Taxpayers Union, Americans for Prosperity and Americans for Tax Reform.
Earlier this month, a tea party-backed group called Ohio Rising started circulating an anti-tax pledge among Ohio lawmakers against the Kasich plan.
Read More “Conservative Pushback for Gov. Kasich Drilling Tax Increase”
Ohio Gov. John Kasich has stated that an energy company executive told him (in 2010) that they would eventually recover $1 trillion worth of oil and gas from Ohio’s Utica Shale. Kasich has repeated that remark many times since then—using it as a justification for his plan to increase severance taxes in the state to spread some of that wealth around to all Ohioans.
The Associated Press takes aim at the $1 trillion claim (and at Kasich) with a new story saying Kasich and the unnamed energy exec are way off base:
Read More “AP Questions OH Gov’s Mathematical Skills on Utica Shale”
Ohio Gov. John Kasich, a conservative Republican, still sounds a lot like a liberal Democrat when it comes to taxing the drilling industry in his state. He has not given up on his idea to raise the severance tax rate on the infant Utica Shale drilling industry. His latest comments:
Read More “Gov. Kasich Still Determined to Raise Taxes on Utica Drilling”
Yesterday Ohio Gov. John Kasich signed new oil and gas legislation into law that will impact shale gas drilling in his state. For a summary of what’s in the new law, see this previous MDN story. Kasich said during the signing ceremony: "We were not going to develop shale gas at the expense of the environment…we have contained in this bill the most aggressive, clearest, fairest and strongest fracking regulations that you can find anywhere in the country." He later claimed that Ohio’s new law is, “the toughest law on fracking fluid in America.”
What happens next? Kasich has promised to return to pushing his plan to tax the shale drilling industry and pass along the proceeds as a small income tax cut to Ohioans:
Read More “OH Gov. Kasich Signs New Drilling Law – Now, Back to Taxes”
Some more details about how the tax break would work that Pennsylvania Gov. Tom Corbett is planning to offer Shell to build it’s ethane cracker plant in PA:
Read More “More Details about Proposed Ethane Cracker Tax Break”
A helpful (?) infographic in the Pittsburgh Post-Gazette shows the breakdown of where the new Marcellus Shale impact fee being collected in Pennsylvania will go, by county and by the townships within those counties.
Read More “Infographic Shows Impact of PA Marcellus Impact Fee”
Lest you think that MDN is just so much right-wing, Tea Party-spouting bilge when we make quips about the politics of drilling, we offer the following into evidence that our views and opinions are dead-on accurate.
Yesterday MDN wrote an article about the so-called Marcellus Compact, a set of six bills that have been introduced by left-wing PA Democrats in what MDN considers an attempt to have an issue to run on in the next election (see this MDN story). MDN pointed out the bills have no chance of passage.
It seems the left shares the same view as MDN about the Marcellus Compact. To wit:
Read More “PA Political Left Believes Marcellus Compact is DOA”
Yesterday MDN wrote a story about a newly released study by Ernest & Young that purports to show that Ohio’s oil and gas taxes are the lowest in the country, and would remain the lowest even if Gov. John Kasich’s plan to boost those taxes were to be adopted (see this MDN story). MDN stated that we could not find a copy of that study to review the data. Thanks to two intrepid MDN readers, we now have a copy (embedded below).
Read More “Ernst & Young’s Analysis of Ohio Proposed Severance Tax”
A new study released by the accounting firm Ernst & Young says that even if Ohio Gov. John Kasich gets his way and boosts the severance tax in the state on oil and gas drilling, Ohio’s severance tax rate would still be less than other states. Kasich wants to rob Peter to pay Paul, taking even more money from energy companies and landowners in the form of higher severance taxes in order to reduce the state income tax for everyone.
Apparently the Ohio Business Roundtable is in Kasich’s hip pocket because they are the ones who commissioned the study. This is the first time MDN has ever heard of a “business group” who wanted higher taxes.
Read More “New Study Says Ohio’s Gas Severance Tax Lowest, Even If…”
The Pennsylvania Public Utility Commission (PUC) yesterday finalized provisions of Act 13 of 2012 related to the collection and disbursement of the impact fee for unconventional natural gas well drilling. Known as Chapter 23 of Act 13, the PUC voted 5-0 to finalize the procedures they would use to implement, collect and distribute the impact fee. A copy of the “Chapter 23 Final Implementation Order” as adopted is embedded below.
Because of an active lawsuit by seven townships and others against zoning provisions in Act 13 (known as Chapter 33 of Act 13), the PUC delayed action on that section of the new law.
Read More “PA PUC Adopts Guidelines for Impact Fee Collection/Disbursement”
The price for drilling a Marcellus Shale gas well in Pennsylvania that “misses” and is not economically viable may have just gotten a lot steeper. It looks like the state Public Utility Commission (PUC), charged with collecting and distributing the new impact fee under Act 13, is going to levy the fee on exploratory wells that end up not being productive and plugged.
Read More “Unproductive PA Wells Still Liable for Partial Impact Fee”
It looks like a severance tax hike for drillers in Ohio won’t happen this year. Yesterday, the Ohio House passed a “sweeping package of spending and policy initiatives” from Ohio Gov. John Kasich. The one thing not among the package? Kasich’s proposal to hike the severance tax for Utica Shale oil and gas drillers.
Forgive the editorial smirk, but MDN always enjoys reading about the status of fracking in Maryland because Maryland is the only place even more dysfunctional than New York (MDN’s home turf) when it comes to the issue of hydraulic fracturing. The Maryland General Assembly meets in session for 90 days each year to pass new legislation. The session for 2012 has just ended and several bills dealing with hydraulic fracturing did not receive enough support to come to a vote.
Read More “Maryland Legislature Fails to Act on Fracking Bill”
A website MDN has previously highlighted, FrackTrack.org, has published an interactive map that helps Pennsylvania residents track whether or not their county and local municipality has voted to accept the recently passed impact fee law (screen shot below). The map includes a clock counting down to the final deadline. The first deadline under the new law is for counties, which was 60 days from when the measure passed. The second deadline is for municipalities, which is 60 days after that. Combining the two you get 120 days total, of which we now have 69 days left.
Read More “Online Map Shows How Much PA Towns Will Make from Impact Fee”