Archive for the ‘Pennsylvania Natural Gas Drilling’ Category

Lehman Twp. fields shale, road question

CAMILLE FIOTI Times Leader Correspondent

LEHMAN TWP. – Supervisor Dave Sutton fielded questions from a resident Monday regarding expected truck traffic, especially on Route 118, from gas-drilling sites in the area.

Sutton said the township doesn’t have jurisdiction over Route 118 because it is a state road.

EnCana Oil & Gas USA, which plans to drill a vertical well in the Marcellus Shale off Peaceful Valley Road, as well as one in Lake Township, is working with emergency officials from both townships, as well as Lake-Lehman Junior/Senior High School, to work out a traffic plan, Sutton said.

In another matter, Supervisor Doug Ide said he is putting together a list of roads that need paving. He added that patch work is being done throughout the township.

Through an intermunicipal partnership, the township and Dallas Borough were able to purchase a paver and roller, with a state community development grant, and share paving projects.

“Neither of us could do it alone,” said Sutton. “But working together, we’ve been able to stretch our dollars further.”

The township saves 35 percent of paving costs by using township employees, he added.

The supervisors voted to approve the following temporary permits: Wilkes-Barre Triathlon to start and finish at Penn State, Lehman Campus on Aug. 22, pending receipt of insurance; Our Lady of Mount Carmel Church for a picnic to be held July 16-28; Royal TZ Car and Truck Show at Luzerne County Fairgrounds on May 29.

Copyright: Times Leader

Area races seeing little gas money

That situation could shift, says co-author of study of political donations.

By Andrew M. Sederaseder@timesleader.com
Times Leader Staff Writer

While natural gas companies and their related political action committees have given millions of dollars to elected officials throughout Pennsylvania since 2001, the donations have not flowed as heavily into the coffers of politicians serving Luzerne County.

One of the authors of a report that looked at the correlation of campaign contributions and legislation related to the natural gas drilling industry predicted they soon will.

A study released this week by the non-profit organization Pennsylvania Common Cause, takes a look at the link between gas firms and political donations and finds that since 2001, the industry has contributed $2.8 million to political candidates in Pennsylvania.

The study, titled “Deep Drilling, Deep Pockets” also reports that since 2007 the industry has spent $4.2 million to lobby members of the state legislature and the Rendell administration.

“I think part of the industry’s success is cultivating people at the very top,” said James Browning, director of development for Pennsylvania Common Cause and one of two men who put the report together.

The report includes a list of the top 25 recipients of the funding from Jan. 1, 2001 through April of 2010. At the top of the list is state Attorney General Tom Corbett, a Republican candidate for governor. He received $361,207, according to the report. Two previous gubernatorial candidates also made the list – Mike Fisher, who lost his bid in 2002, accepted $98,386, and Lynn Swan, who lost his bid in 2006, took in $351,263. Both men are Republicans.

Gov. Ed Rendell is sixth on the list. The Democrat from Philadelphia has accepted $84,100 in campaign contributions over the past nine and a third years. Current Democratic candidates for governor Dan Onorato, $59,300 and Jack Wagner, $44,550, ranked seventh and 10th respectively.

Others on the list include current and former judges, a former lieutenant governor, a candidate this year for that same post, a former candidate for the state House and numerous current members of the General Assembly.

Not one of the seven state House members or four state senators who represent Luzerne County made the top 25 list. In fact, according to records on the Department of State website and those provided by Pennsylvania Common Cause, campaigns for four of the seven House members did not receive one dime from the gas companies. The four are: Jim Wansacz, D-Old Forge; Phyllis Mundy, D-Kingston; Eddie Day Pashinski, D-Wilkes-Barre; and Mike Carroll, D-Avoca.

Rep. Karen Boback, R-Harveys Lake, accepted $250 from Chesapeake Energy Corp. Fed PAC on Oct. 9, 2009. Boback said that money was accepted by mistake and returned two months later. She said it is her policy “not to solicit or accept contributions from oil or gas companies.”

Rep. John Yudichak, D-Plymouth Twp., accepted $250 on April 10, 2008, from the PAC affiliated with Dominion Energy. Rep. Todd A. Eachus, D-Butler Township, accepted $500 from EQT Corp. PAC on July 2, 2009; $500 from EXCO Resources PAC on Oct. 20, 2008; and $250 from Equitable Resources, Inc. PAC on Sept. 30, 2008.

Of the four senators who represent a portion of Luzerne County, Bob Mellow, D-Peckville, took in the most at $3,000. That encompasses eight total donations, four from the Equitable Resources, Inc. Political Involvement Committee totaling $1,750 and four from the NFG PA PAC, affiliated with Seneca Resources, totaling $1,250. He declined comment through a spokeswoman, saying that he had not yet seen the report.

Sen. John Gordner, R-Berwick, accepted three donations of $500 from Dominion PAC. One came in 2004, another in 2006 and the third in 2008. His term does not expire for another two years.

Sen. Ray Musto, D-Pittston Township, accepted $500 from the Marathon Oil Co. Employees PAC on Oct. 20, 2008. Earlier this year, the veteran lawmaker announced he was retiring and not seeking another term in Harrisburg.

Sen. Lisa Baker, R-Lehman Township, accepted three donations at $500 apiece. One came from Cabot Oil and Gas on April 22, 2009; another was from EXCO Resources PAC on Nov. 19, 2008; and on April, 22, 2009, she accepted one from NFG PA PAC.

Browning said that as pressure from the public is placed on officials to tax the industry and approve more regulations, the elected officials at all levels of government, even those in non-leadership positions, will begin to see the money.

“I will predict that as there are more votes and as drilling expands, the money will come,” Browning said.

It will not head to Baker anymore.

The senator, who is seeking her second term in office this year, said, “Because of the sensitivity of the issues revolving around gas drilling, I am not asking for contributions from the gas drilling interests, nor am I accepting them.”

Barry Kauffman, executive director for Pennsylvania Common Cause, said the report illustrates the “power of political money in the governing process.” He said that as discussions about securing access to state forest land for drilling and severance taxes on natural gas production have popped up the past two years, lobbyist and campaign contribution spending have increased. The results have been no taxes have been approved and the state leased state land for drillers.

Baker said that she votes in response to her constituents, not her contributors.

“My legislative decision-making takes into account a variety of factors, but campaign contributions are never one of them. If anyone who contributes believes they are gaining special access or assuring a result, they will be sorely disappointed. That no-connection principle applies irrespective of the size of the contribution,” Baker said.

Andrew M. Seder, a Times Leader staff writer, may be reached at 570-829-7269.

Coyright: Times Leader

State tells drillers to follow the rules

State DEP chief talks about protecting water supplies in the Marcellus Shale areas.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

HARRISBURG – State Department of Environmental Protection Secretary John Hanger laid down the law to representatives of oil and gas companies drilling in the Marcellus Shale at a meeting he called on Thursday.

IF YOU GO

New proposed environmental regulations affecting the natural gas industry will be presented to the state Environmental Quality Board at the next meeting, which is at 9 a.m. Monday in Room 105 of the Rachel Carson Office Building, 400 Market St., Harrisburg.

More precisely, he laid out two sets of proposed regulations for natural gas drilling procedures and responding to reports of contamination of water supplies – proposed regulations that members of the oil and gas industry helped create.

“There were technical discussions on how to prevent gas migration from (natural gas) well sites to water wells and what to do if migration does occur and how to respond,” Hanger said in an interview from his cell phone as he was riding to Dimock after the meeting in Harrisburg.

Hanger was on his way to an interview with ABC News at the site of a natural gas well that Cabot Oil & Gas capped under DEP order after the regulatory agency determined it was one of three that leaked methane, contaminating the well water supplies of at least 14 households in the rural Susquehanna County village.

“I challenged the industry. … I made it clear that regulations would be enforced,” Hanger said, noting that DEP opened two new field offices in Northeastern Pennsylvania in response to Marcellus Shale development and is doubling its enforcement staff. “I also made it clear we were strengthening the rules,” he said.

DEP spokesman Tom Rathbun said in a separate interview that the new drilling regulations would require specific testing according to standards of the American National Standards Institute on steel casing used in all high-pressure oil and gas wells as well as the use of “oil-field grade” cement in well construction.

Rathbun said the oil and gas industry supports the implementation of those standards, and most companies already employ those practices under best-management practices. The goal is to have all companies comply, and Hanger asked the industry to voluntarily comply immediately, rather than wait until regulations receive all necessary approvals, which are expected in November.

Rathbun said the new regulations are “designed to prevent situations like the one in Dimock.” He said the issue there was incomplete casing – Cabot Oil & Gas didn’t use enough cement in the well construction.

DEP in April banned Cabot from drilling in Pennsylvania until it plugs the three wells determined to be leaking gas. Cabot has already paid a $240,000 fine and must pay $30,000 per month until the company meets its obligations.

Rathbun said one well is capped, and Cabot is currently working to cap a second.

He said most of the discussion at the meeting focused on responding to reports of gas migration into water sources.

Currently, the industry is required to report any suspected or confirmed occurrence of gas migration to DEP. The new regulations would require immediately reporting suspected or confirmed migration to DEP and to emergency responders for the affected municipality.

As chairman of the state Environmental Quality Board, Hanger on Monday will present those proposed regulations to the board for adoption. If approved, they will be sent to the House and the Senate Environmental Resources & Energy Committee.

Each legislative committee will have 30 days to review the proposed regulations before either recommending a vote or sending them to the Independent Regulatory Review Commission, which is composed of administrative law judges. A final approval is required from the state attorney general to ensure they are constitutional.

The whole process can take about six months.

Kathryn Klaber, president and executive director of the Marcellus Shale Coalition, which represents the natural gas production industry, said in a written statement that the coalition is “fully committed” to continue working with government regulators to ensure that the potential of the Marcellus Shale in the state is realized in a safe and responsible way.

“Today’s meeting with DEP represents yet another honest and straightforward discussion about the best practices needed to fully achieve this vision. Positive progress on practices relating to the management of historic and naturally occurring shallow gas, as well as other initiatives related to transparency and well integrity, will help our industry continue to strengthen its safety and environmental record while continuing to create tens of thousands of jobs each year for residents of this state,” Klaber said.

Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.

Copyright: Times Leader

State tells how to protect water quality

A Back Mountain workshop addresses potential problems with Marcellus Shale drilling.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

LEHMAN TWP. – Back Mountain residents who attended a workshop on “Natural Gas Drilling and Drinking Water” on Thursday received a mini education on how to protect their wells from potential contamination by migrating natural gas as well as what two regulator agencies are doing to protect state waterways from the same potential threat.

Contact the state Department of Environmental Protection at the following numbers with questions about water quality related to Marcellus Shale natural gas drilling and concerns about suspected contamination:
826-2300 – 8 a.m. to 4:30 p.m. weekdays
826-2511 – after-hours emergency and complaint number
321-6550 – Bureau of Oil & Gas East Regional Main Office
Call Bryan Swistock of the Penn State Cooperative Extension with questions about protecting water wells at 814-863-0194.

Bryan Swistock, a water resources extension associate from the Penn State Cooperative Extension, presented an hour-long talk about natural gas exploration in the Marcellus Shale formation, how problems with drilling operations could potentially affect drinking water supplies, and what residents can and should do to protect them.

The program was hosted by the Cooperative Extension, state Sen. Lisa Baker, state Rep. Karen Boback, Back Mountain Community Partnership, the Susquehanna River Basin Commission and the state Department of Environmental Protection.

Swistock said about 41 percent of all private drinking water wells fail at least one water quality test, so it’s smart to test one’s well water regularly even without the threat of natural gas from drilling wells migrating into them.

Swistock said energy companies are required to test all water supplies within 1,000 feet of a drilling site before drilling so they have a baseline to compare test results if there is suspected contamination of a water supply by drilling activity. Some companies, such as EnCana Oil and Gas, which is poised to begin drilling in the Back Mountain in July, test wells within 1 mile of a drill site.

Swistock said residents should make sure the person collecting water samples works for a state-accredited lab. He said he’s talked to several people who told them the person who took samples was the same person who negotiated a land lease with them.

For folks who live outside the area in which the energy company pays for testing but want to play it safe, he said a full round of tests can cost up to $1,000. However, testing for the most common elements associated with Marcellus Shale drilling – methane, chloride, barium and total dissolved solids (TDS) – costs only about $150.

Indicators of water problems include foaming or bubbling water or spurting faucets, salty or metallic tastes, changes in water color or odor and reductions in water quantity or flow.

Also making presentations on Thursday were Michael McDonnell, a water quality specialist with DEP, and Tom Beauduy, deputy director and counsel for the Susquehanna River Basin Commission.

Copyright: Times Leader

Gas exploration of state forest land has some concerned

Governor’s office announced this week a plan to allow Anadarko Petroleum to access 32,896 acres.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

Some state representatives are concerned about Gov. Ed Rendell’s decision to lease nearly 33,000 acres of state forest land to an energy company for natural gas exploration.

Rendell’s office on Tuesday announced that Anadarko Petroleum Corp. has paid the commonwealth $120 million to access 32,896 acres of state forest through a natural gas lease agreement with the state Department of Conservation and Natural Resources.

Prior to a presentation on the state Department of Environmental Protection’s role in regulating natural gas drilling that she attended Tuesday at Misericordia University, state Rep. Phyllis Mundy said she was disappointed to learn of the lease transaction.

“The areas that could responsibly be leased in state forests are already under lease. Why don’t they go ahead and drill there? We don’t need additional drilling, certainly not until we look into whether this is the really sensitive habitat that DCNR said it was when we discussed it,” Mundy, D-Kingston, said.

But Mundy later qualified her comments, saying they were dependent on whether leasing that acreage was previously factored as revenue in this year’s state budget. “I’m really not clear on what 32,000 acres that was,” she said.

Rendell’s press release on Tuesday did not clearly specify whether revenue from this most recent lease agreement had previously been factored into the state budget. DCNR had leased about 32,000 acres of state forest land to Anadarko in January for $128 million.

Mundy co-sponsored legislation to impose a moratorium on leasing state forest land for natural gas exploration. House Bill 2235 passed in the House and is before the state Senate.

State Rep. Karen Boback, R-Harveys Lake, who also attended the presentation at Misericordia and voted in favor of the moratorium, said she too had a problem with the lease if the revenue had not been previously included in the state budget.

Both representatives have been outspoken in their concern about potentially harmful effects of natural gas drilling on the environment and have been advocating for stronger laws and regulations to protect public heath and safety and drinking water supplies from potential contamination from gas drilling accidents.

DCNR Press Secretary Chris Novak said Wednesday the specific amount of acreage wasn’t included in this year’s budget or specified in Rendell’s 2010-11 proposal, but legislators had agreed during negotiations for this year’s budget that $180 million for the 2010-11 budget would come from oil and gas leases.

Novak said Rendell had a target of $60 million in revenue from leasing out the 32,000 acres of forest in January, but realized $128 million. That extra $68 million would be applied to the 2010-11 budget, she said.

DCNR also leased 74,000 acres of forest for natural gas exploration in September 2008. A total of 725,000 acres of the state’s 2.2 million acres of forest land has been leased for gas drilling, Novak said.

In addition to the up-front lease payments, which are considered rent for the first year of the leases, the state will receive 18 percent royalties on all natural gas produced on the land for the leases signed this month and in January. The royalty for the September 2008 lease is 16 percent.

Rent for the second through fifth years drops to $20 per acre and then increases to $35 per acre for year six and beyond, Novak said.

Novak said DCNR looked at whether important habitat for rare or endangered species and recreational use would be impacted when designing the leases. She said leases for each of the 11 tracts specify areas that cannot be disturbed by drilling.

She estimated that because of new horizontal drilling techniques and the fact that the newly leased land is surrounded by land that had been leased previously, only a minimal amount of newly leased land – probably about 300 acres total – will be impacted by drilling activities.

Anadarko spokesman Matt Carmichael would not estimate how much land would be disturbed because it was too early in the development phase.

“It’s our hope and desire to disturb as little surface area as possible,” Carmichael said.

Anadarko has drilled about 15 wells on state forest land to date, he said.

Novak said that prior to drilling activities and after the drilling is complete and wellheads are installed, the public will have full access to the leased land.

Mundy and Boback were not available for comment Wednesday after Novak responded to questions related to state budget revenue and the disturbance of sensitive state forest habitat.

Copyright: Times Leader

Chesapeake aims to raise $5 billion

By MURRAY EVANS Associated Press Writer

OKLAHOMA CITY — Chesapeake Energy Corp. said Monday it plans to raise about $5 billion over the next two years in an effort to expand its investment in oil and natural gas liquids and to reduce its debt.

Oklahoma City-based Chesapeake announced a “strategic and financial plan” that includes the sale of up to a 20 percent equity interest in its Chesapeake Appalachia LLC subsidiary to investors within the next three to 12 months. Chesapeake is a key driller in the Appalachian Basin, with 24 operating rigs in the Marcellus Shale natural gas play.

Chesapeake also announced a private placement of $600 million of a new series of convertible preferred stock to investors in Asia. The investors, Maju Investments (Mauritius) Pte Ltd. and Hampton Asset Holding Ltd., will have an option for up to $500 million more shares within the next 30 days.

Of the $5 billion to be raised, Chesapeake said it plans to use $3.5 billion to pay off its debt and $1.5 billion to focus on drilling for oil and natural gas liquids.

Chesapeake also is looking at negotiating various joint ventures as part of its plan, which the company said is ultimately designed to achieve an investment grade rating for its debt securities.

Chesapeake is one of the top independent natural gas producers in the U.S. but has gradually expanded its oil and natural gas liquids portfolio in recent months. Company spokesman Jim Gipson said natural gas accounted for about 90 percent of Chesapeake’s production in the first quarter of 2010, down from 93 percent a year ago.

Chesapeake’s CEO Aubrey McClendon has spoken in recent weeks about the company’s interest in expanding its oil and natural gas liquids production, noting that oil prices are rising while the cost of natural gas is stagnant. Crude oil rose $1.69 to $76.80 per barrel Monday on the New York Mercantile Exchange while natural gas rose 15.5 cents to $4.170 per 1,000 cubic feet.

In a production update issued last week, Chesapeake said it is trying to identify more supplies of oil and natural gas liquids.

Copyright: Times Leader

Worker dies after accident at drill site

Worker for subcontractor at Cabot site in Dimock Township was hit on head with a pipe.

The Associated Press

DIMOCK TWP. – A worker at a natural gas drilling site in Susquehanna County died Monday at Geisinger Wyoming Valley Medical Center after being hit on the head by a pipe.

The Luzerne County Coroner’s Office identified the victim as 41-year-old Gregory Walker. His death was ruled accidental. Coroner John Corcoran could not provide his hometown or any additional information.

Walker was working at a Cabot Oil & Gas Corp. drilling rig in Dimock Township, when he was hurt Monday. He was taken to a hospital in Montrose and then flown by helicopter to the hospital in Plains Township, where he died Monday. Cabot spokesman George Stark said Walker worked for a subcontractor.

Copyright: Times Leader

Rendell backs halt to gas leasing of Pa. forests

MARC LEVY Associated Press Writer

HARRISBURG — Gov. Ed Rendell says the cash-strapped state government is leasing more public forest land to a company that wants to drill for natural gas in the vast Marcellus Shale reserve.

As a result, Rendell said Tuesday he will support legislation to temporarily halt additional leasing of state forest land for gas drilling.

Rendell says Houston-based Anadarko Petroleum Corp. has agreed to pay Pennsylvania $120 million for the right to drill on 33,000 acres in northcentral Pennsylvania.

The company owns the rights to surrounding tracts. The additional land is considered “disturbed” because it has been leased for shallow gas drilling in previous decades, although no drilling is actively occurring.

Still, a bill to halt new leasing of state forest land for drilling appears unlikely to pass the Senate.

Copyright: Times Leader

Drilling safety steps detailed

Official lays out efforts to protect environment

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

DALLAS TWP. – The man in charge of ensuring the oil and gas industry complies with environmental regulations in Pennsylvania spoke at a well-attended Back Mountain presentation on Tuesday, informing the public about protections in place and what is being done to improve public safety.

State official Scott Perry told an audience at Misericordia about what’s being done to protect the environment from gas drilling.

Scott R. Perry, director of the state Department of Environmental Protection’s Bureau of Oil and Gas Management, provided an overview of how drilling into the Marcellus Shale formation differs from other forms of natural gas drilling and discussed the bureau’s current work and future plans to protect the environment.

Misericordia University President Michael MacDowell welcomed Perry to the school’s Lemmond Theater, and assistant professor Julie Kuhlken, who teaches environmental philosophy, moderated a question-and-answer session afterward.

Oil and gas drilling began in Pennsylvania in 1859, Perry said. But new technology that enables horizontal drilling into the 5,000- to 7,000-foot-deep Marcellus formation has brought to the state energy companies that have until recently focused their efforts in western states.

“One of the things we noticed is that people from Texas and Oklahoma aren’t really familiar with hills. Pennsylvania has them, and we also have rain, more so than Texas, and so there have been some struggles in developing these well sites,” Perry said.

Pennsylvania, he noted, is the only state that requires an approved erosion and sediment control plan before a drilling permit is issued.

In his computerized slide show, Perry showed a photo of an erosion-and-sediment control violation at a state drilling site. Controls on the main level were fine, but farther down a hill, a DEP inspector found “a bunch of hay bales” and “silt fence that’s not doing any good.”

“I asked the inspector who took this picture what he thought they were thinking. He said, ‘I think they were thinking I wasn’t going to walk down that hill,’ ” Perry said, eliciting laughter.

DEP forced the operator to put proper controls in place.

Perry noted the DEP hired 37 inspectors in 2009 and is hiring 68 more this year to nearly double the size of the inspection staff to 193. Three-fourths of those employees will oversee the oil and gas industry; higher permit fees pay for it all.

Perry said he believes there are adequate regulations in place to protect public health and safety and the environment, but he supports several provisions in proposed legislation, such as one that would increase bonding requirements for drilling companies.

Perry said DEP officials are “always evaluating” regulations, and when they’re inadequate “we’re strengthening them. … For example, we’re evaluating the permit requirements for air quality. … We’re not done with the evaluation and regulation process for this industry. They’re just getting started and so are we.”

Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.

Copyright: Times Leader

Drilling’s effect on ‘Clean and Green’ land uncertain

Bill would have rollback taxes assessed only on land impacted by wellhead permanently.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

Luzerne County Assessor’s Office Director Tony Alu still doesn’t know how Marcellus Shale development on land with “Clean and Green” designation will affect the land’s tax status.

“We don’t have a clear-cut plan yet. … I’m turning over every stone to get as much information as possible. We won’t be doing anything until I’m sure what our options are,” Alu said Monday.

Clean and Green is a program authorized by state law that allows land devoted to agricultural or forest use to be assessed at a value for that use rather than at fair market value.

The intent of the program, which is administered through county government, is to encourage property owners to retain their land in agricultural, open-space or forest-land use by providing real estate tax relief.

Property owners benefit through lower taxes as long as their land isn’t used for housing developments or other uses inconsistent with agricultural production, open-space or forest-land use.

If a property owner decided to use the land for a purpose inconsistent with the program, the landowner would have to pay “rollback taxes” – the difference between fair market value and use value of the land – for as many years as the property had been designated Clean and Green, up to a maximum of seven years.

Although it’s a state-authorized program, with maximum use values set annually for each county by the Department of Agriculture’s Bureau of Farmland Preservation, the bureau offers no guidance on how drilling for natural gas on a Clean and Green parcel would affect the tax status.

“The (state Farmland and Forest Land Assessment) Act is silent in that regard, so it’s left up to each individual county how to address it,” said bureau director Doug Wolfgang.

However, Wolfgang said, in March 2009, state Sen. Gene Yaw, R-Loyalsock Township, introduced a bill that would amend the act, allowing for natural gas drilling on Clean and Green land, with rollback taxes being assessed only on the portion of land that would be permanently impacted by a wellhead. State Sen. Lisa Baker, R-Lehman Township, was a co-sponsor of that bill.

Yaw represents Union and Sullivan counties and parts of Susquehanna, Bradford and Lycoming counties, which together boasted a total of about 200 natural gas wells by the end of last year.

The bill won Senate approval in February and is before the House for consideration.

Yaw has said the bill would provide counties across the state with “a consistent interpretation” to follow and would “help to prevent differing opinions on how many acres of roll-back taxes should be levied on landowners who have leased for natural gas development.”

He has said farmers and landowners need the bill to become law “so that there isn’t any confusion on how the Clean and Green Program operates.”

The bill also would exempt land with underground transmission or gathering lines from roll-back taxes and would allow for one lease for temporary pipe storage facilities for two years. Each property would have to be restored to its original use.

Regardless of whether the bill becomes law, Lake Township Supervisor Amy Salansky said neither she nor her husband, Paul, will have to pay rollback taxes on their Clean and Green land, on which EnCana Oil and Gas USA intends to drill a natural gas well in August. If county officials decide to assess rollback taxes, the lease with EnCana makes the energy company responsible for paying them.

Salansky noted neither she nor her husband own the mineral or gas rights to the land.

The couple bought the land after the owner died so they could farm it, but the owner had willed the mineral and gas rights to his nephew, who retained them in the sale.

The Salanskys are crop farmers, growing oats, corn and hay. They own and work more farmland nearby, Amy Salansky said.

Even if the entire 50-acre parcel is kicked out of the Clean and Green program, Salansky said she would reapply to have the parcel accepted back into the program, minus the 6 acres that would be used for the gas-drilling operations.

Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.

Copyright: Times Leader