Posts Tagged ‘Township Supervisor’

Proposed Lehman Twp. gas drill site contested

Residents challenge zoning permit in area “consistent with agricultural use.”

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

WILKES-BARRE – Some Luzerne County residents have taken legal action challenging the issuance of a zoning permit for a proposed natural gas well drilling site in Lehman Township.

Township residents Dr. Tom Jiunta, Brian and Jennifer Doran and Joseph Rutchauskas are objecting to township supervisors on April 13 granting Whitmar Exploration Co. and EnCana Oil & Gas a conditional use permit for placing a natural gas well on part of an approximately 120-acre site located at 100 Peaceful Valley Road owned by Russell W. Lansberry and Larry Lansberry.

A previous story incorrectly identified the well site as being in Lake Township on property on Soltis Road owned by Amy and Robert Salansky. There has been no appeal of a special-use permit that the Luzerne County Zoning Hearing Board approved for that site in May.

Attorney Jack Dean, of Elliott Greenleaf & Dean, filed a notice of appeal of the Lehman Township supervisors’ decision on Monday with the county Prothonotary’s Office on behalf of the objectors.

“There is no credible argument that this industrial use of gas drilling, with the massive disruption that it causes, is consistent with agricultural use, which is what the area is zoned, or with the character of the community,” Dean said.

According to the notice, the supervisors’ decision is contrary to the township zoning ordinance and constitutes an error of law or manifest abuse of discretion in that:

• Gas drilling on the property would jeopardize the community development objectives of the ordinance and adversely affect the health, safety and welfare of the public and the environment.

• Public services and facilities such as streets, sewage disposal, water, police and fire protection are not adequate for the proposed use.

• Existing and future streets and access to the site will not be adequate for emergency services, for avoiding undue congestion and for providing for the public safety and convenience of pedestrian and vehicular traffic, and unsafe and/or dangerous traffic conditions will result.

• The nature and intensity of the operation would not be compatible with adjoining development and the character of the zoning district.

• The proposed use would lower the value of nearby properties.

• The proposed use will be more objectionable in terms of noise, fumes, odors, vibration or lighting than other operations permitted in an agricultural district.

At an April 13 public hearing, which EnCana officials did not attend, the supervisors voted unanimously to approve the application if certain conditions were met, including posting bonds totaling $45,732 to maintain Firehouse and Peaceful Valley roads, keeping drilling-related traffic on Firehouse Road and state Route 118 and off Old Route 115, providing adequate insurance coverage for the township and that EnCana sign a legal agreement holding it to its commitment.

Supervisors Vice Chairman Ray Iwanowski made the motion to enact the ordinance and Chairman David Sutton and Supervisor Douglas Ide voted yes. For ethics reasons, only Iwanowski could make the motion; and neither Sutton nor Ide could participate in any questions about the vote or make the original motion because they have personal ties to gas drilling. Ide leased some of his own land for gas drilling, and Sutton consults property owners concerning drilling.

The Lansberry site likely would be EnCana’s third well site in the county if EnCana’s plans are not held up by the appeal. The company plans to begin drilling its first well in the county in July at a Fairmount Township site located off state Route 118 between Tripp and Mossville roads and owned by Edward Buda.

EnCana in May had received approval from the Luzerne County Zoning Hearing Board for a drilling site on property at 133 Soltis Road in Lake Township and owned by township Supervisor Amy Salansky and her husband, Paul.

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

Copyright: Times Leader

Gas well permit issuance contested

County residents challenge zoning permit for proposed Lehman Township drill site.

STEVE MOCARSKY smocarsky@timesleader.com

Editor’s note: A print version and a previous on-line version of this story erroneously identified the well site in question as being in Lake Township.

WILKES-BARRE – Some Luzerne County residents have taken legal action challenging the issuance of a zoning permit for a proposed natural gas well drilling site in Lehman Township.

Dr. Thomas Jiunta, a podiatrist from Lehman Township, confirmed late Monday that an attorney working on behalf of himself and other county residents whom he declined to name filed a notice of appeal of a conditional use permit issued in April by the township supervisors.

WhitMar Exploration Co. and EnCana Oil & Gas USA Inc. had sought a conditional-use permit to drill a natural gas well on part of a an approximately 120-acre site located at 100 Peaceful Valley Road and owned by Russell W. Lansberry and Larry Lansberry.

At an April 13 public hearing, which EnCana officials did not attend, the supervisors voted to approve the application if certain conditions were met: that EnCana put up $13,540 to maintain Firehouse Road through the total time it is used; EnCana put up $32,192 to maintain Peaceful Valley Road similarly; all traffic related to the drilling traverse on Firehouse Road toward state Route 118; no traffic will go on Old Route 115 in the township (near the school); EnCana provide adequate insurance coverage for the township, and that a legally binding agreement be signed by EnCana holding it to its commitment.

“There is no credible argument that this industrial use of gas drilling, with the massive disruption that it causes, is consistent with agricultural use, which is what the area is zoned, or with the character of the community,” said attorney Jack Dean, who is representing Jiunta and the others.

Wendy Wiedenbeck, public and community relations advisor for EnCana, did not immediately return a call seeking comment.

The Lansberry site would likely be the third well site in the county if EnCana’s plans are not held up by the appeal. The company plans to begin drilling in July at a Fairmount Township site located off state Route 118 between Tripp and Mossville roads and owned by Edward Buda.

EnCana in May had received approval from the Luzerne County Zoning Hearing Board for a drilling site on property at 133 Soltis Road in Lake Township and owned by township Supervisor Amy Salansky and her husband, Paul.

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

Copyright: Times Leader

New gas entry alters picture

People are wondering just what EnCana will bring to Marcellus Shale drilling.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

Edward Buda had been dealing with representatives of Whitmar Exploration Co. for about two years since he, his late brother and sister-in-law negotiated a lease with the company for natural gas drilling on their Fairmount Township property.

Crews clear the way Thursday along Route 118 in Lake Township for construction of a road to the Buda natural gas well to be drilled by EnCana Oil & Gas.

ENCANA FACTS

• Based in Calgary, Alberta, EnCana was formed in 2002 through the business combination of Alberta Energy Co. Ltd. and PanCanadian Energy Corp. It is one of North America’s leading natural gas producers with a land base of 15.6 million acres in North America.

• The company produces 3 billion cubic feet of natural gas per day and operates about 8,700 wells.

• EnCana operates in the United States through its subsidiary Encana Gas & Oil (USA) Inc., with its U.S. headquarters in Denver, Colo., and field offices in Denver, Texas, Wyoming and Louisiana.

• In addition to the Marcellus Shale, EnCana is active in four key natural gas resource plays: Jonah in southwest Wyoming; Piceance in northwest Colorado; and the East Texas and Fort Worth, Texas basins. The USA Division is also focused on the development of the Haynesville Shale play in Louisiana and Texas.

• EnCana Corp. reported sales of $11 billion in 2009. Its stock trades under the symbol ECA. It has traded between $27.56 and $63.19 per share in the past 52 weeks and closed Friday at $30.28.

Many area properties are leased for drilling

The list of Luzerne County properties leased for natural gas drilling is long – more than 1,000 just with EnCana Oil & Gas. Chesapeake Energy holds dozens more leases, although the company so far has not begun any drilling operations.

Work began last week on the site of Encana’s first exploratory well in Luzerne County, off Route 118 in Lake Township.

The Times Leader obtained drilling leases filed with the Luzerne County Recorder of Deeds as of last week. They range from slivers of land – less than one-tenth of an acre – to huge spreads of hundreds of acres. Most are with individuals, others with well-known organizations, such as the Irem Temple Country Club.

All of them are in the Back Mountain or other areas in the north and west parts of the county. Most of the land will never host a gas well but may be needed for access roads, equipment storage and to buffer drilling pads from neighbors.

The lists are in pdf format, sorted by municipality. Duplicate filing numbers were removed, but most properties show up twice because leases originally signed with Whitmar Exploration Co. have been assigned to EnCana. The lists can be searched by name using later versions of Adobe Reader, a free computer program.

Find the lists accompanying the main story under “Related Documents” at www.timesleader.com.

Now, there’s a new player in the mix, since Whitmar announced a partnership with EnCana Oil & Gas (USA) Inc. in November for a joint venture in drilling and development of the Marcellus Shale in Luzerne and Columbia counties.

Like others in the Back Mountain, Sweet Valley and Red Rock areas, Buda is a bit wary of the Denver-based energy company.

“We did business with Whitmar. How (Encana is) going to be, I don’t know. How they honor the contract, that’s to be seen. I still don’t know much about them,” said Buda, 75, who lives in Ross Township.

Buda’s brother Walter and Walter’s wife Eleanor signed a fairly simple three-page lease with Whitmar in February 2009, a month before Walter died. Eleanor passed away in November, Edward said, and he became the new lease holder just as EnCana came into the picture.

Now, EnCana wants to lease Edward’s property in Ross Township, but he isn’t too impressed with the $1,000-per-acre offer. And the 16-page lease proposal that has undergone many revisions is written in legalese, he said.

“They wanted to put a drill pad on my property (in Ross Township). I said I want to wait and see what happens in Red Rock (section of Fairmount Township). Everybody’s waiting to see whether it’s going to be a gusher or a fiasco in Red Rock,” Edward said.

Wendy Wiedenbeck, a public and community relations adviser for EnCana, said the well on Buda’s property and a second well planned for a Lake Township property owned by township Supervisor Amy Salansky and her husband, Paul, are exploratory ventures.

If those wells produce an acceptable amount of natural gas, EnCana will develop a plan for expanded drilling operations in the area, Wiedenbeck said. Drilling is expected to begin in July on Buda’s property and gas production should start by October. Clearing of an access road to the site began last week.

Company has won honors

For the past few months, Wiedenbeck has been the face of EnCana locally, arranging and attending meetings with people who live or own property within a mile of the planned drilling sites as well as attending meetings with local groups concerned about drilling activity in their communities.

A self-described “Army wife” with two sons – one in first grade, the other a senior in college, Wiedenbeck has lived in Colorado since 1989 and has been working in community/public relations since the early 1990s. She’s been with EnCana for five years.

“They’re a cultural fit for me. I believe they truly believe in responsible development,” Wiedenbeck said of her employer.

To prove her point, Wiedenbeck provided a long list of awards EnCana has received over the past few years. Just a few include:

• The 2008 U.S. Environmental Protection Agency Natural Gas STAR award, recognizing outstanding efforts to measure, report and reduce methane emissions;

• Interstate Oil & Gas Conservation Commission Chairman’s Stewardship Awards, recognizing exemplary efforts in environmental stewardship by the oil and natural gas industry;

• The 2009 Colorado Oil & Gas Conservation Commission Award for Courtesy Matters program in the Denver-Julesburg Basin surrounding Erie, Colo.

“Courtesy Matters” is EnCana’s community engagement program that brings EnCana staff and third-party contractors together with the community to discuss the nuisance issues associated with company operations,” Wiedenbeck said.

“Courtesy Matters creates a working environment where open and ongoing dialog are paramount. Discussions generally include concerns with traffic, noise and dust associated with our operations,” she said.

Community investment vital

Marty Ostholthoff, community development director for Erie, Colo., said in a teleconference that EnCana is one of four major energy companies drilling in the Denver-Julesburg Basin, the others being Noble Energy Inc., Kerr-McGee Corp. and Anadarko Petroleum Corp.

Fred Diehl, assistant town administrator in Erie, said he would be remiss if he didn’t point out “how far ahead of the other operators EnCana is” when it comes to community investment.

Diehl said he mentioned to Wiedenbeck that officials wanted to install solar panels on a new community center being built, and EnCana donated $250,000 to make that happen. A month ago, the company donated $175,000 for eco-friendly lighting at community ball fields.

“It’s not a requirement that they make notifications to our residents (about drilling activities or problems), but they do. It’s not a requirement that they make financial investments into our community, but they do,” Ostholthoff said.

Of course, there’s a downside to the presence of the drilling companies in the suburban area, which lies in one of the largest natural gas fields in the country, Diehl said.

“These things are still loud,” he said of the drilling rigs. “People come into our offices complaining, ‘We can’t sleep.’ But we worked with the operators to put up hay bales and cargo trailers to minimize the noise. The only good thing is, (the drilling is) temporary.”

As far as addressing concerns of residents, Diehl said all of the companies seem willing and responsive. “If they’re not, one of them can give the whole industry a black eye,” Diehl said.

Wiedenbeck said EnCana will have a toll-free number posted at its drilling sites that people can call to report concerns. Callers who choose the Pennsylvania prompt will be automatically directed to her office or cell phone. An operations phone number also will be established, she said.

And while EnCana will hire someone locally to help with community relations efforts, Wiedenbeck said she will continue to be “that face” for the community. She has spent about half her time in Pennsylvania since EnCana partnered with Whitmar, sometimes bringing her youngest son, Sammy, on trips here.

“He loves Pennsylvania,” she said.

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

Copyright: Times Leader

Zoners OK gas drilling in Lake Township

EnCana also allowed to put in gas metering station in Fairmount Township.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

WILKES-BARRE – The Luzerne County Zoning Hearing Board on Tuesday gave the go-ahead for a natural gas drilling operation on 6 acres of land in Lake Township and a natural gas metering station on 5 acres in Fairmount Township – under certain conditions.

EnCana Oil & Gas USA Inc. sought a 12-month temporary use permit to drill a gas well, have a water tank storage facility and park five personnel trailers on a part of a 49-acre site located at 133 Soltis Road and owned by township Supervisor Amy Salansky and her husband, Paul.

The company also sought a special exception to install a permanent wellhead on the site.

In a separate application, EnCana sought a use variance to operate a natural gas meter station within a 112-acre parcel near the intersection of Mossville and Hartman roads on property owned by Thomas and Caroline Raskiewicz, in Fairmount Township, as well as a height variance to erect an associated 150-foot radio tower on the site.

Following a presentation by EnCana regulatory adviser Brenda Listner and listening to testimony from seven members of the public who opposed the plan in a packed hearing room at the county courthouse, the board adjourned for an approximately 10-minute executive session to, according to Chairman Lawrence Newman, “discuss the conditions that would be placed on the special exception request.”

The board then voted unanimously to approve all of Encana’s requests subject to the company providing evidence of:

• Approved permits from the state Department of Environmental Protection, the Susquehanna River Basin Commission and any other mandated agency.

• Road bonding based on acceptable rates as designated by supervisors of the townships of Lake and Lehman.

• Appropriate sound controls as necessary to minimize noise.

• Light diffusion as required to divert light away from neighboring structures.

• A dust-control plan including evidence that no contaminated water or water used in the hydraulic fracturing (fracking) process would be used for dust control.

• A pollution preparedness contingency plan, an emergency response plan and other plans set forth in EnCana’s “best management practices” outlined in a memo from EnCana.

Prior to the vote, local activist Dr. Thomas Jiunta, led off a round of questions from the public. He had asked EnCana representatives if many of the plans addressed in EnCana’s best management practices were available for review.

Listner said they were still in the works or under discussion with township officials.

Jiunta wanted to know how emergency response times in the area would be addressed, given that some sections of road are 17 feet wide and the average width of fire trucks and trucks associated with drilling operations are an average of 9 feet wide. There is no room for a truck to pull off a road and yield to an emergency vehicle, he said.

Michelle Boice of Harveys Lake said she doesn’t think “there’s any emergency preparedness,” noting that there are no police or fire departments in Lake Township, and the community relies on state police and volunteers from other communities for coverage.

Copyright: Times Leader

Gas firm seeking special land uses

Parcels in Lake, Fairmount townships require county zoning approval.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

An energy company is seeking zoning approval to temporarily locate five personnel trailers and up to 192 water storage tanks capable of holding more than 4 million gallons on a 6-acre site in Lake Township.

IF YOU GO

The Luzerne County Zoning Hearing Board will hear testimony on applications from EnCana Oil & Gas for special land uses in Lake and Fairmount townships at 7 p.m. Tuesday, in the Commissioners Meeting Room at the Luzerne County Courthouse in Wilkes-Barre.

EnCana Oil & Gas USA Inc. also wants to temporarily place a sewage holding tank and a potable water tank for each trailer at the site, all to be used during the drilling of a well to extract natural gas from the Marcellus Shale formation thousands of feet below the Earth’s surface.

The Luzerne County Zoning Hearing Board on Tuesday will hear a presentation from EnCana in connection with the company’s application for a “temporary use” and a special exception to construct a permanent gas well head facility on the 49-acre property located at 133 Soltis Road and owned by township Supervisor Amy Salansky and her husband, Paul.

EnCana also is seeking a use variance to operate a natural gas meter station on 5 acres within a 112-acre parcel in Fairmount Township, as well as a height variance to erect an associated 150-foot radio tower on the site.

The meter station site, located at the intersection of Mossville and Hartman roads on property owned by Thomas and Caroline Raskiewicz, would be used to treat and compress natural gas from another well drilling site in Fairmount Township for which EnCana has already received county zoning approval. That drilling site, located off state Route 118 between Tripp and Mossville roads, is owned by Edward Buda.

The Salansky site in Lake Township is the third in the county on which EnCana plans to begin drilling for gas this summer. Earlier this month, the company received approval from Lehman Township supervisors to drill near Peaceful Valley Road on property owned by Russell and Larry Lansberry.

The Salansky and Buda sites required county zoning board approval because neither Lake Township nor Fairmount Township has zoning regulations.

Wendy Wiedenbeck, public and community relations advisor for EnCana, said the Buda site will be the first to be drilled. The target date for drilling to begin, known in the industry as the spud date, is July 1. Crews were to begin clearing an access road on Thursday.

Wiedenbeck said the spud date for the Salansky site is expected to be about a month after drilling begins at the Buda site. It takes about a month to drill a well, and the drilling equipment will be moved from one site to the next.

Plans for the Lansberry site are still under discussion, she said.

21,000-gallon tanks

According to a narrative that EnCana included in the zoning application for the Salansky site, the company will need about 6 million gallons of water for each well completion. Completing a well requires hydraulic fracturing (fracking), which is the process of injecting a mixture of water, sand and a small amount of chemical fluid additives into the wellbore under very high pressure to fracture the shale formation and release the natural gas.

EnCana estimates about 1.2 million gallons of flowback water will return to the surface.

Fresh water for the well completions will be stored in some of the 21,000-gallon “frac water” tanks, which are about 8 feet wide, 50 feet long and 13 feet tall. Some of the steel tanks also could be used to collect flowback water, which either will be treated and reused during a future well completion or hauled away and disposed of at a permitted wastewater facility.

EnCana plans to drill one well at each site using a truck-mounted drill rig. It would be drilled vertically about 7,000 to 8,000 feet deep and then horizontally about 5,000 to 7,000 feet.

During drilling operations, sites would have a drill rig, stockpiles of drill pipe and casing, a 60-by-160-foot reserve pit with an impermeable liner for collecting cuttings and fluid, mud shakers to separate the cuttings from the fluid, generators to provide power to the drill rig and office trailers that would be equipped with personnel sleeping quarters.

Drilling activities would occur around the clock for about four weeks and require on-site supervision 24 hours a day.

Main access roads to the Salansky site include Lehman Outlet, Hoover, Sholtis, Zosh, Ides, Meeker and Slocum roads and state Route 118. EnCana will work with supervisors of Lake and Lehman townships to complete a road assessment and provide appropriate bonding for the roads.

Meter site structures

Major structures at the Raskiewicz meter site in Fairmount Township, in addition to the radio tower, include two 40-by-40-foot buildings, about 20 feet tall, that would house compressor engines, and a 15-by-35-foot meter building about 12 feet high.

Also planned is a smaller air purification building.

Two 20-foot-tall storage tanks for condensate – liquids that fall out of the gas and settle at low points in the pipeline – also will be placed there, along with various other types of storage tanks, most about 10 feet tall. There also will be a dehydration unit, mainly composed of a vertical tank about 34 feet tall.

The facility will require a 1/2 acre where a 6-inch EnCana gas line will feed into the 24-inch transcontinental pipeline that already passes through the site underground, and another 1.5 acres for placement of EnCana treating and compression equipment. The additional 3 acres is for future expansion.

Main access roads to the site are state Route 118, Mossville Road and Hartman Road.

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

Copyright: Times Leader

Gas drilling has Back Mountain group concerned

Community partnership members worry about road deterioration, water supplies.

By Rebecca Briarbria@timesleader.com
Staff Writer

DALLAS TWP. – Lehman Township Supervisor Doug Ide informed members of the Back Mountain Community Partnership Thursday afternoon at Misericordia University about the latest natural gas drilling news in the area.

The BMCP is an inter-municipal group composed of Dallas, Franklin, Jackson, Kingston and Lehman townships and Dallas Borough.

Ide attended a public information session by EnCana Oil and Gas Tuesday at Lake-Lehman Junior/Senior High School. He and the other Lehman Township supervisors have also met with EnCana representatives.

Ide says he learned WhitMar Exploration Company has leased 24,000 acres of property in the northwestern part of Luzerne County, mainly on the north side of Route 118 in Fairmount, Ross, Lake and Lehman townships.

“The gas drilling is going to be here in the Back Mountain,” said Al Fox, BMCP president. “I thought it was quite alarming to hear the other day that 800 people signed up.”

According to Ide, EnCana, which will do the drilling, hopes to form two exploration wells in the county – one in Fairmount Township and one in Lehman Township – if they receive the required permits. The wells will prove whether there is natural gas in the area.

Ide says EnCana is willing to bond any road the township requests. Road deterioration and traffic from heavy trucks and machinery has been a common concern among the BMCP.

“We’re going to set some conditions on some roads we do not want traveled, specifically Old Route 115, Hillside Road,” Ide said.

BMCP officials decided to invite representatives from EnCana to speak at the group’s January meeting.

In February, the BMCP will invite back Brian Oram, a geologist and Wilkes University professor, to discuss what the municipalities should do to safeguard their drinking water and other issues related to drilling.

Oram spoke at the BMCP’s September meeting and briefly touched on water’s involvement in natural gas drilling.

In other news, the BMCP approved each member municipality to contribute $300 each to the group’s proposed 2010 operating budget. The budget is to cover general government administration costs.

Copyright: Times Leader

Concerns about drilling raised in Lake Township

Eileen Godin Times Leader Correspondent

LAKE TWP – Concerns over gas drilling and a nuisance property brought two different groups to Wednesday’s supervisors meeting.

Ron Kirkutis and others expressed concerns over possible air and water pollution caused by Marcellus Shale gas drilling.

Kirkutis said information he read revealed about 280 chemicals are used in the fluid the gas drilling companies use.

“Some chemicals are carcinogenic,” he said. “I have a newborn and a 3-year-old. What if that seeps into my well water?”

“I do not want to see a gas drilling operation going on next door,” he said.

Luzerne Conversation District member and Township Supervisor Amy Salansky said residents who lease their property should make sure the gas company is required to test the well water.

She also assured residents that no gas drilling permits have been issued in Lake Township.

Township Attorney Mark McNealis said the supervisors will not have much control over gas drilling.

“The supervisors do not oversee the zoning within the township. That falls under the Luzerne County zoning office, but talk to DEP (the state Department of Environmental Protection), talk to your agencies,” he said.

Also concerned with pollution, resident Leonard Ruotolo complained about a nuisance property.

Ruotolo along with residents Lewis and Edna Higgins, told the supervisors that William Harrison did not comply with the state DEP’s 45-day timeframe to clean up his property, and the situation is getting worst.

DEP issued a citation in August ordering Harrison to clean up three trash piles on his Tulip Road property.

The matter is now awaiting action by DEP’s compliance and legal teams.

McNealis said this is coming down to an enforcement matter. He said residents should contact the district attorney’s office and state Rep. Karen Boback, the county zoning office and the state police.

Copyright: Times Leader

Pa. action may affect gas drilling

Bill, 2 Supreme Court decisions could alter how operations are taxed, located.

By Rory Sweeneyrsweeney@timesleader.com
Staff Writer

Three recent state-level actions – a legislative bill and two state Supreme Court decisions – could affect how natural gas wells are sited and taxed. Earlier this week, state Rep. Bill DeWeese, D-Greene County, proposed a bill to tax underground gas deposits by adding their assessed values to property taxes. The driller would pay, and the tax revenue would, for the first year, be used to reduce the municipality’s millage to equal the previous year’s tax revenue. The millage – a dollar tax on every $1,000 of assessed property value – could be increased in subsequent years.

“If a municipality needs the same amount of money as last year, then yes, the millage would go down. But, the reality is they’re probably going to keep ours the same and get more money from them (the drillers),” said Marianne Rexer, a business professor at Wilkes University.

The bill is in response to a 2002 state Supreme Court decision that no law exists to tax natural gas, as there does to tax coal and other minerals.

Stephen Rhoads, president of the Pennsylvania Oil and Gas Association, said the tax wasn’t utilized by many counties before, and “it is a false hope that this is going to bring a revenue stream to counties and school districts any time soon.”

The state Supreme Court ruled in February on two western Pennsylvania cases regarding municipalities’ rights to restrict drilling.

In one case, the court found municipalities can’t control where drilling infrastructure is permitted, as that would interfere with regulations already promulgated in the state Oil and Gas Act.

But they can indicate in which zoning districts drilling may be allowed “in recognition of the unique expertise of municipal governing bodies to designate where different uses should be permitted in a manner that accounts for the community’s development objectives,” the court’s opinion states in the other case.

The ruling might not have much effect in the Northeastern Pennsylvania municipalities of interest to drillers. Many don’t have zoning ordinances, and others, such as Fairmount Township in northwest Luzerne County, want less restrictive ones.

Several landowners have sought drilling leases, township Supervisor David Keller said, and he has no interest in restricting their options. The township now yields to the county’s Planning and Zoning office, but Keller said the township is looking into writing its own zoning ordinance because “it would give us more leeway to let people do more with their property as they see fit.”

Copyright: Times Leader