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Friday, June 19, 2020

PA: Owlett Announces $15.4 Million in Natural Gas Impact Fees for Area Counties, Municipalities

HARRISBURG – State Rep. Clint Owlett (R-Tioga/Bradford/Potter) announced Thursday that nearly $15.4 million in impact fees from the natural gas drilling industry are coming back to the counties and municipalities in the 68th Legislative District.

“The impact fee plays a vital role in helping our communities address the impacts of drilling while also benefitting from the jobs the industry creates,” Owlett said. “I am pleased to see this funding coming back home instead of being doled out by Harrisburg.”

For the reporting year of 2019, natural gas producers paid more than $200 million in impact fees statewide, for a total of over $1.9 billion over the past nine years.

Impact fee revenues for 2019 resulted in the following disbursements in the 68th Legislative District: Bradford County will receive $4.85 million and Bradford County municipalities will receive $2.6 million; Potter County will receive $342,619 and Potter County municipalities will receive $29,551; Tioga County will receive $2.75 million and Tioga County municipalities will receive $4.8 million.

According to the Public Utility Commission (PUC), which is the state agency charged with collecting the fee, this year’s distribution is approximately $42.6 million lower than last year, primarily due to a drop in the average price of natural gas.

Under Act 13 of 2012, impact fees are collected from the drilling companies with 60% returned to counties and municipalities affected by drilling. The rest of the money goes into a Marcellus Shale Legacy Fund, a portion of which is provided to counties. The remaining funds are used by the state for emergency response planning, training and other activities; water, storm water, and sewer system construction and repair; infrastructure maintenance and repair; as well as statewide environmental initiatives.