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Rep. George Introduces Bills To Help Protect Land, Water, Gas Royalties
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Rep. Camille "Bud" George (D-Clearfield), Majority Chair of the House Environmental Resources and Energy Committee, this week said he will unveil two measures designed to protect the Commonwealth and landowners as gas drilling expands in Pennsylvania's Marcellus Shale deposit.

"Resource extraction will always entail risks, and Pennsylvania must keep pace with the extraordinary drilling boom being experienced across the state," said Rep. George. "The legislation being drafted seeks to mitigate the risks to our land and water and protect landowners' royalties in gas and oil leases."

Rep. George said he is seeking House cosponsors for his Land and Water Protection Act, which would reduce adverse environmental impacts from gas drilling. The legislation would:
-- Require the state Department of Environmental Protection to inspect Marcellus well sites during each drilling phase;
-- Extend to 2,500 feet, from 1,000 feet, the presumed liability of a well polluting a water supply;
-- Require full disclosure of the myriad of chemicals used in the hydraulic fracturing – fracking – of the natural gas from the earth;
-- Update bonding requirements to cover the costs of decommissioning a well; and
-- Clarify local governments' traditional authority to reasonably regulate oil and gas activities.

"To their credit, several of the top Marcellus gas drillers in Pennsylvania have already called for full disclosure of the potentially dangerous chemicals used in fracking," Rep. George said. "Increasing the rebuttable presumption liability would ease contention when water supplies are damaged, as in Susquehanna County."

The second measure being drafted by Rep. George, the Lessor's Royalty Protection Act, would protect landowners' royalties in oil and gas leases. Leases have prompted considerable litigation stemming from gas companies' attempt to deduct post-production expenses from royalties paid to landowners.

"The legislation would exclude all post-production expenses, which have been loosely defined to include processing, transportation and marketing costs, when calculating royalty payments," Rep. George said. "Pennsylvania's landowners deserve to receive the full value of their properties."

12/14/2009

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