Sen. Brewster, Rep. Davidson Introduce Governor’s Natural Gas Severance Tax Proposal

On Thursday, Sen. James Brewster (D-Allegheny) introduced Gov. Wolf’s natural gas severance tax proposal as Senate Bill 116 (sponsor summary).  Rep. Margo Davidson (D-Delaware) introduced the Governor’s proposal in the House-- House Bill 1142.

The legislation as introduced clarifies provisions related to the existing Act 13 drilling impact fee saying it would expire on January 1, 2016, but would set specific caps on allocations for local governments, environmental and other programs from revenue generated by the severance tax thereafter.

The legislation also maintains the $2.97 base minimum price of natural gas used to calculate the severance tax and a provision which hopes to void existing contracts landowners have that would make them responsible for paying a portion of the severance tax.

The Senate Environmental Resources and Energy Committee and Finance Committees have a hearing set for June 1 on this and other natural gas severance tax proposals now pending in the Senate.

Related Article:

Analysis: Where Is The Environmental Funding In Gov. Wolf’s Severance Tax?

NewsClips:

Changing Drilling Fee Structure Would Burden PA Counties

Coalition Voices Opposition To PA Natural Gas Taxes

Links In Natural Gas Supply Chain Worry About Severance Tax

Hunting, Fishing Gear Taxes Boosting Wildlife Conservation

Passage Of Pension, Property Tax Bills Sets Budget Table

House To Consider Budget Amendment Week Of June 1


5/18/2015

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