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Pickett Reports More than $21 Million in Natural Gas Impact Fees to Benefit Local Area
6/21/2018
HARRISBURG – Local impact fee revenue – for both the three-county area and municipalities within the 110th District – calculated at more than $21.6 million will help with the effects of natural gas drilling in the Marcellus Shale, Rep. Tina Pickett (R-Bradford/Sullivan/Susquehanna) announced today.

Since the impact fee went into effect in 2012, nearly $165 million has allowed local and county governments to improve roads and bridges, enhance first response abilities, increase affordable housing options, stabilize streambanks and keep local taxes in check.

“Overall, impact fee revenue for our area slightly increased for 2017 production numbers – an amount that I believe is still quite impressive,” Pickett said, noting that Susquehanna and Bradford counties ranked second and third, respectively, in terms of revenue generated statewide. “Impact fee revenue is generated based on market price, production and the age of the well, and seven years after the fee was implemented, our area is still seeing its fair share to help with the impacts we face.”

Statewide, $209.6 million was generated for the 2017 production year, an increase of $36 million or about 21 percent, over last year’s amount. This revenue from Pennsylvania’s drilling activity is more than the drilling tax collected by the states of West Virginia, Ohio, Arkansas and Colorado combined, despite these four states producing more natural gas than Pennsylvania.

Over the past seven years, more than $1.4 billion in impact fees have been returned to communities across Pennsylvania, according to the Public Utility Commission (PUC), the agency charged with collection. Sixty percent of the total impact fee revenue is divided among municipalities with drilling activity, while the remaining 40 percent is collected for statewide uses. Local counties also see a share of that revenue.

The following impact fee revenue amounts were announced for the three counties and their eligible municipalities that are part of the 110th District:

•    Bradford -- $5.05 million to the county, and a total of $6 million for municipalities.
•    Sullivan -- $516,825 to the county, and a total of $874,356 for municipalities.
•    Susquehanna -- $5.9 million to the county, and a total of $3.2 million for municipalities. Springville and Auburn townships were listed as the fifth and seventh top municipalities for revenue, statewide. Read more here.

In addition, impact fee revenue that is directed to state government will help to enforce clean air and water statutes; plan for emergencies; develop, deliver and sustain training and grant programs for first responders; and help transition traditional fuel-powered vehicles to clean natural gas.

Checks are expected to be distributed in early July.

Representative Tina Pickett
110th District
Pennsylvania House of Representatives

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