The Marcellus Shale Coalition (MSC) highlighted the benefits of the natural gas impact tax and spoke out against Gov. Tom Wolf’s proposed natural gas severance tax at a meeting of representatives from the MSC and the Williamsport/Lycoming Chamber of Commerce and other regional leaders.
The MSC noted that Pennsylvania’s impact tax is on track to generate approximately $1.7 billion since 2012 including a record $247 million this year. Nearly $400 million has stayed in 10-county Northeast Pennsylvania region since 2012, MSC said.
“Pennsylvania’s tax on natural gas – the impact tax – continues to directly benefit community programs, environmental initiatives, public safety improvements and road upgrades in all sixty-seven counties, with more than $71 million of those revenues staying right here in Lycoming County,” Marcellus Shale Coalition President David Spigelmyer said.
Natural gas impact tax revenues have been used for the Susquehanna River Walk, the Williamsport Area High School Stadium Project, Indian Park Nature Trail in Montoursville, Muncy Creek Streambank Restoration and Protection, the Grafius Run Watershed Project and other projects. Impact tax revenues have also funded acid mine treatment facilities, flood mitigation initiatives, and other similar infrastructure programs.
Wolf has proposed a severance tax on the natural gas industry to fund the Restore PA initiative, which would include projects related to high-speed internet access, storm preparedness and disaster recovery, energy infrastructure, revitalization, transportation and more.
“Governor Wolf’s proposal to triple-tax Pennsylvania’s energy industry will hurt our ability to compete for investment capital, cost Pennsylvania jobs and harm consumers through higher energy costs,” Spigelmyer said. “We are committed to working with elected officials on solutions to leverage our natural resource abundance for continued job growth, environmental progress and a brighter future for the entire Commonwealth.”
Williamsport/Lycoming Chamber of Commerce president/CEO Jason Fink highlighted the impacts of Marcellus Shale development and the potential impact of Wolf’s proposal.
“Development of the Marcellus Shale has spurred investment in Lycoming County and the surrounding region, bringing in hundreds of new businesses and generating thousands of good-paying jobs for our residents,” Williamsport/Lycoming Chamber of Commerce president/CEO Jason Fink said. “The impact tax is working for our community and for our region. The Governor’s proposal to add a tax on top of the existing Impact Tax would stifle the kind of investment interest that has been transformational for Lycoming County.”