| |
|
| |
| THE GENERAL ASSEMBLY OF PENNSYLVANIA |
| |
| HOUSE BILL |
|
| |
| |
| INTRODUCED BY WHITE, CALTAGIRONE, HALUSKA, HORNAMAN, ROEBUCK AND SCAVELLO, JUNE 28, 2011 |
| |
| |
| REFERRED TO COMMITTEE ON ENVIRONMENTAL RESOURCES AND ENERGY, JUNE 28, 2011 |
| |
| |
| |
| AN ACT |
| |
1 | Amending Title 58 (Oil and Gas) of the Pennsylvania Consolidated |
2 | Statutes, imposing a natural gas impact fee. |
3 | The General Assembly of the Commonwealth of Pennsylvania |
4 | hereby enacts as follows: |
5 | Section 1. Title 58 of the Pennsylvania Consolidated |
6 | Statutes is amended by adding a part to read: |
7 | PART I |
8 | UNCONVENTIONAL GAS WELLS |
9 | Chapter |
10 | 23. Impact Fee |
11 | CHAPTER 23 |
12 | IMPACT FEE |
13 | Sec. |
14 | 2301. Definitions. |
15 | 2302. Shale Impact Fee. |
16 | 2303. Administration. |
17 | 2304. Well information. |
|
1 | 2305. Duties of department. |
2 | 2306. Meters. |
3 | 2307. Commission. |
4 | 2308. Enforcement. |
5 | 2309. Criminal penalties. |
6 | 2310. Criminal grading. |
7 | 2311. Enforcement orders. |
8 | 2312. Administrative penalties. |
9 | 2313. Regulations. |
10 | 2314. Recordkeeping. |
11 | 2315. Examinations. |
12 | 2316. Local distribution of fee. |
13 | 2317. Statewide environmental initiatives. |
14 | § 2301. Definitions. |
15 | The following words and phrases when used in this chapter |
16 | shall have the meanings given to them in this section unless the |
17 | context clearly indicates otherwise: |
18 | "Account." The Shale Impact Account. |
19 | "Average annual price of natural gas." The arithmetic mean |
20 | of the New York Mercantile Exchange (NYMEX) Henry Hub settled |
21 | price on the last trading day of each month of a calendar year |
22 | as reported by the Wall Street Journal for the 12-month period |
23 | ending December 31. |
24 | "Barrel." A barrel of 42 U.S. gallons of natural gas |
25 | liquids. |
26 | "Commission." The Pennsylvania Public Utility Commission. |
27 | "Department." The Department of Environmental Protection of |
28 | the Commonwealth. |
29 | "Eligible applicants." A county, municipality, council of |
30 | governments, watershed organization, institution of higher |
|
1 | education, nonprofit organization, Pennsylvania Fish and Boat |
2 | Commission or an authorized organization as defined in 27 |
3 | Pa.C.S. § 6103 (relating to definitions). |
4 | "Fee." The Shale Impact Fee imposed under section 2302 |
5 | (relating to Shale Impact Fee). |
6 | "Highway mileage." The number of miles of public roads and |
7 | streets most recently certified by the Department of |
8 | Transportation as eligible for distribution of liquid fuels |
9 | funds under the act of June 1, 1956 (1955 P.L.1944, No.655), |
10 | referred to as the Liquid Fuels Tax Municipal Allocation Law. |
11 | "Marginal gas well." An unconventional gas well capable of |
12 | severing more than 60,000 cubic feet of gas per day during a |
13 | calendar month, but incapable of severing more than 90,000 cubic |
14 | feet of gas per day during a calendar month, including |
15 | production from the zones and multilateral well bores at a |
16 | single well, regardless of whether the production is metered |
17 | separately. |
18 | "Municipality." A borough, city, town or township. |
19 | "Natural gas." A fossil fuel consisting of a mixture of |
20 | hydrocarbon gases, primarily methane, and possibly including |
21 | ethane, propane, butane, pentane, carbon dioxide, oxygen, |
22 | nitrogen and hydrogen sulfide and other gas species. The term |
23 | includes natural gas from oil fields known as associated gas or |
24 | casing head gas, natural gas fields known as nonassociated gas, |
25 | coal beds, shale beds and other formations. The term does not |
26 | include coal bed methane. |
27 | "Natural gas liquids." Hydrocarbons in natural gas which are |
28 | separated from the gas as liquids through the process of |
29 | absorption, condensation, adsorption or other methods in gas |
30 | processing of cycling plants. |
|
1 | "Number of producing unconventional wells." The most recent |
2 | numerical count of producing unconventional wells on the |
3 | inventory maintained and provided to the Pennsylvania Public |
4 | Utility Commission by the Department of Environmental Protection |
5 | as of the last day of each month. |
6 | "Price adjustment factor." One of a range of numerical |
7 | values used to compute the adjusted fee under section 2302 |
8 | (relating to Shale Impact Fee). The price adjustment factor |
9 | shall be determined as follows: |
10 | (1) If the average annual price of natural gas is less |
11 | than $5.01, the price adjustment factor shall be five. |
12 | (2) If the average annual price of natural gas is $5.01 |
13 | to $6.00, the price adjustment factor shall be equal to the |
14 | sum of the average annual price plus one. |
15 | (3) If the average annual price of natural gas is $6.01 |
16 | to $7.00, the price adjustment factor shall be equal to the |
17 | sum of the average annual price plus two. |
18 | (4) If the average annual price of natural gas is $7.01 |
19 | to $8.00, the price adjustment factor shall be equal to the |
20 | sum of the average annual price plus three. |
21 | (5) If the average annual price of natural gas is |
22 | greater than $8.00, the price adjustment factor shall be |
23 | equal to the sum of the average annual price plus five. |
24 | "Producer." A person or its subsidiary, affiliate or holding |
25 | company that holds a permit or other authorization to engage in |
26 | the business of severing natural gas for sale, profit or |
27 | commercial use from an unconventional well in this Commonwealth. |
28 | The term shall not include a producer that severs natural gas |
29 | from a site used to store natural gas that did not originate |
30 | from the site. |
|
1 | "Unconventional well." A bore hole drilled or being drilled |
2 | for the purpose of or to be used for producing oil or gas from a |
3 | geological formation existing below the base of the Elk |
4 | Sandstone or its geologic equivalent stratigraphic interval |
5 | where oil or gas generally cannot be produced at economic flow |
6 | rates or in economic volumes except by vertical or horizontal |
7 | well bores stimulated by hydraulic fracture treatments or by |
8 | using multilateral well bores or other techniques to expose more |
9 | of the formation of the well bore. |
10 | "Unit." |
11 | (1) A thousand cubic feet of natural gas measured at the |
12 | wellhead at a temperature of 60 degrees Fahrenheit and an |
13 | absolute pressure of 14.73 pounds per square inch in |
14 | accordance with American Gas Association Standards and |
15 | according to Boyle's Law for the measurement of gas under |
16 | varying pressures with deviations as follows: |
17 | (i) The average absolute atmospheric pressure shall |
18 | be assumed to be 14.4 pounds to the square inch, |
19 | regardless of elevation or location of point of delivery |
20 | above sea level or variations in atmospheric pressure |
21 | from time to time. |
22 | (ii) The temperature of the gas passing the meters |
23 | shall be determined by the continuous use of a recording |
24 | thermometer installed to properly record the temperature |
25 | of gas flowing through the meters. The arithmetic average |
26 | of the temperature recorded each 24-hour day shall be |
27 | used in computing gas volumes. If a recording thermometer |
28 | is not installed, or is installed and not operating |
29 | properly, an average flowing temperature of 60 degrees |
30 | Fahrenheit shall be used in computing gas volume. |
|
1 | (iii) The specific gravity of the gas shall be |
2 | determined annually by tests made by the use of an |
3 | Edwards of Acme gravity balance, or at intervals as |
4 | necessary. Specific gravity determinations shall be used |
5 | in computing gas volumes. |
6 | (iv) The deviation of the natural gas from Boyle's |
7 | Law shall be determined by annual tests or at other |
8 | shorter intervals as necessary. The apparatus and method |
9 | used in making the test shall be in accordance with |
10 | recommendations of the National Bureau of Standards or |
11 | Report No. 3 of the Gas Measurement Committee of the |
12 | American Gas Association. The results of the test shall |
13 | be used in computing the volume of gas delivered under |
14 | this chapter. |
15 | (2) In the case of natural gas produced in liquid form, |
16 | a unit shall be measured on a 1,000 cubic feet equivalent |
17 | basis, determined using the ratio of 6,000 cubic feet of |
18 | natural gas to one barrel of natural gas liquids. |
19 | "Vertical gas well." An unconventional well which begins as |
20 | a vertical linear bore and is not intentionally deviated from |
21 | the vertical. |
22 | "Volume adjustment factor." One of a range of numerical |
23 | values used to compute the adjusted fee under section 2302 |
24 | (relating to Shale Impact Fee). The volume adjustment factor |
25 | shall be determined as follows: |
26 | (1) If the annual units of production are less than |
27 | 21,901, the volume adjustment factor shall be zero. |
28 | (2) If the annual units of production are 21,901 to |
29 | 90,000, the volume adjustment factor shall be 0.2. |
30 | (3) If the annual units of production are 90,001 to |
|
1 | 180,000, the volume adjustment factor shall be 0.3. |
2 | (4) If the annual units of production are 180,001 to |
3 | 360,000, the volume adjustment factor is 0.4. |
4 | (5) If the annual units of production are 360,001 to |
5 | 750,000, the volume adjustment factor is 0.5. |
6 | (6) If the annual units of production are 750,001 to |
7 | 1,000,000, the volume adjustment factor is 0.6. |
8 | (7) If the annual units of production are 1,000,001 to |
9 | 1,350,000, the volume adjustment factor is 0.7. |
10 | (8) If the annual units of production are greater than |
11 | 1,350,001, the volume adjustment factor is 0.8. |
12 | § 2302. Shale Impact Fee. |
13 | (a) Imposition.--Beginning January 1, 2009, there shall be |
14 | imposed a Shale Impact Fee on each unconventional well producing |
15 | gas in this Commonwealth. |
16 | (b) Fee.--The fee shall consist of a base fee of $20,000 for |
17 | each unconventional well subject to the following adjustments: |
18 | (1) The fee shall be adjusted by multiplying the base |
19 | fee amount times the volume adjustment factor times the price |
20 | adjustment factor rounded to the nearest $100. |
21 | (2) If the natural gas severed from more than one |
22 | unconventional well is measured by a single wellhead meter, |
23 | the combined volumes of gas produced shall be divided by the |
24 | number of unconventional wells and each producer of an |
25 | unconventional well shall use this quotient in determining |
26 | its volume adjustment factor. |
27 | (3) The fee for a marginal gas well or vertical gas well |
28 | shall be $10,000 and shall not be subject to adjustment under |
29 | paragraph (1). |
30 | (4) The annual operation fee shall be $2,000 in addition |
|
1 | to the base fee for each unconventional well and shall not be |
2 | subject to adjustment under paragraph (1). |
3 | § 2303. Administration. |
4 | (a) Commission.--On or before January 31 of each year, the |
5 | commission shall calculate and determine the average annual |
6 | price of natural gas for the previous calendar year. |
7 | (b) Notice.--Notice of the average annual price shall be |
8 | provided to producers of unconventional wells and shall be |
9 | published on the commission's Internet website. |
10 | (c) Method.--If publication of the New York Mercantile |
11 | Exchange (NYMEX) Henry Hub settled price is discontinued, the |
12 | average annual price of natural gas then in effect shall not be |
13 | adjusted until a comparable method to determine the average |
14 | annual price of natural gas is adopted by commission rule. If |
15 | the base data of the NYMEX Henry Hub settled price is |
16 | substantially revised, the commission shall make appropriate |
17 | changes to ensure that the average annual price of natural gas |
18 | is reasonably consistent with the result that would have been |
19 | attained had the substantial revision not been made. |
20 | (d) Report.--By March 1, 2012, and each March 1 thereafter, |
21 | each producer shall submit a report and payment of the fee with |
22 | the commission on a form prescribed by the commission for the |
23 | previous calendar year. The report shall include the following: |
24 | (1) Annual units of production severed by the producer |
25 | for each unconventional well for the reporting period. |
26 | (2) The number of producing unconventional wells of a |
27 | producer in each county and municipality. |
28 | (e) Report and fee for 2009.--For calendar year 2009, a |
29 | report pursuant to subsection (d)(1) and (2) shall be filed by |
30 | August 1, 2011, and the fee due shall be paid as follows: |
|
1 | (1) Fifty percent of the fee shall be paid by August 1, |
2 | 2011. |
3 | (2) Fifty percent of the fee shall be paid by November |
4 | 1, 2011. |
5 | (f) Fee due date.--Except as provided under subsection |
6 | (e)(2), the fee shall be due on the day the report is required |
7 | to be filed. The fee shall become delinquent if not remitted to |
8 | the commission on the reporting date. |
9 | (g) Cost.--Beginning March 2, 2012, and each March 2 |
10 | thereafter, the commission shall determine the reasonable annual |
11 | cost to collect and distribute the fee in accordance with this |
12 | chapter and shall deduct that amount from the total amount of |
13 | fees collected under this chapter. On August 1, 2011, the amount |
14 | to collect and distribute the fee may be deducted from the total |
15 | amount of fees collected for 2009. Fees collected under this |
16 | section are hereby annually appropriated to the commission to |
17 | carry out its duties under this chapter. |
18 | § 2304. Well information. |
19 | (a) List.--The department shall provide the commission with |
20 | a list of all unconventional wells that have received a drilling |
21 | permit from the department. The list shall be updated on a |
22 | monthly basis. |
23 | (b) Updates.--A producer subject to the fee shall notify the |
24 | commission of the following within 30 days after a calendar |
25 | month in which the change occurs: |
26 | (1) The initiation of production at a well or the |
27 | removal of a well from production. |
28 | (2) The use of a different accredited laboratory to |
29 | issue a wellhead meter certification. |
30 | § 2305. Duties of department. |
|
1 | (a) Confirmation of payment.--Prior to issuing a permit to |
2 | drill an unconventional well in this Commonwealth, the |
3 | department shall determine whether the producer has paid all |
4 | fees owed under section 2302 (relating to Shale Impact Fee). |
5 | (b) Prohibition.--The department shall not issue a permit to |
6 | drill an unconventional well until all fees owed under section |
7 | 2302 that are not in dispute have been paid to the commission. |
8 | § 2306. Meters. |
9 | A producer who drills an unconventional well in this |
10 | Commonwealth shall provide and maintain a wellhead meter at the |
11 | unconventional well that is tested, calibrated and maintained in |
12 | accordance with industry standards approved by the commission. A |
13 | wellhead meter installed after the effective date of this |
14 | section shall be a digital meter. Wellhead meters shall not be |
15 | subject to 3 Pa.C.S. Ch. 41 (relating to weights and measures). |
16 | Multiple wells located on the same drilling pad may utilize the |
17 | same meter subject to section 2302(b)(2) (relating to Shale |
18 | Impact Fee). |
19 | § 2307. Commission. |
20 | (a) Powers.--The commission shall have the authority to make |
21 | all inquiries and determinations necessary to calculate and |
22 | collect the fee imposed under this chapter, including, if |
23 | applicable, interest and penalties. |
24 | (b) Notice.--If the commission determines that the fee has |
25 | not been paid in full, it may issue a notice of the amount due |
26 | and demand for payment and shall set forth the basis for the |
27 | determination. |
28 | (c) Address.--Notice of failure to pay the correct fee shall |
29 | be sent to the producer at its registered address via certified |
30 | mail. |
|
1 | (d) Time period.--The commission may challenge the amount of |
2 | a fee paid under this chapter within three years after the date |
3 | the report under section 2303(d) (relating to administration) is |
4 | filed. |
5 | (e) Intent.--If no report is filed or a producer files a |
6 | false or fraudulent return with the intent to evade the fee, an |
7 | assessment of the amount owed may be made at any time. |
8 | § 2308. Enforcement. |
9 | (a) Assessment.--The commission shall assess interest on any |
10 | delinquent fee at the rate prescribed under section 806 of the |
11 | act of April 9, 1929 (P.L.343, No.176), known as The Fiscal |
12 | Code. |
13 | (b) Penalty.--In addition to the interest under subsection |
14 | (a), if a producer fails to make timely payment of the fee, |
15 | there shall be added to the amount of the fee due a penalty of |
16 | 5% of the amount of the fee if failure to file a timely payment |
17 | is for not more than one month, with an additional 5% penalty |
18 | for each additional month, or fraction of a month, during which |
19 | the failure continues, not to exceed 25% in the aggregate. |
20 | (c) Timely payment.--If the commission determines that a |
21 | producer has not made a timely payment of the fee, the |
22 | commission shall send a written notice of the amount of the |
23 | deficiency to the producer within 30 days from the date of |
24 | determining the deficiency. If the producer has not provided a |
25 | complete and accurate statement of the volume of gas extracted |
26 | for the payment period, the commission may estimate the volume |
27 | in its deficiency notice. |
28 | (d) Remedies.--The remedies provided under this chapter are |
29 | in addition to any other remedies provided at law or in equity. |
30 | (e) Lien.--Fines, fees, interest and penalties shall be |
|
1 | collectible in the manner provided by law for the collection of |
2 | debts. If the producer liable to pay any amount neglects or |
3 | refuses to pay the amount after demand, the amount, together |
4 | with costs which may accrue, shall be a judgment in favor of the |
5 | Commonwealth upon the property of the producer, but only after |
6 | the judgment has been entered and docketed of record by the |
7 | prothonotary of the county where the property is situated. The |
8 | Commonwealth may transmit to the prothonotaries of the |
9 | respective counties certified copies of the judgments, and it |
10 | shall be the duty of each prothonotary to enter and docket the |
11 | same of record in his office and to index each judgment, without |
12 | requiring the payment of costs as a condition precedent to the |
13 | entry of the judgment. |
14 | (f) Noncompliance.--If an operator fails to make timely |
15 | payment of the fee, the department may suspend or refuse to |
16 | issue any permit of the operator until any balance owed has been |
17 | paid. |
18 | § 2309. Criminal penalties. |
19 | (a) Offense defined.--It shall be unlawful for any producer |
20 | to: |
21 | (1) Intentionally make or cause to be made a false or |
22 | fraudulent report under this chapter with the intent to |
23 | defraud the Commonwealth. |
24 | (2) Refuse to permit the commission or its authorized |
25 | agents to examine books, records or papers or hinder or |
26 | obstruct the commission in the performance of a duty under |
27 | this chapter. |
28 | (3) Violate 18 Pa.C.S. § 4903 (relating to false |
29 | swearing) or 4904 (relating to unsworn falsification to |
30 | authorities), including a violation in providing or preparing |
|
1 | information required by this chapter. |
2 | (4) Intentionally fail to make timely payment of the |
3 | fee. |
4 | (b) Probable cause.--If the commission believes that |
5 | probable cause of a violation under this section exists, the |
6 | commission shall refer the case to the Attorney General for |
7 | investigation. |
8 | § 2310. Criminal grading. |
9 | (a) Summary offense.--Except as set forth in subsection (b), |
10 | a producer that willfully violates this chapter or an order |
11 | issued under this chapter commits a summary offense and shall, |
12 | upon conviction, be sentenced to pay a fine of not less than |
13 | $100 nor more than $1,000 and costs or to a term of imprisonment |
14 | for not more than 30 days, or both. |
15 | (b) Misdemeanor offense.--A producer that commits a second |
16 | or subsequent violation of this chapter or an order of the |
17 | commission commits a misdemeanor and shall, upon conviction, be |
18 | sentenced to pay a fine of not less than $1,000 but not more |
19 | than $10,000 per day for each violation or to imprisonment for a |
20 | period of not more than one year, or both. |
21 | (c) Violations.--Each violation for each separate day and |
22 | each violation of this chapter or order issued under this |
23 | chapter shall constitute a separate offense under subsection (a) |
24 | or (b). |
25 | § 2311. Enforcement orders. |
26 | (a) Issuance.--The commission may issue an order as |
27 | necessary to enforce this chapter. An order issued under this |
28 | section shall take effect upon notice, unless the order |
29 | specifies otherwise. An appeal of the order must be in |
30 | accordance with 66 Pa.C.S. Ch. 3 Subch. B (relating to |
|
1 | investigations and hearings). |
2 | (b) Compliance.--A producer has the duty to proceed |
3 | diligently to comply with an order issued under subsection (a). |
4 | If a producer fails to proceed diligently or to comply with an |
5 | order within the time required, the producer shall be guilty of |
6 | contempt and shall be punished by the court in an appropriate |
7 | manner. The commission shall apply to the Commonwealth Court, |
8 | which shall have jurisdiction over matters relating to contempt. |
9 | § 2312. Administrative penalties. |
10 | (a) Civil penalties.--In addition to any other proceeding |
11 | authorized by law, the commission may assess a civil penalty |
12 | upon a producer for the violation of this chapter. In |
13 | determining the amount of the penalty, the commission shall |
14 | consider the willfulness of the violation and other relevant |
15 | factors. |
16 | (b) Separate offense.--Each violation for each separate day |
17 | and each violation of this chapter shall constitute a separate |
18 | offense. |
19 | (c) Limitation of actions.--Notwithstanding any limitation |
20 | in 42 Pa.C.S. Ch. 55 Subch. B (relating to civil actions and |
21 | proceedings), an action under this section must be brought |
22 | within three years of the violation. |
23 | (d) Procedure.--A penalty under this chapter is subject to |
24 | 66 Pa.C.S. Ch. 3 Subch. B (relating to investigations and |
25 | hearings). |
26 | § 2313. Regulations. |
27 | The commission shall promulgate regulations necessary to |
28 | enforce this chapter. |
29 | § 2314. Recordkeeping. |
30 | A producer liable for the fee imposed under this chapter |
|
1 | shall keep records, make reports and comply with regulations of |
2 | the commission. If necessary, the commission may require a |
3 | producer to make reports, render statements or keep records as |
4 | the commission deems sufficient to determine liability for the |
5 | fee. |
6 | § 2315. Examinations. |
7 | (a) Access.--The commission or its authorized agents or |
8 | representatives shall: |
9 | (1) Have access to the books, papers and records of any |
10 | producer in order to verify the accuracy and completeness of |
11 | a report filed or fee paid under this chapter. |
12 | (2) Require the preservation of all books, papers and |
13 | records for any period deemed proper not to exceed three |
14 | years from the end of the calendar year to which the records |
15 | relate. |
16 | (3) Examine any employee of a producer under oath |
17 | concerning the severing of natural gas subject to a fee or |
18 | any matter relating to the enforcement of this chapter. |
19 | (4) Compel the production of books, papers and records |
20 | and the attendance of all individuals who the commission |
21 | believes to have knowledge of relevant matters in accordance |
22 | with 66 Pa.C.S. (relating to public utilities). |
23 | (b) Unauthorized disclosure.--Any information obtained by |
24 | the commission as a result of any report, examination, |
25 | investigation or hearing under this chapter shall be |
26 | confidential, except for official purposes, in accordance with |
27 | judicial order or as otherwise provided by law. An individual |
28 | unlawfully divulging the information commits a misdemeanor and |
29 | shall, upon conviction, be sentenced to pay a fine or not more |
30 | than $1,000 and costs of prosecution or to imprisonment for not |
|
1 | more than one year, or both. |
2 | § 2316. Local distribution of fee. |
3 | (a) Establishment.--There is hereby established a restricted |
4 | receipts account to be known as the Shale Impact Account to be |
5 | administered by the commission. |
6 | (b) Deposit.--All fees imposed shall be deposited into the |
7 | account. |
8 | (c) Conservation districts.-- |
9 | (1) For 2010, $2,500,000 from the account shall be |
10 | distributed to county conservation districts. |
11 | (2) For 2011, $5,000,000 from the account shall be |
12 | distributed to county conservation districts. |
13 | (3) For 2012, and every year thereafter, $7,500,000 from |
14 | the account shall be distributed to county conservation |
15 | districts. |
16 | (4) Funds under paragraphs (1), (2) and (3) shall be |
17 | distributed in accordance with the following: |
18 | (i) One-half shall be distributed by dividing the |
19 | amount equally among conservation districts. |
20 | (ii) One-half shall be distributed using a formula |
21 | that divides the annual amount appropriated to each |
22 | county conservation district by the county from the |
23 | county general fund, special fund and grant sources by |
24 | the amount appropriated to county conservation districts |
25 | by counties from the county general fund, special fund |
26 | and grant sources and multiplying the resulting |
27 | percentage by the funds available. |
28 | (d) Distribution.--Following distribution under subsection |
29 | (c), 60% of the revenues remaining in the account are hereby |
30 | appropriated for the purposes authorized under this section. |
|
1 | Local governments are encouraged, where appropriate, to jointly |
2 | fund projects that cross jurisdictional lines. The commission |
3 | shall distribute the funds appropriated under this subsection as |
4 | follows within 45 days after the date the fee is remitted: |
5 | (1) Thirty-six percent shall be distributed to school |
6 | districts located in counties in which producing |
7 | unconventional gas wells are located. The amount available |
8 | for distribution in each county shall be determined using a |
9 | formula that divides the number of producing unconventional |
10 | gas wells in the county by the number of producing |
11 | unconventional gas wells in this Commonwealth and multiplies |
12 | the resulting percentage by the amount available for |
13 | distribution under this paragraph. The resulting amount |
14 | available for distribution in each county in which producing |
15 | unconventional gas wells are located shall be distributed in |
16 | equal amounts to each school district in the county |
17 | regardless of whether an unconventional gas well is located |
18 | in the school district. |
19 | (2) Thirty-seven percent shall be distributed to |
20 | municipalities in which producing unconventional gas wells |
21 | are located. The amount for each municipality shall be |
22 | determined using a formula that divides the number of |
23 | producing unconventional gas wells in the municipality by the |
24 | number of producing unconventional gas wells in this |
25 | Commonwealth and multiplies the resulting percentage by the |
26 | amount available for distribution under this paragraph. |
27 | (3) Twenty-seven percent shall be distributed to |
28 | municipalities located in a county in which producing |
29 | unconventional gas wells are located. The amount available |
30 | for distribution in each county shall be determined by |
|
1 | dividing the number of producing unconventional gas wells in |
2 | the county by the number of producing unconventional gas |
3 | wells in this Commonwealth and multiplying the resulting |
4 | percentage by the amount available for distribution under |
5 | this paragraph. The resulting amount available for |
6 | distribution in each county in which producing unconventional |
7 | gas wells are located shall be distributed to each |
8 | municipality in the county regardless of whether an |
9 | unconventional gas well is located in the municipality as |
10 | follows: |
11 | (i) One-half shall be distributed to each |
12 | municipality using a formula that divides the population |
13 | of the municipality within the county by the total |
14 | population of the county and multiplies the resulting |
15 | percentage by the amount available for distribution to |
16 | the county under this subparagraph. |
17 | (ii) One-half shall be distributed to each |
18 | municipality using a formula that divides the highway |
19 | mileage of the municipality within the county by the |
20 | total highway mileage of the county and multiplies the |
21 | resulting percentage by the amount available for |
22 | distribution to the county under this subparagraph. |
23 | (d.1) Distribution of operation fee revenues.-- |
24 | Notwithstanding the provisions of subsections (c) and (d), all |
25 | revenues collected under section 2302(b)(4) (relating to Shale |
26 | Impact Fee) from unconventional gas wells within a municipality |
27 | shall be distributed to the municipality in which the |
28 | unconventional gas wells are located. |
29 | (e) Use of funds.--A county or municipality receiving funds |
30 | under this section shall make use of funds received only for the |
|
1 | following purposes: |
2 | (1) Construction, reconstruction, maintenance and repair |
3 | of roadways, bridges and public infrastructure. |
4 | (2) Water, storm water and sewer systems, including |
5 | construction, reconstruction, maintenance and repair. |
6 | (3) Emergency preparedness and public safety, including |
7 | police and fire services. |
8 | (4) Environmental programs, including trails, parks and |
9 | recreation, open space, flood plain management, conservation |
10 | districts and agricultural preservation. |
11 | (5) Preservation and reclamation of surface and |
12 | subsurface waters and water supplies. |
13 | (6) Tax reductions, including homestead exclusions. |
14 | (7) Records management, geographic information systems |
15 | and information technology. |
16 | § 2317. Statewide environmental initiatives. |
17 | (a) Deposit and distribution.--Following distribution under |
18 | section 2316(c) (relating to local distribution of fee), 40% of |
19 | the revenues in the account are hereby appropriated for |
20 | distribution by the commission as follows: |
21 | (1) Eighty percent to the Commonwealth Financing |
22 | Authority to be utilized for grants to eligible applicants |
23 | for the following purposes: |
24 | (i) To implement acid mine drainage abatement and |
25 | cleanup efforts, mine reclamation and to plug abandoned |
26 | and orphaned oil and gas wells. |
27 | (ii) Grants for watershed protection as defined in |
28 | 27 Pa.C.S. § 6103 (relating to definitions). |
29 | (iii) Planning and enforcement authorized under |
30 | section 6 of the act of January 24, 1966 (1965 P.L.1535, |
|
1 | No.537), known as the Pennsylvania Sewage Facilities Act. |
2 | (iv) Water, storm water and sewer systems, including |
3 | construction, reconstruction, maintenance and repair. |
4 | (v) The planning, acquisition, development, |
5 | rehabilitation and repair of greenways, recreational |
6 | trails, open space, natural areas, community conservation |
7 | and beautification projects, community and heritage parks |
8 | and forest conservation. |
9 | (vi) Flood control and dam safety projects, |
10 | including the removal of dams where appropriate. |
11 | (2) Ten percent to the Growing Greener Bond Fund. |
12 | (3) Ten percent to the Hazardous Sites Cleanup Fund. |
13 | (b) Restriction on use of proceeds.-- |
14 | (1) Funds shall not be granted to an eligible applicant |
15 | for the purpose of public relations, outreach, communications |
16 | or lobbying. |
17 | (2) No property purchased using revenue generated under |
18 | this section may be conveyed or resold to another entity |
19 | without approval from the Department of Conservation and |
20 | Natural Resources. |
21 | (3) Grants may not be used by an authorized organization |
22 | as defined in 27 Pa.C.S. § 6103 for land acquisition unless |
23 | the authorized organization has obtained the written consent |
24 | of the county and municipality in which the land is situated. |
25 | (c) Coordination with other agencies.--The department and |
26 | the Department of Conservation and Natural Resources shall |
27 | review applications for funding as requested by the Commonwealth |
28 | Financing Authority and provide recommendations on priority of |
29 | projects and project approval for consideration by the |
30 | Commonwealth Financing Authority. |
|
1 | Section 2. This act shall take effect in 30 days. |
|