Marcellus Shale

Senate Bill 1100 is one of the most hotly contested bills being offered up as legislation in the Pa House and Senate this year.  This bill, pertaining to the drilling for Marcellus Shale in Pennsylvania, would charge a $50,000 drilling fee for each new well, and then would decrease for each successive year that the well is in use.  Overall, the fee would generate $360,000 in revenue over 20 years.  This bill, sponsored by Republican Senator Scarnati, has received much heat from the left side of the aisle, because Democrats claim that the bill doesn’t charge enough, nor does it provide for sufficient environmental protection.  Republicans are hesitant to extract any more revenue from Marcellus Shale because they claim it will dampen business and hurt the economy.  In addition, Governor Corbett has put out a statement saying he will veto anything that has the faintest smell of a tax.  The bill passed the senate along party lines, and now is due for consideration in the House of Representatives.

Actual Text of the Bill - http://www.legis.state.pa.us/cfdocs/billinfo/billinfo.cfm?syear=2011&sind=0&body=S&type=B&bn=1100

Pennsylvania Policy and Budget Center Analysis - http://pennbpc.org/sb-1100-out-sync-most-energy-rich-states-0