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Bradford County targeted for massive change

  • 64 Replies
  • 1392 Views
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macal

  • 10075
Re: Bradford County targeted for massive change
« Reply #30 on: February 10, 2019, 12:01:53 AM »

 Hell no. Yaw never said that. He wouldn't make it happen either Just for spite.

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riverrat

  • 1905
Re: Bradford County targeted for massive change
« Reply #31 on: February 10, 2019, 10:35:26 AM »
So your saying every time you pushed for a severance tax to pay bills & royalty owners wouldn't pay as per wolfie was just your usual know nothing bull   

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macal

  • 10075
Re: Bradford County targeted for massive change
« Reply #32 on: February 10, 2019, 10:45:17 AM »

  He said it. Have G do the research.

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ghrit

  • 3647
  • Member since October 05, 2008
Re: Bradford County targeted for massive change
« Reply #33 on: February 10, 2019, 12:04:31 PM »

  He said it. Have G do the research.
It's bradford.  It would take too much effort for me to care.  If you can't show your sources, well, there aren't any that are credible.  That would be consistent.

Your topic, your interest, your research.
« Last Edit: February 10, 2019, 12:13:55 PM by ghrit »
There are two kinds of ships.  Submarines and targets.
www.survivalmonkey.com

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macal

  • 10075
Re: Bradford County targeted for massive change
« Reply #34 on: February 10, 2019, 01:00:56 PM »


  Here it is boys.Now the Repulicans aren't on board. Shocking ???

   
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This July 27, 2011 file photo shows a farmhouse in the background framed by pipes connecting pumps where the hydraulic fracturing process in the Marcellus Shale was underway at a Range Resources site in Claysville, Pa.

Keith Srakocic / AP Photo

MARCH 22, 2018 | 09:00 PM
Report: Severance tax proposal could cost mineral owners millions
Marie Cusick   
FILE PHOTO: This 2011 file photo shows a farmhouse in the background framed by pipes connecting pumps where the hydraulic fracturing process in the Marcellus Shale layer to release natural gas was underway at a site in Claysville, Pa.
Keith Srakocic / AP Photo

FILE PHOTO: This 2011 file photo shows a farmhouse in the background framed by pipes connecting pumps where the hydraulic fracturing process in the Marcellus Shale layer to release natural gas was underway at a site in Claysville, Pa.
A new analysis published Thursday by Pennsylvania’s Independent Fiscal Office estimates mineral owners could wind up losing tens of millions of dollars in natural gas royalties if Governor Tom Wolf’s proposed severance tax becomes law.

The administration says the report has it wrong because it doesn’t take into account a key detail in Wolf’s proposal. On Friday, the IFO added a footnote acknowledging that detail, but it did not amend its report.

The calculation was requested by state Sen. Lisa Baker (R- Luzerne), who asked the IFO to examine how a potential severance tax could affect the post-production costs many landowners already see gas companies deducting from their monthly royalty checks.

“States that levy a natural gas gas severance tax allow those costs to be treated like a post-production cost,” IFO director Matthew Knittel wrote.

Post-production costs are the expenses of moving natural gas from the wellhead to the market. Some Pennsylvania landowners allege the costs are exorbitant and leave them with little to no royalty money. The controversy has spurred lawsuits and proposed legislation. Earlier this month, West Virginia passed a new law prohibiting gas and oil companies from deducting post-production expenses in certain types of leases.

Wolf’s severance tax proposal is based on volume, and varies depending on the price of natural gas. The IFO estimates it would bring in about $210 million in revenue next year, and $379 million in three years. The report projects $51 million could be withheld from mineral owners, in the third year.

Wolf spokesman J.J. Abbott disputed the analysis, noting the severance tax proposal the administration has circulated to the Legislature contains language explicitly prohibiting gas companies from deducting the severance tax from royalty payments.

In response, IFO director Matthew Knittel noted the language Abbott is citing is not publicly available. He said he relied on information contained in the executive budget, which was minimal.

“There’s nothing in the executive budget about how those [costs] would be handled,” said Knittel.

Abbott said such information is routinely provided to the IFO, upon request.

“It is surprising that they would not ask and only use limited information,” said Abbott.

The fiscal office’s footnote, added Friday, said the administration had provided language it said would bar companies from deducting the tax from royalties.

“If this language is enacted and can be enforced,” the fiscal office wrote, “it would imply that current landowners would be held harmless from any pass back of the new severance tax.” Looking ahead, it wrote, “it is possible that royalty rates for new leases could be reduced to reflect a portion of the new tax.”

Pennsylvania remains the only major gas-producing state in the country that does not tax production. Instead, it levies a per-well “impact fee.” Passing a severance tax on production has long been a major priority for Wolf, who calls it the “fairest and simplest” solution to the state’s budget woes.

The natural gas industry has lobbied hard against it. David Spigelmyer, president of the gas trade group, the Marcellus Shale Coalition, said the IFO report shows regular Pennsylvanians will feel the sting of a new tax.

“Lawmakers should heed this warning and focus instead on pro-growth policies that expand natural gas production and use,” said Spigelmyer.

In the report the IFO also attempted to calculate how much royalty money people in Pennsylvania’s top gas-producing counties have received. It is a difficult figure to pin down, because royalties are lumped in with rental, copyright, and patent income on state tax returns.

In Susquehanna, Washington, Bradford, Greene, Lycoming, Wyoming, Tioga, and Butler counties, the IFO estimates royalties shot up from $20 million in 2006 (before the Marcellus boom took off) to $919 million in 2012. The analysis finds royalties peaked at $1.6 billion in 2014 and have declined since then, hitting $639 million in 2016.

Note: This story has been updated with comments from the IFO and the governor’s office.

A previous version of this story incorrectly asserted that every state allows its severance tax to be passed back to landowners.

EXPLAINERS
Corrections and Clarifications
Pennsylvania's Independent Fiscal Offce
Shortchanged: the fight over gas royalties
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ABOUT STATEIMPACT PENNSYLVANIA
StateImpact Pennsylvania is a collaboration among WITF, WHYY, WESA, and The Allegheny Front. Reporters Marie Cusick, Reid Frazier, Susan Phillips, and Amy Sisk cover the commonwealth’s energy economy. Read their reports on this site, and hear them on public radio stations across Pennsylvania.

This collaborative project is funded, in part, through grants from the Corporation for Public Broadcasting, Wyncote Foundation, and William Penn Foundation.

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The Marcellus Shale, Explained
844
The Pennsylvania Guide to Hydraulic Fracturing, or "Fracking"
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DEP: The Department That Regulates and Oversees Drilling
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Delaware Watershed
322
Mariner East: A pipeline project plagued by mishaps and delays
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Pipelines: The new battleground over fracking
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Your guide to pipelines
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ABOUT STATEIMPACT PENNSYLVANIA
StateImpact Pennsylvania is a collaboration among WITF, WHYY, WESA, and The Allegheny Front. Reporters Marie Cusick, Reid Frazier, Susan Phillips, and Amy Sisk cover the commonwealth’s energy economy. Read their reports on this site, and hear them on public radio stations across Pennsylvania.

This collaborative project is funded, in part, through grants from the Corporation for Public Broadcasting, Wyncote Foundation, and William Penn Foundation.

STATEIMPACT PENNSYLVANIA TEAM
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riverrat

  • 1905
Re: Bradford County targeted for massive change
« Reply #35 on: February 10, 2019, 01:29:48 PM »
so it comes down to IF IT CAN BE INFORCED   will have to get tax before we know      sound familiar

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macal

  • 10075
Re: Bradford County targeted for massive change
« Reply #36 on: February 10, 2019, 03:45:34 PM »

  Never know if Yaw would go to bat for royalty owners.

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riverrat

  • 1905
Re: Bradford County targeted for massive change
« Reply #37 on: February 10, 2019, 05:12:55 PM »
Yaw can't rewrite law   neither can wolfie but he can lie & say royalty won't have to pay only to find out after bill is passed yes they will have to pay by law short of like YOU CAN KEEP YOUR DOCTOR     YOU CAN KEEP YOUR PLAN   

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macal

  • 10075
Re: Bradford County targeted for massive change
« Reply #38 on: February 10, 2019, 06:23:22 PM »

  Is there a law. I thought Yaw and Wolf made laws.

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riverrat

  • 1905
Re: Bradford County targeted for massive change
« Reply #39 on: February 10, 2019, 06:49:21 PM »
should have said contract

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ghrit

  • 3647
  • Member since October 05, 2008
Re: Bradford County targeted for massive change
« Reply #40 on: February 10, 2019, 06:56:25 PM »

  Is there a law. I thought Yaw and Wolf made laws.
That shows a serious lack of knowledge on your part, matty.  They may THINK they make law, but the don't.  They have obviously convinced YOU as well as the denizens of h-burg, philly, and allentown that their word IS law.  Geez.
There are two kinds of ships.  Submarines and targets.
www.survivalmonkey.com

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macal

  • 10075
Re: Bradford County targeted for massive change
« Reply #41 on: February 10, 2019, 07:39:32 PM »

  Why do they call them lawmakers then?

Re: Bradford County targeted for massive change
« Reply #42 on: February 11, 2019, 07:23:31 AM »
If this language is enacted and can be enforced,” the fiscal office wrote...

That line alone should tell you everything you need to know.  State officials know they can not rewrite legally executed contracts - it's nothing but a cash grab and f**k the rural hicks.

The impact fee is working perfectly well and exactly as was intended.  If they need more money downstate then someone needs to take the credit card away!

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JEB

  • 1499
Re: Bradford County targeted for massive change
« Reply #43 on: February 12, 2019, 07:27:10 AM »

  Why do they call them lawmakers then?
That term probably came about 50 years ago when most of those elected were honest. Today those in Washington seen to be there for what they can get and to hell with everyone one else.

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macal

  • 10075
Re: Bradford County targeted for massive change
« Reply #44 on: February 13, 2019, 08:59:52 AM »

  Many of the leases do say that severance tax will be deducted from royalty payments. These companies are smart. Knowing that the landowners would fight it. I think most companies would not take that deduction if the state made a law that royalty owners are exempt from the tax.
 Some companies ( Chesapeake ) might not. Simple solution to that would be to credit it back to the landowner when they do their taxes. It really doesn't affect the companies bottom line.