A Final Impact Fee In Place

Multiple news outlets are reporting a final Marcellus Shale impact fee bill is in place.
As the Pittsburgh Post-Gazette reports, the legislation splits the difference between impact fees previously passed by the House and Senate. Counties would have the power to enact a fee, but the state – through the Public Utility Commission – would oversee collection of the levy. Another major change: the PUC, not the Attorney General, would enforce restrictions on local zoning.
The House and Senate will likely vote on the measure this week, after it’s approved by a conference committee.

More from the PG:
– Counties can decide whether to impose a fee on shale wells within their boundaries. If they decline to opt in, a majority of municipalities can overrule that decision. (House version had counties decide, but had no municipal input.)
– The state Public Utility Commission will collect fee dollars from drillers and distribute the revenues. (as the Senate version proposed.)
– The fee will be based on five classes, according to the price of natural gas. Over 15 years, it would raise between $190,000 and $355,000 per well, depending on how gas prices rise and fall. It also would be subject to adjustments based on the consumer price index. (House version raised $160,000 per well over 10 years; Senate plan had $360,000 per well over 20 years.)
– Distribution of fee revenue appears similar to past versions — haven’t nailed down a final version, but confirmed one component: 5 percent of the state’s portion would be eligible to incentivize the creation of ethane cracker and refinery facilities. (Senate version added this provision; no funding in House version.)

Capitolwire and the Associated Press also have details on the legislation.

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