Severance Tax vs. Impact Fees On Natural Gas

tom-wolf-governor-pennsylvianaWNEP

By John Meyer

SUSQUEHANNA COUNTY — Governor Tom Wolf is traveling the state, promoting his plan to tax the natural gas industry to help pay for education, but counties and communities that already get a lot of cash from the state’s impact fee on natural gas fear the governor’s plan could take money from them.

We heard a lot concerns about the governor’s severance tax in Susquehanna County.

A severance tax versus an impact fee on natural gas: it’s a political debate now in Pennsylvania, and counties and communities counting on the impact fee currently in place fear Governor Tom Wolf’s plan to change that.

“If that money ends up in Philadelphia, Harrisburg, or Pittsburgh, it doesn’t do Susquehanna County any good and that’s a huge problem for us,” said Susquehanna County Commissioner Alan Hall.

Hall says the impact fee has helped that county eliminate all debt and fully fund pensions.

Several counties in our area got millions from the impact fee. Last year alone, Susquehanna County got $5 million.

Governor Wolf is pitching the severance tax to help pay for education. He says communities seeing all the drilling would get some help, but hasn’t given many details.

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