Pa. letting local governments tax gas drilling, but locals say bill cuts their land-use authority, and enviros worry about industry's lobbying of locals

The Pennsylvania Senate passed legislation this week establishing an "impact fee" or tax for natural-gas drillers. The bill would give local governments power to tax drillers and set development standards, and is a compromise two years in the making, reports Amy Worden of the Philadelphia Inquirer. Pennsylvania is the only state with gas drilling that doesn't tax the industry. Supporters say the bill will help the state take advantage of "a valuable revenue stream," but some local officials and environmentalists say it would eliminate local control over land use. It's set to pass in the House today, and Republican Gov. Tom Corbett has said he'll sign it into law. (Bloomberg photo: Pennsylvania gas drilling rig)

Revenue is estimated to be $190,000 to $355,000 per well over 15 years, and would be distributed by the state to communities most affected by the industry. Some would remain in state coffers for infrastructure and environmental programs, reports John Micek of The Morning Call in Allentown. A small share would likely be set aside to help develop a petrochemical refinery in the southwestern part of the state. The bill would give the state's Public Utility Commission power to collect and distribute fees and determine which local rules companies must follow.

That riled local officials, who say the bill would "eliminate their ability to decide where gas development could happen," taking away their control over municipal land, Micek reports. Democratic Sen. Lisa Boscola said she voted no on the bill because the fee wouldn't be levied by state government. "We're going to see a lot of these rural commissioners in the rural areas lobbied to death by the big gas companies," she said. "We're a commonwealth. We should do it." Environmentalists contend safety and environmental measures in the bill are weak, reports Sabrina Tavernise of The New York Times. A South Fayette Township commissioner said local governments had been "sold out to the gas industry." Environmental group Clean Water Action estimates that zoning laws in 100 to 200 municipalities would be in question.