Vote on shale gas tax planned for next week
HARRISBURG — Pennsylvania's House majority leader said Friday that he plans to hold a vote next week on legislation to impose a tax on Marcellus Shale natural gas extraction.
Pennsylvania is the nation's largest natural-gas producing state that does not tax the gas extracted from its bedrock.
Rep. Todd Eachus, D-Luzerne, said he will press for a minimum tax of 39 cents per thousand cubic feet. He estimated it would collect more than $300 million in a full year — more than Gov. Ed Rendell has estimated his tax plan would collect.
Opponents have warned that a tax will cause drilling companies to move rigs, crews and investment elsewhere, but Eachus said that was fear-mongering designed to help the industry avoid paying its fair share.
"I believe you can have the economic activity and job creation, but also have an extra tax that brings back resources to protect clean water and communities where drilling is taking place," he said. "They haven't been mutually exclusive anywhere else in the country."
Some representatives of the natural gas industry say they are willing to pay a tax — just not nearly as high as the one being proposed by Eachus.
Eachus said he is still developing a plan on how to distribute the revenue. An amendment he filed in the House would direct 60 percent of the money into the state treasury to help ease a multibillion-dollar deficit that is expected in the next two years.
The rest would go toward communities, environmental protection and other purposes.
Eachus said he plans floor votes Tuesday on some 30 amendments and then a final vote Wednesday to send the bill to the Senate.
