According to a presentation created by the the Pennsylvania Public Utility Commission, the legislation, referred to as Act 13, amends Pennsylvania gas and oil legislation to include a fee for unconventional wells including Marcellus Shale drilling sites.
The presentation states that counties may impose fees if wells exist within its borders and have imposed an ordinance by April 16. Municipalities may also compel their county to adopt an ordinance if one has not been adopted by June 13.
Rosemary Chiavetta, secretary for the PUC, states in a Feb. 23 letter that the PUC is responsible for collecting, determining and disbursing impact fees. Additionally, she states that the PUC is responsible for reviewing local ordinances if requested by residents, owners of the wells, or municipalities.
The PUC plans to administer fees based on the following information.
(Impact Fee Formula and Schedule - Screenshot of PUC document)
According to the PUC presentation, the fees collected will be used to offset impact of drilling statewide with remaining funds to be given to municipalities and counties, receiving 60 percent of the remainder, and statewide initiatives receiving 40 percent.
(Penn State University map of Marcellus Shale drilling permits in Pennsylvania)
(Photo of Marcellus Shale Well - Taken from IUP's website)