Potter County Natural Gas Task Force, Meeting Notes Oct. 13, 2009

Guest Speaker:

Bob Hawley (Program Manager/DEP Bureau of Water Management) discussed state water quality laws and policies affecting natural gas drilling. There are four facilities permitted for treating water and about 60 applications pending for additional treatment plants. Hawley detailed DEP’s quality standards for water discharges, with a new standard to take effect Jan. 1, 2011, requiring the water to meet the same quality standards as drinking water. One of his biggest environmental concerns is the potential for illegal discharges. Hawley asked local governments, sportsmen and watershed groups to be on the lookout and report any infractions, particularly now that DEP faces reduced state funding. He forecasted that the amount of gas production will increase dramatically in the coming years.

Committee Reports:

Water Quality: John McLaughlin reported that the committee was looking into recent spills into waterways outside of Potter County to determine if similar incidents could be a threat locally. There are also concerns about the thoroughness of the treatment process at state-certified plants. Bob Hawley responded that the process involves dilution of total dissolved solids, air filtration and other techniques.

Public Education: Curt Weinhold said the committee plans to establish a public website, linked to a new county website, and to prepare articles to be submitted to the area news media.

Townships/Borough Impacts and Planning: Charlotte Dietrich presented a detailed forecast of challenges local communities could face if the Marcellus shale gas production follows patterns in other areas where there has been a rush on gas resources. She suggested that county and local officials work together in advance of the impending growth to manage it effectively.

Public Safety/Law Enforcement: John Hetrick said pinpointing the location of all wells is a concern. He said emergency services personnel are eager to prepare for any necessary responses to incidents at gas well sites. Some counties have passed ordinances requiring specific addresses so that wells can be properly plotted on maps for emergency responders, township supervisors and others. There was discussion of deriving this information from DEP through the permit application process.

Employment and Training/Industry Technical Issues: Helene Nawrocki reported that plans have been completed for the two-day "expo" March 17-18, 2010, during which gas companies and other businesses, as well as educational institutions, will meet with prospective employees and students. A separate program will be held to share information on opportunities for businesses which can benefit from the gas boom, including trucking companies, loggers, landscapers, retailers, rental property owners and others. She also reminded task force members of the webinars on business opportunities related to natural gas production, taking place weekly at the Potter County Education Council office in Coudersport.

Taxation: Joe Lewis pointed out that local taxation issues such as a proposed severance/production tax and restoring the real estate tax to mineral holdings are in the hands of state lawmakers, with county and municipal elected officials having little authority. Lewis also discussed a proposal to amend the Pa. Act 319, Farmland and Forest Land Assessment Act (“Clean and Green”) to allow property owners who are enrolled for preferential taxation to escape the roll-back on the entire parcel if they allow gas drilling. The proposed amendment would limit the property owner’s liability for rollback taxes to only the portion of land that is disturbed as a result of the development of the gas well.

Other Business

State Forest Land: More gas drilling is coming. Not only does legislation to support the state’s 2009-10 budget call for additional leasing of state land to energy companies for gas production, some firms that own subsurface rights on state forest and game lands are already drilling — or making plans to. Ron Doughtie (Pa. Bureau of Forestry) said his office is awaiting information from DCNR on how the increased leasing of state land will affect the Susquehannock State Forest.

Water Dogs: Some task force members have volunteered to serve as “Water Dogs,” monitoring water quality issues on Pine Creek is eastern Potter County and points east.

Next Potter County Natural Gas Task Force meeting is Tuesday, Nov. 10, 7 pm at the Gunzburger Building.