Potter County Natural Gas Task Force, Meeting Notes Sept. 8, 2009

General Discussion:

·  Ron Doughtie (Forestry Bureau) said there is little to report about gas production on state land. The state budget impasse has stalled activity.

·  Jim Clark discussed the recent Workforce Needs Assessment that is tied to Penn State. He cautioned that the forecasts of jobs and other economic impacts are tied in with 2008 data that may be outdated, as has been pointed out by Penn State’s Tim Kelsey.

Guest Speaker:

·  Jan Jarrett (CEO/President, PennFUTURE) discussed her organization’s positions. She described PennFUTURE as an environmental policy advocacy organization with a staff of 21 and five lawyers (pro bono). Jarrett listed concerns as the environmental impact of gas drilling on roads, forest fragmentation, bridges, air quality and water resources. She said Pennsylvania is ill-equipped to handle wastewater and there is a risk of chemical contamination and unacceptably high levels of total dissolved solids in public waters. PennFUTURE favors a severance tax on natural gas production in the state. Jarrett said that, by and large, the gas industry appears committed to responsible business practices. She said PennFUTURE recognizes and respects the industry’s potential economic impact, adding that now is the time for potentially serious issues, such as environmental risks, to be fully examined and regulations put in place to prevent damage when drilling and production increase.

·  Greg West (Gas Field Specialists/GFS) challenged some of her conclusions and described state regulations as strict. He pointed out that the gas industry’s impact on many roads is positive because they end up being rebuilt to a better condition than they were before the drilling, at no expense to the townships.

·  Bruce Sampson (Pennsylvania General Energy/PGE) noted that other industries receive tax incentives, such as Keystone Opportunity Zone tax relief, whereas PennFUTURE and some state lawmakers seek in increase taxes on the natural hgas industry.

Committee Reports:

Water Quality: Committee members were asked to investigate the water quality implications for shallow wells in Potter County at the same time they assess issues involving Marcellus shale gas production. Art Metzger asked the committee to look into how thoroughly frac water is treated prior to its discharge into public waterways. Concerns were also expressed about the impact of substantial water withdrawals during times of drought in areas not as well regulated as the Susquehanna River Basin.

Public Education: Committee members plan to communicate with area media to help make landowners aware of leasing opportunities and potential problems that could arise from lack of education. The committee also plans to establish a public website, linked to the county website, and to prepare articles to be submitted to area news media.

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Townships/Borough Impacts and Planning: Township governments would appreciate a system being in place to notify them of the location of gas drilling and related activities.

Public Safety/Law Enforcement: Pinpointing the location of wells is a lingering issue that should be addressed. The Commissioners may be advised to pass an ordinance requiring specific addresses; Lycoming County’s ordinance could serve as a model.

Employment and Training/Industry Technical Issues: Many steps are underway to help local residents qualify for gas industry jobs, and to assist businesses that could benefit from the industry’s growing presence. Potter County Education Council has been working with PGE and GFS to develop an inventory of jobs that will need to be filled and skills required. At the same time, the committee has reached out to area educational institutions to prepare for the greater demand for specialized training. Companies would prefer to hire locally.

The committee is planning a two-day "expo," 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.

Task Force members recommended that the Employment and Training/Industry Technical Issues Committee include high school guidance counselors in the planning process. Goal is to provide students in grades 9-12 with information on potential local employment opportunities in the natural gas industry and related fields.

Taxation: The committee has not yet organized.

Next Potter County Natural Gas Task Force meeting is Tuesday, Oct. 13, 7 pm at the Gunzburger Building.

Among those attending were: Pete Ryan, Charlotte Dietrich, Judy Bear, Curt Weinhold, Doug Morley, Paul Heimel, Susan Kefover, John McLaughlin, Jim Clark, Greg West, Bruce Sampson, Jim Hough, Todd Brown, Art Metzger, Tom Jacoby, Larry Hirst, Joe Gerhart, Neal Goodenough, Bob Volkmar, Pete Ryan, Ron Doughtie, Helene Nawrocki, Thad Stevens, Tom Jacoby, Larry Lauber, Mary Ann Heston and Jill Adami.