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Post by pfsc on May 15, 2015 15:24:01 GMT -5
API STUDY: PROPOSED SEVERANCE TAX WOULD STIFLE NATURAL GAS INDUSTRY
By Kimberly Hess, PLS
5/7/2015
Associated Petroleum Industries of Pennsylvania (API-PA) today released a study of Gov. Tom Wolf’s proposed severance tax on natural gas extractions.
Stephanie Catarino Wissman, executive director API-PA, offered details on the report commissioned by API entitled “The Economic Impacts of the Proposed Natural Gas Severance Tax in Pennsylvania.”
Wissman offered an overview of the growth of the natural gas drilling industry in Pennsylvania over the past several years. As recorded by the Department of Environmental Protection, she said, “Pennsylvania continues to shatter the
commonwealth’s records in natural gas production, producing more natural gas each year. In 2014 Pennsylvania was among the top two states in the nation for natural gas production with four trillion cubic feet of natural gas produced, a 30 percent increase over 2013’s record production numbers.”
Further, Wissman pointed out that natural gas development supports hundreds of thousands of jobs in Pennsylvania, contributes $34.7 billion annually to the state economy and has boosted profits in more than 1,300 businesses of all sizes up and down the energy supply chain.
Discussing Gov. Wolf’s proposed severance tax, Wissman explained the report studied the possible impacts of the proposal, which would implement five percent levy on the gross market value of production plus 4.7 cent fee per thousand cubic feet produced.
She said the report warns investment and production losses as a result of the tax could cost “over $20 billion in value added or gross state product to the Pennsylvania economy from 2016 to 2025,” and mean 6,000 lost jobs in 2016 alone. That number, she went on, could touch 18,000 by 2025.
“Overall, this study confirms common sense and economic intuition,” Wissman contended. She called on lawmakers to reject the proposal, remarking, “Higher taxes mean driving development away from Pennsylvania, costing jobs and the loss of revenue that can pay for education, transportation, health care, and other state programs.”
Jeffrey Brand, senior economic advisory from API’s Washington, DC, office, briefly explained the study is based on price scenarios that were forecasted by the Energy Information Administration with and without the severance tax. He suggested the study is quite conservative and there would probably be a deeper impact because prices now are below the price cap in the bill. He said the study is strictly looking at how people operating in Pennsylvania behave based on increased cost in price.
Responding to a question about why Gov. Wolf is seeking a new tax structure if the current impact fee is working so well, Wissman reiterated the successes of the impact fee, much of which goes back to affected communities. She said Gov. Wolf’s campaign platform was to impose a severance tax because he believes the state is getting a bad deal from the industry. However, she argued, the governor is not accounting for the regular business taxes paid by the industry, which has exceeded $2.1 billion plus $630 million from the impact fee. Wissman noted the governor’s proposed severance tax is part of a larger budget tax package that would need legislative approval. She further suggested the oil and gas industry is often the target when the commonwealth is looking for dollars.
Wissman was asked if API would support any level of severance tax, but she said any additional tax could have a
detrimental effect on the industry. She pointed out natural gas prices are currently low while production is at an all-time
high and further decried singling out this industry with a new tax.
Wissman defended API’s stance that the governor is proposing to eliminate the current impact fee, explaining that Act
13 specifically provides that the impact fee be eliminated if a severance tax is imposed. She agreed Gov. Wolf has
proposed a local impact tax structure, but said it is capped at $225 million, of which only $123 million will be set aside
for local governments, and that revenue cannot grow even if prices rise.
She expressed hope that today’s study will help sway public opinion that the governor’s proposal is not in the best
interest of Pennsylvania. She said the industry has been a bright spot in a struggling economy and the study shows
such a tax would have a negative impact on that growth.
When asked if the industry will “come off looking like scrooges” because the governor has proposed dedicating the
funds to education, Wissman pointed out the money would be allocated to the General Fund and it would be up to
the legislature to decide how to fund programs. She also noted that there is little left in the governor’s proposal for
education funding - only about $123 million - after all the other obligations are met.
A member of the media asked if the governor is proposing a price fix on the price of natural gas. Wissman reiterated
the governor’s proposal imposes a five percent severance tax plus a fee of 4.7 cents per mcf. Additionally, the proposal
establishes an artificial price floor of $2.97, so no matter what the price of natural gas drillers will pay taxes on a rate
no lower than $2.97. Brand pointed out natural gas prices have been as low as $1.50 recently and thus they would be
paying nearly double the tax.
Speaking to the atmosphere in Harrisburg, Wissman confirmed the budget must be completed by June 30, though
that deadline is often missed, and said the governor is asking that his proposed budget package be considered as a
whole. The governor and legislative leaders have formed working groups on the different aspects of the budget, she
continued, but she was not aware that any substantive talks have taken place yet. Wissman reported that the proposed
package has not been well received by legislators.
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Post by Dutch on May 15, 2015 15:42:31 GMT -5
Hundred's of thousands of jobs........
Has a severance stifled the drilling in other states?
The low price of natural gas and oil is what stifles drilling.
Look at what is happening in the Bakken and everywhere else oil and gas are being drilled for.
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Post by Deleted on May 15, 2015 16:55:55 GMT -5
LOL!!! Yep, they're all going to leave PA and pay much higher transportation fees to supply natural gas, taxed at the wellheads further away, to the most highly populated heating areas of the nation - New England and the Mid-Atlantic.
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Post by Deleted on May 15, 2015 17:51:39 GMT -5
When you have a tactical advantage you MUST use it or else be prepared to lose the battle!
If things were as great as API-PA would have us believe, the Commonwealth of PA would be in a much better financial condition as are other statistically equal energy producing states.
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Post by buzz on May 15, 2015 20:47:02 GMT -5
Hundred's of thousands of jobs........ Has a severance stifled the drilling in other states? The low price of natural gas and oil is what stifles drilling. Look at what is happening in the Bakken and everywhere else oil and gas are being drilled for. True, but the NG business will bring their money to the sand box that pays them the best NET PROFIT..........Throw a big ol tax on Pa gas, and watch what sand box they play in when times are tuff. Will they eventually come back......yep.........but only when prices get high enough that they can absorb the tax............
Question is.......when is that day??? Do we need some money and help with jobs on a even keel through a lot of years? Or should we just be greedy and tax the shi% out of them should they drill a well when prices are high enough ?
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Post by bawanajim on May 15, 2015 21:00:01 GMT -5
For all of those folks who are out promoting taxing one industry over another, remember as long as you work for uncle sam, the rest of us will keep paying you to do what you call living.
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Post by Deleted on May 15, 2015 23:11:02 GMT -5
Buzz, It's a world economy now and NG prices are driven by the market. Extraction taxes are only a single part of the cost of delivering NG to the customer. The energy companies (read API-PA) are going to fight to make the biggest profit they can. I, as an investor, understand that. As a matter of fact, I hold significant investments in energy corporations doing business in PA. The truth of the issue is that PA sits in a very pretty position as far as the NG industry is concerned. The costs of transporting NG produced in PA to the largest markets in the U.S. and the world, through LNG, is minimal due to the proximity of the producing fields to the marketplace and facilities (LNG) being constructed! Every major energy producing state has an extraction tax. Any energy corporation who would leave PA due to an extraction tax being implemented isn't worth investing in!
JMHO!
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Post by Deleted on May 15, 2015 23:38:22 GMT -5
For all of those folks who are out promoting taxing one industry over another, remember as long as you work for uncle sam, the rest of us will keep paying you to do what you call living. I work for myself and none of you give a damn about how much capital gain/income taxes I pay for my efforts! In my eyes, my investing is an job. I supply capital to businessmen who invest it in their corporations. Their corporations pay employees to do jobs. Hopefully, the jobs they perform lead to the corporations making a profit, part of which is returned to me as a shareholder in the form of dividends and increasing share prices. Energy stocks, all of which have a play in PA, are a major part of my portfolio. I would fully expect all of those companies to keep their PA plays active even if an extraction tax were implemented. Right now, every major energy producing state other than PA has an extraction tax on petroleum products. As such, we, the citizens of PA, are paying a portion of our energy costs, in the form of extraction taxes, to every petroleum producing state except PA through increased costs on the market price, while we collect none. Why?
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Post by Dutch on May 16, 2015 3:24:39 GMT -5
Of course API in PA is going to put out all the exaggerations it can to make a case against the severance tax, just like the opposite side will exaggerate on their end.
When you see an industry fact sheet come out, no matter the industry, you can be assured it will not contain facts.
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Post by galthatfishes on May 16, 2015 6:21:05 GMT -5
So, the drillers tell their investors one thing - about monster wells and soaring revenues - and they tell PA legislators another - that a severance tax will make them leave their monster wells and soaring revenues. thirdandstate.org/2015/may/monster-wells-and-soaring-revenuesMONSTER WELLS AND SOARING REVENUES Posted by Jan Jarrett on May 14, 2015 1:59 pm Posted in: Education Marcellus Shale Property Taxes State Budget and Taxes There’s wonderful news coming out of Pennsylvania’s gas fields, if you’re an investor. Range Resources is boasting about its “monster wells” that are breaking all records for production. "We believe we've captured a large position with stacked pay potential in the best rock in the basin," gushed Range COO Ray Walker. (Stacked pay potential refers to the potential to extract gas from a single well at multiple depths, in this case from the Marcellus Shale and the much deeper Utica Shale). Meanwhile, Cabot Oil and Gas beat its revenue estimates by $47.52 million as its high producing, low-cost Marcellus Shale wells pumped out almost 480 billion cubic feet of gas this year. And to gild the lily, the drillers paid no severance tax on Pennsylvania gas like they did in every other state in which they operate. But the news isn’t so good for Pennsylvania taxpayers who are still reeling from huge state funding cuts to public education that resulted in the loss of 27,000 jobs, and slashed classroom and extracurricular programs. Local school districts were forced to raise hated property taxes, so homeowners ended up paying higher taxes for less education. Governor Wolf has proposed a severance tax on natural gas production similar to the one in place in neighboring West Virginia that would generate enough revenue to restore the cuts public schools have endured. Revenue from increases in sales and personal income taxes would be used to lower property tax bills, dramatically lower for some homeowners. Not surprisingly, the gas drillers are saying a severance tax will drive them out of Pennsylvania. They would have us believe that they will leave their monster wells in the best rock in the basin to go drill in another state that already has a severance tax. Pennsylvanians aren’t buying that threat, and neither should members of the General Assembly. For a PBPC review of the research literature, which finds that severance taxes do not have a substantial impact on how much drilling happens in a state, see Responsible Growth: Protecting the Public Interest with a Natural Gas Severance Tax. |
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Post by buzz on May 16, 2015 7:07:37 GMT -5
When was the last year schools didn't raise taxes? I don't believe the fact that our pension system is totally out of control is the fault of the gas business, and don't believe they should be forced to fund it. Maybe our brilliant new gov should fix the problem instead of finding a new goat to pay ..........
As I said earlier, putting a tax on them will effect their bottom line........that is a fact. They will allocate there available spending cash to the areas that supply the best return for money spent.........NET PROFIT.
I am not saying they will leave Pa because of it, but it will effect how much money they spend here when gas prices are low. They will spend their money in the sandbox that gives them the best return in current markets? Adding a severance tax will change that "net" profit line.
Bluemarsher, I get that as a investor, you understand the need for a company to make a profit for their stock holders. But targeting one business, and telling them we need them to pay 5% tax to help fund our out of control teacher pensions! is simply not right? What if we went to the teachers and polititions and told them we needed to take 5% of their pay check each week to help fund the gas business in Pa, all the jobs it creates, and becoming more energy independent...........think they would be good with coughing up the 5% of their pay ?
Trust me, I would love to see property taxes lowered, as I get dam tired of that bill like all others who get them! But to fix the problem, we need to stop the bleeding, not just keep looking for new sources of blood.
How did that whole gambling revenue .....lower taxes thingy work for us ? Tax the gas industry........let's give them more money to slow the bleeding while we look for the next target ............May it will be accountants......or plumbers........car salesmen...........dentist and doctors make a good living, we should take a hard look at stealing more money from them to..................
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Post by bowbum on May 16, 2015 8:33:18 GMT -5
I get a real hoot out of this discussion where everyone is an expert and does their own investigation and diagnosis and not one person considers what is right or wrong.
It's like....other states combine their agencies so why can't we.
There are many exceptions to severance taxes in other states, especially North Dakota which just renewed some of the exceptions. There are even states that have severance taxes but have "NO GAS" to tax!
All of the game players cite all sorts of reports, predictions and assessments.
Suppose a severance tax is deemed justifiable. Suppose, in a few years the economy tanks again and schools are hard pressed to install 7 million dollar tracks or football fields.
Is that "justifiable" tax then applied to textiles, food, timber, quarry stone, = cement, mortar....any earth source goods?
What say ye Bluemarsher, Dutch and Kathy?
The sides are clear, those who imagine everyone in N.E. PA is getting rich.....are the only ones wanting to tax their fellow citizens.
While those who see and/or realize the benefits from this industry, want to see it continue unhampered by excessive taxes.
None of those who are in support of this "gas" severance tax ....would support it if it were applied to theirs, or their families, income source or if it becomes a standard source of revenue for the state to apply as they see fit.
I'll say it again; the natural gas industry, in several venues, has done more good in this state than any other industry in history.
I'll ask those same people this question; Do you consider it fair that our state offer incentives, including tax breaks, to any and all other industries?
If so, why not this one single industry?
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Post by davet on May 16, 2015 12:28:30 GMT -5
Well, I'll tell you this. In my profession, numbers are not just "numbers." Numbers are in fact a second language. Numbers to CPA's are like speaking French, Russian, Latin, or any other second language. Now, some of you may find that amusing, but it's true. I could read a set of financial statements, and the supporting detail statements that went along with them. Then I could go through and organization and ask specific people specific questions about matters such as throughput of items, orders, back-orders, sales, shipping, returns, raw material access, and matters such as these. Then I could tell who was BS-ing me and who wasn't. I then knew where to focus audit procedures to look for possible errors, overstatements or understatements on financial reports, etc.
So, the point of all that blab is, anyone who is good with numbers can make them sing and make them sing like a fat lady. I've put together projections that have gotten business million dollar loans. A year or two later the actual results were no where near what the projections were. But up front, the numbers and the assumptions they were based upon, were solid and as convincing as you could get.
The boo hoo tax number reports mean squat. You need to look at other states that have impose the tax. That'....as they say...is "the real story." The rest is all namby-pamby stained baby diaper "stuff." Ask me how I know. Oh wait....I just told you.
Dave
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Post by Dutch on May 16, 2015 17:11:28 GMT -5
Figures lie, and liars figure, or something like that.
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Post by Dutch on May 16, 2015 18:13:43 GMT -5
April 2011 900 gas rigs operating in the US.
Last week, 288 or so.
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Post by davet on May 16, 2015 19:57:54 GMT -5
Figures lie, and liars figure, or something like that. I've always heard (and repeated it) as "Figures don't lie.....but liars figure." Ghee......under that definition.....I've been a liar all my life!!! smileys-whistling-823718 |
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Post by timberdoodle on May 16, 2015 20:44:24 GMT -5
Well, I'll tell you this. In my profession, numbers are not just "numbers." Numbers are in fact a second language. Numbers to CPA's are like speaking French, Russian, Latin, or any other second language. Now, some of you may find that amusing, but it's true. I could read a set of financial statements, and the supporting detail statements that went along with them. Then I could go through and organization and ask specific people specific questions about matters such as throughput of items, orders, back-orders, sales, shipping, returns, raw material access, and matters such as these. Then I could tell who was BS-ing me and who wasn't. I then knew where to focus audit procedures to look for possible errors, overstatements or understatements on financial reports, etc. So, the point of all that blab is, anyone who is good with numbers can make them sing and make them sing like a fat lady. I've put together projections that have gotten business million dollar loans. A year or two later the actual results were no where near what the projections were. But up front, the numbers and the assumptions they were based upon, were solid and as convincing as you could get. The boo hoo tax number reports mean squat. You need to look at other states that have impose the tax. That'....as they say...is "the real story." The rest is all namby-pamby stained baby diaper "stuff." Ask me how I know. Oh wait....I just told you. Dave you ought to start with the schools and the state government. Hell I could tell you who was b'sin LOL |
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Post by Dutch on May 17, 2015 7:09:25 GMT -5
Figures lie, and liars figure, or something like that. I've always heard (and repeated it) as "Figures don't lie.....but liars figure." Ghee......under that definition.....I've been a liar all my life!!! smileys-whistling-823718 My mistake. You are correct. |
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Post by galthatfishes on May 17, 2015 7:54:35 GMT -5
I get a real hoot out of this discussion where everyone is an expert and does their own investigation and diagnosis and not one person considers what is right or wrong. It's like....other states combine their agencies so why can't we. There are many exceptions to severance taxes in other states, especially North Dakota which just renewed some of the exceptions. There are even states that have severance taxes but have "NO GAS" to tax! All of the game players cite all sorts of reports, predictions and assessments. Suppose a severance tax is deemed justifiable. Suppose, in a few years the economy tanks again and schools are hard pressed to install 7 million dollar tracks or football fields. Is that "justifiable" tax then applied to textiles, food, timber, quarry stone, = cement, mortar....any earth source goods? What say ye Bluemarsher, Dutch and Kathy? The sides are clear, those who imagine everyone in N.E. PA is getting rich.....are the only ones wanting to tax their fellow citizens. While those who see and/or realize the benefits from this industry, want to see it continue unhampered by excessive taxes. None of those who are in support of this "gas" severance tax ....would support it if it were applied to theirs, or their families, income source or if it becomes a standard source of revenue for the state to apply as they see fit. I'll say it again; the natural gas industry, in several venues, has done more good in this state than any other industry in history. I'll ask those same people this question; Do you consider it fair that our state offer incentives, including tax breaks, to any and all other industries?If so, why not this one single industry? I think you've said once or twice that "Life ain't fair" or something close. Please; correct me if I'm wrong Bob. One of the industry VPs said to me that as long as they can get away with NOT paying a severance tax in PA; they would. Its pure profit to them; as its already factored in as if a tax exists since (a) they know its coming and (b) it exists {nearly} everywhere else. I smoked until a few days ago. Why should me (a smoking minority) pay extra in taxes to benefit someone else? Drinkers? Same thing. I paid $1.60 a pack in taxes, or .08 cents a cigarette. To fund wildlife, we pay an excise tax on sporting arms and ammunition. We; as hunters; pay for the management of 467 species of wildlife- YET, everyone in the Commonwealth has the opportunity to enjoy 1.5 million acres of game lands and view ildlife as they see fit- all compliments of me and those like me. I guess I should *badday* about that too, right? BTW, why are you assuming that those who want a fair severance tax have no interest in the gas companies, either by virtue of owning land, stocks, or by heavens, natural gas in their homes or cars? *excited* I think the Delaware loophole (that the gas industry takes advantage of, by the way) and others need to be closed. Why should the citizens of any community pay what little they have so a business (like the gas industry) can continue to record record profits? I get a real "hoot" out of all of your false assumptions Bob. |
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Post by galthatfishes on May 17, 2015 8:08:58 GMT -5
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Post by davet on May 17, 2015 8:20:37 GMT -5
Well, I'll tell you this. In my profession, numbers are not just "numbers." Numbers are in fact a second language. Numbers to CPA's are like speaking French, Russian, Latin, or any other second language. Now, some of you may find that amusing, but it's true. I could read a set of financial statements, and the supporting detail statements that went along with them. Then I could go through and organization and ask specific people specific questions about matters such as throughput of items, orders, back-orders, sales, shipping, returns, raw material access, and matters such as these. Then I could tell who was BS-ing me and who wasn't. I then knew where to focus audit procedures to look for possible errors, overstatements or understatements on financial reports, etc. So, the point of all that blab is, anyone who is good with numbers can make them sing and make them sing like a fat lady. I've put together projections that have gotten business million dollar loans. A year or two later the actual results were no where near what the projections were. But up front, the numbers and the assumptions they were based upon, were solid and as convincing as you could get. The boo hoo tax number reports mean squat. You need to look at other states that have impose the tax. That'....as they say...is "the real story." The rest is all namby-pamby stained baby diaper "stuff." Ask me how I know. Oh wait....I just told you. Dave you ought to start with the schools and the state government. Hell I could tell you who was b'sin LOL Timber, I use to audit School Districts. I know quite a bit about 'em. More than the average guy. Quite a bit more than the average fellow. I have several "war stories" about school districts. I will say this up front though.....Pa. School Districts are the biggest political footballs on the face of the planet. What school boards do and administrations do for hiring and retaining people is amazing. If they would actually stick to a policy of hiring the most qualified applicant, and really focus on education (I'm not talking about the teachers....I'm speaking about School Boards and Harrisburg) you would actually see a difference. My "best" war story was, at one time we did an audit bid on a district. Usually audit bids were for 3 years. They wanted a 5 year bid. So, we would only agree to a 5 year bid if it was non-cancelable (locked in) and they agreed to a (I can't recall the inflation increase) certain percentage increase. So, the board. After three years, the business manager wanted to do an "Enron" on the financial statements and show a huge loss with an entry that was completely unsubstantiated. The Business Manager and the Solictor treated to cancel our "non-cancelable" contract for the remaining 2 years. So, we refused to give a "Clean Opinion" if they didn't reverse the BS. They did reverse the entry, then bid out the next two years. We sued. They sued us for $2-million of BS. The Judge tossed their case and ruled in our favor. The district Solicitor lost her job over it. (That was good because I watched her commit perjury on the stand) and the Business Manager happen to retire the year before the case came to trial. The whole reason they wanted to show a $1-million loss was to oust certain board members who were up for election. |
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Post by bawanajim on May 17, 2015 8:34:40 GMT -5
All this tax is, is another tax on Pennsylvanians and all of the business that remains here.
A higher cost to home owners, through heating fuels, drivers through fuel cost, families whom buy food through higher transportation cost, it is little less than a massive Ponzi scheme to separate even more money from those who earn it.
Government increasingly spending your kids money should really take a more prioritized place in some of your lives.
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Post by bowbum on May 17, 2015 8:36:45 GMT -5
"Life" is wonderful not unfair at all. All snide remarks aside, I love life.
We don't need a lot of things that we want…..pick your favorite cause, mentored hunting or Sunday hunting, but we work towards fairness with understanding and most of us want parity and equal assessment.
I don't believe you one ounce when you say; "One of the industry VPs said to me that as long as they can get away with NOT paying a severance tax in PA; they would. Its pure profit to them;"
The truth is that the severance tax is "passed on" to consumers and royalty owners.
Industry officials, (several of who live in our rentals), do not count "profit" as measured by lack of or inclusion of a severance tax.
Another fact is the gas industry currently pays an exceptional tax in the form of an impact fee.
However, royalty owners started seeing 25 - 45% deductions in their checks with all kinds of trumped up charges by the energy companies.
So, the reality is that individual citizens pay those additional fees.
*** Incidentally, I am not whining about the impact fee. Our township and all townships in the county have benefited tremendously for ALL people....with or without royalty ownership.
You say "I smoked until a few days ago." I thought you quit months ago!!!!
But I'll entertain a response to your changing scenario; "I" also smoked for nearly 50 years and I never once whined about paying any tax on cigarettes or the ocean of beer I drank.
I "elected" to make those purchases and that was part of the package.
Wildlife funding and all other voluntary purchases are simply that….voluntary and optional to decline.
Your comparisons are non-associated and have not even a wild parallel to my questions, all of which you completely avoided.
The only "falseness" here comes from you. Delaware and natural gas……spare me. How many wells are drilled in Delaware as compared to Bradford County, PA.?
I'm guessing that "you do" understand that severance tax is on wells drilled…..?
So, you used the term "fair" severance tax. And in that vein I have asked repeatedly, for months on end of you and others to explain how "fair" that tax would be on textiles, (clothing, carpet etc.), top soil, timber, (wood products), farm goods, (our food), quarrying materials, (concrete, stone etc.) or any other earth sourced material?
It would be a real HOOT if you were to actually address the topic in the vein of "fair"!!!
Might want to explain also how it is "fair" for Pennsylvania to to actually OFFER "TAX" INCENTIVES to entice virtually any and every other business to come to PA. while adding an exceptional tax to one select business??
Nah……I sense silence on rational questions.
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Post by Dutch on May 17, 2015 9:23:06 GMT -5
Just a question, do the impact fees, or a potential severance tax come out of the royalties paid to the landowner?
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Post by Deleted on May 17, 2015 9:27:31 GMT -5
Once again, every other petroleum energy producing state, other than PA, has a severance tax.
It's a fact that PA's only "world class" petroleum energy product right now is natural gas.
It's a fact that the majority of homes in PA that are using petroleum products for heat are using oil and kerosene - almost all of the severance taxes on those products are flowing from PA to other states!
Whenever anyone, private or commercial, fills up their vehicle with diesel or gas, they're paying a severance tax to a state other than PA due to the fact the production of distillable oil in PA is negligible compared to the other states.
We are, BY FAR, paying a huge amount of severance taxes, in the form of costs already built into the market price, to states other than PA!
PA enacting a severance tax will allow the residents of the Commonwealth to benefit by offsetting some of the HUGE amount of severance tax imbalance now flowing from our state to every other energy producing state!
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