The PA Independent Fiscal Office (IFO) released a report in June of 2018 detailing projections for 2018 natural gas impact fee revenues to be distributed in 2019. The report offers two divergent scenarios for impact fee revenues from 2018 natural gas drilling operations. In the first scenario the annual market price of natural gas on the New York Mercantile Exchange stays above the $3.00 per MMBtu threshold and impact fee revenues increase by $14.5 million over last year’s revenues. In the second scenario, the average annual price of natural gas falls below $3.00 lowering the fee schedule and decreasing impact fee revenues by $30.4 million. The difference between the two scenarios amounts to a considerable $44.9 million in impact fee revenues from the 2018 natural gas drilling operations. See the full report for details.
The PUC requires two forms be submitted annually related to the use of impact fee revenues:
- Due March 1 – Municipality Approved Budget Report Forms.
- Due April 15 – Local government Unconventional Gas Well Fund Usage Reports.