Marcellus o Utica . Appalachian Basins
lltPACT FEES¡ From Page 3
iets coming into the airport," said
Another airport Project involves
lengthening ...
Second Round of lmpact Fees Distributed
to PA Gounties and Municipal¡ties
While revenues are down slightly, funded project...
Pittsburgh-area hotels cater to oil, gas workers
By Anna Bentlyt,
Pittsburgh Post-Gazette
The Marcellus Legacy Fund gnows'stronger
after second round of impact fees
By R. Brock Pronko,
MBC Regional Busine...
Gas line upgrade pnoposed for NY-to-Boston route
By Stephen Singer,
AP Business Writer
- ln ano...
Proposed North-South Upstate Pipeline could benefit
gas customers in New Yórk and the Northeast
By R, Brock Pron...
TFadition and temptation as Amish'debate fracking
By Julie Carr Smyrlh,
Kevin Begos, Associated Press
Drilling costs get speedier write-off
By The Associated Press,
(Pittsburgh Post Gazette)
PITTSBL,RGH, PA;- Trjcked i...
Standing ¡n the way of New York's gas industty
Many dedicated to the cause of anti-fracking
among the more visib...
Upcoming SlideShare
Loading in …5

Marcellus - business central


Published on

Published in: Business, Technology
  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Marcellus - business central

  1. 1. Marcellus o Utica . Appalachian Basins MANGEilU$"f,'+ffiITIIE #I SHALE GAS PUBLICATIOil PENNSYLVANIA. SOUTHERN NEW YORK . OHIO Media information online at ESSCEIITRAL.COM tN THrS rSSUE F The List "Ancillary $ervices"
  2. 2. FEES lltPACT FEES¡ From Page 3 iets coming into the airport," said Coolidge. Another airport Project involves lengthening the runway to 4,000 feet to accommodate larger aircraft. "We're looking to retrofit an existing building for emergencY services personnel and to put up anothertower at the airport with the impact fees," said Coolidge. "We've also been discussing security upgrades at human seruices and at the courthouse." The commissioners would like to see a compressed natural gas station in Wellsboro to Promote the use and purchase of vehicles that wot-dd run on natural gas. "We have the suPPort of the three gas industry entities for the CNG station, though we're not prepared to announce their names at this time," said Coolidge. "This CNG station is part of creating the Route 6 conidor connectivitY with the ability to fuel with natural gas between Wellsboro, Towanda, Mansfield and Sayre. "Towanda and SaYre alreadY have CNG stations, the Mansfield station is being developed, and we're looking for a location for a CNG station in Wellsboro. Dandy Mart is develoPing a CNG corridor in the northwestern Part of the state, and others are being developed elsewhere in the state. "Eventually, allthe CNG corridors being built will be linked together so that natural gas-powered truck fleets can tiavel across the state just like gasoline- and diesel-powered truck fleets do today," said Coolidge. "We're undertaking services that need to be met and Prcjects that need to be done, and with the CNG station, we're opening thé door to a more independent ft¡ture for our county and the commonwealth, and thanks to the gas industry we're doing it allwithout causing a greater tax burden to the people of our townshiPs, boroughs and to the countY at large." :! Second Round of lmpact Fees Distributed to PA Gounties and MuniciPalities T*p ffi***iving **u*tis$ Í#r fr*1 ffi Sr**f*r# * W***ir61** ffi frWe :ir tsfe*str"**t*F*n# $t "sy?,$s4.s$ ------: {-F*#$1"l*rig ffi $r,sq$*tt*rlil& * ü¡*e*¡g ffi" ."-,. ,, $$-ss ff,1*$,4gy"ss" . '-s4,ffi,ffi.ffi $4"S?S,?4i.ffi J. I 1-."--"-"-=-- $*"sts'ffi.ffi Try F#ue+r PaYn:*nte tsr *#tÉ # #,*ffis&p*ef{ü &pFfrté*}*lñ Lt* ü mep¡## mnsm¡**gg &Fp&s-&*ttt& Lt# m T,St$SeÉ&# SffififtSY *$A t**t .. *+-icpti-p m ¿¡ttg**mi{# üeP ## i-f # ttl#flfr#t'i.&FF*f*qü ¿ie LL* s **ffiY *tL& *Ág t*ftF ss*t*?-sQ#.& $J1-{*4.$*S.dü * $*¿ffi,*üc.s fi&*?q.{üs.s --*-* ffi.&sw,ffi ? I i."--.-*-"".., ffi "&*?-gm.ff str.frffi"m.€ü
  3. 3. Second Round of lmpact Fees Distributed to PA Gounties and Municipal¡ties While revenues are down slightly, funded projects are underway By R. Bro* Pronko, municipalities put last year's impact meet the demand of the Marcellus MBC Regional Business Analvst fees in their capital reserve fund so Shale induqtry ánd the age and 5TATE g9LLEGE, pA - This July, they could have more time to plan condition of the current housing stock counties and municip"liii"" ""Á., " their projects and programs. is not a-ttractive to new residents the commonwealth nJ ,"r*in¡"á t" For the second round of funding, moving into the area with the ;d"br;i; " uOO¡tio. t" t;;;ilh "; ;. they will have 10 months to allocate Marcellus Shale industry. country. the money before having to send their "One of the housing projects on July 1 , the pA public Utilities usage reports to PUC on April 1,2014. we're working on is a72-unit mixed- Commission releaseO $áó i,iii,OOO i" Lycoming County impact fee income housing development on the second round of iriJ"J t""r. ói*i' proiects ' the old Brodart property' which - was sent to the 67 Pennsylvani DUe tO the diminishing feeS On WellS, counties and their municipalities, with 36percentorthatportionauocated tlp tOtal amOUnt Of the impaOt feeS WaS to counties with wells, 37 percent _ | to municipatities with wens, and 27 $l ,738,000 leSS than laSt yea[ HOWeVef, ¡n the future, lower,revenues could be offset somewhat a$ñatural gas pr¡ces rise. percent of the total - $121 ,200,000 percent to all other municipalities. Of the remainder, $28 million was directed to state agencies and $71.8 million to the Marcellus Legacy Fund. n2012, drillers paid the state $50,000 per-horizontal well and $10,000 per-smaller vertical well. The fee for horizontal wells is based on thdyear the well was spud and the average price of naturalgas. For example, if the price of natural gas is between $3.00 - $+.SS per 1,000 cubic feet (MCF), drillers pay $S0,000 on that well during its first year (back to 2011), $40,000 on the well's second year, $35,000 in its third year, down to $10,000 in the well's 15th year of production, the last year of "We have been very proactive with our impact fee dollars," said Kurt Hausammann, Jr., director of Lycoming County Planning & Community Development. "We allocated a million dollars toward building a new terminal at the airport, and we put $117,000 toward rehabilitating Reach Road, the main thoroughfare in the largest industrial park in Lycoming County, which is occupied by gas companies that drive heavy equipment on the road. is a Brownfield site that housed a warehouse owned by Brodart, a company that supplies libraries with everything from furniture to electronic ordering systems," said Hausammann. "We'ré also doing a Brodart neighborhood improvement project for up to 150 units and putting in 32 units of senior housing on Grove Street in Williamsport "The housing projects are mostly funded with private money, but we're using county-level Act 13 money dollars to conduct a transportation study in the eastern part of the county, which has seen a dramatic increase in truck traffic due to the Marcellus shale development. "The idea of the transportation study is to help us develop a corridor management plan for Routes 405,220 and 180," said Hausammann. "The transportation study just went out for bid, and the airport project was already put out for bid, and they've chosen the design team for that.project, so we've started moving fonryard on our projects." Tioga County impact fee projectS Tioga County is using a portion of the $9 million in impact fees it received over the past two years to fund airport projects and an emergency responder facil ity. "The first project is buy additional jet fuel and to construct the facilities at the airport to contain it so we can accommodate emergency responder personnelthat might need to refuel quickly and take off," said Tioga County Commissioner Erick Coolidge. The county also plans to buy AWOS/ ASOS instrumentation (Automated Weather/Surface Observing System) to help pilots land using only their instruments when the weather is bad. "That will be used for emergency
  4. 4. NAIURAT GAS Pittsburgh-area hotels cater to oil, gas workers By Anna Bentlyt, Pittsburgh Post-Gazette WASHTNGTON, PA (AP) - To endear a hotel to the oil and gas crowd, give them a place to eat and sleep at all hours of the day, a place to wash their boots, a warm place to smoke in'the winter and a cold beer once in a while. So goes the formula developed by Tejas Gosai, president of the Washington, Pa.-based business Shale Hotel lnc. The company is managing two hotels geared toward oil and gas workers, building two others and preparing to turn the Monroeville Holiday lnn into an industry destination for workers summoned here by the Marcellus Shale, the natural gas deposit underlying much of Pennsylvania. Gosai represents a group of four doctors, among them his father; who bought the 187-room Monroeville hotel in June. His goal is to replicate there what he has helped to do in Bentleyville - attract at least half of the guests from oil and gas fields. The Gosais have been in the hotel business for a dozen years. Kam Gosai, a practicing physician in Washington County, co-owns the Holiday lnn Express and the Best Western Garden lnn in Bentleyville. These hotels weren't built for oil and gas workers. They've slowly shifted in lhat direction over the past several years. Consider the food, which, seemingly, never stops. Breakfast begins at 3 a.m. and guests rushing out the door to a job are given bags so they can toss in a breakfast burrito and be on their way. The early meal is served until 10:30 a.m. At 1 p.m., soup and popcorn start in the lobby. Two hours later, another breakfast shift begins for those just waking up. ln the evenings, there are happy hours and winé, beer and cheese receptions. On occasion, there's barbecue from Hog Father, an industry favorite. Outside the hotels, Tejas Gosai has plopped a few heating lamps and winterized chairs to accommodate the smokers. When he heard that a nearby hotel was asking rig workers to leave their mud-coated boots in the lobby, Gosai rebranded the Bentleyville Best Western as the "The Best Western Garden lnn where you can wear your boots." But he has also installed boot- washing stations outside, where workers returning from the field can hose off their gear. Behind the scenes, the hotels' operations have changed as well. While at most hotels the housekeeping staff works a morning shift, at Gosai's operations they work all hours with their shifts staggered to accommodate the workers' unorthodox sleep schedules. Then there's the issue of bed bugs. lt hasn't been a problem, Gosai prefaced. But when serving a . population that moves from one hotel to the next, he figures it's only a matter of time. Anticipating that, he required everyone on the housekeeping staff to take a course in bed bug inspection. Gas drilling rcyalty owners oppose new Pa. bill By Kevin Begos, Associated Press P¡TTSBURGH, PA (AP) - Oil and gas royalg owners and an environmentalgroup in Pennsylvania said that legislation'awaiting Gov. Tom Corbett's signature seriously weakens negotiating rights for some landowners. The NationalAssociation of Royalty Owners said last-minute changes made during the weekend to a Senate bill could allow drilling companies to use decades-old mineral leases to force current landowners to accept Marcellus Shale drilling under their property. Trevor Walczak, vice president of the association's Pennsylvania chapter, said Corbett be similar to so-called forced pooling. That's when a drilling company can force some landowners to accept drilling if many surrounding ones have agreed to leases. The new legislation would only apply to people btllsfibutrageous. It's j ust i ncred i bly "'""' '."'- out of touch with reality.i¡ir,i+-1l - Georue Jugouic, enuir0nmGntal attornsy, Penn Future But horizontal drilling and shale gas fracking didn't exist in Pennsylvania until about five years ago. ln the past wells went straight down on a leaseholder's property, not across multiple property lines. Walczak said his group was surprised by the final legislation since it has had good relations with legislative leaders. He said the bill is "bad business and bad politics" that gives too much power to energy companies. "lt's outrageous," said George Jugovic, an environmental attorney with Penn Future. "lt's just incredibly out of touch with reality." Jugovic said the legislation seeks to bind landowners to decades-old leases "whenever it
  5. 5. GRflWTH The Marcellus Legacy Fund gnows'stronger after second round of impact fees By R. Brock Pronko, MBC Regional Business Analyst STATE COLLEGE, PA-Act 13 earmarks over $20 million in impact fees each year for eight state agencies to help offset the statewide impact of drilling. Last year, the total amount the state agencies received was $25.5 million, this year, it was $28 million. The eight agencies include: State Conservation Commission and the County Conservation Districts; Pennsylvania Fish & Boat Commission; Public Utility Commission; PA Dept. of Environmental Protection; PA Emergency Management Agency; Office of State Fire Commission; PA Dept. of Transportation; and Natural Gas Energy Development. ln addition to the agencies, funds in excess of the municipality restriction in Act 13 are re-allocated to the Housing Affordability & Rehabilitation Enhancement fund (PHARE) which received $2.5 million last year. The restriction for municipalities is the greater of $500,000 or 50 percent of their total budget for the prior fiscal year, adjusted to reflect any upward changes in the Consumer Price lndex. PHARE was designed to assist with the creation, rehabilitation and support of affordable housing throughout the commonwealth and also as an economic stimulus, bringing money, jobs and consumers into an area. Afier state agency earmarks, 60 percent of the remaining impact funds go to counties and municipalities as part of the Unconventional Gas Well Fund, and areas, community conservation and beautification projects, community and heritage parks and water resource management." For example, Lycoming County is using a portion of its Legacy Funds to build a walking trail around the 9-hole White Deer Golf Oourse in Montgomery Pa. The Marcellus Legacy Fund also distributes funding to the. state's Highway and Bridge lmprovement Account, Commonwealth Financing Agency for environmental clean-up projects, Environmental Stewardship Fund, The amount of Legacy Funds distributed each year is determined by the number of active wells and well production. Pennsylvania lnfrastructure I nvestment Authority and the H2O PA program. Lycoming County is also using its legacy dollars to conduct a transportation study in the eastern part of the county, which has seen a dramatic increase in truck traffic due to the Marcellus shale development "The idea of the transportation study is to help us develop a corridor management plan for Routes 405,220 and 180," said Kurt Hausammann, Jr., director of Lycoming County Planning & Community Development. The amount of Legacy Funds distributed each year is determined appropriating no state funds for the conservation districts in this year's state budget. However, on May 29, the House Republican budget included $2,856,000 for the county conservation districts through the state Department of Environmental Protection and $1,01 9,000 through the Department of Agriculture. Pennsylvania conservation districts, which were established in 1945, and include 66 of the 67 Pa. counties (excluding Philadelphia) implement a variety of programs and provide assistance for a range of conservation issues unique to each county, such as abandoned mine drainage, erosion and sedimentation pollution control, floodplain management, forest management, storm water management, and wildlife management. Each conservation district, which makes up the entire county, is led by a board of directors made up of local people. These volunteers study county natural resource issues and make decisions that enhance and protect the localcommunity. Over the past two years, the County Conservation Districts and the State Conservation Commission received $7.5 million from the impact fees, $2.5 million last year, and $5 million this year. "ln the first year, $2.5 mill¡on in impact funds were allocated to the conservation districts," said Jay Howes, a deputy secretary in the PA Dept. of Agriculture. "That money was split in half, with $1.25 million distributed by the Public gas drilling has had the most impacts. This year, the conservation districts will receive a total of $5 million, half of which will go to block grants for all 66 conservation districts, as before. How the other half will be allocated this year will be discussed at the commission's meeting next week. ln next fiscal year, the impact funds for the'conservaiion districts will increasé from $5 million to $7.5 million, which is double the normal funding for the districts. "The increase in funding raises the question going forward if splitting the funds fifty{ifiy between all 66 districts and the counties impacted directly from gas drilling will continue to be the best way to allocate the funds,'r said Howes. "When the well is being fracked ihere are lots of impacts, from erosion and sedimentation on a drill site to wear and tear on the gravel covered access roads to the sites, "However, thosé impacts lessen over time, which raises the question of what's the most equitable way to allocate the money in proportion to the actual impacts. "Do you do it on basis of the total number of wells in that county, the number of wells drilled in the current year, or wells drilled in the past three years? "That's what the commission has to decide." The Pennsylvania Dept. of Environmental Protection receives $6 million per year in impact fees regardless
  6. 6. FHTIIEüI Gas line upgrade pnoposed for NY-to-Boston route By Stephen Singer, AP Business Writer HARTFORD, CT (AP) - ln another sign that natural gas is outpacing costlier heating oil, a Texas energy company is proposing to install new pipelines, replace others and build transmission stations in the heavily populated, 200-mile New York-to- Boston corridor. The preliminary plan proposed by Algonquin Gas Transmissions, a unit of Spectra Energy in Houston, would build and replace about 44 miles of pipeline in Connecticut, Massachusetts, New York and Rhode lsland, install a new pipeline to span the Hudson River in New York and build compressor stations to boost gas flow. But reluctance by power generating companies to commit to the project York, Pennsylvania and Tennessee -are in the early stages of filing before federal regulators. Until recently, much of the natural gas in the U.S. has come from Gulf Coast states, such as Texas and Louisiana. New sources of natural gas, such as the Marcellus Shale in New York, Ohio, Pennsylvania and West Virginia, now present additional opportunities to tap natural gas, said Cathy Landry spokeswoman for the lnterstate Natural Gas Association of America. "We'll be needing to revamp lines slightly to access new areas," she said. Burying pipeline in New England will be particularly difficult because it's a heavily populated region and utilities will have to negotiate rights of way and land deals with numerous property owners, Landry said. Environmental concerns such as wetlands also could The pipeline has got people more riled up than fracking because fracking doesn't happen right away, but they can put the gas in the pipeline now. Seth Gladstone, a spokesman for Food and Water Watch, a consumer advocacy group. "The bottom line is we're dealing with a dirty fossil fuel that's contributed to climate change." Craig Stevens, a resident of Silver Lake Township, Pa., and an opponent of increased use of natural gas, said he and other landowners with rights of way for gas line construction are fighting projects on issues such as payments and easements. Photo provided "The pipeline has got people more riled up than fracking because fracking doesn't happen right away, but they can put the gas in the pipeline now," he said. Algonquin is undeterred, insisting in its federal request for approval that it's simply responding to demánd. The rush by local gas companies to bring in new customers "confirms the need for new pipeline infrastructure to support this growth," Algonquin said. has emerged as an early problem, and environmentalists who say natural gas is only slightly less dirty than other fossil fuels are protesting expanded gas pipelines. The project, which would expand the current Algonquin system and affect hundreds of properties, would add 450,000 cubic feet of gas per day to the 2 billion cubic feet now piped in force gas companies to reconfigure their plans, she said. Another problem facing Spectra is attracting electric generating companies to commit to the pipeline. John P. Reddy, Spectra's chief financial otficer, said at an industry meeting in May that the Algonquin project will supply markets served by naturalgas companies, but power generating
  7. 7. RANKED BY NUMSER OT STUDENTS ENROLLED ,8ASED ON OATA PROVIDED FROM THE 2013 MARCETLUS RESOURCE GUIDE wE$iE RELAFF COUNw cOMMUNtfY ,coLtEGE ,,'' , :, : 1as Rav$on 14,, voungtd,::pA rssgz Dr.0#,l:,'0bara",:Presd.e[t :, .' .. : .., .. fe00l28F2{03' '," '', ' ""' :: , ' ,,:, , , ,; :*t*wrwum-'edu,. , ' '; ' '1:: : :,.: ' '. ". '. , ,'. ',: ', ', ,: .. .. ., .11' : 1 :1:: :: : , '!.. ,. . , . . ,,. ',. ,''.,,.. '., ., t. ', ., .,., , ",, '.. : ::: ::: : .. ., . ,' . ., . , PENNSYLVANIA COLLEGE oF TECHNOLOGY (CRED|T) SHALETEC (NoNCRED|T) one College Ave., Williamsport, PA 17701 Davie Jane Gilmour, President (s70) 326-3761 / FAX (570) 326-5551 / ,rBtAñcrf,TEcr¡'nr,lgbünaHr,,,, :cREErtrgBuRGt,DUtsOlS;súr'lzuBia, BETIfLEfl€[ll ,,'' ]: , "' ,:: ,, , '!.0.a0Pg v$k'Avo.,'::.,',¡: :. ::,, '. . ,, ,,,,,,,.,...,,,: ,: ,,.,,,., PihE¡lrgh;PA15214r ' :, :::': 'Tin+0.ütyJ.McMairon,.prss¡Ubnt.". '.., ,' ,': .::,. , ,. ' . flle)359i1000/{a00],874,.W4 ',, , ,,,,,, ,, ,. iAx,$r2)$$s1l0r2 ' , ,, .y4rrvtiiangfe-lecf,édu'..., . ." ' .. .. ', :..':::.:. CDL A GAS PROGREAM, JEFF TECH 570 Vo Tech Rd., Reynoldsville, PA 15851 Mlke Knobloch, Coordinator (814) 653-8265 Ext 1 78 FAX (814) 653-8425 www, (adult education tab, Marcellus Shale) ., "',", , . ,' .., .. '... l-ANDlIAtl SEMINAR ; UñlvERslTY oF PffTSBUFG}IATBRADFOnÉ: '"::: : ' 3000ahousBr;;Bradfoi¡;PnroiOi "',,',,',. :, Uih.Uac¡dLWorKorceTsiningCoordinstor. .,, .,.,. P14)362J5078rtAX{814}362{014,,'''i .. . . . . .,, :,.. ..r., .. . ., .: NATURAL GAS PRODUCTION & SERVICES ASSOCIATE OFAPPLIED SCIENCE.MANSFIELD UNIVERSITY Gl Alumni Hall, 31 South Academy St., Mansfield PA 16933 Lindsey Sikorski, Director, The Marcellus lnstitute at Mansfield University (570) 662-4808 / FAX (570) 662-4093 http://geoggeol. mansf product¡ m ,: : :.: r 1',, :' ,, , saFETy'MANÁ€EilEÑT.HACnEron,';: ' OF SOffiHeE MANBfIEIE'UHMERSITY , ,, , : ui ru¡sur''lta[,ei seu$ Acadünry St,i,Mansfhld i* r timbei SildskÍ; $iieetor,,T,he Martdlh ir+sÉMp üt,lüaruft+fd thfr*¡ii. ,,:',: ,,, ..:':,,,' ,:,,:Ji,, .:::r.,' ::j: :: 1::: .i:::::r::: : : ::.: .: .: YEAR EST, 2011 SHATE GAS EDUGAIIÍII{ PRf|GRAMS N¡}TR It*fitE$ SIft I OF FI I OF PT # OI STUOENTS ENROTLED { OF STAFF STATT 2O'I2-20]3 GRADUATES $;612 3,O/ I rl¡f; 125 PROGRAM DESCRIPTION I i, t[h.r000h $f i0rl-term; stfl ekqb,le]ics.itlfbaiiiiti ii pr0groms sludents galn hands-qn lraining,, & spoclalized skllls fDr the enCrgy & tmhnology sectors, slsckasg corlifitAtÉs . provide a carew patrWtor imnra*ate ;. employmont & tha optsdr{tyfit let m tur: : ÁddltiorHdiillhrsoéeded..,, Offers noncredit workforce training ShaleTEC, as well as a variety 0f degree programs leading to career opportunities in the natural gas industry; noncredit offerings focus on workplace safety, CDL, emergency response, downhand welding & related areas Assoofater,m sp*iáleodÍectrno¡ggy, negise proúralGgi qbJeotue of every,,progq4m , iE to pt0vid-6 dryqllE¡wftfi a,prác$cirl; i , ucimioa!:duqaioh :us¡¡s both cláEÉraom . .lectuie & éxtp4sive tranOson taining . Program provudes CDLA preparatoin & a two week class on the gas industry : f, ralnjlgi lgi. ñsr* :e a${pÉgtnee0:;_.$i!,fi ,; tose wantlnO,tó.become l-ardrle4, i¡q-h@ i¡formation ábóut geology, raal,qlt4q hw. c0fltrsds, titl8s, rEgotil&n{.& ethiffit AAP! , :: :..ere{Hs. :: :. ,, ,,.,.,. *,B BilQui*s:,*iffilriu,eltryiiftl',.$$l natr¡rál CS & gngry,irdu$iie$*:!1Ef ,as &: sÍetv,' s0t¿ ¡{A {F?0Í$# i! F*¡(ilgf$rüÉ.$ ri! lli:¿¡lEíidli$&riiili$téld; a*i0iii]fiii¡is SHALE GAS INDUSTRY PROGRAM CONTACT REALTED DEGREESOFFERED FOR INOUIRIES i.ffigql$$r@ !:d#ied::.i:i.i.;::i;ii:,,i iilldr $ :if€eli00lq$yi!'sf¡ü$'bls::i;i::ii: ti !,il¡¡glgrü1,6güj&,iiir:ir!!,;:i:i:r,r, ti0j!:i$É- ii:Mg*ftAüdn¡sial:riirl::::il ,iOocüpá r¡ |i:$¡l$at$r¡¡,irii I.ffW i$flltlli,.Man6dÉi:!$üjii,ii:ii.ii:iii..ii ,léuq$ryj, hoouss ; :gp$rwKEt,,r$nf¡',,'.,, ..,,...,.i.,,.i : arii:iir:riii:i:ii:ii:iriiii:ii.'i:;t!i::::ii::il:i:iil:iir:;::irii;:ir::::triii:il:ii:i! A var¡ety 0f majors in fields such as welding, automated manufacturing, CAD technology, heavy construction equ¡pment, diesel and on-sire power generation, among others. New for fall 2013 are degrees in mechatronics engineering technology & emergency management technology ;;ii:ii;i:ii¡i::i:ii:ii¡itiiiii¡iriiii:iii:ii:iiii:i::ii¡iiii¡ii'ii¡ii:iiiii.ii tWffi , Ef íea ip,Wt$iB;,.iii .i;ii lffii i*lriisfiiclibtt;..ii:ir.¡i,;r'i:,iift,,r:i.i t$-{$jd{ ll#S1vesl4qr, ', arf ,coflsrsof.rngj arcnrcfiufali,,;.,. l - ltittieál cotnputer-aided; draftiry: &l!#Smn!: !: :: ..:::.': r.:r ' ' ! Certificate program :A$:iif, e8,gi*$i+Mlls!tsli:¡B8ir iüé$fü'syi:iiiii:ii;:iiilj,iiali::iiii::ii.i::ii.¡i:!i::iii::iiil i{P4¡,fl A$$$,{f ii.¡i:i..ii.!i.iii iF.ff {:i#a4l:$'?$id4$4liriir ¡¡jiü¡'tissftn*@ c¿$ (570) 326.3761 FAX (570) 5551 l,*fr +txt$Jlsü{lit.ii:r.ilii. ., Ic,l*l. q$rlfl ffi ! lilii:i:iii:i ¡f*l{¡ff|¡*,J¡ffi 1ür*,¡; Hg!0,4lqfifsl$l 0dFii;ir|i:ii:|i:ii;i:ir¡i:tr.i::i::ii:ii¡ii ¡/¡ke Smith (814) 653-8265 Ext 178 FAX (814) 653-8425 mjknoblock@jefftech. us ii:i!:¡:iirii:i::i::i:!ii:::li::r:rrl¡:ii:ri::i!l::: :Mikf;j:¡Ja*ffi .:::iar.iiiii..i:. {8¡{l.€9e E${i..ri'iiii,¡' tÁlÍ#x$iqq+$14i: Ifi eli[$@SlÉ'Édü .¡i: :i. .,! (570) 662-4808 FAX (570) 662-4093 marcellus@mansfield. edu c0uNftEs SERVED : i: I I : ::::1 : : I : j I 1::: a i:::: : j t:: ¡: : j:: i : : i: t: : :: : i : :: : i i i i: I i i ! j: i F ilndinnrii$qUetseti. lr¡d$í :d:i::iiii,:ll:iiilit,il:iii::i::l All Counties #;$H$isi All Counties AIX:0 Íe$ All Counties
  8. 8. A]{GIII.ARY IIIDUSIRY SERUIGES RANI(ED BY NUfilEER 0F FT EIiIPLoYEES 'BASED ON DATA PROVIDED FROM THE 2013 MARCELLUS RESOURCE GUIDE 'SeHilEiUEfr ,U$[[I$]:'::::::: : :':'::j: :::',':l;: ::' MCNEES WALLACE & NURICK LLC 100 Pine St., HaÍisburg, PA 17101 David M. Kleppinger, Chairman of the Firm (7 171 232-8W0 r F AX (7 11 n7 -5300 www.mwn.c0m NTTTANY VALLEY OFFSET 1015 Benner Pike, State College, PA 16801 Robery Butkins, President (814) 238-3071 / FAX (814) 23803051 www. INSTITUTE FOR ENTREPRENEURIAL EXCELLENCE, UNIVERSITY OF PITTSBURGH Ann Dugan, Executive Director (412) 648.1544 / FAX (412) 6481636 YEAR EST. #0F FI EMP, IOTAL I OF OFFICES iIiiiiiliiiiiii *0F Locat OFFICES & LOCATIONS 2 - State College, PA; Scranton, PA 1 - State College, PA 3 - Pittsburgh, PA; Washington, PA; Waynesburg, PA SERV|CES OFFERED Attorneys in real estate, envhonmental, tansportation, energy communications & utility, asset planning & federal taxation; business munselliry law groups, lease documents, well pefmitlir€, watef resource pefmitting.acquisition, wastewater lreatment & disposal, movement of welldrilling Euipment, collection & conveyance via gathering lines & pipelines, attorneys in oil & gas p¡actice group counsel individuals, hunting clubs & other organizations on estate & business plann¡ng techniques that can be util¡zed lo address both tax & generalionai planning issues that can arise with recently acquired wealth aüributable to bolh the "bonus payments: for the primary term of gas lease as well as future royalities; counsel client on the ramificiations of a lease if you're a business enity, including the income tax consequences upon receipt of the bonus & lease payments, limiations on th€ use of funds Commercial printing, publications, brochures, catalogs, news letters, oil & energy news, folders, inserts COMPAI{Y CONTACT FOR EUSINESSINOUIRIES Curtis N. Stambaugh (717],237-5435 FAX (71 7) 237-5300 Bobert Butkinds (814) 238-3071 FAX (814) 23&3051 rbutkins@ (4121648-1544 FAX (412) 6481636 c0uNTtEs SERVEO DNR All C,ounties AllCounites Penn. Stale Univef., Scranton Univer., Bucks-Monlgomery- Delaware County Newspapers, Commonweallh of PA DNR lnstitute for Entrepreneurial Excellence at University of " Pjtsburgh Joseph M. Katz Graduate Sqhool of Business helps entrepreneudal bus¡ness leaders harness the power of innovat¡on, collaboration, and knowledge to increase profit margins, create jobs, diversily revenue streams, connect to emerging markets, secure new research & development dollars, we take pride in knowing that - collectively, the people we sérve fuel southwestem Pennsyfuania's resurgent economy All Counties
  9. 9. PIPEIIl{E Proposed North-South Upstate Pipeline could benefit gas customers in New Yórk and the Northeast By R, Brock Pronko, MBC Regional Business Analyst New York State is the fourth largest consumer oi natural gas of the 50 states, using about 1,200'billión cubic feet per year to fuel its homes and businesses, and for electric generation. Even though New York has trapped Marcellus shale gas of its own, most of its natural gas comes from out of state because of a moratorium on hydrofracturing. ln 2008, the NY Dept. of Environmental Conservation conducted an environmental review of horizontal drilling and high-volume hydraulic fracturing and recommended that the health and environmental impacts of these drilling techniques be studied further. The NY legislature followed with a moratorium on hydrofracking, which was recently extended to May 15, 2015. The upside of the moratorium for pipeline companies is that they had to build new pipelines in New York to bring in gas from out of state to meet the growing demand for natural gas by New York residents who desire a cheaper and cleaner alternative to coal. The Millennium Pipeline Company, headquartered in Pearl River, NY completed its first pipeline in New York State on December 22,2008. The Millennium Pipeline extends 220 miles through the Southern Tier of New York State, from lndependence, Steuben County to Buena Vista, Rockland County, and transports gas to New York City and the surrounding metropolitan area. The pipeline interconnects with Empire State Corning, NY Algonquin Gas Transmission at Ramapo, NY and Orange & Rockland Utilities, New York Staie Electric & Gas Corporation, and Central Hudson Gas and Electric Corporation. At the beginning of May, Millennium announced a non-binding "open season" to gauge the interest of gas providers on the construction-of approximately 60 miles of new pipeline with at least one compressor station running north from a segment of the Millennium Pipeline near the NY-PA border. The "North-South Upstate Pipeline Connector" would start at Binghamton, NY in Broome County near the NY-PA border, and connect to the Dominion Transmission system near Cortland, New York and the Tennessee Gas Pipeline System near Syracuse, New York. ldeally; the pipeline will be able to get around the Northeast U.S. west- east bottleneck by tapping shale gas production in PennsyTlvania, Ohio and West Virginia, to open west-east capacity to the north. "Historically, natural gas supplies have come from the South down in Louisiana, Gulf of Mexico, Texas and Oklahoma up to the Northeast. And Western Canada also supplies a lot of Photo provided changeover from coal to natural gas in electricity production, and in furnaces and boilers," said Sullivan. "Even when the price goes up, naturalgas will still be competitive against oil, and there's the added ' incentive of being a cleaner form of energy, which is something the government is trying to encourage through various progfams to convert heating and vehicles to natural gas." One of the "quiet stories" surrounding natural gas, said Sullivan, is how it's having a positive impact on air quality. "lf you look at EPA data, this ffiYaffiiEs The "North-South Upstate Pipeline Connector" would start at
  10. 10. TRADIIIflNS TFadition and temptation as Amish'debate fracking By Julie Carr Smyrlh, Kevin Begos, Associated Press BALTIC, OH (AP) - ln parts of Ohio and Pennsylvania where horse- drawn buggies clip-clop at the pace of a bygone era, Amish communities are debating a new temptation - the large cash royalties that can come with the boom in oil and gas drilling. "Amish are no different than anybody else. The power of big money can bring spiritual conuption," said Jerry Schlabach, an Amish resident of Berlin, Ohio. "lf we can keep our values and adhere to biblical principle, then it can be a.very positive thing," he said. Reuben Troyeri who recently signed a drilling lease for his 14O,acre farm just east of the market town of New Bedford, Ohio, said he feels comfortable with the process itself. "l guess I feel they know what they're doing, and they'lltake care of themselves," Troyer said. Along the narow bending roads of Amish country in Ohio and Pennsylvania, many families are sitting atop valuable deposits of oil and naturalgas locked in the Utica and Marcellus Shale rock formations. They tend to view the wells as a part of life and look forward to the added income a lease can bring. Local leaders in thio say nearly every farmer in the region has an old oil well, so it was no surprise when energy companies came knocking to drill bigger, more lucrative shale wells. About 45 percent of the nation's Amish population is concentrated in Ohio and Pennsylvania, with 63,000 in each state out of a total of 280,000 nationwide. Historian Donald B. Kraybillsaid that some Amish accept drilling partly because they "have a strong sense of God's creation," and that includes oil and natural gas. "lf they can find ways to capitalize on the resources under the ground, they don't see a problem with that," he said. ' To the Amish, Schlabach said, "the world was created for the benefit of man. And nature, as we see it, is made to be used as long as it's kept in proper perspective." For Susan Mast, an Amish wife and mother, the issue hit close to home last summel when an energy company purchased land adjacent to their quiet, well-manicured Ohio farm near the village of"Baltic and began fracking. "lt's not as noisy as we thought it would be," said Mast, who has seven children. The well, on iand owned by her parents is in production now but she said the drilling phase didn't bother the youngsters. "They enjoyed watching what was going on," she said. But there are some practical concerns about allthe industrial activity that comes with the recent shale drilling. "l'm not excited about it, with allthe traffic, with allthe horses," said Melvin Yoder, who owns a S8-acre farm in centralOhio. Kraybill noted that rules vary widely ' among Amish communities, but that there is "considerable concern" among church leaders that drilling See TRADlTlOllS, Page 12 Photo provided
  11. 11. IAXES Drilling costs get speedier write-off By The Associated Press, (Pittsburgh Post Gazette) PITTSBL,RGH, PA;- Trjcked inside a massive tax billthat won the support of Pennsylvania legislators Monday is a nod to oil and gas investors who've been battling with the state Department of Revenue for half a dozen years. lndividual investors and company owners who report their oil and gas proceeds as personal income have been trying to get Pennsylvania to allow the same tax deduction on driiling costs as they get from the federal government. That is; a 100 percent deduction of intangible drilling costs in the same year the money is spent. "Oiland gas is risky," said Charles Potter, a voting shareholder and attorney at the law firm Buchanan lngersoll & Rooney who is litigating at least 10 cases against the Pennsylvania Depañment of Revenue. "Ever since the federaltax code was invented in '1913, they always put [in] incentives because they want to encourage people to explore for oil"and gas." lntangible drilling costs cover everything that goes into putting a well into production, except the cost of the equipment. They include, for example, land surveying expenses, fracking, labor, fueland drilling mud. The federal government offers the option of immediate deduction or capitalization over five yéars, while Pennsylvania allows such expenses to be amortized only over the tife of a well. That's the way it's always been in the state, said Departrnent of Revenue spokeswoman Elizabeth Brassell. But some in the oiland gas industry noticed a change about thL time thai say this issue is one for the small guys -- the individual investors, or small pass-through companies. Those smaller operators are not the driving force behind the development of the Marcellus Shale, whose wells run, on average, $5 million a pop. But it's the Marcellus Shale Coalition . that pushed this effort in the Legislature. Jeff Wlahofsky, a CPA at accounting past few years, some of its seasoned executives took the money they made on those consolidaiion deals and started new oil and gas firms with private equity money. Still unclear is how much the newly perrnitted deduction would impact state tax revenue. Both the House and Senate appropriation committees concluded the state would lose $1.1 million next year. The Senate committee further projected another $3.3 million during the 2013-2014 fiscal yeár, and $4.2 million the year after that. "Where those numbers come fro.m, I have no idea. They don't make any sense to me," Mr. Wlahofsky said, suspecting the impacl might be higher. The Department of Revenue declined' to provide a fiscal analysis, Ms. Brassell said. The bill has been approved by both the House and Senate. It won't be a.full victory for the industry -- not an immediate write-off like the federal government offers. "l think it's a start," Mr. Wlahofsky said. "At least we have some guidance of how to handle these cosis going forward." "lt's better thah nothing," Mr. Potter said. Intangible drilling costs cover ev-erything that goes ¡nto putting a well into production, except equipment. They include, for example, expenses, fracking, labor, fuel and drilling mud. the cost of the land survey¡ng development of the Marcellus Shale resources got going in Pennsylvania. They say investors and independent producers continued to claim the deduction as before, but the state started inspecting their tax returnsand not allowing it. "Until three or four years ago, they paid almost no attention to it," Potter said. "We didn't have anybody assessed until 2006." Both Potter and the Marcellus Shale Coalition, an industry group that represents operators in the region, firm Schneider Downs & Co lnc., led the coalition's effort to bring Pennsylvania in line with the federal government. He wrote a white paper on the subject for legislators and was asked to draft the language for the bill, asking for a 100 percent deduction in the first year. Lawmakers modified it to a 33 percent immediate deduction with the rest amortized over 10 years. The accelerated deduction could be a win for a rising class of Marcellus backers -- private equity investors. As the industry has consolidated over the
  12. 12. FRACKIl{G Standing ¡n the way of New York's gas industty Many dedicated to the cause of anti-fracking among the more visible of the grassroots fracking foes, their motivations and personal styles are different. "l don't have a political agenda. I lust want to preserve the quality of life for myself and my neighbors," Rapp said as she had lunch with Scroggins at the Vestal Diner. Thin and birdlike with curly red hair, Rapp is a leader in the so-called "homq.rule" movement, which has led more than.100 communities to enact bans or moratoriums against fracking. The gas industry has challenged the legality of such bans but has lost two cases that it plans to appealto the state's highest court. Rapp devotes her free time to organizing letter-writing campaigns to the governor, gathering signatures on petitions, and trying - unsuccessfully - to get her town board to enact a fracking ban or pass road-use laws aimed at the convoys of water and graveltrucks heading for Pennsylvania's drilling sites. She campaigned last fallfor anti- fracking candidates. But in her county and others in the border region where drilling is most likely to staft if Cuomo gives it the green light, all were defeated. "l have two petitions, the road petition and the ban petition," Rapp said. "l knock on doors, I go to farmers markets and the railtrails. I clon't think of mvself as an activist local politicians, community groups, and anti*frackihg celebrities such as Yoko Ono, Sean Lennon and Susan Sarandon. Several days a week, she drives people around to show them drilling sites, pipelines, compressor stations, and truCk-worn roads. She introduces them to residents of Dimock and Franklin Forks who believe their wellwater was ruined by drilling operations - even though state and federal investigators couldn't confirm allthe complaints. She records the tours on video. 'She also records town board meetings, often raising,the ire of people who'd rather not be in the videos she posts online by the hundreds. "Basically what I show is,'Do you want this near your home?"' Scroggins said, standing oh a road beside a wellsite with a rumbling compressor station, tanks, pipes, and other equipment. There are 700 gas wells in Susquehanna County; 38 percent of the county is under lease, and gas companies indicate a potential of 3,000 drilling locations. Gas industry bloggers have mocked Scroggins, but she clearly relishes her notoriety. On a recent tour, she flagged down the SUV of a gas company's new security guards and introduced herself. "l'm the tour guide. I'm sure you've heard about me," Scroggins said. When the ouards said thev hadn't. By AssociatedPress BROOMRE COUNry NY (AP) -Big energy companies have been trying for five years to tap the riches of the Marcellus Shale in southern New York, promising thousands of new jobs, economic salvation for a depressed region, and a cheap, abundant, clean-burning source of fuel close to power-hungry cities. But for all its political clout and financial prowess, the industry hasn't been able to get its foot in the door. One reason: Folks like Sue Rapp and Vera Scroggins are standing in the way. Rapp, a family counselor in the Broome County town of Vestal, in the prime shale gas region near the Pennsylvania border, is intense and unrelenting in pressing her petitions. Scroggins, a retiree and grandmother who lives across the border in hilly nofthwestern Pennsylvania, where intensive gas development has been going on for five years, is gleefully confrontational. She happily posts videos of her skirmishes. The anti-fracking movement has inspired a legion of people like Rapp and Scroggins- idiosyncratic true believers, many of them middle-aged women, who have made it the central mission dt tfre¡r lives to stop gas drilling usirig high-volume hydraulic fracturing in the Márcellus region that underlies'southern New York, Pcnnqrrlrrania Ohin end Weqf Virainia Photo provided acknowledge thpt Rapp, Scroggins and others like them have been effective. "There's no denying that their actions have had an impact," said Jim Smith, spokesman for the lndependent Oil and Gas Association of New York. "lf they weren't doing what they're doing, we would have been through with this a long time ago. They're wrong on the facts but they're very loud and very vocal, and that gets noticed for political reasons." Their cause is amplified by an extensive coalition - including deep- pocketed environmental groups, New York City lawyers, organic farmerS,