Here is the proposal in the New York Assembly February 3, 2012, the intention of which is to divert at no cost to the users, likely focused in down state NY, 10 percent of all gas produced on our properties. This surely is the sentiment of Metropolitan New York , that we in upstate must pay extreme lottery taxes for our leasing bonus, increased income as well as property taxes, take on all ownership risks,suffer reduced compensation as a result of the unfair basically illegal delays, and also give our gas and attendant royalties away, and in some situations totally sacrifice mineral rights, bonuses and royalties because NYC has not yet found a way to get upstate to pay for a water filtration system that really should be in place. And we are doing this why? I would suggest greed, pure unadulterated greed and selfishness. If they want gas they should pay for it with an elimination of all attendant taxes, which is very fair indeed.JLCpulse
Introduced by M. of A. GRAF, SALADINO, MONTESANO, RAIA, CALHOUN -- read
once and referred to the Committee on Environmental Conservation
AN ACT to amend the environmental conservation law, in relation to
establishing a set-aside for power generated through the process of
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. The environmental conservation law is amended by adding a
2 new section 23-0505 to read as follows:
3 S 23-0505. HYDRAULIC FRACTURING RESERVE.
4 1. FOR PURPOSES OF THIS SECTION, "HYDRAULIC FRACTURING" MEANS A PROC-
5 ESS USED TO CREATE FRACTURES IN ROCK BY MAN-MADE FRACTURING TECHNIQUES
6 FOR THE PURPOSES OF STIMULATING NATURAL GAS OR OIL WELL PRODUCTION.
7 2. FOR ALL HYDRAULIC FRACTURING PERMITS ISSUED UNDER THIS TITLE, TEN
8 PERCENT OF NATURAL GAS OR WELL OIL PRODUCED AS THE RESULT OF SUCH PROC-
9 ESS SHALL BE DIVERTED TO THE HYDRAULIC FRACTURING RESERVE, ESTABLISHED
10 IN SUBDIVISION THREE OF THIS SECTION. THE CONTRIBUTION OF GAS OR WELL
11 OIL MANDATED BY THIS SECTION SHALL BE AT NO COST TO THE STATE AND SHALL
12 NOT BE REIMBURSED EXCEPT IN THE INCIDENTAL EXPENSES INCURRED IN TRANS-
13 PORTATION OF SUCH GAS OR OIL IN ACCORDANCE WITH THIS SECTION.
14 3. THE COMMISSIONER SHALL ESTABLISH A RESERVE TO RECEIVE AND STORE
15 NATURAL GAS AND WELL OIL PRODUCED AS A RESULT OF HYDRAULIC FRACTURING.
16 SUCH RESERVE SHALL BE FOR THE EXCLUSIVE USE OF THE VARIOUS POWER AUTHOR-
17 ITIES OF THE STATE. THE COMMISSIONER, IN HIS OR HER SOLE DISCRETION,
18 SHALL DISTRIBUTE THE CONTENTS OF SUCH RESERVE PROVIDED:
19 A. THE NATURAL GAS OR WELL OIL DISTRIBUTED UNDER THIS SECTION SHALL BE
20 USED EXCLUSIVELY BY POWER AUTHORITIES FOR THE PRODUCTION OF ELECTRICITY;
22 B. THE COMMISSIONER SHALL IMPLEMENT RULES AND REGULATIONS REGARDING
23 THE DISTRIBUTION OF THE RESERVE AND SHALL DISTRIBUTE THE CONTENTS OF
24 SUCH IN A FAIR AND EQUITABLE MANNER.
25 4. ALL CONTRACTS AND PERMITS ISSUED FOR THE EXTRACTION OF NATURAL GAS
26 AND WELL OIL THROUGH THE PROCESS OF HYDRAULIC FRACTURING SHALL INCLUDE A
27 CLAUSE THAT EXPLICITLY DETAILS THE OBLIGATION OF THE PRODUCER TO
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
1 CONTRIBUTE TEN PERCENT OF SUCH PRODUCTION AND EXTRACTION TO THE RESERVE
2 AT NO COST TO THE STATE.
3 5. THE ATTORNEY GENERAL SHALL BE RESPONSIBLE FOR THE ENFORCEMENT OF
4 THIS SECTION.
5 S 2. This act shall take effect immediately