THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY PETRI, OCTOBER 18, 2011

REFERRED TO COMMITTEE ON ENVIRONMENTAL RESOURCES AND ENERGY, OCTOBER 18, 2011  

AN ACT

Amending the act of December 15, 1955 (P.L.865, No.256),

entitled "An act requiring rents and royalties from oil and

gas leases of Commonwealth land to be placed in a special

fund to be used for conservation, recreation, dams, and flood

control; authorizing the Secretary of Forests and Waters to

determine the need for and location of such projects and to

acquire the necessary land," further providing for the Oil

and Gas Lease Fund; providing for reallocation of moneys in

fund and for lease auctions; and making editorial changes.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  The title of the act of December 15, 1955

(P.L.865, No.256), entitled "An act requiring rents and

royalties from oil and gas leases of Commonwealth land to be

placed in a special fund to be used for conservation,

recreation, dams, and flood control; authorizing the Secretary

of Forests and Waters to determine the need for and location of

such projects and to acquire the necessary land," is amended to

read:

AN ACT

Requiring rents and royalties from oil and gas leases of

Commonwealth land to be placed in a special fund to be used

for conservation, recreation, dams, and flood control;

authorizing the Secretary of [Forests and Waters]

Conservation and Natural Resources to determine the need for

and location of such projects and to acquire the necessary

land.

Section 2.  Section 1 of the act is amended to read:

Section 1.  "Oil and Gas Lease Fund."

(a)  Establishment.--All rents and royalties from oil and gas

leases of any land owned by the Commonwealth, except rents and

royalties received from game and fish lands, shall be placed in

a special fund to be known as the "Oil and Gas Lease Fund" which

fund shall be exclusively used for conservation, recreation,

dams, or flood control [or to match], for matching any Federal

grants which may be made for any of the aforementioned purposes

or the purposes authorized under section (1.1).

(b)  Appropriation.--

(1)  All moneys from time to time paid into the "Oil and

Gas Lease Fund" are appropriated on a continuing basis to the

Department of Conservation and Natural Resources to carry out

the purposes of this act.

(2)  The Department of Conservation and Natural Resources

shall utilize annually at least 75% but no more than

$100,000,000 of the rents and royalties received under

subsection (a) for ongoing operation and maintenance projects

within the State forest system.

Section 3.  The act is amended by adding sections to read:

Section 1.1.  Transfer.

On July 1, 2012, and each July 1 thereafter, an amount equal

to $50,000,000 of the rents and royalties received under section

1(a) shall be transferred to the Pennsylvania Historical and

Museum Commission and allocated as follows:

(1)  Seventy-five percent to be used for infrastructure

improvements to sites operated by the Pennsylvania Historical

and Museum Commission.

(2)  Twenty-five percent to be available for grants for

historical preservation and museum assistance.

Section 1.2.  Lease auctions.

The Department of Conservation and Natural Resources shall

not enter into any new auctions for the leasing of oil and gas

development on land owned by the Commonwealth for five years

from the effective date of this section.

Section 4.  Sections 2 and 3 of the act are amended to read:

Section 2.  Duties of the Secretary of Conservation and Natural

Resources.

[It shall be within the discretion of the] The Secretary of

[Forests and Waters] Conservation and Natural Resources shall

have the discretion to determine the need for and the location

of any project authorized by this act. The Secretary of [Forests

and Waters] Conservation and Natural Resources shall have the

power to acquire in the name of the Commonwealth by purchase,

condemnation or otherwise such lands as may be needed.

Section 3.  Use of fund.

[All] Except as otherwise provided under section 1.1, the

moneys from time to time paid into the "Oil and Gas Lease Fund"

are specifically appropriated to the Department of [Forests and

Waters] Conservation and Natural Resources to carry out the

purposes of this act.

Section 5.  This act shall take effect in 60 days.