PRINTER'S NO. 2250
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1570
Session of
2015
INTRODUCED BY GROVE, BLOOM, PHILLIPS-HILL, JOZWIAK, KLUNK,
MUSTIO AND SAYLOR, SEPTEMBER 29, 2015
REFERRED TO COMMITTEE ON ENVIRONMENTAL RESOURCES AND ENERGY,
SEPTEMBER 29, 2015
AN ACT
Providing for the leasing of State forest and park land for oil
and natural gas development to fund school districts.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Short title.
This act shall be known and may be cited as the Education
Reinvestment Act.
Section 2. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Company." An entity doing business within this Commonwealth
and subject to tax under Article III, IV or VI of the act of
March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
1971.
"Department." The Department of Conservation and Natural
Resources of the Commonwealth.
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"Horizontal directional drilling." As defined in section 1
of the act of December 10, 1974 (P.L.852, No.287), referred to
as the Underground Utility Line Protection Law.
"Restricted fund account." The Education Reinvestment Fund
Account established under section 4.
"Secretary." The Secretary of Conservation and Natural
Resources of the Commonwealth.
Section 3. Horizontal drilling under State lands.
(a) Program established.--The department shall establish a
program for the leasing of subsurface rights under State forest
and park property for oil and gas development from horizontal
directional drilling originating from well sites outside the
State forest or park property.
(b) Lease approval.--The secretary shall have exclusive
authority to approve or disapprove any lease under this act. The
secretary shall provide in writing to the company the reason for
the disapproval of a lease.
(c) Resubmission upon disapproval.--The following shall
apply:
(1) A company may resubmit a lease to the department
after the company has reasonably attempted to meet the
conditions for the secretary's approval.
(2) A lease shall be considered approved upon the
company's fourth resubmission and subsequent disapproval,
unless the secretary provides clear and convincing evidence
that the company has failed to make reasonable attempts to
meet the secretary's concerns.
Section 4. Education Reinvestment Fund Account.
(a) Establishment.--The Education Reinvestment Account is
established as a restricted account in the General Fund.
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(b) Sources.--The following shall be deposited into the
restricted fund account:
(1) Payments collected from a lease under this act.
(2) Any money appropriated by the General Assembly for
purposes of this act.
(3) Any interest accumulated by money in the restricted
fund account.
(c) Nonlapse.--The money in the restricted fund account is
hereby appropriated on a continuing basis to the department for
distribution to school districts under section 5. This
appropriation shall not lapse at the end of the year.
(d) Certification.--The secretary shall certify the amount
in the restricted fund account by May 1 of each year.
Section 5. Distribution of account.
The Department of Education shall distribute an amount to
each school district using the following formula:
(1) Divide:
(i) the total payments collected under section 4 in
the account;
(ii) by the aggregate real estate property tax
collected by school districts from the 2012-2013 fiscal
year.
(2) Multiply:
(i) the quotient under paragraph (1); by
(ii) the total aggregate real estate tax collection
by each individual school district from the 2012-2013
fiscal year.
Section 6. Construction.
Nothing in this act shall be construed to prohibit oil and
gas drilling on State forest and park property in accordance
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with the laws of this Commonwealth.
Section 7. Effective date.
This act shall take effect in 60 days.
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