Yesterday Pennsylvania Governor CorBUTT announced his budget for fiscal year 2011-2012. In this budget education was hit hard. A proposed 270 million dollar cut to the PA state system of higher education and 550 million from K-12. In the Governor's address yesterday he had this to say:
"Limited government means not mistaking someone else’s property for your own. There has been much pressure to tax the gas being drawn from the Marcellus Shale. The Marcellus is a resource, a source of potential wealth, the foundation of a new economy. Not just something new to tax.
Pennsylvania can become a center not just of resources but a center of the industry that backs up those resources. For every pipe running a mile underground we should have jobs at distribution centers, at refineries, at shipping ports, and the offices and companies that run them.
These resources, by the way, belong to the people who own the mineral rights. Those people are getting their fair share by working out their own leases with the companies doing the drilling. That’s how it should be. That’s the American way. What Pennsylvanians will gain is the jobs, the spin offs, and if we don’t scare off these industries with new taxes, the follow-up that comes along. You see underneath the Marcellus Shale is another bonanza. It’s called the Utica Shale. And where Marcellus promises 50 years of energy the Utica promises riches going into the next century. Let’s make Pennsylvania the hub of this boom. Just as the oil companies decided to headquarter in one of a dozen states with oil … let’s make Pennsylvania the Texas of the natural gas boom. I’m determined that Pennsylvania not lose this moment. We have the chance to get it right the first time, the chance to grow our way out of hard days."
http://www.wtae.com/r/27120633/detail.htmlSo he wants Pa to be the Texas of the Natural Gas Boom....ah note to the Governor...Texas has a severance TAX on natural gas extraction of 7.5% and they apply it to education!!!!
http://www.alleghenyconference.org/PEL/PDFs/NaturalGasSeveranceTax021009.pdfhttp://www.aolnews.com/2011/03/08/tom-corbett-budget-5-painful-cuts-in-pennsylvania/