Maximizing Economic Impact

Shale development has had an undeniable economic impact on the United States, including: increased energy supply, improved energy security, consumer savings and job creation--along with making our country’s manufacturing industry more competitive. The oil and natural gas industry is directly increasing the U.S. GDP, providing significant tax revenue to states and communities, and helping family-operated farms across Pennsylvania.

Natural gas is clean, abundant, cheap, and has become the primary source for U.S. power generation. Natural gas surpassed coal as the leading fuel for electricity in 2016, which was the first time in U.S. history.

 

 
Royalties & Payments 

Shale development is a partnership that goes beyond Range and its contractors; it’s a partnership with the communities where our employees live and work. These partnerships have brought great opportunities for lessors, local governments and community members. Since 2006, Range has paid more than $2 billion in leasing and royalty payments across Pennsylvania. The majority of those dollars were distributed in Range’s core operating area of Washington County, where a total of $1.6 billion dollars has gone to lessors. 

A significant amount of those dollars have been directly paid to local governments. Between 2003-2018, Washington County received nearly $40 million from county-owned properties that have been leased, including Cross Creek County Park, where Range has drilled more than 30 wells. Recently the county was able to build and open a new boat launch and recreation area in Cross Creek using funds that originated almost exclusively from royalty payments from wells Range drilled. The county is also constructing a new “Discovery Cove” feature at Cross Creek, which will include a boardwalk, trail and fishing pier at the public park.

 
Pennsylvania Impact Fee and Taxes

In Pennsylvania, the oil & gas industry has paid nearly $1.5 Billion in impact fees since the inception of the fee. Specifically, Range has paid more towards the impact fee than any other operator, totaling over $180 million in total fees since 2011. 

The impact fee dollars directly benefit areas with the most shale development activity. Washington County, Range’s core operating area, has received approximately $50 million since 2011. Some municipalities in Washington County have received more than $500,000 a year in impact fee dollars largely due to Range’s activity in the region.

This money has been used to build new bridges, improve community parks and support first responders along with funding important initiatives like environmental projects and housing initiatives. The impact fee is helping to improve lives on a local level, some elected officials have even called it “a godsend.” 

PUC Range

According to the Pennsylvania Department of Revenue, state income tax collections on royalties paid to landowners totaled $235 million from 2007-2012 alone. When totaled, producers paid about $7.7 billion in lease bonuses and royalties across Pennsylvania.

  • $1.2 billion in impact fees paid over the past six years
  • More than $2.1 billion in tax revenue generated in Pennsylvania through 2013
  • $700+ million in royalties from shale development on public lands

To read more about the impact fee see:
Pennsylvania Impact Fee Improves Lives in Local Communities
PUC: Interactive Impact Fee Site

Washington County, Pennsylvania 

The pioneering of the Marcellus Shale in Washington County, PA has helped inject billions of dollars into the county through investments, capital expenditures, royalties and impact fee dollars. 

Washington County leads the state of Pennsylvania in Shale wells drilled last year, Natural Gas Liquids production, impact fees collected; and Range's operations are the driver for those metrics.