The Chesapeake Bay Foundation believes that the following policies and funding must be part of any final state budget agreement:

1. Enacting the proposed natural gas severance tax and dedicating a portion of these funds to the Environmental Stewardship Fund and to affected local governments.The natural gas industry must pay its fair share of taxes, yet Pennsylvania is one of only two states that allow natural gas drilling without assessing a severance tax to compensate for the depletion of a nonrenewable resource and for damage to natural resources and public infrastructure. There is no evidence to suggest that a modest severance tax (5 percent of the value at the wellhead plus 4.7 cents per 1,000 cu. ft.) will be a real disincentive to the development of this industry in the Commonwealth. Please call your party leadership and urge them to include a severance tax in the final budget.

2. Ensuring that the budgets of Pennsylvania’s two environmental agencies, the Department of Conservation and Natural Resources and the Department of Environmental Protection, and the Department of Agriculture, are not subject to cuts disproportionate to other state agencies. CBF understands that tough economic conditions require difficult choices for the state budget. But it is essential that DEP, DCNR, and PDA receive cuts that are fair and comparable to other Pennsylvania agencies. Each serves critical governmental functions. Please advocate for fair budget decisions for these agencies with your leadership.

3. Safeguarding State Forest lands from proposals to open additional publicly owned acres to gas drilling until potential impacts can be assessed and appropriate protections can be put in place.The impacts of gas drilling on the 660,000 acres of publicly owned State Forest already open for drilling have yet to be assessed. CBF strongly opposes proposals to open up additional acres of State Forest lands to drilling that are outside of carefully developed plans by DCNR that would ensure that new leases will avoid environmentally sensitive and ecologically important areas and minimize impacts of drilling and related activities on other forest values and uses. Moreover, all revenue derived from drilling on State Forest lands must be reinvested in conservation, recreation and flood control consistent with longstanding state policy. Please urge your leadership to oppose any budget proposals that put short-term gain ahead of the responsible management of our public lands.

4. Maintaining small but critical PDA and DEP programs that assist farmers in complying with soil and water quality regulations while reducing nonpoint source pollution is needed to prevent tremendous economic hardship for farmers.While many environmental and conservation groups have already expressed the first three positions described above, we are compelled to include a fourth. Local and Chesapeake Bay pollution budgets (TMDLs) are driving significant regulatory requirements for Pennsylvania farmers as a time of economic crisis, particularly for dairy farmers who are going out of business in record numbers due to extended low milk prices. Without robust Conservation Districts, Nutrient Management assistance, and REAP tax credits this year and in the coming years, compliance will be a severe hardship. Please ensure your leadership understands that family farmers should not face dramatic budget cuts for conservation programs in the face of more stringent environmental requirements.

Thank you for your consideration during the budget negotiations. Please do not hesitate to contact CBF or any other conservation and environmental organizations that have contacted you on these issues. We appreciate your work to protect Pennsylvania’s environment.