Oct. 06, 2015
HARRISBURG – Rep. Jim Christiana (R-Beaver/Washington) today issued the following statement in response to Gov. Tom Wolf’s latest severance tax proposal, which is expected to be included as part of a tax package expected for a vote in the state House Wednesday:
“Gov. Wolf’s latest severance tax plan is no compromise; it’s the same reckless policy repackaged in shiny paper. A 3.5 percent severance tax, plus 4.7 cents per thousand cubic feet plus the impact fee at current market prices, equals the governor slapping a 14.7 percent tax on an industry.
“The governor’s 14.7 percent severance tax is not even within the realm of reasonable, especially when combined with the second-highest Corporate Net Income Tax rate in the country. The governor continues to ignore all the truck drivers, pipe fitters and electricians who rely on this industry to further his political agenda.
“Kicking an industry in the teeth when it’s laying off our constituents while justifying it with an opinion poll exposes Gov. Wolf’s lack of executive leadership. Taxing the natural gas industry in Pennsylvania today makes as much sense as if we had assessed a punitive tax on the housing industry in 2009 or the airline industry in 2002.
“His Democrat allies in the House support his true intentions. Minority Chairman of the House Environmental Resources and Energy Committee Rep. Greg Vitali (D-Delaware) exposed these intentions before the U.S. Environmental Protection Agency at a Clean Power Plan hearing on Sept. 30, when he said, ‘We need a severance tax because when you tax something you curb the incentive for further use.’ The governor should be transparent about his real intentions to drive the natural gas industry out of Pennsylvania and to prop up wind and solar power. And to prove this point, we have to look no further than his own proposal, which earmarks severance tax revenues for handouts to wind and solar companies – not education. ”
Representative Jim Christiana
15th Legislative District
Pennsylvania House of Representatives
Media Contact: Abbey Haslam
717.260.6222
ahaslam@pahousegop.com
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