HARRISBURG, Pa. – Pennsylvania gets poor grades for its response to the boom in shale gas drilling, but a pair of new reports could help communities prepare for the future.
The Multi-State Shale Research Collaborative, a partnership of Pennsylvania, Ohio and West Virginia, has issued a report card on shale gas policies, as well as a guide to help local governments facing gas drilling.
Jan Jarrett, a consultant to the Pennsylvania Budget and Policy Center, says right now there's a lull in the rapid expansion of drilling activity, but industry experts expect another boom when prices go back up.
As Jarrett put it, "Municipalities can stand back and say, 'OK, what can we do the next time it comes around? We know what it's going to be like, so how can we best prepare for that in the future?'"
On the state level, Pennsylvania got failing grades for its lack of an effective natural gas property-tax policy and its failure to mitigate the effects of the boom and bust on local communities.
As Jarrett points out, those fluctuations have left several communities in the state struggling to adjust.
"Where once there was lots of economic activity, new hotels built, lots of business at local restaurants, now all of a sudden, you see some experiencing real slumps," she said.
In contrast, West Virginia, which has both severance and property taxes on gas drillers, has created a fund to help communities deal with boom and bust cycles.
There are many questions about the future of shale gas drilling, but Jarrett says these reports will allow policy makers to take the best ideas from neighboring states and implement them in their own.
"That way, we can make sure that there's an even playing field across the three states to avoid a race to the bottom in terms of how the states are managing the impacts of drilling," Jarrett said.
The reports focus only on social and economic issues, and do not address the states' environmental or public-health policies.
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A new coalition of businesses and nonprofits in West Virginia is ready to create at least 3,000 new green industry jobs. They say they just need the funding to do so.
Brandon Dennison, founder and CEO of the nonprofit Coalfield Development, is leading the coalition called Appalachian Climate Technology (ACT Now). Dennison said the coalition is a finalist in the Biden Administration's Build Back Better Regional Challenge, and if selected will be awarded $100 million to jump-start the region's economy in expanding the solar industry, sustainably reclaiming former mine lands, retrofitting buildings to be more energy efficient, and attracting green manufacturers to the area.
"There's a unique opening in time right now, where we can really take a leap forward for this region, and that would have tremendously positive outcomes for our country," Dennison asserted. "And if you think about it from a climate-change perspective, really positive outcomes for our planet. "
Dennison added they will find out if they've been selected in the next few months.
Numerous studies have pointed to renewable energy such as wind and solar as a way to create good-paying jobs for Appalachian communities left behind. One report released by the National Renewable Energy Laboratory found the Mountain State has the potential to create thousands of jobs in solar energy, wind energy, battery storage and energy efficiency.
Dennison noted many West Virginians are not counting on coal as a means to support their families or supply the next generation with a livelihood.
"In many ways, we've sort of gone through the stages of grief with the coal industry, and come to an acceptance that coal is never going to be what it was," Dennison observed. "We might not be happy about that, but if we are going to survive, we're going to have to adapt."
Federal data show U.S. coal production has decreased by more than 24% since 2019.
Since then, the average number of employees at U.S. coal mines decreased by more than 10,000 employees. Supporters of the coal industry argued fossil fuels are essential to keeping Americans' power supply affordable.
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Pennsylvania's budget deadline is looming on Thursday. Gov. Tom Wolf is calling for a minimum-wage increase that would get the state to $15 an hour by 2028.
A new brief gives a profile of the workers who would benefit.
The analysis from Keystone Research Center found an estimated 1.46 million Pennsylvania workers would see higher wages through the increase.
Keystone Research Center Senior Research Analyst Claire Kovach said the workers who would most benefit are the ones who were deemed essential during the pandemic, such as those in health care, retail, social services and more.
She said the state minimum wage has been stagnant for far too long.
"One of the minimum wage jobs that I worked 12 years ago is still advertised at $7.25 per hour today," said Kovach. "So the minimum wage worker who stands where I stood a dozen years ago, they're getting paid a wage with around 25% less buying power than I was back then."
The increase to $15 by 2028 would amount to a $3,800 raise for the average-year round worker, Kovach said.
If passed, the gradual increase would start with a boost to $12 an hour in July. Opponents to a minimum wage increase are concerned about the costs to businesses.
The brief also finds that across the proposed minimum wage increase from July 2022 to July 2028, an estimated $30 billion would be put back into the state economy.
Kovach added that with inflation climbing and more Pennsylvanians experiencing financial insecurity, an increased minimum wage could be a lifeline for families.
"There's an interesting thing that happens when you give low-wage workers a raise," said Kovach. "They don't store this money in off-shore accounts. This money is spent directly back into the economy and actually generates more economic movement and more economic benefits for communities than some other economic stimulus items."
The Massachusetts Institute of Technology's Living Wage calculator shows that today, a single adult in Pennsylvania needs to earn nearly $17 per hour to support themselves - while a single adult with one child needs nearly $33 per hour to support their family.
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There are fewer than five months to go until the November General Election, in which Pennsylvania voters will select a new governor and U.S. Senator.
A new poll commissioned by AARP Pennsylvania showed how residents over 50 are feeling about the candidates and the issues. In the 2018 midterm elections, Pennsylvanians age 50 years and older made up 61% of all voters in the state.
The AARP poll includes views about this year's political races, including the contest for governor, with Democratic Attorney General Josh Shapiro and Sen, Doug Mastriano, R-Franklin. Shapiro leads Mastriano by three points.
Bob Ward, partner and pollster at Fabrizio Ward, said for voters over 50, it is an even closer race.
"There's a one-point lead for Shapiro over Mastriano," Ward reported. "And so, 50-plus voters, due to their size but also sort of the competitive nature of where the election is in the governor's race, will be impactful. Candidates need to pay attention to what's important to these voters."
In the Senate race, Democratic Lieutenant Gov. John Fetterman has a six percentage-point lead over Republican TV personality Mehmet Oz. And 77% of those polled believe the state is "moving in the wrong direction."
Some 30% of Pennsylvania voters polled said the economy is working well for them. However, one of their biggest concerns, which may influence their votes in November, is rising prices. For Republicans polled, it is their highest priority, while Democrats cite gun safety as their top issue.
Matt Hogan, partner and pollster at Impact Research, said the results also show inflation is still a cross-party worry.
"When we test it on its own and ask them to rate the importance, we certainly see it's a dominant issue with Democrats as well, it just doesn't rise to quite the top when we ask them to pick which is the most important," Hogan explained. "We definitely see a surge in guns [as an important issue] following Uvalde."
Other issues emerging as important to voters include immigration for Republicans, and abortion access and honesty in government for Democrats. The survey, which reached nearly 1,400 likely Pennsylvania voters, was conducted this month via landline, cellphone and text message.
Disclosure: AARP Pennsylvania contributes to our fund for reporting on Budget Policy & Priorities, Consumer Issues, Livable Wages/Working Families, and Senior Issues. If you would like to help support news in the public interest,
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