Senate Bills 147 & 148 first of three bills to pass in 2015-16 Legislative Session
HARRISBURG – Two bills protecting natural gas leaseholders across the state were unanimously approved today by the full state Senate, according to Senator Gene Yaw (R-23).
Yaw, who sponsored both legislative measures, said Senate approval of the bills was a clear sign that fair and proper treatment of landowners leased with natural gas drilling companies must remain paramount.
“These bills will give landowners more weapons to use in their arguments with the gas drilling companies that pay their royalties,” Yaw said. “We’ve tried to provide them with the tools that they can use to determine the accuracy of their royalty reports.”
As approved today, Senate Bill 147 would allow a royalty interest owner the opportunity to inspect records of a gas company to verify proper payment. In addition, the legislation requires that proceeds from production of oil and gas shall be paid within 90 days of production to ensure monthly royalty payments, unless otherwise stated in the lease.
Further, Senate Bill 148 would prohibit a gas company from retaliating against a royalty interest owner by terminating the lease agreement or ceasing development because a landowner questions the accuracy of the royalty payments.
Both bills now move to the House of Representatives for consideration.
Adam Pankake, 717-787-3280