Money-Loser: Wastewater ban will cost Auburn’s ratepayers next year | syracuse.com

Money-Loser: Wastewater ban will cost Auburn’s ratepayers next year | syracuse.com.

Money-Loser: Wastewater ban will cost Auburn’s ratepayers next year

Published: Monday, July 25, 2011, 5:00 AM

Wow! Auburn rocks! The council sure struck a blow against hydrofracking, didn’t it, when it voted July 7 to ban accepting wastewater from natural gas wells at the municipal sewage treatment plant?

Well, not exactly. Not at all, in fact.

What do you mean? It voted to stop treating the polluted wastewater from those controversial wells, right?

Uh, no. The water isn’t coming from horizontal-well hydrofracking — which isn’t going on in New York. It’s from conventional, vertical gas wells that have been operating in Upstate New York for years.

But the Cayuga Anti-Fracking Alliance says the Auburn plant isn’t equipped to handle the high salt concentrations, the radioactive agents and cancer-causing chemicals in the wastewater.

The plant employs a certified laboratory to sample effluent during both high-flow and normal-flow days. Vicky L. Murphy, director of municipal utilities, wrote last month that sampling for 33 “volatiles” (including benzene and toluene) and 13 metals detected no traces of volatiles on a normal flow day. Traces of Radium-226 and the metal barium were detected — in concentrations well below permissible state levels. High-flow testing detected three volatiles, three metals and Radium-226 — all below DEC permissible levels, Murphy said. She also noted that the Auburn plant complies with all state and federal regulations.

How can you be so confident it’s safe?

Auburn has been treating the water for 10 years. The wastewater amounts to less than 1 percent of the plant’s total water flow.

Then why did the council members vote for the ban?

Ask them. Some speculation: Democratic Mayor Mike Quill, a voting member, is up for re-election this year, and anti-fracking advocates have raised quite a fuss. Plus, his opponent is for the ban.

Anyway, what harm can a ban do?

Well, there’s the small matter of the $600,000 or so the city earns each year from the drillers — about one-fifth of the sanitation department’s budget. City residents will have to make it up somehow.

Indeed, on Wednesday, Auburn property owners learned they will be getting an increase in sewer rates. City Manager John Rossi said the unspecified increase was included in next year’s budget because of the anticipated shortfall in revenue from natural gas drillers.

@#$%&*! Can we have a do-over, please?

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Taxpayer51 July 25, 2011 at 7:11AM

The Auburn Mayor and City Council caved to the enviro-wacko crowd. Their vote to ban wastewater had nothing to do with the facts or the impact on taxpayers, but instead with their fear of the (largely from Ithaca) protestors and other squeaky wheels. Its unfortunate for taxpayers and people looking for jobs, but not surprising — they are politicians after all.

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romans 8:37 July 25, 2011 at 7:53AM

Exactly tax…they are politicians first and they will do ANYTHING to get reelected, it matters not if they are small hamlet politicians or Albany or DC they are all first and formost concerned ONLY with getting their sorry butts to stay in office and it doesnt matter what party they are from, vote them all out. As Will Buckley once said ( I’ll paraphrase) he’d rather be governed by the first 200 names in the phonebook than by the current thieving thugs. Politicians are overpaid ( mostly millioniare lawyers) maggots living off the common man.

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4ENTERTAINMENTPURPOSESONLY July 25, 2011 at 8:13AM

and what Congel has done or has not done at the Carousel Center Mall expansion, AKA Destiny USA phase one, Brownfield Cleanup program participant, the The Post-Standard Editorial Board is OK with that?

I only ask because it seems that the The Post-Standard Editorial Board is more interested in the money side of stories than the public health issues side of the stories…

Here is a little hint for the The Post-Standard Editorial Board ‘it ain’t always about the money’…..

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keepwaterclean July 25, 2011 at 8:27AM

The plant would still be dumping, not treating, the salt ultimately into the Seneca River. The plant, designed for treating biological waste, was essentially relying on dilution since running the water through the plant did little or nothing to the waste water. The Seneca is used by farmers for irrigation and by many others for various purposes. It also flows very near some important wells which provide drinking water to considerable numbers of people.

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lattimoron July 25, 2011 at 6:14PM

I would have thought the editorial board of the post standard would have done a little more research into the issue. For example the total revenue this year from the waste water was $150k – much small than 600K. But hey why left the facts stand in the way of a good story?

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artistandy7 July 25, 2011 at 6:44PM

@#$%&*! check your facts please. the gas companies left because they were out of compliance- before the city council had the chance to prohibit them, they were already gone because they broke regulations- the money was already gone- if auburn counted on that money being in the budget they would be screwed because they cannot count on the gas companies to be in compliance with regulations- how many ways do i have to say this? did an actual “reporter” write this editorial piece? because it failed the research test. there is VIDEOTAPE of vicki murphy explaining this to the city council in auburn. go check it out before you write again on this subject, please.

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Harry_Brate_67 July 26, 2011 at 8:10AM

The misguided Auburn City council acted with total disregard to the consequences in their vote on an issue they did not understand and without regard to the recommendations of the city engineer. Instead they responded to the outside non taxpaying mob that invaded the city council meeting. Their lack of knowledge about what they voted on is deplorable. They have not acted in the best interest of Auburn’s taxpayers and they should be ashamed of their cavalier attitude to the taxpayers. Their actions will be remembered both for the added burden they have placed on the taxpayers and the jobs they have put at risk. Just my opinion.

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nyswaterranger July 26, 2011 at 12:05PM

The three members of council cast their votes after recognizing that the city’s wastewater treatment plant was neither designed, maintained nor constructed to accept such water. They recognized that the natural gas drilling companies could not meet the rules and regulations of the plant. In April, the city cited six firms for failing to submit any monitoring reports for some of 2009 and all of 2010. During that time 16 million gallons of flowback fluid was discharged into the plant. Once the city workers started calling their attention to it (spurred on by an article in the NY Times), many stopped delivering–what does that say? The three remaining firms continued to be out of compliance either by continuing their practice of not submitting the required reports or that the wastewater contained pollutant levels that were unacceptable at the plant. All stopped bringing the wastewater before the ban–at Vicky Murphy’s insistence. By that time, the city was making $150,000 over a six-month period. The $600,000 figure is complete conjecture and not rooted in fact. I contend that the three councilors absolutely acted with the interests of their citizens in mind. This money could not be counted upon.
Also, I resent being referred to as a member of an outside non taxpaying mob. I brought my check to pay my city taxes to the comptroller’s office a month ago. In this case, common sense, reason and logic trumped tainted money and corporate greed. It’s about time someone stood up for the people. I commend Mayor Michael Quill and councilors Gilda Brower and Thomas McNabb for making their decisions based on facts and not emotion.

Arkansas commission votes to shut down natural gas drilling wastewater wells | syracuse.com

Arkansas commission votes to shut down natural gas drilling wastewater wells | syracuse.com.

Arkansas commission votes to shut down natural gas drilling wastewater wells

Published: Wednesday, July 27, 2011, 7:32 PM     Updated: Wednesday, July 27, 2011, 11:29 PM

EL DORADO, Ark. (AP) — The Arkansas Oil and Gas Commission voted Wednesday to close a well that’s used to dispose of natural gas fluids and ban others from being drilled in a gas-rich area north of Conway where hundreds of earthquakes have struck.

Commissioners voted 6-0 to close a disposal well between Greenbrier and Enola that’s operated by Deep-Six Water Disposal Services, a subsidiary of Oklahoma City-based Hurst Oil Investments Inc., the Arkansas Democrat-Gazette reported.

The moratorium would not affect the drilling of natural gas wells, but it would change how fluids from the process are disposed.

Gas companies have tapped reserves of natural gas in the Fayetteville Shale in central Arkansas by injecting water and chemicals under high pressure to fracture the shale, a process known as hydrofracking. Those fluids are injected into separate wells for disposal.

With a moratorium, companies would have to use trucks to get the fluids to injection wells elsewhere in Arkansas or in Oklahoma or Texas, Commission Deputy Director Shane Khoury said before Wednesday’s vote.

The commission pinpointed four wells in central Arkansas that it said needed to be closed. Companies operating three of the wells agreed to close them voluntarily by Sept. 30. Deep-Six, which operates the fourth, says its disposal well doesn’t cause any seismic activity, the Democrat-Gazette reported.

Haydar al-Shukri, director of the Arkansas Earthquake Center at the University of Arkansas-Little Rock, testified Wednesday that his testing recorded nearly 10,000 small seismic events near the Deep-Six well. Most were too small for humans to notice.

Only 280 of those seismic events happened within three miles of the well, a sign that the well wasn’t the cause of most of them, al-Shukri said. “Because of this, I believe at this point, with this data, that there is no correlation,” al-Shukri said.

But Commissioner Mike Davis said the commission had to act to close the well after hearing two days of testimony on whether the injection of fluids was causing earthquakes. A magnitude-4.7 earthquake in February near Greenbrier was the most powerful to hit the state in 35 years. “Our first and foremost obligation is to the safety of the citizens of the state of Arkansas,” Davis said.

And commission director Lawrence Bengal said the Deep-Six well was within the “geologic fabric” of the region and could contribute to earthquakes near Guy and Greenbrier even if the well was several miles from the fault.

“As director, it is not my desire to permit another Guy-Greenbrier swarm to occur,” Bengal said. “I have made my recommendation on a proactive effort in the case of Deep-Six that that not be allowed to occur.”


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State Tax Implications of Marcellus Shale: What the Pennsylvania Data Say in 2010

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Review & Outlook: A Tale of Two Shale States – WSJ.com

Review & Outlook: A Tale of Two Shale States – WSJ.com.

Politicians wringing their hands over how to create more jobs might study the shale boom along the New York and Pennsylvania border. It’s a case study in one state embracing economic opportunity, while the other has let environmental politics trump development.

The Marcellus shale formation—65 million acres running through Ohio, West Virginia, western Pennsylvania and southern New York—offers one of the biggest natural gas opportunities. Former Pennsylvania Governor Ed Rendell, a Democrat, recognized that potential and set up a regulatory framework to encourage and monitor natural gas drilling, a strategy continued by Republican Tom Corbett.

More than 2,000 wells have been drilled in the Keystone State since 2008, and gas production surged to 81 billion cubic feet in 2009 from five billion in 2007. A new Manhattan Institute report by University of Wyoming professor Timothy Considine estimates that a typical Marcellus well generates some $2.8 million in direct economic benefits from natural gas company purchases; $1.2 million in indirect benefits from companies engaged along the supply chain; another $1.5 million from workers spending their wages, or landowners spending their royalty payments; plus $2 million in federal, state and local taxes. Oh, and 62 jobs.

Statistics from Pennsylvania bear this out. The state Department of Labor and Industry reports that Marcellus drilling has created 72,000 jobs between the fourth quarter of 2009 and the first quarter of 2011. The average wage for jobs in core Marcellus shale industries is about $73,000, or some $27,000 more than the average for all industries.

The Pennsylvania Department of Revenue says drillers have paid more than $1 billion in state taxes since 2006—and the numbers are swelling. In 2011’s first quarter, 857 oil and gas companies and affiliates paid $238 million in capital stock and foreign franchise taxes, corporate income taxes, sales taxes and employer withholding. This exceeds by some $20 million the total payments in 2010.

The revenue department also identified some $214 million in personal income taxes paid since 2006 that can be attributed to Marcellus shale lease payments to individuals, royalty income and asset sales. And all of this with no evidence of significant environmental harm.

***

Then there’s New York. The state holds as much as 20% of the estimated Marcellus shale reserves, but green activists have raised fears about the drilling technique known as hydraulic fracturing and convinced politicians to enact what is effectively a moratorium.

Getty Images

A Minard Run Oil Company drilling team lowers steel pipe sections into a recently drilled 2100 foot gas well to “notch” the side walls before a high pressure fracturing takes place in Pleasant Valley, Pennsylvania in 2008.

The Manhattan Institute study shows that a quick end to the moratorium would generate more than $11.4 billion in economic output from 2011 to 2020, 15,000 to 18,000 new jobs, and $1.4 billion in new state and local tax revenue. These are conservative estimates based on a limited area of drilling. If drilling were allowed in the New York City watershed—which Governor Andrew Cuomo is so far rejecting—as well as in the state’s Utica shale formation, the economic gains would be five times larger.

Consider New York’s Broome County, which borders Pennsylvania and from which you can spot nearby rigs. The county seat of Binghamton ought to be a hub for shale commerce, but instead its population is falling as its young people leave for jobs elsewhere.

A study commissioned by the county in 2009 found that Broome could support up to 4,000 wells, but drilling even half that number would create some $400 million in wages, salaries and benefits; $605 million in property income from rents, royalties and dividends, and some $43 million in state and local tax revenue.

The Broome analysis pointed to Texas, where Chesapeake Energy paid Dallas Fort Worth International Airport $180 million for drilling rights on 18,000 acres of airport property—$10,000 per acre. The airport receives a 25% royalty on the natural gas produced by airport wells—more than $28 million in fiscal 2008. The study also noted the boon that rising oil and gas property values have been to Texas landowners, tax authorities and school districts.

***

Governor Cuomo has said he wants to lift New York’s moratorium, and the state’s recently released draft rules are a step forward. But they must still undergo legal review and a public comment period that could bar New York drilling for the rest of this year, if not longer. New York will also still ban drilling in about 15% of the state’s portion of the Marcellus and impose more onerous rules than other states on private property drilling. Such bows toward the obsessions of rich, big-city greens explain why parts of upstate New York are the new Appalachia.

As they look across their northern border, Pennsylvanians can be forgiven for thinking of New Yorkers the way Abba Eban once described the Palestinians: They never miss an opportunity to miss an opportunity.

Citizens demand Marcellus drilling ban in W.Va. – GreenwichTime

Citizens demand Marcellus drilling ban in W.Va. – GreenwichTime.

 

Citizens demand Marcellus drilling ban in W.Va.

Published 12:20 a.m., Tuesday, July 26, 2011

Niagara Falls Reporter: Frack

Niagara Falls Reporter: Frack.

 

NIAGARA FALLS WATER AUTHORITY HIRES PR FIRM TO HELP SELL DUMPING ‘FRACK’

 

Committee to Preserve the Finger Lakes BLOG

BLOG.

Committee to Preserve the Finger Lakes

Fracking’s air quality impacts debated

Fracking’s air quality impacts debated.