PA Environment Digest Blog: DCNR House Budget Hearing: House Republicans Proposed More Shale Drilling In State Forest Land, Under State Parks; Gas Drilling Has Caused The Loss Of 30,000 Acres Of Core State Forest Land So Far

At the March 2 House Appropriations Committee hearing on DCNR’s FY 2026-27 budget request, House Republicans again proposed expanding shale gas drilling on State Forest land and under State Parks as a way to raise money for DCNR operations.

Current Drilling

Rep. Jamie Barton (R-Berks) started the discussion by asking for the status of shale gas drilling on DCNR land and the income to the Oil and Gas Lease Fund.

DCNR Secretary Cindy Adams Dunn replied-- “The average [revenue] over the years is about $95 million. So this year is better than average. We're estimating $104 million this year.

“The budget year that we're sitting in now that we're coming out of was exceptionally high at $145 million due to situations [war] in Europe and Russia and things beyond our control.

“So it is like any energy fund, it's up and down and up and down.”

John Norbeck, DCNR Deputy Secretary for Parks and Forestry, said DCNR has about 160 shale gas well pads on State Forest Land with almost 684 shale gas wells as part of 74 leases that cover 236,00 acres of State Forest land.

About 37% of the existing leases have not yet been developed..

He added DCNR has about 40 submerged land agreements to allow pipelines to cross under rivers and streams anywhere in the state with about 500 well bores underneath those river lands.

Norbeck said those requests come in periodically and DCNR continues to sign those leases for specific under-stream crossings.

Ending/Changing The Moratorium

Rep. Eric Davanzo (R-Westmoreland) said-- “We maintain a moratorium on new leasing on our state parks and state forest originating under Governor Randell. Development continues in existing areas, but no new expansion of new state leasing.

“Meanwhile, neighboring states are actively promoting development.

“For instance, Ohio has aggressively opened up state-owned lands for development and has streamlined permitting through jobs Ohio incentives.”

Secretary Dunn replied-- “We've had the moratorium in place since, like you mentioned, the end of the Randell era, and it continued through the Corbet Administration and continued the Wolf Administration, and now the Shapiro Administration.

“And we have about, as John Norbeck, I think mentioned in passing, there's about 37% left of the leases we have that haven't been developed.

“And then as someone else mentioned, we do facilitate the under river leases when they come up. Wherever they come up, we'll facilitate that.

“So there's still a lot of activity, still a lot of using the same pads and the same leases, still a lot of expansion, and there's some amendments to the existing leases. So there's a lot of activity.

“And in our view, it's adequate for right now and it doesn't hold Pennsylvania back, put it that way, on oil and gas development.”

“So if you look at the state forest lands of Pennsylvania, really the biggest concentration is northcentral and the Marcellus and Utica range includes northcentral, but wraps down around the western border of Pennsylvania and then down into the southwest.

“So a lot of Pennsylvania's, especially recent oil and gas development has actually not been on state forest land with or without the moratorium.

“So a lot of the action is in places where we don't have as much state forest land. So our effect on this isn't as great as maybe as thought by some people.”

Rep. Davanzo followed-up by asking-- “So I know you can't lift the moratorium, but you can revise it. Or [to include] the non-surface impact wells outside of the park and some of the forest areas?

[Picture shale gas well pads ringing a State Park or State Forest land just a few feet outside their borders drilling into and under those lands to get the gas with no control over where the pads or other gas infrastructure is sited.]

Secretary Dunn said-- “We're asked about that from time to time by the companies and we continue the discussion.

“But at this point, I think the amount of gas development on the state forest land, considering all the other uses, considering its expansion of recreation, outdoor recreation, considering our work to really save the hardwood development industry in Pennsylvania.

“They have our forests remain forest. We feel that there's enough development at this point in time.

“And I'm sure it's an issue that'll be constantly revisited. As public lands, we expect that kind of a dialogue.”

She noted that when someone talks about expanding gas drilling, it’s not just the drilling, its gas and water pipelines, access roads and all the other infrastructure that goes with it.

“So it's not just the well, it's always gas lines, water lines, there's road access. So there's quite a bit of land disturbance.

“Some of the impacts that we measure the most are invasive species, for instance. So we're trying to keep a repository of native species and really beat back invasives.

“So anytime you cut a road, cut a line, it opens up the soil for invasives. So we do measure, we do have a process by which the companies that are moving a line through can apply and work with our staff to site at the proper place to have the minimal effect on the environment, and then to restore the corpus of the trust owned by all Pennsylvanians to restore that corpus so that there's no diminishment of the public state.”

Rep. James Struzzi (R-Indiana), Minority Chair of the House Appropriations Committee, asked-- “Are there instances then in which the department's refusal to enter into a non-surface impact natural gas lease has caused a neighboring well pad on private lands to leave orphan gas under state lands, losing revenue for the state while increasing the likelihood of the need for additional well pads later?”

Secretary Dunn said-- “I’m not aware of any instances like that.”

Rep. Struzzi added-- “Is that something you could look into and get back to us on? Because from what I've heard, there are a lot of opportunities out there to access these wells or use the existing pads to access these sites to generate additional revenue for this Commonwealth.

“I've even heard figures up in the range of $250 million if we were to allow greater access.

“And at a time when we're looking at revenues the governor's proposed draining the rainy day fund, draining our surplus to balance the revenue proposal, I think we should be looking at every mechanism possible to increase state revenue.

“So if you could get back to us on the actual figures.”

Secretary Dunn answered by saying-- “If you look at the block of forest lands that we have and the matrix of forest land that they're in, that there's a balance of activities.

“And while you think about the well pad as being the disturbance area, in fact, it really disturbs the core forest for a much greater area.

“And so we're balancing the forest land for everything from recreation to clean air to climate resiliency to natural gas.

“In recreation, we're balancing all these parts and there's a lot of natural gas development on state forest lands right now.

“So it's just that balancing equation and trying to keep the resiliency of that forest matrix intact.

“Because the gas development has led to, I think I read about 30,000 acres of loss of core forest land.

“It just changes the nature of the forest where you have the pipelines of water systems, et cetera, in the whole surrounding area.

“But yeah, happy to get the stats back to you.”

Rep. Struzzi added-- “It's my understanding that we could access additional resources without having to put in new pads, if it were to be allowed. So I would like that follow-up.”

[Again, picture your favorite State Park or Forest surrounded by shale gas drilling rigs a few feet from their borders drilling under lakes and dams used for recreation.]

Visit DCNR’s Shale Gas Monitoring 2025 Storymap for more information on shale gas drilling in State Forests.

Visit DCNR’s Natural Gas Management webpage to learn more about managing drilling on State Forest land.

Click Here for DCNR written budget testimony.

Click Here to watch a video of the House DEP/DCNR budget hearing.

Rep. Jordan Harris (D-Philadelphia) serves as Majority Chair, House Appropriations Committee and can be contacted by calling 717-783-1540 or Click Here to contact online. Rep. James Struzzi (R-Indiana) serves as Minority Chair of the Committee and can be contacted by calling 717-705-7173 or Click Here to contact online.

(Photos: Documented shale gas development impacts in Tioga State Forest by Pine Creek Headwaters Protection Group-- top- Tioga State Forest well pads; bottom-- Baldwin Run Road 24/7 shale gas highway; Recently cleared pipeline right-of-way between Baldwin Run and Norris Brook.)

Resource Links - Drilling On DCNR Lands:

-- Guest Comments: How Is PA General Energy Allowed To Destroy Natural Forest Values To Which I Am Entitled To Enjoy With Its Shale Gas Well Pad And Access Road Project In Loyalsock State Forest, Lycoming County? - By Cynthia Bower, Resident [PaEN]

-- Guest Comments: Jacoby & Cove Mountains In Loyalsock State Forest Will Be Degraded For Generations By PA General Energy's 'Saluda' Shale Gas Access Road, Staging Area Project In Lycoming County - By Barbara Jarmoska, Resident [PaEN]

-- Guest Comments: PA General Energy Shale Gas Road, Well Pads Project Would Close Access To State Forest Land, Threaten Already Threatened Forest Bird Species In Loyalsock State Forest, Lycoming County -- By Bruce Buckle, President, Lycoming Audubon Society [PaEN]

-- PA Trout Unlimited, Keystone Trails Assn., Responsible Drilling Alliance Request DEP To Hold Hearing On Permit For PA General Energy 3.9 Mile Shale Gas Access Road/Staging Area In Loyalsock State Forest, Lycoming County [PaEN]

-- Pine Creek Headwaters Protection Group Update: Industrial Shale Gas Development In Tioga State Forest Prioritizes Industry Profit Over Constitutional Mandate To Preserve, Protect State Forest Lands

-- Member Of Pine Creek Headwaters Protection Group Briefs DCNR Advisory Council On Siting Of Shale Gas Well Pad On State Forest Land To Accommodate Taking Gas From Private Land In Tioga County

Resource Links - Budget:

-- Gov. Shapiro’s Proposed Budget Includes Performance Standards For Data Centers Seeking State Tax Credits; Renewed Call For Lightening Energy Plan; New PUC Benchmarks For Utility Profits [PaEN]

-- Reactions To Gov. Shapiro's Proposed Budget From Citizen, Environmental, Energy, Industry, Utility Groups

-- DEP FY 2026-27 Legislative Budget Document

-- DEP Eliminates Longstanding Permitting Backlog In 2025, Launches New Bureau of Permitting Coordination