County Requests $62M if Pipeline Permit Granted

SCHOHARIE COUNTY - Schoharie County is asking that the Constitution Pipeline Company be required to pay the county and seven of its towns a total of $62 million if a permit is issued for the company’s proposed 125-mile natural gas pipeline by the Federal Energy Regulatory Commission.

That request and several others are included in a comment and request for conditions letter recently sent to FERC. The letter was drafted by County Supervisor Roger Gural of Summit, signed by County Board of Supervisors Chairman Bill Federice of Conesville and submitted to FERC on behalf of the entire BOS.

The reason for the $62 million ask, according to the letter, is that “future development within the calculated hazard distance (of the pipeline) is unlikely to occur. Lack of development reduces town and county tax base.”

It continues: “The SCBOS requests that FERC, as a condition of the permit, require the permittee to pay $1 million per mile to the county and $1 million per mile to each affected town (approximately $62 million in total) such that permanent, interest-bearing finds be established in the county and each affected town to compensate Schoharie County and the Towns of Cobleskill, Jefferson, Middleburgh, Richmondville, Schoharie, Summit and Wright to ensure adequate future tax base.”

Constitution originally proposed the pipeline in 2013 but the plan seemed dead for several years until two executive orders from President Trump favoring traditional energy sources like natural gas revived the possibility of the pipeline last year. Constitution, an affiliate of The Williams Companies, has filed a petition with FERC for reissuance of certificate authority.

The pipeline, if eventually built, would start in Northeastern Pennsylvania and run through several areas of New York State, including the seven towns in Schoharie County.

Other requests in the Schoharie County letter sent to FERC touch on issues like the use of chemicals in construction of the pipeline and possible future fracking to extract natural gas because the pipeline would follow the line of underground Marcellus Shale. Fracking is currently not allowed in New York State.

The county BOS asks “FERC to require the permittee to receive written permission from the SCBOS prior to the use of any and all chemicals for any purposes related to this proposed pipeline. Should drilling ever ensue, we ask that a monthly water quality testing program first be implemented for all dwellings at the full expense of the permittee”

The letter also requests that the permittee be “restricted to manual means of vegetation management and be prohibited from utilizing chemical herbicides for this or any other purpose in order to protect the waters within Schoharie County against contamination.”

Because of the possible dangers posed to dwellings within a certain distance of the pipeline, the letter also asks that a minimum setback be maintained.

“In cases where setback cannot be met, the SCBOS requests payment to owners of dwellings within the calculated hazard distance, a per-foot fee for the exponential increase in risk to life and property, whether real or perceived.”

The letter concludes: “On behalf of the entire Schoharie County Board of Supervisors, thank you for your serious consideration of our comments and request for conditions to be added to this permit, if/when granted.”