McKeesport approves shallow drilling lease

Council also OKs police department promotions

McKeesport City Council Wednesday night unanimously approved a lease agreement with Delmont.-based Penneco Pipeline Corp. for shallow gas drilling on nearly 27 acres along Eden Park Boulevard that extends into Renziehausen Park.

The city will earn a stipend of $10,000 per year, according to City Administrator Dennis Pittman, and will earn 12.5 percent of all gas royalties.

"It's another revenue stream for the city," Councilman Darryl Segina said. "It can really boost our budget in portions we've never seen before."

At a depth between 4,000 and 5,000 feet, Penneco's drilling is different from that of other companies drilling into the Marcellus Shale, he said.

Councilwoman Fawn Walker said she had some concerns about the drilling but voted yes because was "putting her faith in the Mayor [Jim Brewster] and council." She urged council to hold a public hearing so residents' concerns could be heard.

Mr. Pittman said that public hearing, which is expected to be held in either the municipal building on Lyle Boulevard or at the historic Palisades building along Water Street, will take place during the next 30 days.

Council also unanimously approved three promotions within the police department: Tim Bliss from sergeant to patrol lieutenant; Chris Halaszynski from detective to detective sergeant; and Tim Hanna from lieutenant to captain of detectives.

"They were chosen for their performance on the job, their dedication to the community and their dedication to the police department," said Chief B.J. Washowich.

Each promotion will go into effect Monday, he said, and will "involve a change in pay." Mr. Washowich would not comment further on salaries.

McKeesport's largest employer, Tom Clark Chevrolet Inc., also received unanimous approval from council for subdivision of two lots along Marshal Drive Extension. Council members said they could not answer questions about the use of the additional space.

First published on September 2, 2010 at 8:39 am