Key Takeaways
New York State’s fracking ban has unjustly denied New York landowners their property rights and lucrative natural gas royalties and has been for purely political reasons.
The Defense of Property Rights Act – H.R. 6758 (DOPRA) introduced by Nick Langworthy (R-NY 23) in the 118th Congress would allow landowners to sue governments in federal court under the Takings Clause.
DOPRA enjoys strong support from key Congressional Western Caucus Members who have led the fight for property rights for years as well as other key Capitol Hill property rights champions.
The Marcellus Shale, a massive natural gas reserve that spans several states in the northeastern U.S., has been a key player in the nation’s energy revolution. It has sparked an economic boom, providing jobs, energy, and vital resources for many Americans. However, for residents of New York State, particularly landowners in the Upstate region, the opportunity to share in this prosperity has been cruelly denied. Despite the clear benefits of natural gas drilling, political decisions have kept New York’s natural resources largely untapped, leaving landowners on the sideline and robbing them of much-needed income. But now, a new piece of legislation — the Defense of Property Rights Act (DOPRA) — could finally provide a pathway for landowners to reclaim their rights and potentially unlock the wealth tied up in their land.
The Fracking Ban and Its Consequences for New York
In 2014, New York Governor Andrew Cuomo extended a moratorium on hydraulic fracturing, or fracking, which is the primary technique used to extract natural gas from the Marcellus Shale. The moratorium was largely based on a report by the New York State Department of Health, which, although it found no direct health risks from fracking, recommended further monitoring. This report provided the basis for Cuomo’s ban, despite the lack of substantial evidence supporting any harmful health effects.
The following year, the Obama administration’s Environmental Protection Agency (EPA) conducted its own extensive study of fracking and found no evidence of contamination of drinking water or other harmful health impacts. Despite this, New York’s ban remained in place.
The state’s residents were left to watch as neighboring Pennsylvania, with its abundant natural gas reserves, reaped the benefits of fracking. In 2017, one company alone, Cabot Oil & Gas (now Coterra Energy), paid out $1 billion in royalties to landowners in Susquehanna County, Pennsylvania — a county just across the border from New York with a population of roughly 40,000 people. Many other companies followed suit, generating billions in royalties for landowners across Pennsylvania and contributing significantly to the state’s economy.
A Political Agenda that Neglects Property Rights
In 2020, after the Democratic Party gained control of the New York State Senate, lawmakers passed a permanent legislative ban on hydraulic fracturing. This ban was enacted without any meaningful review of the original 2014 health report or any new evidence indicating that fracking was harmful to the environment or public health. As a result, many landowners in New York continue to be deprived of the opportunity to develop their land and profit from natural gas drilling, despite the fact that fracking has continued to thrive safely and successfully across much of the United States.
This political decision has had devastating financial consequences for property owners in New York. Take, for instance, a farmer in Upstate New York. The farmer’s land may be valued at $200,000, reflecting the depressed home prices in the region due to a weak economy and high property taxes. However, that same farmer’s land could also hold the potential for $2 million in natural gas royalties — royalties that the state has unjustly blocked, depriving the farmer of an opportunity for significant income. This represents a clear violation of the farmer’s property rights, and it’s precisely this type of situation that the Defense of Property Rights Act (DOPRA) aims to address.
H.R. 6758, known as the Defense of Property Rights Act, was introduced by Congressman Nick Langworthy (R-NY 23) in the 118th Congress. The bill would allow landowners in New York to sue the state government under the Takings Clause of the Fifth Amendment in federal court. The Takings Clause states that private property cannot be taken for public use without just compensation. In other words, if the government restricts a landowner’s ability to use their property — such as by blocking access to valuable natural gas resources — the landowner should be entitled to compensation.
For New York landowners, the consequences of this political decision are severe. In some cases, property rights have been effectively taken away without compensation. DOPRA offers a legal avenue for these landowners to challenge the state’s actions in federal court and demand compensation for the wealth they’ve been denied.
The Defense of Property Rights Act has garnered significant support in Congress. Many members of the Western Caucus, who have long been advocates for property rights and the responsible use of natural resources, have signed on as cosponsors. These lawmakers understand the vital importance of property rights in fostering economic growth and energy independence.
In particular, the Supreme Court’s 2021 decision in Cedar Point Nursery v. Hassid has given New York landowners renewed hope. In this landmark case, the Court ruled 6 to 3 that the government cannot restrict a property owner’s ability to use their land without just compensation. Chief Justice Roberts, writing for the majority, emphasized that the key question is whether the government has “restricted a property owner’s ability to use his own property.” The decision could serve as a powerful precedent for landowners in New York who are fighting to reclaim their rights.
The Economic Impact of Natural Gas Drilling
The natural gas drilling boom has created thousands of jobs, driven economic growth, and helped reduce energy costs in Pennsylvania and other states. A 2022 study found that in just one year, natural gas drilling in Pennsylvania supported 123,000 jobs, contributed $41 billion in economic activity, and paid out $6.3 billion in royalties to landowners and government entities. These numbers demonstrate the enormous potential for economic growth and job creation that New York has been missing out on due to its ban on fracking.
If New York landowners were allowed to access their natural gas resources, they could generate substantial wealth, creating jobs and boosting the local economy. The state’s refusal to allow fracking has cost New Yorkers billions of dollars in potential royalties and stunted the region’s economic growth. DOPRA represents a crucial opportunity to correct this injustice and bring much-needed relief to landowners who have been harmed by the state’s overreach.
As the Trump administration and Congress continue to push for policies that unlock America’s full energy potential, there is hope that the Defense of Property Rights Act will gain the traction it needs to move forward. By empowering New York landowners to fight for their rights in federal court, DOPRA could help bring New York into the broader American energy boom, ensuring that landowners are finally able to benefit from the wealth beneath their feet.
For the farmers, landowners, and communities of Upstate New York, it’s long past time to correct this wrong. DOPRA offers a path forward that could unlock billions of dollars in potential wealth and bring New York into the fold of America’s energy revolution.
