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New Data Shows Giant Petrochemical Plant Has Failed to Boost Local Economy – Inside Climate News

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New Data Shows Giant Petrochemical Plant Has Failed to Boost Local Economy – Inside Climate News


A Shell petrochemical plant in western Pennsylvania has failed to deliver many promised economic benefits to the surrounding county since it was announced more than a decade ago, according to an analysis released Friday by the Ohio River Valley Institute, a longtime critic of the project.

Beaver County, northwest of Pittsburgh, has lagged both the state and the nation in measures including growth in gross domestic product, employment and number of businesses since the company unveiled plans to build the massive $14 billion plant in 2012, the report said.

The Ohio River Valley Institute (ORVI) has looked at the economic ripple effects in prior reports. The new analysis for the first time included federal data on “market income”—which subtracts government payments to individuals and households, resulting in a measure of what people earn from their jobs and personal investments. The report also updated publicly available federal data that was used for the earlier reports in November 2021 and June 2023. All the latest data showed a continuation of trends identified earlier.

The report said that “by nearly every measure of economic activity, today Beaver County is worse off than it was before the Shell plant was announced in 2012. Today, Beaver County has fewer jobs, fewer businesses, and fewer residents.”

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When the ethane cracker plant was announced, it was predicted by company and state officials to create 600 permanent jobs, boost the county’s economy by up to $846 million and swell state tax revenues. The plant, on a 386-acre site beside the Ohio River about 30 miles north of Pittsburgh, began operations in late 2022.  

Shell spokeswoman Natalie Gunnell declined to comment on the specifics of the new report but said the plant has helped the local economy.

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“In addition to paying over $52 million in taxes, royalties, and fees in Pennsylvania during the last three years, Shell has continued our focus on community through the creation of nearly 500 permanent jobs at our facility, enhancing STEM education, investing in programs to develop the local workforce, and hiring local suppliers,” she said in a statement.

The predictions of an economic boom led the state under then-Gov. Tom Corbett, a Republican, to grant Shell a record tax break of $1.65 billion.

The report’s co-author, Eric de Place, called the tax breaks a “sweetheart deal” for Shell but a “disaster” for Pennsylvania taxpayers.

ORVI said the plant’s economic shortcomings should prompt state and local lawmakers to look more closely at whether to support a nearby “hydrogen hub,” a federally sponsored network of hydrogen producers and consumers that has also been opposed by the think tank on the grounds that it would cost a lot of money while doing little to reduce greenhouse gas emissions.

“As officials weigh their support for a potential buildout of hydrogen and carbon capture in the region, the facts from Beaver County should encourage state lawmakers to pause before extending future tax subsidies,” it said.

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The administration of current Gov. Josh Shapiro, a Democrat, declined to comment on the new report but noted that Shell agreed in 2023 to pay almost $10 million to the state and the Beaver County community for violating air regulations, and to make repairs to prevent a recurrence of the emissions.

Between 2012 and 2023, Beaver County’s GDP dropped by just over 12 percent, the report said, using data from the U.S. Bureau of Economic Analysis. The same measure of economic activity for the state and the country rose by 16 percent and about 29 percent, respectively.

From 2012 through the beginning of 2024, the number of jobs tracked in the county by the federal Quarterly Census of Employment and Wages declined by just over 13 percent while rising by about 6 percent statewide and 16 percent nationwide, the report said. 

The number of businesses in the county dropped 4 percent between 2012 and 2023 while growing substantially in the state and nation, according to the same dataset, the report said. ORVI said it used the most recent statistics for all these comparisons.

The county also lost about 5,000 people between 2012 and 2023, in contrast to gains in state and national populations. “Within months of operation, the facility exceeded its annual pollution limits; many families in the area have since fled because of the plant due to concerns about the consequences of the plant’s air, water, light and noise pollution,” the report said.

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The data show that Shell’s promises that it would boost the local economy have not been met, ORVI’s report added. “One of the central selling points pitched by Shell and its investors was that the petrochemical plant would spur a ‘windfall of economic opportunity,’” the report said. “In reality, the exact opposite has occurred.”

Beaver County Commissioner Jack Manning slammed the report as “utterly meaningless” and said Shell had in fact delivered on its economic promises.

“Shell put us on the map with the largest construction project to be built in Pennsylvania history since World War II,” he wrote in an email. “They kept us afloat during a global pandemic, the effect of which completely shut down most of the Commonwealth and especially Beaver County.”

In response to the report’s evidence of economic decline in Beaver County, Manning said its economy is in better shape than other parts of the region. He acknowledged that the county has lost residents in recent years but argued that the trend was probably driven by death, retirement, job moves or a search for better school districts. There is “no direct evidence” that people are leaving because of the Shell plant, he said.

He predicted the county’s economy will benefit more as the plant’s growth picks up. “This is a long-term process. We have seen more private, state and federal investments flow into Beaver County than we’ve seen in decades,” he said.

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Pennsylvania

Federal government sues Pennsylvania, others over SNAP data

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Federal government sues Pennsylvania, others over SNAP data


(WHTM) — Pennsylvania is one of four states facing a lawsuit from the federal government over SNAP applicant data.

The U.S. Department of Justice filed suit against Pennsylvania, Kentucky, Michigan, and Minnesota. They are seeking the last five years of SNAP applicant data in the respective states.

The DOJ alleges that the four states refused to turn over data to the U.S. Department of Agriculture “so that USDA could ensure that states are properly administering and enforcing their determinations of residents’ eligibility.”

“The American people deserve a government that is transparent about how it spends their hard-earned tax dollars,” said Acting Attorney General Todd Blanche. “These four states are thwarting USDA’s efforts to ensure that the billions of dollars in SNAP benefits they distribute every year are not lost to fraud.”

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“Stopping the rampant theft of taxpayer money demands a whole-of-government response, including strong participation at the state level,” said Assistant Attorney General Colin M. McDonald of the Justice Department’s National Fraud Enforcement Division. “These states are happy to take hundreds of millions of federal tax dollars—much of which is exploited by fraudsters—but want zero transparency over how those tax dollars are spent.”

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The Department of Justice said 28 states promptly provided data and such indicated “there are billions of dollars per year in SNAP funds going to overpayments and fraud.”

The USDA has been seeking data for the past year or so, leading to a legal battle over concerns about how the data would be used.



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Pennsylvania

House Republicans stall activity, Pennsylvania Rep. Meuser calls tactics ‘foolish’ | Fox Business Video

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House Republicans stall activity, Pennsylvania Rep. Meuser calls tactics ‘foolish’ | Fox Business Video


House Speaker Mike Johnson sent representatives home early as hardline Republicans stalled floor activities, demanding action on the SAVE America Act. President Donald Trump posted on Truth Social, urging House Republicans to unify and avoid giving power to Democrats. Rep. Dan Meuser (R-PA) labels the stalling tactics ‘foolish,’ emphasizing the need for legislative progress and appropriations.



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Measles detected in two more counties in Pennsylvania as health department recommends early vaccination

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Measles detected in two more counties in Pennsylvania as health department recommends early vaccination


Pennsylvania health officials have now detected measles cases in York and Northumberland Counties as cases in Lancaster County, the center of an ongoing outbreak, continued to rise.

And the state health department is now recommending early measles vaccinations for infants beginning at 6 months in affected areas in an effort to protect them against the spread of the highly contagious disease, which is particularly risky for young children. The same precautions should be taken by families with infants traveling to these areas.

Six Pennsylvania counties have now seen measles cases since an outbreak was first confirmed in Lebanon County in April. In all, the state has reported 81 measles cases across eight counties in 2026, more than five times the cases reported in 2025.

State health officials said it was too early to tell how the latest cases in York and Northumberland Counties are connected to others in the region, but that contact tracing investigations are continuing. All cases were among people who had not received at least two doses of the measles, mumps, and rubella (MMR) or whose vaccination status was unclear.

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As of Wednesday, six cases had been confirmed in Northumberland County, to the north of Dauphin County, and one case had been detected in York County, along Lancaster’s western border.

Lebanon County has reported 20 cases and Dauphin and Berks Counties have reported two cases each.

Lancaster County has seen 38 cases of measles since late April, with health officials confirming seven cases in the last two weeks. The area was at the center of a prior measles outbreak in January, when state health officials confirmed eight cases in Lancaster County and an additional four between Chester and Montgomery Counties.

Vaccination rates among kindergarteners have decreased across Pennsylvania in recent years, and some counties affected in the current outbreak have particularly low rates, including Lancaster, where about 88.5% of kindergarten students are vaccinated. Health experts say that 95% of a community must be vaccinated to prevent the spread of the disease.

Health officials have been conducting contact tracing to detect as many cases as possible. In the current outbreak, they have twice warned Lancaster residents that they could have been exposed to measles.

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Shoppers and employees at a local Kohl’s were potentially exposed to the virus over four days after a staffer tested positive in late May, LancasterOnline reported. And a person with measles visited the Lancaster County Courthouse on June 3.

But doctors in Lancaster County say they fear some measles cases are going unreported, either because patients don’t understand the importance of tracking measles cases or because they fear repercussions.

No cases have been confirmed in the Philadelphia region during this outbreak. But Delaware County health officials said last week that they had detected measles in two wastewater samples, indicating that someone with measles had used a bathroom connected to the county’s public water supply. It was unclear if that person lived in the county or was passing through.

Early vaccination recommended

On Wednesday, a statewide health alert urged physicians to accelerate vaccination schedules to protect children against measles. Officials had said they were considering the measure earlier this month as cases continued to rise.

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Measles can infect nine in 10 unvaccinated people who are exposed to it, and can linger in the air for up to two hours and incubate in patients for three weeks. The disease typically presents with a fever and a rash but can cause brain inflammation and pneumonia in serious cases.

Typically, children receive the first of two MMR vaccines at 1 year old, then a second between 4 and 6 years old.

But children as young as 6 months can receive an additional “dose zero” to protect them from the disease amid an outbreak. In its alert, the state health department said parents should vaccinate infants between 6 and 11 months with the “dose zero” if they live in affected areas or if they’re planning to travel there.

Those children should then receive additional MMR doses at 12 to 15 months and 4 to 6 years.

This “dose zero” is less effective than doses given at 1 year old, officials cautioned. But it’s 58% effective against measles when given at 6 to 8 months, and 83% effective when administered at 9 to 11 months.

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“Early MMR vaccination is safe and provides modest protection when measles is spreading,” officials wrote in the alert.

Children older than 12 months who haven’t been vaccinated should get an MMR dose immediately, and a second 28 days later, health officials said. Unvaccinated adults, or those without evidence of immunity, should also get two MMR doses.

And anyone who has received one dose of the MMR vaccine in the past should get a second at least 28 days after their first, officials said.

Usually, children who received a first dose at around 12 months wait to get their second dose until they’re 4 to 6 years old. But in an outbreak situation, those children should get their second doses early — at least 28 days after their first shot.

Adults born before 1957 are typically considered immune, but healthcare workers in that age group who don’t have lab evidence of immunity or prior infection should consider getting vaccinated, state officials said.

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Adults who received an inactivated measles vaccine between 1963 and 1967 are considered unvaccinated during an outbreak, and should also get two doses of the current MMR vaccine.

Pregnant people, people with severely weakened immune systems, and people who have a history of experiencing severe allergic reactions, like anaphylaxis, to a vaccine ingredient or to a previous dose of MMR cannot receive the vaccine.



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