Struck = removed from the bill ·
added = the amendment's new text.
SFASB379 375 962 SENATE FLOOR AMENDMENTS Regular Session ENROLLEDAmendments SENATEproposed BILLby NO.Senator Hensgens to Engrossed Senate Bill No.
379 BYby SENATORSenator HENSGENSHensgens ANAMENDMENT ACTNO. ToamendandreenactR.S.
30:3(7),4(C)(14),(D)(1)(a)and1 (5),On (G),page and1, (I)(2),line 5(C)(1),the4, introductoryafter paragraph"(C)," of (C)(2), and (6),before and"23(D)(2)," (D)(1),insert 5.1(A)(1)"21(D)(5)," andAMENDMENT (B)(1),NO. 6.1(A) and (C), 12(A)(2), 21.1(A)(3) and (D)(5), 23(D)(2), 26, 29(A) and (I)(4), 73(1), 74(A)(3)and(B),98.3(B),101.2(A),101.5(A),127(A),136.3(B)(1)and(C),153(A), the introductory paragraph of 548, 917(F), 1110(A)(2) and (C)(1)(f) and (g), R.S.
36:356.1(D)2 andOn 358(B),page (E)(2),and1, (G),line and5, R.S.after "127(A)," insert "136.3(B)(1)," AMENDMENT NO.
49:214.35(B),(E),and(F)andto3 enactOn R.S.page 1, line 6, delete "36:357(A) and 358(B)" and insert "36:358(B), (E)(2), and (G)" AMENDMENT NO.
30:12(A)(3),4 84(A)(9)On andpage (10),1, andline 2050.22(C)7, after"Department of"delete the reminder of the line anddeleteline8and insert "Conservation and R.S.Energy;
49:214.35(G)to andprovide 978.1(A)(3),for" andAMENDMENT toNO. repeal R.S.
30:4(O)(3),5 85,On andpage 101.6,1, relativeat to the Departmentbeginning of Conservationline 12, insert "to provide for the Mineral and Energy;Energy Operation Fund;" AMENDMENT NO.
to6 provideOn forpage technical1, correctionsat to the structureandbeginning organizationofthedepartment;toprovideforpowersanddutiesofthe secretary of theline Department17, ofinsert Conservation"21(D)(5)," andAMENDMENT Energy;NO.
to7 provideOn forpage the2, officeline of1, stateafter resources;"127(A)," insert "136.3(B)(1)," AMENDMENT NO.
to8 provideOn forpage leasing6, authority;line 10, change "statute" to "Section" AMENDMENT NO.
to9 provideOn forpage the7, Mineralbetween andlines Energy7 Operationand Fund;8, insert:
to"§21.1. provide for instructions to the Louisiana Law Institute;
toNatural providefordefinitions;Resources Financial Security Fund * * * D.
to provideforjudicialreviewofadministrativedecisions;
to provide for investment of funds;
to provide for an effective date;
and to provide for related matters.
Be it enacted by the Legislature of Louisiana:
Section 1.
R.S.
30:3(7), 4(C)(14), (D)(1)(a) and (5), (G), and (I)(2), 5(C)(1), the introductory paragraph of (C)(2), and (6), and (D)(1), 5.1(A)(1) and (B)(1), 6.1(A) and (C),12(A)(2),21.1(A)(3)and(D)(5),23(D)(2),26,29(A)and(I)(4),73(1),74(A)(3)and(B), 98.3(B), 101.2(A), 101.5(A), 127(A), 136.3(B)(1) and (C), 153(A), the introductory paragraph of 548, 917(F), 1110(A)(2) and (C)(1)(f) and (g) are hereby amended and reenacted and R.S.
30:12(A)(3), 84(A)(9) and (10), and 2050.22(C) are hereby enacted to read as follows:
§3.
Definitions Unlessthecontextotherwiserequires,thewordsdefinedinthisSectionhave Page 1 of 23 Coding:
Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
SB NO.
379 ENROLLED the following meaning when found in this Subtitle:
* * * (7) "Gas" means all natural gas, including casinghead gas, and all other hydrocarbons not defined as oil in Paragraph (7) (12) of this Section.
* * * §4.
Jurisdiction, duties, and powers of the secretary;
rules and regulations * * * C.
Thesecretaryhasauthorityto make,afternotice and hearings as provided in this Chapter,anyreasonablerules,regulations, andordersthatarenecessaryfrom time to timein theproperadministration andenforcementofthis Chapter,including rules, regulations, or orders for the following purposes:
* * * (14)Torequireinterestedpersonstoplaceuniformmetersofatypeapproved by the secretary wherever the secretary designates on all pipelines, gathering systems, barge terminals, loading racks, refineries, or other places necessary or properto preventwasteandthetransportationofillegallyproducedoilorgas.These metersshall be under thesupervisionandcontrolofthedepartmentofconservation.
It shall beaviolationofthisChapter,subjecttothepenaltiesprovidedin R.S.
30:18, for any person to refuse to attach or install a meter when ordered to do so by the secretary, or in any way to tamper with the meters so as to produce a false or inaccurate reading, or to have anydevice through which the oil or gas can be passed around the meter, unless expressly authorized by written permit of the secretary.
* * * D.
The secretary may make, after notice and public hearing as provided in this Chapter, any reasonable rules, regulations, and orders that are necessary:
(1) To require that all pipelines, all wells, and all associated structures, including any fittings, tie-overs, appliances, and equipment, which are constructed on state waterbottoms pursuant to the grant of a right-of-waybythe secretaryof the Department of Conservation and Energy or the issuance of a lease by the State Mineral and Energy Board shall conform to the following provisions:
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SB NO.
379 ENROLLED (a)Theowneroroperatorofapipelineconstructedonaright-of-waygranted on state waterbottoms shall be responsible for burying the line to a depth consistent with regulations promulgated by the office of conservation department and for maintaining it at said depth to the extent feasible and practical,as determined bythe secretary, taking into account the changes wrought by natural forces.
* * * (5)Toprovidethattheofficeofconservationdepartmentshallconductsuch inspections as the secretary may deem necessary or appropriate in carrying out the provisions of this Subsection.
* * * G.TheDepartmentof Conservation and Energy, through thesecretary,shall implement the provisions of Subsections D, E, and F of this Section as to interstate pipelines insofar as those requirements may be consistent with the regulations for interstate pipelines adopted by the United States Department of Transportation.
In such event, the office department shall further implement the provisions of Subsections D, E, and F of this Section insofar as those requirements may be consistent with the regulations for interstate pipelines adopted by the United States Department of Energy.
* * * I.Thesecretaryshallmake,afternoticeandpublichearingasprovidedinthis Chapter, any reasonable rules, regulations, and orders that are necessary to control the offsite disposal at commercial facilities of drilling mud, saltwater and other related nonhazardous wastes generated bythe drilling and production of oil and gas wells.Suchregulationsshallcontainprovisionsidentifyingthewastematerialstobe regulated.
Such regulations shall at a minimum require:
* * * (2) At least thirty days prior to filing such application with the office department, the applicant shall publish a notice of intent to file the application, which notice shall contain sufficient information to identify the applicant, the proposed site at which disposal operations will occur, the nature and content of the Page 3 of 23 Coding:
Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
SB NO.
379 ENROLLED waste streams to be disposed of, and the method of disposal to be used.
Such notice shallbepublishedonthreeseparatedaysintheofficialjournaloftheparishinwhich the proposed facility will be located, and in the official journal of the state, not less than one quarter of a page in size and printed in boldface type.
* * * §5.
Permission to convert gas into carbon black;
recycling gas;
unit operations * * * C.(1) Without any way modifying the authority granted to the secretary in R.S.
30:9(B) to establish a drilling unit or units for a pool and in addition to the authority conferred in Subsection B of this Section:
(a) The secretary of the office of conservation upon the application of any interested party, also is authorized and empowered to enter an order requiring the unit operation of any pool or a combination of two pools in the same field, productive of oil or gas, or both, in connection with the institution and operation of systems of pressure maintenance by the injection of gas, water, or any other extraneous substance, or in connection with any program of secondary or tertiary recovery;
and (b) The secretary of the office of conservation is further authorized and empowered to require the unit operation of a single pool in any situation where the ultimate recovery can be increased and waste and the drilling of unnecessary wells can be prevented bysuch a unit operation.
(2) In connection with such an order of unit operation, the secretary of the office of conservation shall have the right to unitize, pool, and consolidate all separately owned tracts and other property ownerships.
Any order for such a unit operation shall be issued only after notice and hearing and shall be based on all of the following findings:
* * * (6) No order of the secretaryentered pursuant hereto shall have the effect of enlarging, displacing, varying, altering, or in anywise whatsoever modifying or changing contracts in existence on the effective date of this Act August 15, 1984, Page 4 of 23 Coding:
Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
SB NO.
379 ENROLLED concerning the unitization of any pool (reservoir) or pools (reservoirs) or field (as defined in the contract) for the production of oil, gas, brine, or any combination thereof.
D.(1) In order to prevent waste and increase the ultimate recovery of oil or gas, or both, the secretaryof the office of conservation, upon the application of any interestedowner,andonlyafternoticeandapublichearing,isauthorizedtoapprove a cyclic injection project for the operation of a well by the method of enhanced recoveryknownascyclicinjection,withouttheformationofaunitunderSubsection C of this Section or under any other provisions of this Chapter.
No operator shall utilizecyclicinjectionwithoutfirstsecuringthesecretary'sapprovalpursuanttothis Subsection.
For the purposes of this Subsection, "cyclic injection"is herebydefined as a single-well process in which a production well is injected with a substance for the purpose of enhanced recovery.
After a shut-in period, the well is returned to production.
This procedure may be performed repeatedlyon one or more wells in a reservoir.
* * * §5.1.
Deep pool order;
ultra deep structure units;
application;
procedure;
allocation of costs;
rules and regulations A.
The following shall be applicable to deep pool units:
(1) In order to prevent waste and to avoid the drilling of unnecessary wells, and to encourage the development of deep oil and gas pools in Louisiana, the secretary of conservation is authorized, as provided in this Subsection, to establish a single unit to be served by one or more wells for a deep pool and to adopt a development plan for such deep unit.
* * * B.
The following shall be applicable to ultra deep structure units:
(1) In order to prevent waste and to avoid the drilling of unnecessary wells, and to encourage the development of ultra deep oil and gas structures in Louisiana, the secretary of conservation is authorized, as provided in this Subsection, to establish a single unit to be served by one or more wells for an ultra deep structure Page 5 of 23 Coding:
Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
SB NO.
379 ENROLLED and to adopt a plan of development for such ultra deep structure unit.
For purposes of this statute Section, a "structure" is defined as a unique geologic feature that potentially traps hydrocarbons in one or more pools or zones.
* * * §6.1.
Declaration of emergency A.NotwithstandinganyotherprovisionofthisTitle,uponreceiptofevidence that there is an incident occurring or threatening to occur imminently at an oilfield site or other facility, structure, or pipeline under the department's jurisdiction pursuant to R.S.
30:1 et seq., which is of such magnitude as to require immediate action to prevent substantial or irreparable damage to the environment or a serious threat to life or safety based on recognized criteria, standards or industry practices, the department secretary may declare in writing that an emergency exists.
* * * C.
When an emergency situation is declared, the department secretary is authorized to undertake the containment and abatement of the pollution source and pollutants and mayretainpersonnelorcontractforthesepurposeswith personswho shall operate under his direction.
All contracts let by the department secretary to respond to a declared emergencyshall be exempt from the provisions of Chapter 10 ofTitle38oftheLouisianaRevisedStatutesof1950andtheLouisianaProcurement Code.
However, the department secretary may employ an informal bidding procedure by which bids are solicited from at least three bidders and mayorder the operator of record or owner to undertake the containment, abatement, or cleanup of such pollution source and pollutants.
Failure to comply with his order shall be a violation of this Title and shall be punishable as provided in this Title.
The department shall submit an annual report to the House Committee on Natural ResourcesandEnvironmentandSenateCommitteeonNaturalResourceslistingthe number and type of emergencies declared within the previous year.
* * * §12.
Court review and injunction;
venue;
procedure;
burden of proof A.
* * * Page 6 of 23 Coding:
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words in boldface type and underscored are additions.
SB NO.
379 ENROLLED (2) Suit for review shall be instituted in the district court of the parish in whichtheprincipalofficeofthesecretaryislocatedandmustbebroughtwithinsixty days of the administrative action that is the subject of the suit.
In cases of judicial review of adjudication proceedings, the sixty days sixty-day period shall begin to runaftermailingofnoticeofthefinaldecisionororder,orifarehearingisrequested within sixty days after the decision thereon.
as follows:
(a)Ifarehearingisnotrequested,thesixty-dayperiodshallbegintorun after the final decision or order is posted on the official website for the department.
(b) If a rehearing is requested, the sixty-day period shall begin to run after the decision regarding the rehearing is posted on the official website for the department.
(3) A third person having an interestin the mattersubject to review has the right to intervene as a party in an action under this Section when the intervention is unlikely to unduly broaden the issues or to unduly impede the resolution of the action.
A "third person having an interest" with the right to intervene under this Section shall include but not be limited to any applicant, permittee, or party to the underlying administrative process, action, or proceedingthatresultedintheissuanceoftherule,regulation,order,orpermit that is the subject of the suit for review.
For avoidance of doubt, the provisions of this Paragraph shall be given prospective and retroactive application.
* * * §21.1.
Natural Resources Financial Security Fund A.
* * * (3) The funds received shall be placed in the Natural Resources Financial SecurityFundinthecustodyofthestatetreasurertobeusedonlyinaccordancewith this Part and shall not be placed in the general fund.
The funds provided to the trust authoritypursuant to this Section shall at all times be and remain the propertyof the trust authority.
The monies in this fund shall be used solely as provided in this Section and onlyin the amount appropriatedbythe legislature.
All unexpended and Page 7 of 23 Coding:
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words in boldface type and underscored are additions.
SB NO.
379 ENROLLED unencumbered monies remaining in this fund at the end of the fiscal year shall remain in the fund.
Except for the pledge of the revenues provided in R.S.
30:83.1, it is the intent of the legislature that this fund and its increments shall remain intact and inviolate.
Monies in the fund shall be invested bythe state treasurerin the same manner as monies in the state general fund.
At the request of the Natural Resources Trust Authority, the state treasurer may invest monies in the fund, or any portion thereof, in accordance with the provisions of R.S.
33:2955, including the use of the LouisianaAsset Management Pool, a separate portfolio and anyinterest earnedon such investments shall be credited to the fund.
* * * D.
* * **" §23.AMENDMENT NO.
Underground10 storageOn ofpage liquid10, ordelete gaseouslines hydrocarbons6 orand both,7 carbon dioxide, hydrogen, nitrogen, ammonia, compressed air, or noble gases not otherwise prohibited by law * * * D.(1) * * * (2) Upon presentation of the findings and determinationinsert by"propertyin the secretarysame tomanner thecommitteesonnaturalresourcesoftheSenateandHouseofRepresentativesandas approvala bylien saidprovided committeesunder of any such projects, the secretaryLouisiana shallOil authorizeWell theLien secretaryAct pursuant to initiateR.S. such procedures as the secretary deems necessary within the scopeofhisauthorityunderChapter7ofthisTitleandtheconstraintsofthisSection Page 8 of 23 Coding:
Words9:4861 whichet areseq." struckPage through1 areof deletions3 fromSFASB379 existing375 law;962 AMENDMENT NO.
words11 inOn boldfacepage type12, andline underscored27, arechange additions."mineral" to "state" AMENDMENT NO.
SB12 On page 13, line 1, change "mineral" to "state" AMENDMENT NO.
37913 ENROLLEDOn topage accomplish13, theline purposes5, hereof.change "mineral" to "state" AMENDMENT NO.
*14 *On *page §26.14, between lines 3 and 4, insert:
Applications"§136.3. and notification of completeness A.
Notwithstanding any other law to the contrary, the secretary of the Department of Conservation and Energy shall, after notification by the department to theapplicantthattheapplicationis complete, grant or denyallapplicationsforall permits, licenses, registrations, or compliance in this or anyother Title within sixty days.
The notification of completeness shall be issued within fourteen days, exclusive of holidays, by the department.
If the application is not complete the department shall notify the applicant in writing of the deficiencies which cause the application not to be complete.
If the secretary or the secretary does not grant the application, the secretary or the secretary shall provide written reasons for his decision to deny, and copies of the decision shall be provided to all parties.
The secretary and the secretary may delegate the power to grant permits, licenses, registrations, variances, or compliance schedules to an assistant.
B.
If the secretary does not grant or deny the application within the time period provided for in this Section, the applicant may file a rule as provided for in R.S.
49:978.
* * * §29.
Remediation of oilfield sites and exploration and production sites A.
The legislature herebyfinds and declares that Article IX, Section 1 of the Constitution of Louisiana mandates that the natural resources and the environment of the state, including ground water,areto be protected, conserved, and replenished insofar as possible and consistent with the health, safety, and welfare of the people andfurthermandatesthatthelegislatureenactlawstoimplementthispolicy.Itisthe duty of the legislature to set forth procedures to ensure that damage to the environment is evaluated and if necessaryremediated to a standard that protects the public interest.
To this end, this Section provides the procedure for judicial resolution of claims for environmental damage to property arising from activities subject to the jurisdiction of the Department of Conservation and Energy, office of Page 9 of 23 Coding:
Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
SB NO.
379 ENROLLED conservation.
The provisions of this Section shall be implemented upon receipt of timelynotice as required byParagraph (B)(1) of this Section.
The provisions of this Section shall not be construed to impede or limit provisions under private contracts imposingremediationobligationsinexcessoftherequirementsofthedepartmentor limit the right of a party to a private contract to enforce any contract provision in a court of proper jurisdiction.
* * * I.
For the purposes of this Section, the following terms shall have the following meanings:
* * * (4) "Most feasible plan" means the most reasonable plan which addresses environmental damage in conformity with the requirements of Article IX, Section 1 of the Constitution of Louisiana to protect the environment, public health, safety andwelfare,andisincompliancewiththespecificrelevantandapplicablestandards andregulationspromulgatedbyastateagencyinaccordancewiththeAdministrative Procedure Act in effect at the time the most feasible plan to evaluate or if necessary remediate environmental damage resulting from oilfield or exploration and production operations or waste is approved or structured.
* * * §73.
Definitions As used in this Part, the following terms shall have the meaning ascribed to them in this Section, unless the context or use clearly indicates otherwise:
(1) "Commissioner" means the secretaryof the Department of Conservation and Energyor his authorized representatives from the injection and mining division of that office.
* * * §74.
Abandoned oilfield waste sites;
notification;
clean up A.(1) * * * (3)(a) Prior to any sheriff's sale or public auction of any property related to the operation of oil and gas wells, the person seeking such sale shall notify the Page 10 of 23 Coding:
Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
SB NO.
379 ENROLLED secretaryof such sale not less than thirty days prior to such sale.
Such sale shall not occur unless the secretaryconsents thereto in writing, and the sale shall include the wellbore unless specificallyexcluded from the sale.
In the event the wellbore is not specificallyexcluded from the sale as provided herein, the sheriff or person seeking such a sale shall cause to be included in the notice of the sale and in the sale instrument a statement or notice that the purchaser shall be required to file the appropriate documents with the department to become operator of record of the subject well pursuant to the provisions of R.S.
30:204 30:28.
(b) The secretarymay, if he deems it appropriateto insure ensure the proper plugging and abandonment of the wells and closure of the associated oilfield pits, retain a first lien and privilege on such property, which lien and privilege shall follow such property into the hands of third persons whether such persons are in good or bad faith.
The secretary shall record a notice of such lien with the clerk of court in the parish in which the propertyis located and in which the sale is to occur.
The lien and privilege may be enforced against any person in possession of the property in the same manner as a lien provided under the Louisiana Oil Well Lien Act pursuant to R.S.
9:4861 et seq.
* * * B.
Any failure or refusal by an owner or operator or responsible person to undertake such action as ordered bythe secretaryto take samples, monitor, contain, or clean up an abandoned oilfield waste site shall be a violation of this Chapter, and the commission department, in order to prevent damage to public health, the environment, or an oil or gas strata, may immediately declare the site abandoned, notwithstanding the provisions of R.S.
30:75, and commence appropriate proceedings under this Chapter, including the recovery of penalties, revocation of any permit, closure of the site, or anycombination thereof.
* * * §84.
Powers of the secretary A.
The powers of the secretaryshall include without limitation the power to do the following:
Page 11 of 23 Coding:
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words in boldface type and underscored are additions.
SB NO.
379 ENROLLED * * * §85(A)(3)(9) The secretary shall perform all regulatory functions imposed by this Part.
§85(A)(4)(10) Modify funding requirements of site-specific trust accounts either upon recommendation of the trust authority, the secretary, or upon his own determination, based upon changes in operation, site conditions, or trust account status.
* * * §98.3.
Powers of the Department of Conservation and Energy * * * B.
If the office department finds that compliance with all the requirements of this Part would result in undue hardship, an exemption from any one or more of suchrequirementsmaybegrantedbytheofficetotheextentnecessarytoameliorate such undue hardship and to the extent such exemption can be granted without impairing the intent and purpose of this Part.
* * * §101.2.
Policy and purpose A.Thelegislaturefindsanddeclaresthatitisinthepublicinterestandwithin the police power of this state to establish a fishermen's gear compensation and underwater obstruction removal program and a fishermen's gear compensation and underwaterobstructionremovaldedicatedfundaccounttoprovidefortheproperand timely identification, inventory, and removal of underwater obstructions that are a hazard to navigation and commercial fishing in the state, and to compensate commercial fishermen for damage to their fishing gear from the underwater obstructions.
The program and fund account shall be administered, for purposes of fishermen's gearcompensation,bythesecretaryoftheofficeofcoastalmanagement and, for purposes of underwater obstruction, by the secretary of the Department of Conservation and Energy.
* * * §101.5.
Powers of the secretary Page 12 of 23 Coding:
Words which are struck through are deletions from existing law;
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SB NO.
379 ENROLLED A.
The powers of the secretaryshall include without limitation the power to do the following:
(1) Administer general oversight of expenditures or commitments to make expenditures from the dedicated fund account for the identification, inventory, and removal of underwater obstructions as he deems necessaryand appropriate.
(2) Maintain all supervisory and fiscal responsibility imposed under the provisions of this Part.
(3) Perform such other specific functions as may be enumerated or envisioned by the provisions of this Part.
§101.6(A)(1)(4)Negotiateandexecutecontracts,uponsuchtermsashemay agree upon for underwater obstruction identification, inventory, and removal, and other services necessaryto meet the purpose of this Part.
§101.6(A)(2)(5) Publish an annual list of underwater obstruction sites, to include an inventory of the type, size and depth of the obstruction, and any other relevant information which would aid navigation and commercial fishing in the vicinity of the obstruction.
§101.6(A)(3)(6) Prepare, evaluate, and approve an annual priority list for underwater obstruction removal.
§101.6(A)(4)(7) Prepare, evaluate, and approve a list of contractors acceptable to conduct obstruction removal.
§101.6(A)(5)(8)AdministerandmanagetheFishermen'sGearCompensation and Underwater Obstruction Removal Program for identification, inventory, and removal of underwater obstructions in the navigable coastal waters of the state.
§101.6(A)(6)(9)AdministerandmanagetheFishermen'sGearCompensation and Underwater Obstruction Removal Dedicated Fund Account.
§101.6(A)(8)(10) Maintain a file on the location of known underwater obstructions.
§101.6(A)(9)(11) Administer the payment of appropriate compensation for commercialfishermenwhosefishinggearisdamagedbyunderwaterobstructionsin the Louisiana territorial waters that overlie state-owned waterbottoms that are Page 13 of 23 Coding:
Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
SB NO.
379 ENROLLED contained within the coastal zone boundaries as defined in R.S.
49:214.24.
* * * §127.
Opening bids;
minimum royalties;
terms of lease;
deposit;
security A.(1)Onlythosebidderswhoareregisteredprospectiveleaseholderswiththe office of mineral state resources, or those who register within two business days after the lease sale at which the bid is opened and prior to the conditional issuance of the lease, shall be allowed to obtain a mineral lease from the state of Louisiana.
Anybidder who is not properlyregistered with the office of mineral state resources at the time bids are opened, but whose bid is otherwise acceptable, shall have until the end of the second business day following the date on which the bid was conditionally accepted by the State Mineral and Energy Board to become properly registered with the office of mineral state resources.
If the bidder remains unregistered by the close of business of the second business day following the day the mineral lease sale at which the bid was conditionallyaccepted,the conditionally accepted bid shall be deemed rejected.
The provisions of this Subsection shall also applyincaseswherethereisnomorethanonebid madebyunregisteredprospective leaseholders.Bidsmaybeforthewholeoranyparticularlydescribedportionofland advertised.
At the time and place mentioned in the advertisement for the consideration of bids, they shall be publicly opened.
Bids received by the mineral board shall be opened at any state-owned buildings situated in the cityin which the capitol is located.
The mineral board has authority to accept the bid most advantageous to the state and may lease upon whatever terms it considers proper.
However, the minimum royalties to be stipulated in any mineral lease, other than a mineral lease executed by or on behalf of a school board, shall be:
(1)(a) One-eighth of all oil and gas produced and saved.
(2)(b) One-eighth of the value per long ton of sulphur produced and saved which shall yield not less than two dollars per long ton.
(3)(c) One-eighth of the value per ton for all potash produced and saved, which shall yield not less than ten cents per ton.
(4)(d) Five percent of all lignite produced and saved.
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words in boldface type and underscored are additions.
SB NO.
379 ENROLLED (5)(e)Fivepercentofthevaluepertononadrysaltbasisforallsaltproduced and saved, which shall yield not less than ten cents per ton.
(6)(f) One-eighth of all other minerals produced and saved.
(2)NotwithstandingprovisionsofParagraph(1)ofthisSubsectiontothe contrary, the State Mineral and Energy Board may authorize minimum royalties of less than one-eighth but greater than one-sixteenth upon a finding that market conditions, commodity prices, or other economic factors warrant royalty reduction.
* * * §136.3.
* * **" C.AMENDMENT NO.
Monies15 inOn thepage fund16, shallline be16, investedafter by"Section the2." statedelete treasurerthe inremainder of the sameline mannerand asdelete monieslines in17 thethrough state25 generaland fund.insert "R.S.
At36:358(B), the(E)(2), requestand of(G) theare Naturalhereby Resourcesamended Trustand Authority,reenacted theto stateread treasureras mayfollows:" investAMENDMENT moniesNO. in the fund, or any portion thereof, in accordance with the provisions of R.S.
33:2955,16 includingOn thepage use17, ofbetween thelines Louisiana5 Assetand Management6, Pool.insert:
Interest"E. a separate portfolio and any interest earned on investment of monies in the fund shall be credited to the fund.
*The *office *of §153.state resources shall :
Agencies may lease or administer through State Mineral and Energy Board Page 15 of 23 Coding:
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words in boldface type and underscored are additions.
SB NO.
379 ENROLLED A.
Anyagencymaybyresolution direct the State Mineral and EnergyBoard toleaseorotherwisecontractfortheexploration,development,oruseofits landfor the development and production of minerals, oil, gas, or alternative energy sourcesand forthepurposes setforthin R.S.
30:148.2.
The bonus money,ifany, receivedpursuant to anysuch contract shall be transmitted bythe State Mineral and Energy Board to the agency.
After the execution of the original contract, all rights andauthorityinconnectiontherewithshallbevestedintheagencytothesameextent as if the agency had itself administered and executed the contract.
* * * §548.
Exercise of powers The secretary of conservation shall exercise his powers so as to provide, under the priorities hereinafter set forth, to the maximum extent practicable, for:
* * * §917.
Inspections and monitoring * * * F.
After the state has assumed exclusive jurisdiction of surface coal mining operations as provided in Section 503 of P.L.
95-87, and as long as the state retains such jurisdiction, then no employee of the department performing any function or dutyunderthisChaptershallhaveadirectorindirectfinancialinterestinanysurface coalminingoperation.WhoeverknowinglyviolatestheprovisionsofthisSubsection shall, upon conviction, be punished by a fine of not more than two-thousand five hundred dollars, or by imprisonment of not more than one year, or by both.
The secretary shall by regulation establish methods by which the provisions of this Subsection will be monitored and enforced by the secretary, including appropriate provisions for the filing by such employees in the review of statements and supplements theretoconcerninganyfinancialinterestwhichmaybe effectedbythis Subsection.
This Subsection shall not be given effect (1) if the Secretary of the Interior does not require the inclusion of similar provisions in state laws as a conditionforapprovalbytheSecretaryoftheInteriorofstateprogramsofregulation of surface coal mining and reclamation operations pursuant to Section 503 of P.L.
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SB NO.
379 ENROLLED 95-87 or (2) if any such requirement of the Secretary of the Interior is declared invalid byfinal decree of a court of competent jurisdiction:
Provided, that if similar provisions are required bythe Secretary of the Interior to be included in state laws, the Secretary of Natural Resources and the secretary and the Secretary of the Interior may commence and prosecute an action in the appropriate federal court to have the regulation requiring inclusion declared invalid.
* * * §1110.
Carbon Dioxide Geologic Storage Trust Fund A.
* * * (2) After compliance with the requirements of Article VII, Section 9(B) of the Constitution of Louisiana relative to the Bond Security and Redemption Fund, and after a sufficient amount is allocated from that fund to payall of the obligations securedbythefull faithandcreditofthestatewhichbecomedueandpayablewithin any fiscal year, the treasurer shall pay into the fund, an amount equal to the monies receivedbythe state treasurypursuant to this Chapter.
The monies in this fund shall beusedsolelyasprovidedinthisSectionandonlyintheamountappropriatedbythe legislature.
All unexpendedandunencumberedmonies remaininginthis fund at the end of the fiscal year shall remain in the fund.
The monies in the fund shall be investedbythestatetreasurerinthesamemannerasmoniesinthestategeneralfund and all returns of such investment shall be deposited to the fund.
At the request of the Natural Resources Trust Authority, the state treasurer mayinvest monies in the fund, or any portion thereof, in accordance with the provisions of R.S.
33:2955, including the use of the Louisiana Asset Management Pool, in a separate portfolio and anyinterest earned on such investments shall be credited to the fund.
The funds received shall be placed in the special trust fund in the custodyof the state treasurer tobeusedonlyinaccordancewiththisChapterandshallnotbeplacedinthegeneral fund.
The funds provided to the secretarypursuant to this Section shall at all times be and remain the property of the secretary.
The funds shall be used only for the purposes set forth in this Chapter and for no other governmental purposes, nor shall any branch of government be allowed to borrow any portion of the funds.
It is the Page 17 of 23 Coding:
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379 ENROLLED intent of the legislature that this fund and its increments shall remain intact and inviolate.
* * * C.
The secretary is hereby authorized to levy on each storage facility the following fees or costs for the purpose of funding the fund:
(1)Afeepayabletothedepartment,inaformandscheduleprescribedbythe department, for each ton of carbon dioxide injected for storage into that storage facility.
This fee is to be determined based upon the following formula:
* * * (f) Once five million dollars has been contributed to the fund for a storage facility, the fee assessments to that storage facility under this Section shall cease until such time as funds begin to be expended for that storage facility.
The secretary of the Department of Conservation and Energy shall certify to the secretary in writing the date on which the balance in the fund for a storage facility equals or exceeds five million dollars.
The fund fees shall not be collected or required to be paid on or after the first dayof the second month following the certification, except that the secretary shall resume collecting the fees on receipt of a certification from the secretary of the Department of Conservation and Energy that, based on the expenditures or commitments to expend monies, the fund has fallen below four million dollars for that storage facility.
(g) Notwithstanding the total number of storage facilities ownedoroperated by a storage operator, once ten million dollars has been contributed to the fund by astorageoperator,thefeeassessmenttothatstorageoperatorunderthisSectionshall cease until such time as funds begin to be expended for any storage facility owned or operated by that storage operator.
The secretary of the Department of Conservation and Energy shall certify to the secretaryin writing the date on which the balance in the fund for a storage operator equals or exceeds ten million dollars.
The fund fees shall not be collected or required to be paid on or after the first dayof the second month following the certification, except that the secretaryshall resume collecting the fees upon receipt of a certification from the secretary of the Page 18 of 23 Coding:
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379 ENROLLED Department of Conservation and Energy that, based on the expenditures or commitments to expend monies, the fund has fallen below eight million dollars for that storage operator.
* * * §2050.22.
Judicial review;
appeal;
stays;
intervention * * * C.
A third person having an interest in the matter subject to review has the right to intervene as a party in an action commenced pursuant to R.S.
30:2050.21when the intervention is unlikely to unduly broaden the issues or to undulyimpedetheresolutionoftheaction.A"thirdpersonhavinganinterest" with therightto interveneunder this Sectionshall include but not belimitedto any applicant, permittee, or party to the underlying administrative process, action,orproceedingthatresultedin theissuance of afinal permitaction,final enforcementaction,oradeclaratoryrulingthatisthesubjectofthepetitionfor review.
Foravoidance of doubt, theprovisions of this Subsection shall be given prospective and retroactive application.
Section 2.
R.S.
36:356.1(D), 358(B), (E)(2), and (G) are hereby amended and reenacted to read as follows:
§356.1.
Louisiana Natural Resources Trust Authority;
establishment;
powers * * * D.
The authority may request that the state treasurer invest funds, or any portion thereof, under the control of the authorityin accordancewith the provisions of R.S.
33:2955, including the use of the Louisiana Asset Management Pool in a separate portfolio and any interest earned on investment of monies in the fund shall be credited to the fund.
* * * §358.
Offices;
purposes and functions * * * B.
The office of the executive office of the secretaryshall be responsible for assisting the secretaryin the exercise of the functions and duties established in law Page 19 of 23 Coding:
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379 ENROLLED of the secretary.
Among the divisions included within the executive office of the secretaryshallbe the officeof the natural resourcescommission to be headedbythe deputy secretary and the office of legal services to be headed by an attorney designated by the secretary.
* * * E.
The office of state resources shall:
The office of energyshall also workinwork cooperationwithincooperationwith theCenterforEnergyStudiestheCenterforEnergyStudiesInstituteto Institutecreateand tocarry createandcarry out a central, comprehensive, and unified energy data and information program whichwillcollect,evaluate,assemble,analyze,anddisseminatedataandinformation which is relevant to energy resource reserves, energy production, demand, and technology, andrelatedeconomicandstatistical information,orwhichis relevantto theadequacyofenergyresourcestomeetdemandsinthenearandlongertermfuture of the state.
Finally, the office of energy shall Page 2 of 3 SFASB379 375 962 coordinatewithacademicandresearchinstitutionswhopossessspecializedexpertise in areas related to energy and natural resources on behalf of the department.
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SB NO.
379 ENROLLED Section 3.
R.S.
49:214.35(B), (E), and (F) are hereby amended and reenacted and R.S.
49:214.35(G) and 978.1(A)(3) are enacted to read as follows:
§214.35.
Reconsiderations, judicial review * * * B.
A decision or determination shall be subject to reconsideration by the secretaryif a petition for reconsiderationis filed in writing with the secretarywithin tendays followingpublicnotice of a posting of thefinalcoastalusepermitor,local program approval decision, or determination made under R.S.
49:214.34 on the official website for the Department of Conservation and Energy or receipt of written notice of a determination made under R.S.
49:214.30(C)(1) or R.S.
49:214.34.Thegroundsforreconsiderationshallbeeitherthatoneofthefollowing:
(1) The decision or determination is clearly contrary to the law or the evidence before the secretary;.
(2) The petitioner has discovered, since the decision or determination, evidence important to the issues which he could not, with due diligence, have presented to the secretaryprior to the decision;.
(3)Thereisashowingthatissuesnotpreviouslyconsidered,throughnofault ofthe petitioner, ought to beexaminedinorderto properlydisposeofthematter;or.
(4)Thereexistothergoodgroundsforfurtherconsiderationoftheissuesand the evidence in the public interest.
* * * E.Proceedings forreviewmaybe instituted byfilingapetition in thedistrict courtoftheparishinwhichtheproposeduseis to besituatedwithin thirtydays after mailing of notice of the final decision by the secretary or, if a reconsideration is requested,within thirtydays afterthedecisionthereon.thefollowingtimeperiods:
(1)Ifapetitionforreconsiderationisnotfiled,theproceedingforreview shall be instituted within thirty days after the final decision by the secretary under this Subpart is posted on the official website for the Department of Conservation and Energy.
(2) If a petition for reconsideration is filed, the proceeding for review Page 21 of 23 Coding:
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379 ENROLLED shall be instituted within thirty days after the decision regarding the reconsideration is posted on the official website for the Department of Conservation and Energy.
F.
A third person having an interest in the matter subject to review has the right to intervene as a party in an action for judicial review under this Section when the intervention is unlikely to unduly broaden the issues or to undulyimpedetheresolutionoftheaction.A"thirdpersonhavinganinterest" with therightto interveneunder this Section shall include but not belimitedto any applicant, permittee, or party to the underlying administrative process, action, or proceeding that resulted in the issuance of the rule, regulation, permit, decision, or determination that is the subject of the suit for review.
For avoidance of doubt, theprovisions of this Subsection shall begiven prospective and retroactive application.
G.
Judicial review shall otherwise be pursuant to the Louisiana Administrative Procedure Act, provided that all such cases shall be tried with preference and priority.
Trial de novo shall be held upon request of anyparty.
* * * §978.1.
Judicial review of adjudication A.
* * * (3) A third person having an interestin the mattersubject to review has the right to intervene as a party in an action under this Section when the intervention is unlikely to unduly broaden the issues or to unduly impede the resolution of the action.
A "third person having an interest" with the right to intervene under this Section shall include but not be limited to any applicant, permittee, or party to the underlying administrative process, action, or proceeding that resulted in the issuance of the decision or order that is the subject of the suit for review.
For avoidance of doubt, the provisions of this Paragraph shall be given prospective and retroactive application.
* * * Section 4.
R.S.
30:4(O)(3), 85, and 101.6 are herebyrepealed.
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379 ENROLLED Section 5.
The Louisiana State Law Institute is hereby directed to change all references to the commissioner of conservation whose duties and powers were transferred to the secretary of the Department of Conservation and Energy pursuant to Act No.
458 of the 2025 Regular Session from "commissioner of conservation" to "secretary of the DepartmentofConservationandEnergy"and"commissioner"to"secretary"throughoutthe Louisiana Revised Statutes of 1950.
Section 6.
The Louisiana State Law Institute is hereby directed to change all references to the "office of mineral resources" to "office of state resources" throughout the Louisiana Revised Statutes of 1950 except in the provisions of R.S.
30:124.1.
Section 7.
This Act shall become effective upon signature bythe governor or, if not signedbythegovernor,uponexpirationofthetimeforbillstobecomelawwithoutsignature by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana.
If vetoed bythe governor and subsequentlyapprovedbythe legislature, this Act shall become effective on the dayfollowing such approval.
PRESIDENT OF THE SENATE SPEAKER OF THE HOUSE OF REPRESENTATIVES GOVERNOR OF THE STATE OF LOUISIANA APPROVED:
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