SB 505 — ENVIRONMENTAL CONTROL: Provides relative to the Motor Fuels Underground Storage Tank Trust Dedicated Fund Account. (7/1/26) (EN INCREASE SG EX See Note)

SLS 26RS-1546 REENGROSSED Regular Session ENROLLED SENATE BILL NO.

505 BY SENATOR CATHEY ENVIRONMENTALAN CONTROL.ACT To amend and reenactR.S.

Provides relative to the Motor Fuels Underground Storage Tank Trust Dedicated Fund Account.

(7/1/26) AN ACT To amend and reenactR.S.

30:2195.2 (A)(6)(f) and (g), relative to the Motor Fuels Underground Storage TankTrustDedicatedFundAccount;toprovidefortimelimits;TankTrustDedicatedFundAccount;toprovidefortimelimits;toprovideforsingle and total grant amounts;

toprovideforsingle and total grant amounts;

Page* 1* * (5) The Tank Trust Account may be used to make payments to a third party whobringsathird-partyclaimagainstthesecretaryofthedepartmentandanyowner of 5a Coding:motor fuel underground storage tank becauseof damages sustained bya release into the groundwater, surface waters, or soils and who obtains a final judgment in said action enforceable in this state against the owner and the secretary if and only if it has been satisfactorily demonstrated that the owner was an eligible participant at the time that the release occurred as defined in R.S.

30:2194(B)(3).

The indemnification limit of the trust with respect to satisfaction of third-party claims shall be that which is necessary to satisfy federal petroleum underground storage Page 1 of 3 Coding:

SLS 26RS-1546 REENGROSSED SB NO.

505 *ENROLLED * * (5) The Tank Trust Account may be used to make payments to a third party whobringsathird-partyclaimagainstthesecretaryofthedepartmentandanyowner of a motor fuel underground storage tank becauseoffinancial damagesresponsibility sustainedrequirements. bya release into the groundwater, surface waters, or soils and who obtains a final judgment in said action enforceable in this state against the owner and the secretary if and only if it has been satisfactorily demonstrated that the owner was an eligible participant at the time that the release occurred as defined in R.S.

30:2194(B)(3).

The indemnification limit of the trust with respect to satisfaction of third-party claims shall be that which is necessary to satisfy federal petroleum underground storage tank financial responsibility requirements.

(c)No grant or loan shall exceed one hundred fiftythousandfifty thousand dollars, and the total amount of grants per year shall not exceed three million dollars The board annually shall limit the maximum amount of funds to be awarded for a single grant or loan, not to exceed three hundred thousand dollars.

(d) The board annually shall limit the total amount of funds to be awarded for grants and loans in an amount not to exceed seventy-five percent Pageof 2the unobligated balance of 5the Coding:interest account of the Tank Trust Account.

Words which are struck through are deletions from existing law;

words in boldface type and underscored are additions.

SLS 26RS-1546 REENGROSSED SB NO.

505 of the unobligated balance of the interest account of the Tank Trust Account.

The departmentdepartmentshall shall establish rulestoensurethatan ownermayparticipatein the programnomorethanonceperfiscalyear.ForpurposesofthisSubparagraph, an owner shall be the natural person or juridical entity that owns the underground storage tank project facility where the grant will be applied.

(e)(f) The maximum number of grants and loans awarded per application period and per fiscal year shall be set by the board, not to exceed twentyperapplicationperiodandfortyperfiscalyear.Theapplicationperiods forPage grants2 andof loans3 shallCoding: be as follows:

(i)Words Firstwhich quarter,are fromstruck Julythrough 1are todeletions Septemberfrom 30.existing law;

(ii)words Thirdin quarter,boldface fromtype Januaryand 1underscored toare Marchadditions. 31.

SB NO.

505 ENROLLED for grants and loans shall be as follows:

(i) First quarter, from July first to September thirtieth.

(ii) Third quarter, from January first to March thirty-first.

PagePRESIDENT 3OF ofTHE 5SENATE Coding:SPEAKER OF THE HOUSE OF REPRESENTATIVES GOVERNOR OF THE STATE OF LOUISIANA APPROVED:

WordsPage which3 areof struck3 throughCoding: are deletions from existing law;

words in boldface type and underscored are additions.

SLS 26RS-1546 REENGROSSED SB NO.

505 The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared bySenate Legislative Services.

The keyword, summary, and digest do not constitute part of the law or proof or indicia of legislative intent.

[R.S.

1:13(B) and 24:177(E)] DIGEST SB 505 Reengrossed 2026 Regular Session CATHEY Present law creates the Motor Fuels Underground Storage Tank Trust Dedicated Fund Account and provides for grants and loans to fund upgrades and improvements to storage tank sites.

Proposedlawretainspresentlawandrequiresthatupgradesandimprovementsbecompleted within three years from approval.

Present law provides that a grant or loan may only be made if all of the following apply:

(1) The applicant is domiciled in Louisiana.

(2) The site is registered with the department as a single wall underground storage tank system.

(3) Theapplicantisincompliancewithandhaspaidallfeesassessedbyapplicable state law.