HLS 10RS-4000 REENGROSSED Page 1 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Regular Session, 2010 HOUSE BILL NO. 1486 (Substitute for House Bill No. 926 by Representative Little) BY REPRESENTATIVES MORRIS, ARMES, BOBBY BADON, BILLIOT, BURFORD, HENRY BURNS, BURREL L, CARMODY, CHAMPAGNE, EDWARDS, GISCLAIR, HARDY, HARRISON, HENDERSON, HENRY, GIROD JACKSON, LITTLE, LORUSSO, NOWLIN, GARY SMITH, JANE SMITH, ST. GERMAIN, TALBOT, TUCKER, WADDELL, WILLIAMS, AND WOOTON AND SENATOR ADLEY WATER/RESOURCES: Provides for cooperative endeavor agreements for the withdrawal of running surface water for certain purposes AN ACT1 To enact Chapter 9-B of Title 30 of the Louisiana Revised Statutes of 1950, to be comprised2 of R.S. 30:961 through 963, relative to the use of surface water; to provide for3 definitions; to provide for cooperative endeavor agreements to withdraw running4 surface water; to provide for findings and purpose; to provide for requirements for5 cooperative endeavor agreements to withdraw running surface water; to provide for6 the authority of the secretary of the Department of Natural Resources; to provide for7 legislative intent; and to provide for related matters.8 Be it enacted by the Legislature of Louisiana:9 Section 1. Chapter 9-B of Title 30 of the Louisiana Revised Statutes of 1950,10 comprised of R.S. 30:961 through 963, is hereby enacted to read as follows: 11 CHAPTER 9-B. SURFACE WATER MANAGEMENT12 §961. Cooperative endeavor agreements; withdrawal of surface water; intent13 A. As provided by this Chapter and except as otherwise provided by law, a14 person or entity, may enter into a cooperative endeavor agreement to withdraw15 running surface water as described in this Chapter. Unless otherwise provided by16 law, all cooperative endeavor agreements to withdraw running surface water, and17 HLS 10RS-4000 REENGROSSED HB NO. 1486 Page 2 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. any assignment of such agreement, shall be approved by the secretary as provided1 in this Chapter. No provision contained in this Chapter should be construed as a2 requirement for any person or entity to enter into any cooperative endeavor3 agreement to withdraw running surface water. This Chapter shall have no effect on4 the rights provided for in Civil Code Articles 657 and 658 or any rights held by5 riparian owners in accordance with the laws of this state. It is also the intent of the6 legislature that should any portion of this Chapter be found to be unconstitutional7 that the remaining parts shall continue in force and effect.8 B. No agency or subdivision of the state otherwise authorized to enter into9 a cooperative endeavor agreement to withdraw running surface water, or assignment10 of such shall do so unless the said agreement is in writing, provides for fair market11 value to the state, is in the public interest, and is contained on a form developed and12 prescribed by the State Mineral and Energy Board and approved by the attorney13 general. No such cooperative endeavor agreement to withdraw running surface14 water shall be valid unless and until such agreement is approved by the secretary15 following the submission of an application for approval, which the secretary shall16 develop and prescribe. The secretary shall conduct the evaluation provided for in17 Subsection D of this Section and take action on the application within sixty days of18 the application being deemed complete.19 C. Unless otherwise provided by law, the secretary is authorized to enter into20 any cooperative endeavor agreement to withdraw running surface water, provided21 that any such agreement complies with the prohibition against gratuitous donation22 of state property by ensuring that the state receives fair value for any water removed,23 and the substance of the agreement is contained within a written cooperative24 endeavor agreement as provided for in Article VII, Section 14 of the Constitution of25 Louisiana.26 D. The secretary shall evaluate each application for a cooperative endeavor27 agreement to withdraw running surface water and each such cooperative endeavor28 that he may enter to ensure that each is in the public interest. The secretary shall29 HLS 10RS-4000 REENGROSSED HB NO. 1486 Page 3 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. consider whether the proposed agreement is based on good management practices1 and sound science, and is consistent with the required balancing of environmental2 and ecological impacts with the economic and social benefits found in Article IX,3 Section 1 of the Constitution of Louisiana. In his evaluation, the secretary shall also4 ensure that all cooperative endeavor agreements to withdraw running surface water,5 or assignments of such, adequately consider the potential and real effects of such6 contracted activity on the sustainability of the water body and on navigation. Any7 assignment of any such cooperative endeavor agreement to withdraw running surface8 water may be approved by the secretary in the same manner as an agreement as9 provided in this Section, unless otherwise provided for by law.10 E. No cooperative endeavor agreement to withdraw running surface water,11 or an assignment of such, entered into pursuant to the provisions of this Chapter shall12 have a term extending beyond December 31, 2020.13 F. The secretary may act to protect the natural resources of the state by14 reducing any withdrawal of water from the running surface waters of the state15 otherwise agreed to be withdrawn pursuant to an agreement entered into pursuant to16 this Chapter, or make other conditions, including the suspension or termination of17 such withdrawal of water when such an action is required to protect the resource and18 to maintain sustainability and environmental and ecological balance. If the secretary19 acts to reduce or suspend the volume of water agreed to be withdrawn, he shall do20 so in such a manner that the total necessary reductions are proportionally borne by21 all users of the running surface waters, subject to this Chapter, in the area for which22 a reduction is required. Prior to approval, the secretary shall ensure that each23 contract or agreement or assignment thereof that involved the withdrawal of the24 running surface waters of the state provides for the secretary's authority, without25 liability for damages, in this regard.26 G.(1) The secretary, in deciding whether to approve or require changes in an27 application for a cooperative endeavor agreement to withdraw running surface water,28 or assignment of such, shall consider the various existing and potential users of the29 HLS 10RS-4000 REENGROSSED HB NO. 1486 Page 4 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. resource and shall give appropriate consideration and priority to the following users1 or uses in the following order of priority:2 (a) Human consumption by means of a public water system or a private3 water system that provides domestic potable water service.4 (b) Agricultural uses that provide sustenance to animals or irrigation to5 plants.6 (c) Any commercial purpose or other industrial activity.7 (2) The secretary shall also consider the impact of any proposed contract,8 agreement, assignment, or use on resource planning. By way of illustration but not9 limitation, these would include any potential project or use that impacts:10 (a) Stream or water flow energy.11 (b) Sediment load and distribution.12 (c) Navigation.13 (d) Aquatic life.14 (e) Other vegetation or wildlife.15 (3) The management of cooperative endeavor agreements to withdraw16 running surface water shall be consistent with the comprehensive master plan for17 coastal restoration and protection as approved by the Coastal Protection and18 Restoration Authority and the legislature.19 H. Approval of an application for a cooperative endeavor agreement to20 withdraw running surface water or assignment of such pursuant to this Chapter does21 not obviate the need for other permits or authorizations required by law for any22 proposed activity.23 §962. Definitions24 As used in this Chapter, the following words, terms, and phrases have the25 meanings ascribed to them in this Section, unless the context clearly indicates a26 different meaning:27 (1) "Running surface waters" means the running waters of the state,28 including the waters of navigable water bodies and state owned lakes.29 HLS 10RS-4000 REENGROSSED HB NO. 1486 Page 5 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. (2) "Secretary" means the secretary of the Department of Natural Resources,1 and his designees.2 §963. Management by the Department of Natural Resources3 A. Except as otherwise provided by law, the Department of Natural4 Resources shall be the state agency charged with managing and monitoring the5 implementation of all cooperative endeavor agreements to withdraw running surface6 water or assignments thereof. The secretary shall have the authority to designate7 where within his agency the various functions of this Chapter are to be performed,8 to delegate any required duty to one or more persons, to issue contracts or enter into9 agreements with other public entities when required in his opinion for the efficient10 administration of this Chapter, and to establish any necessary policy or promulgate,11 in accordance with the provisions of the Administrative Procedure Act, any12 regulations that in his opinion are necessary for the efficient implementation of this13 Chapter.14 B. The secretary may negotiate and enter into a cooperative endeavor15 agreement to withdraw running surface water under terms which the secretary deems16 to be most advantageous to the state.17 C. Where there exists a governmental entity to manage, preserve, conserve,18 and protect running surface water that lacks the authority to enter into cooperative19 endeavor agreements to withdraw running surface water, such entities may provide,20 by resolution, their recommendations to the secretary of any requested terms of such21 contracts or agreements entered into by the secretary.22 Section 2. It is the express intention of the Legislature of Louisiana that nothing23 contained herein be interpreted as codifying, confirming, or ratifying; or overruling,24 nullifyin g, or rejecting the statements of law contained in the Memorandum to All State25 Surface Water Managers from the State Of Louisiana, Office of the Attorney General, and26 the secretary of the Department of Natural Resources dated February 5, 2010, and also in27 Attorney General opinions, 08-0176, 09-0028, 09-0066 and 09-0291. But rather, the intent28 of the legislature with this enactment is to provide needed interim stewardship of running29 HLS 10RS-4000 REENGROSSED HB NO. 1486 Page 6 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. surface water, as detailed in HCR No.1 of the 2010 Regular Session of the Legislature. That1 resolution requests from the Ground Water Resources Commission, a report to the2 legislature by March 1, 2011, with recommendations for changes necessary for optimal,3 comprehensive, integrated surface and ground water management policy, so that a thorough,4 deliberate, public, legislative evaluation of the issues and concerns may be had before a5 permanent state policy is established. The legislature finds that, pending this legislative6 process, it is necessary to immediately provide for an appropriate level of management and7 availability of the state's surface water resources in the interim period, and to provide for an8 optimal level of protection and use of all the natural resources of the state. In this regard,9 the express intention of the legislature is that the provisions of Chapter 9-B of Title 30 of the10 Louisiana Revised Statutes of 1950, comprised of R.S. 30:961 through 963, shall be null,11 void, and without effect after December 31, 2012.12 Section 3. This Act shall become effective upon signature by the governor or, if not13 signed by the governor, upon expiration of the time for bills to become law without signature14 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If15 vetoed by the governor and subsequently approved by the legislature, this Act shall become16 effective on the day following such approval.17 DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, 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)] Morris HB No. 1486 Abstract: Authorizes cooperative endeavor agreements for the withdrawal of running surface water. Proposed law authorizes a person or entity to enter into a cooperative endeavor agreement to withdraw running surface water with an agency or subdivision of the state authorized in present law to enter such agreements or with the secretary of the Dept. of Natural Resources. Proposed law provides that proposed law shall not effect the rights of riparian owners in present law. Proposed law requires that a cooperative endeavor agreement to withdraw running surface water with an agency or subdivision of the state shall be in writing, for fair market value, in the public interest, on a form prescribed by the State Mineral and Energy Board, and approved by the attorney general and the secretary of the Dept. of Natural Resources. HLS 10RS-4000 REENGROSSED HB NO. 1486 Page 7 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Proposed law authorizes the secretary of the Dept. of Natural Resources to enter into cooperative endeavor agreement to withdraw running surface water and requires such agreements to be in writing and for fair market value. Proposed law requires the secretary to evaluate such agreements that each is in the public interest and consider whether the agreement is based on good management practices and sound science and consistent with present law requirement of balancing environmental and ecological impacts with economic and social benefits. He must also consider the effects on sustainability of the water body and on navigation. Applications for such cooperative endeavor agreement shall be evaluated and action taken within 60 days of the application being deemed complete. Proposed law requires any assignment of agreements entered into pursuant to proposed law must be approved by the secretary. Proposed law authorizes the secretary to reduce or terminate withdrawals otherwise agreed to in order to protect the resource and maintain sustainability. Proposed law requires the secretary to consider existing users in approving or making changes to an application and prioritizes the such users as human consumption, agricultural uses, and finally, commercial and industrial uses. Proposed law provides such agreements shall be consistent with integrated coastal protection, and approval of agreements does not remove the necessity to obtain permits required by present law. Proposed law places the management and monitoring the implementation of these agreement within the Dept. of Natural Resources. Proposed law provides proposed law is not codifying, confirming, or ratifying; or overruling, nullifying, or rejecting the statements of law contained in the Memorandum to All State Surface Water Managers from the State Of Louisiana, Office of the Attorney General, and secretary of the Department of Natural Resources dated Feb. 5, 2010, and also in Attorney General opinions, 08-0176, 09-0028, 09-0066 and 09-0291. Proposed law sunsets after Dec. 31, 2012. Effective upon signature of governor or lapse of time for gubernatorial action. (Adds R.S. 30:961-963)