Authorizes the Oilfield Site Restoration Commission to issue bonds for remediation and restoration of certain oilfield sites. (7/1/10)
The impact of SB173 on Louisiana's state laws is significant, primarily as it expands the powers of the Oilfield Site Restoration Commission. By enabling the issuance of revenue bonds, the bill provides a structured financial mechanism aimed at restoring oilfield sites efficiently. Moreover, the bill ensures the securing of bonds via a pledge of revenues dedicated to the restoration efforts, which helps to protect the integrity of the bondholders' rights while facilitating timely remediation of environmental sites. The bond proceeds focus on funding necessary activities that benefit public trust resources.
Senate Bill 173 authorizes the Oilfield Site Restoration Commission to issue revenue bonds for the remediation and restoration of oilfield sites on state-owned lands and water bottoms within Louisiana. The bill establishes provisions under which the Commission can raise necessary funds to restore oilfield sites, facilitating environmental remediation efforts and ensuring compliance with the state's environmental regulations. The issuance of these bonds is framed as a public service designed to address the impacts of previous oilfield operations on state resources and land.
The sentiment surrounding SB173 has generally been supportive among stakeholders concerned with environmental issues and public resource management. Proponents applaud the bill as a proactive step toward addressing the historical consequences of oilfield operations. However, there are concerns among some legislators regarding potential fiscal implications and the management of bond issuance, emphasizing the necessity for transparent budgets and accountability measures. Overall, the discussion reflects a recognition of the need for restoration actions coupled with diligent oversight.
Notable points of contention within the legislative discussions include the methods for securing bond obligations and the potential impact on state funds. Some legislators have expressed apprehension about the reliance on revenue bonds without pledging the full faith and credit of the state, fearing this could complicate financial management or lead to increased public debt. Additionally, the limited disclosure requirements for trust agreements associated with the bonds raised questions about transparency and potential impacts on future funding allocations.