Louisiana House Bill HB853

Louisiana 2012 Regular Session

• Introduced: 3/12/12
• Refer: 3/12/12

Caption

Provides for the Louisiana Land Owners Protection Act

Impact

The bill impacts several aspects of Louisiana state law pertaining to oil and gas operations. It requires operators to provide advance notice to surface owners and nearby residents about upcoming drilling activities and offers surface owners the right to reject proposed agreements, thus enhancing local control over land use. The bill also establishes provisions for compensating tenants of surface owners and mandates that operators restore or replace affected water supplies, thereby strengthening protections for water resources in oil and gas operations.

Summary

House Bill 853, known as the Louisiana Land Owners Protection Act, aims to strengthen the rights of surface owners in the context of oil and gas exploration and production activities. The bill delineates specific duties for operators, including the requirement to compensate surface owners for any damages resulting from operations, and mandates that full compensation be paid if a surface owner is not receiving at least a one-eighth royalty from a mineral lease. Furthermore, it establishes a process for notifying surface owners of planned operations and stipulates that operators must reclaim affected surfaces within a stipulated timeframe after operations cease.

Sentiment

The sentiment surrounding HB 853 appears to be largely favorable among local landowners and environmental advocates who advocate for stronger protections against potential drilling-related damage. Supporters view the bill as a necessary measure to uphold the rights of surface owners and protect local environments. However, some industry stakeholders express concerns regarding the increased regulatory burden and potential implications for oil and gas development, arguing that it could lead to inefficiencies and increase operational costs for businesses involved in mineral extraction.

Contention

Notable points of contention include the balance of power between oil and gas operators and local surface owners. Industry representatives argue that the requirements for notifying surface owners and posting bonds for compensation before operations can commence may hinder timely development projects. On the other hand, advocates for the bill emphasize the importance of ensuring that landowners are adequately compensated and informed prior to the initiation of any potentially disruptive activities, heralding it as a significant step toward sustainable land management and accountability in natural resource extraction.