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Regular Session, 2012
SENATE BILL NO. 555
BY SENATOR ADLEY
MINERALS. Provides for the remediation of oilfield sites and exploration and production
sites. (8/1/12)
AN ACT1
To amend and reenact R.S. 30:29(A), (C)(1) and (3), and (H), relative to the remediation of2
oilfield sites and exploration and production sites; to provide for the admission or3
finding of liability by certain parties; to provide terms, conditions, requirements, and4
procedures; and to provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 30:29(A), (C)(1) and (3), and (H) are hereby amended and reenacted7
to read as follows: 8
ยง29. Remediation of oilfield sites and exploration and production sites9
A. The legislature hereby finds and declares that Article IX, Section 1 of the10
Constitution of Louisiana mandates that the natural resources and the environment11
of the state, including ground water, are to be protected, conserved, and replenished12
insofar as possible and consistent with the health, safety, and welfare of the people13
and further mandates that the legislature enact laws to implement this policy. It is the14
duty of the legislature to set forth procedures to ensure that damage to the15
environment is remediated to a standard that protects the public interest as16
established by regulations adopted by the department pursuant to this Section.17 SB NO. 555
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words in boldface type and underscored are additions.
To this end, this Section provides the procedure for judicial resolution of claims for1
environmental damage to property arising from activities subject to the jurisdiction2
of the Department of Natural Resources, office of conservation. The provisions of3
this Section shall be implemented upon receipt of timely notice as required by4
Paragraph (B)(1) of this Section. The provisions of this Section shall not be5
construed to impede or limit provisions under private contracts imposing remediation6
obligations in excess of the requirements of the department or limit the right of a7
party to a private contract to enforce any contract provision in a court of proper8
jurisdiction. In addition, the provisions of this Section shall not be construed to9
create any cause of action or to impose additional implied obligations under the10
Louisiana Mineral Code or arising out of a mineral lease.11
* * *12
C.(1)(a) If at any time during the proceeding a party admits liability for13
environmental damage or the finder of fact determines that environmental damage14
exists and determines the party or parties who caused the damage or who are15
otherwise legally responsible therefor, the court shall order the party or parties who16
admit responsibility or whom the court finds legally responsible for the damage to17
give notice of the admission or finding of liability to the department. Upon18
receipt of such notice, the department shall notify all current and past operators19
of record of the admission or finding of liability, by certified mail, return receipt20
requested. The notice of admission or finding of liability sent to the department21
shall be a public record and shall be posted in the office of the secretary. Such22
record and posting shall constitute public notice.23
(b) For purposes of this Section, any party may elect to limit an24
admission of liability for environmental damage to responsibility for25
implementing the most feasible plan to evaluate, and if necessary, remediate all26
or a portion of the contamination that is the subject of the litigation to27
applicable regulatory standards. If such an admission is limited to a party's28
responsibility for implementing the most feasible plan, the admission shall not29 SB NO. 555
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be construed as an admission of liability for damages under Subsection H of this1
Section, nor shall such an admission result in any waiver of any rights or2
defenses of the admitting party. An admission of responsibility for3
implementing the most feasible plan and the plan approved by the department4
shall be admissible as evidence in any action.5
(c) Within thirty days of the department's issuance of the notice required6
in this Subsection, the court shall refer the matter to the department. The court7
shall order the party admitting liability or whom the finder of fact determines8
is legally responsible for the environmental damage to develop a plan or submittal9
for the evaluation or remediation to applicable standards of the contamination that10
resulted in the environmental damage. The court shall order that the plan be11
developed and submitted to the department and the court within a time that the court12
determines is reasonable and shall allow the plaintiff or any other party or any13
interested person at least thirty days from the date each plan or submittal was made14
to the department and the court to review the plan or submittal and provide to the15
department and the court a plan, comment, or input in response thereto. The16
department shall consider any plan, comment, or response provided timely by any17
party or any interested person. The department shall submit to the court a schedule18
of estimated costs for review of the plans or submittals of the parties by the19
department and the court shall require the party admitting responsibility or the party20
found legally responsible by the court to deposit in the registry of the court sufficient21
funds to pay the cost of the department's review of the plans or submittals. Any plan22
or submittal shall include an estimation of cost to implement the plan.23
* * *24
(3) The department shall use and apply the applicable regulatory standards25
in approving or structuring a plan that the department determines to be the most26
feasible plan to evaluate or remediate the environmental damage.27
* * *28
H. This Section shall not preclude an owner of land be construed to limit29 SB NO. 555
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the rights of private litigants from pursuing a judicial remedy or receiving a1
judicial award for private claims suffered as a result of environmental damage,2
except as otherwise provided in this Section. Nor shall it preclude a judgment3
ordering damages for or implementation of additional remediation in excess of the4
requirements of the plan adopted by the court pursuant to this Section as may be5
required in accordance with the terms of an express contractual provision. Any6
award granted in connection with the judgment for additional remediation is not7
required to be paid into the registry of the court. This Section shall not be interpreted8
to create any cause of action or to impose additional implied obligations under the9
mineral code or arising out of a mineral lease.10
* * *11
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by J. W. Wiley.
DIGEST
Proposed law provides that the present law will not be construed to create any cause of
action or to impose additional implied obligations under the Louisiana Mineral Code or
arising out of a mineral lease.
Present law provides that if at any time during the proceeding a party admits liability for
environmental damage or the finder of fact determines that environmental damage exists and
determines the party or parties who caused the damage or who are otherwise legally
responsible therefor, the court shall order the party or parties who admit responsibility or
whom the court finds legally responsible for the damage to develop a plan or submittal for
the evaluation or remediation to applicable standards of the contamination that resulted in
the environmental damage.
Proposed law requires the party who admits liability or who is found to be liable to give
notice of the admission or finding of liability to the department. Upon receipt of such notice,
the department shall notify all current and past operators of record by certified mail, return
receipt requested, of the admission or finding of liability. Further provides that the notice
of admission or finding of liability sent to the department shall be a public record and shall
be posted in the office of the secretary. Such record and posting shall constitute public
notice.
Proposed law allows any interested party to review any submitted plans and to submit
comments, input, or additional plans to the department.
Proposed law provides that any party may elect to limit an admission of liability for
environmental damage to responsibility for implementing the most feasible plan to evaluate,
and if necessary, remediate all or a portion of the contamination that is the subject of the
litigation to applicable regulatory standards. Further provides that if such an admission is
limited to a party's responsibility for implementing the most feasible plan, the admission
shall not be construed as an admission of liability for damages under present law, nor shall
such an admission result in any waiver of any rights or defenses of the admitting party. SB NO. 555
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words in boldface type and underscored are additions.
Proposed law provides that an admission of responsibility for implementing the most
feasible plan and the plan approved by the department shall be admissible as evidence in any
action.
Proposed law provides that within 30 days of the department's issuance of the notice required
in the proposed law, the court shall refer the matter to the department. Further provides that
the court shall order the party admitting liability or whom the finder of fact determines is
legally responsible for the environmental damage to develop a plan or submittal for the
evaluation or remediation to applicable standards of the contamination that resulted in the
environmental damage.
Proposed law provides that the applicable standards in approving a plan will be the
"applicable regulatory standards".
Proposed law provides that present law shall not be construed to limit the rights of private
litigants from pursuing a judicial remedy or receiving a judicial award for private claims
suffered as a result of environmental damage, except as otherwise provided in present law.
Effective August 1, 2012.
(Amends R.S. 30:29(A), (C)(1) and (3), and (H))