SLS 13RS-434 ORIGINAL Page 1 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Regular Session, 2013 SENATE BILL NO. 223 BY SENATOR MILLS Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. PORTS/HARBORS/TERMINALS. Creates the Coastal Port Advisory Authority. (8/1/13) AN ACT1 To enact Chapter 51 of Title 34 of the Louisiana Revised Statutes of 1950, comprised of2 R.S. 34:3551 through 3552, and R.S. 36:509(U), relative to ports; to create the3 Coastal Port Advisory Authority; to provide for the authority's membership and its4 officers; to provide for the duties and functions of the authority; and to provide for5 related matters.6 Be it enacted by the Legislature of Louisiana:7 Section 1. Chapter 51 of Title 34 of the Louisiana Revised Statutes of 1950,8 comprised of R.S. 34:3551 through 3552, is hereby enacted to read as follows: 9 CHAPTER 51. COASTAL PORT ADVISORY AUTHORITY10 §3551. Coastal Port Advisory Authority; purpose; legislative findings11 The legislature hereby finds and declares that the development of oil and12 gas resources is essential to promote Louisiana's economic growth and the13 ability of the maritime, oil and gas industries to compete in regional, national,14 and global markets and to provide a high quality of life for the people of this15 state. The legislature declares and finds the following:16 (1) The Gulf of Mexico has substantial oil and gas resources.17 SB NO. 223 SLS 13RS-434 ORIGINAL Page 2 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. (2) Many of these resources are considered in the deep waters of the Gulf1 of Mexico.2 (3) Major energy companies are expressing renewed interest in the3 deepwater oil and gas resources of the Gulf of Mexico as expressed in recent4 federal oil and gas lease sales and in budgeted capital expenditures.5 (4) The state of Louisiana was once best suited to serve as the host state6 for the fabrication of the infrastructure needed to develop the shale and some7 deepwater Gulf of Mexico oil and gas resources because of its competitive8 advantage of world class coastal ports.9 (5) Due to the need for larger and heavier infrastructures to serve the10 continued quest for deeper water resources combined with the current11 limitations of Louisiana's coastal ports, the state of Louisiana, and the United12 States of America, are losing market shares, for the fabrication of deep water13 infrastructure projects.14 (6) Economic opportunities and job creation resulting from improved coastal15 port infrastructures could create a renaissance of manufacturing resulting from the16 proposed private investment of major energy companies in the deepwater resources of17 the Gulf of Mexico.18 (7) The state of Louisiana has a great opportunity to fund the greatest19 environmental project of our generation, the restoration of coastal Louisiana, from the20 proceeds of deepwater oil and gas resources as a result of previously adopted federal21 law and certain Louisiana constitutional amendments.22 (8) The state of Louisiana should move aggressively to determine how it23 can best fund improvements to its coastal ports in order to take advantage of24 the pending private sector investments in the deepwater resources of the Gulf25 of Mexico, and, thereby secure itself as the premiere province to host such26 activities, and further secure jobs for its citizens and improvements to the27 quality of life.28 §3552. Coastal Port Advisory Authority; creation; membership; duties and29 functions30 SB NO. 223 SLS 13RS-434 ORIGINAL Page 3 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. A. The Coastal Port Advisory Authority is hereby created in the office1 of multimodal planning within the Department of Transportation and2 Development.3 B. The authority shall perform its duties and functions through a board4 composed of the following members:5 (1) One member appointed at large by the governor who shall serve as6 chairman of the authority and have knowledge of the deepwater Gulf of Mexico.7 (2) The governor's executive assistant for coastal activities or his8 designee.9 (3) The secretary of the Department of Transportation and Development10 or his designee.11 (4) The secretary of the Department of Economic Development or his12 designee.13 (5) The secretary of the Department of Natural Resources or his14 designee.15 (6) A representative of the Louisiana Mid-Continent Oil and Gas16 Association selected by its president.17 (7) A representative of the Ports Association of Louisiana selected by its18 chairman of the board of directors.19 (8) One member each appointed by the executive director of each of20 Louisiana's coastal ports.21 (9) One member each appointed by the executive director of each of22 Louisiana's deep draft ports.23 C. The members shall select a vice chairman to serve in the absence of24 the chairman. The marine and rail transportation administrator within the25 office of multimodal planning, Department of Transportation and Development,26 shall serve as secretary of the authority and shall not vote.27 D. (1) The authority shall be advisory in nature.28 (2) The authority shall research and study economic development29 SB NO. 223 SLS 13RS-434 ORIGINAL Page 4 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. opportunities available to the state's maritime industries and the needs of the1 oil and gas industry relative to coastal and deep draft ports. The authority shall2 inventory and evaluate the resources and infrastructure of coastal and deep3 draft ports, including existing and future resource and infrastructure needs in4 order to attract business and increase future market shares, identify technical5 research and previously developed information on markets available to coastal6 and deep draft ports, study coastal and deep draft port capacities and7 utilization, identify potential future deficit areas, and investigate incentives for8 coastal and deep draft port development.9 (3) The authority shall periodically report the progress of its activities10 to the house and senate committees on transportation, highways, and public11 works.12 E. (1) A majority of the members shall constitute a quorum. A quorum13 being present, the favorable vote of at least a simple majority of the total14 membership present shall be required for the authority to take action on any15 matter.16 (2) The board shall meet at least once per year, or more frequently as17 necessary, upon call of the chairman.18 (3) Members of the authority shall not receive a salary or reimbursement19 for mileage or expenses incurred for attendance at authority meetings from the20 authority.21 Section 2. R.S. 36:509(U) is hereby enacted to read as follows:22 §509. Transfer of agencies to Department of Transportation and Development23 * * *24 U. The Coastal Port Advisory Authority (R.S. 34:3551 et seq.) shall be25 placed within the office of multimodal planning, Department of Transportation26 and Development, and shall perform its duties, functions, and responsibilities27 in the manner provided by law.28 SB NO. 223 SLS 13RS-434 ORIGINAL Page 5 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Sharon F. Lyles. DIGEST Proposed law creates the Coastal Port Advisory Authority in the office of multimodal planning, Department of Transportation and Development (DOTD), to perform its duties, functions, and responsibilities in an advisory capacity in order for the state to determine how it may best position itself to take advantage of pending private sector investments in deepwater oil and gas resources in the Gulf of Mexico. Proposed law provides for membership as follows: (1)One member appointed at large by the governor who shall serve as chairman and have knowledge of the deepwater Gulf of Mexico. (2)The governor's executive assistant for coastal activities or his designee. (3)The secretary of the Department of Transportation and Development or his designee. (4)The secretary of the Department of Economic Development or his designee. (5)The secretary of the Department of Natural Resources or his designee. (6)A representative of the Louisiana Mid-Continent Oil and Gas Association selected by its president. (7)A representative of the Ports Association of Louisiana selected by its chairman of the board of directors. (8)One member each appointed by the executive director of each of the state coastal ports. (9)One member each appointed by the executive director of each of the state's deep draft ports. Proposed law requires the members to select a vice chairman to serve in the absence of the chairman, and for the marine and rail transportation administrator within the office of multimodal planning DOTD to serve as secretary of the authority who shall not vote. Proposed law provides that the authority be advisory in nature; requires the authority, relative to the state's coastal and deep draft ports, to research and study economic development opportunities available to the state's maritime industries and the needs of the oil and gas industry, to inventory and evaluate port resources and infrastructure, including existing and future resource and infrastructure needs in order to attract business and increase future market shares, to identify technical research and previously developed information on available markets, to study port capacities and utilization, to identify potential future deficit areas, and to investigate incentives for port development. Proposed law requires the authority to periodically report the progress of its activities to the house and senate committees on transportation, highways, and public works. Proposed law provides a majority of the members constitute a quorum and requires a favorable vote of at least a simple majority of the total membership present to take action on any matter; requires the board to meet at least annually and authorizes more frequent meetings upon the call of the chairman; provides that the members serve without salary or mileage or expense reimbursement from the authority. SB NO. 223 SLS 13RS-434 ORIGINAL Page 6 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Effective August 1, 2013. (Adds R.S. 34:3551 and 3552 and R.S. 36:509(U))