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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
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(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 shallow 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 deep water resources combined with the current limitations11
of Louisiana's coastal ports, the state of Louisiana, and the United States of12
America, are losing market shares, for the fabrication of deep water13
infrastructure projects.14
(6) Economic opportunities and job creation resulting from improved15
coastal port infrastructures could create a renaissance of fabrication resulting16
from the proposed private investment of major energy companies in the17
deepwater resources of 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,20
from the proceeds of deepwater oil and gas resources as a result of previously21
adopted federal 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 SB NO. 223
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functions1
A. The Coastal Port Advisory Authority is hereby created in the office2
of multimodal planning within the Department of Transportation and3
Development.4
B. The authority shall perform its duties and functions through a board5
composed of the following members:6
(1) One member appointed at large by the governor who shall serve as7
chairman of the authority and have knowledge of the deepwater Gulf of Mexico.8
(2) The governor's executive assistant for coastal activities or his9
designee.10
(3) The secretary of the Department of Transportation and Development11
or his designee.12
(4) The secretary of the Department of Economic Development or his13
designee.14
(5) The secretary of the Department of Natural Resources or his15
designee.16
(6) A representative of the Ports Association of Louisiana selected by its17
chairman of the board of directors.18
(7) One member from each of Louisiana's coastal ports appointed by19
each port's executive director.20
(8) One member from each of Louisiana's deep draft ports appointed by21
each port's executive director.22
C. The members shall select a vice chairman to serve in the absence of23
the chairman. The marine and rail transportation administrator within the24
office of multimodal planning, Department of Transportation and Development,25
shall serve as secretary of the authority and shall not vote.26
D. (1) The authority shall be advisory in nature.27
(2)(a) The authority shall research and study economic development28
opportunities available to the state's maritime industries and the needs of the29 SB NO. 223
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oil and gas industry relative to coastal and deep draft ports. The authority shall1
inventory and evaluate the resources and infrastructure of coastal and deep2
draft ports, including existing and future resource and infrastructure needs in3
order to attract business and increase future market shares, identify technical4
research and previously developed information on markets available to coastal5
and deep draft ports, study coastal and deep draft port capacities and6
utilization, identify potential future deficit areas, and investigate incentives for7
coastal and deep draft port development.8
(b)The authority shall not be eligible to apply for or receive funding from9
the Port Construction and Development Priority Program as provided in R.S.10
34:3451 et seq.11
(c) The authority shall be prohibited from advising on any matter related12
to the Port Construction and Development Priority Program.13
(3) Not later than May 1, 2015, and not later than May 1 annually14
thereafter, the authority shall report the progress of its activities to the house15
and senate committees on transportation, highways, and public works.16
(4) The authority may call upon the expertise of others with knowledge17
of Gulf of Mexico deep water exploration and production, including but not18
limited to the Louisiana Mid-Continent Oil and Gas Association, the Louisiana19
Oil and Gas Association, the American Petroleum Institute, the National Ocean20
Industries Association, the Gulf Economic Survival Team, Chambers of21
Commerce, Louisiana universities, fabrication companies, and port22
organizations.23
(5) Executive agencies and departments of the state represented on the24
authority may enter into interagency agreements to share costs necessary to25
perform authority duties, functions, and responsibilities.26
E. (1) A majority of the members shall constitute a quorum. A quorum27
being present, the favorable vote of at least a simple majority of the total28
membership present shall be required for the authority to take action on any29 SB NO. 223
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matter.1
(2) The board shall meet at least once per year, or more frequently as2
necessary, upon call of the chairman.3
(3) Members of the authority shall not receive a salary or reimbursement4
for mileage or expenses incurred for attendance at authority meetings from the5
authority.6
F. The provisions of this Chapter shall terminate on June 30, 2018.7
Section 2. R.S. 36:509(U) is hereby enacted to read as follows:8
§509. Transfer of agencies to Department of Transportation and Development9
* * *10
U. The Coastal Port Advisory Authority (R.S. 34:3551 et seq.) shall be11
placed within the office of multimodal planning, Department of Transportation12
and Development, and shall perform its duties, functions, and responsibilities13
in the manner provided by law.14
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Sharon F. Lyles.
DIGEST
Mills (SB 223)
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 Ports Association of Louisiana selected by its chairman of the
board of directors.
(7)One member from each of Louisiana's coastal ports appointed by each port's SB NO. 223
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executive director.
(8)One member from each of Louisiana's deep draft ports appointed by each port's
executive director.
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 provides that the authority shall not be eligible to apply for or receive funding
from the Port Construction and Development Priority Program as provided in R.S. 34:3451
et seq.
Proposed law prohibits the authority from advising on any matter related to the Port
Construction and Development Priority Program.
Proposed law requires the authority, beginning not later than May 1, 2015, and not later than
May 1 annually thereafter, to report the progress of its activities to the house and senate
committees on transportation, highways, and public works.
Proposed law authorizes the authority to call upon the expertise of others with knowledge
of Gulf of Mexico deep water exploration and production, including but not limited to, the
Louisiana Mid-Continent Oil and Gas Association, the Louisiana Oil and Gas Association,
the American Petroleum Institute, the National Ocean Industries Association, the Gulf
Economic Survival Team, Chambers of Commerce, Louisiana universities, fabrication
companies, and port organizations.
Proposed law authorizes interagency agreements between executive agencies and
departments of the state represented on the authority to share costs necessary to perform
authority duties, functions, and responsibilities.
Proposed law provides a majority of the members constitutes 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.
Proposed law terminates the authority on June 30, 2018.
Effective August 1, 2013.
(Adds R.S. 34:3551 and 3552 and R.S. 36:509(U))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Transportation,
Highways, and Public Works to the original bill SB NO. 223
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1. Removes representative of the Louisiana Mid-Continent Oil and Gas
Association as a member of the authority's board.
2. Provides that authority is not eligible to apply for or receive funding from the
Port Construction and Development Priority Program.
3. Prohibits authority from advising on any matter related to the Port
Construction and Development Priority Program.
4. Requires the authority, beginning not later than May 1, 2015, and not later
than May 1 annually thereafter, to report its progress to the house and senate
committees on transportation, highways, and public works.
5. Authorizes authority to call upon the expertise of others with knowledge of
Gulf of Mexico deep water exploration and production, including but not
limited to, the Louisiana Mid-Continent Oil and Gas Association, the
Louisiana Oil and Gas Association, the American Petroleum Institute, the
National Ocean Industries Association, the Gulf Economic Survival Team,
Chambers of Commerce, Louisiana universities, fabrication companies, and
port organizations.
6. Authorizes interagency agreements between executive agencies and
departments of the state represented on the authority to share costs necessary
to perform authority duties, functions, and responsibilities.
7. Terminates the authority on June 30, 2018.