HLS 14RS-629 ORIGINAL
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2014
HOUSE BILL NO. 657
BY REPRESENTATIVE MONTOUCET
PROPERTY/EXPROPRIATION: Provides relative to property expropriated for the purpose
of placing pipelines
AN ACT1
To amend and reenact R.S. 19:2.2(A)(2) and to enact R.S. 19:9.1, relative to expropriation;2
to provide for applicability to certain expropriation authorities; to provide limitations3
on the use of expropriated property; to provide for full compensation of the4
landowner; to provide for prescription and abandonment; to define "pipeline5
corridor"; and to provide for related matters.6
Be it enacted by the Legislature of Louisiana:7
Section 1. R.S. 19:2.2(A)(2) is hereby amended and reenacted and R.S. 19:9.1 is8
hereby enacted to read as follows:9
§2.2. Expropriation by expropriating authorities referred to in R.S. 19:210
A. Before exercising the rights of expropriation provided by R.S. 19:2, any11
expropriating authority referred to in R.S. 19:2 shall comply with the following:12
* * *13
(2) Offer to compensate the owner a specific amount not less than the lowest14
highest appraisal or evaluation. 15
* * *16
§9.1. Measure of compensation; "extent of loss"; pipeline corridors17
A.(1) The provisions of this Section shall apply to an expropriating authority18
which qualifies as a common carrier as defined by R.S. 45:251 and which is19 HLS 14RS-629 ORIGINAL
HB NO. 657
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authorized to expropriate pursuant to R.S. 19:2 for the purpose of placing or utilizing1
underground, surface, or overhead pipelines.2
(2)(a) The use of property expropriated by an expropriating authority shall3
be limited to the use and maintenance of the pipeline or pipelines specifically4
designated in the judgment granting the expropriation and shall also specify whether5
the pipeline will be placed above or below ground, or both.6
(b) The expropriating authority which is granted the right to construct and7
use the pipeline by the judgment of expropriation shall not have the authority to8
construct any additional pipelines or allow access or the construction of additional9
pipelines by any other expropriating authority without the consent of the landowner10
or approval of the court. The landowner shall be entitled to additional compensation11
pursuant to this Section for the addition of any pipelines not specifically authorized12
by the judgment of expropriation.13
B.(1) In compensating the landowner to the full extent of his loss for the14
expropriation of the property, the court shall consider not only the loss sustained by15
the landowner from the restricted use of the surface but also the market value of the16
property interest taken as a pipeline corridor. In determining the compensation for17
such an expropriation, the court shall consider prices paid for similar servitudes and18
shall consider crop cycles relative to the farming operation.19
(2)(a) In addition to any damages awarded pursuant to Paragraph (1) of this20
Subsection, the landowner shall be entitled to annual payments for the continued21
interruption of the use of the property taken until the use of the pipeline ceases.22
Upon the transfer of the property by sale, donation, or otherwise, such annual23
payments shall be made to the successor in title to the property.24
(b) The annual payments awarded pursuant to this Paragraph shall be25
increased every five years by an amount equal to the average annual increase in the26
Consumer Price Index for All Urban Consumers (CPI-U) for the preceding calendar27
year.28 HLS 14RS-629 ORIGINAL
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C.(1) The property expropriated shall be subject to prescription of nonuse1
if the use of the pipeline for the purpose for which the property was expropriated2
ceases for five consecutive years or if the annual payments cease for a period of three3
consecutive years. Upon the running of the applicable prescriptive period, the4
pipeline shall be deemed abandoned, and full ownership shall revert to the property5
owner or his heirs or assigns.6
(2) The original expropriating authority and any subsequent owner of the7
pipeline shall be liable for the removal of the abandoned pipeline and for returning8
the property to its original condition as it existed prior to the expropriation.9
D. For the purposes of this Section, "pipeline corridor" means property that10
is burdened or adjacent to property burdened by a proposed or existing servitude11
granted for the specific purpose of placing or utilizing underground, surface, or12
overhead pipelines, so situated that the highest and best use of the property burdened13
by the servitude and adjacent property is for transmission of petroleum as defined by14
R.S. 45:251.15
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument.
Montoucet HB No.
Abstract: Provides limitations on the use of property expropriated for pipelines and
requires courts to consider the value of property used as a pipeline corridor when
deciding the amount of full compensation to landowners when the property is
expropriated for the specific purpose of placing pipelines.
Present law provides that before exercising the rights of expropriation provided by R.S. 19:2,
any expropriating authority referred to in R.S. 19:2 shall offer to compensate the owner a
specific amount not less than the lowest appraisal or evaluation.
Proposed law provides that the expropriating authority shall offer the highest appraisal or
evaluation.
Proposed law applies to an expropriating authority which qualifies as a common carrier and
which is authorized to expropriate for the purpose of placing or utilizing underground,
surface, or overhead pipelines.
Proposed law limits the use of property expropriated by an expropriating authority to the use
and maintenance of the pipeline or pipelines specifically designated in the judgment granting
the expropriation. HLS 14RS-629 ORIGINAL
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are additions.
Proposed law prohibits the expropriating authority from constructing any additional
pipelines or allowing the construction of additional pipelines by any other expropriating
authority without the consent of the landowner or approval of the court, and provides that
the landowner shall be entitled to additional compensation for the addition of any pipelines.
Proposed law provides that in compensating the landowner to the full extent of his loss for
the expropriation of the property, the court shall consider not only the loss sustained by the
landowner from the restricted use of the surface but also the market value of the property
interest taken as a pipeline corridor.
Proposed law provides that the landowner is entitled to additional annual payments for the
continued interruption of the use of the property taken until the use of the pipeline ceases,
and that such payments shall continue to a successor in title to the property.
Proposed law provides for an adjustment of the annual payments every five years by an
amount equal to the average annual increase in the Consumer Price Index for All Urban
Consumers (CPI-U) for the preceding calendar year.
Proposed law provides that the expropriated property is subject to prescription of nonuse if
the use of the pipeline ceases for five consecutive years or if the annual payments cease for
three consecutive years, and that upon the running of the applicable prescriptive period, the
pipeline shall be deemed abandoned and full ownership shall revert to the owner or his heirs
or assigns.
Proposed law provides that the original expropriating authority and any subsequent owner
of the pipeline shall be liable for the removal of the abandoned pipeline and for returning the
property to its original condition as it existed prior to the expropriation.
Proposed law defines "pipeline corridor".
(Amends R.S. 19:2.2(A)(2); Adds R.S. 19:9.1)