Louisiana 2024 2024 Regular Session

Louisiana House Bill HB492 Comm Sub / Analysis

                    GREEN SHEET REDIGEST
HB 492	2024 Regular Session	Geymann
PROPERTY/EXPROPRIATION: Provides relative to eminent domain.
DIGEST
Present law specifies that the right of eminent domain cannot prejudice an owner's land or
mineral rights not acquired for a storage facility or necessary for use of acquired property.
Proposed law clarifies that the protections afforded land owners in present law extend to all
other uses not acquired for a storage facility or necessary for use of acquired property.
Present law provides for expropriation by state or certain corporations, limited liability
companies, or other legal entities. Proposed law adds to the provisions of present law by
providing for expropriation by legal entities, certain legal entities created for the purpose of,
or engaged in the transportation of carbon dioxide by pipeline for underground storage,
including but not limited to through connecting to an existing pipeline transporting carbon
dioxide for underground storage, whether owned or operated by the same entity, and which
has received a certificate of public convenience and necessity pursuant to the provisions of
proposed law (R.S. 30:1107(B)).
Present law authorizes any domestic or foreign corporation, limited liability company, or
other legal entity engaged in activities provided in present law to expropriate needed
property.
Proposed law removes present law.
Proposed law provides that for a prohibition on the expropriation of reservoir storage rights
for geologic storage of carbon dioxide, except in connection with any project as to which
present law (R.S. 30:1108(B)(2)) is applicable.
Proposed law adds to the definition of "storage operator" by defining it as the person
authorized by the commissioner as the operator of a proposed or existing storage facility.
Proposed law clarifies the duties and powers of the commissioner as they relate to eminent
domain proceedings.
Proposed law provides for issuance of certificates of public convenience and necessity to
each transporter of carbon dioxide applying therefore, whether or not such transporter is also
the storage operator for the laying, maintaining, and operating of a pipeline for the
transportation of carbon dioxide to a storage facility, and such rights necessary and incidental
thereto, if after a public hearing pursuant to the provisions of present law, the commissioner
determines that it is or will be in the present or future public interest to do so.
Proposed law provides that the exercise of eminent domain or expropriation powers under
present law shall not allow for the expropriation of reservoir storage rights for geologic
storage. This prohibition against the use of expropriation of reservoir storage rights for
geologic storage shall not apply to the exercise of expropriation powers in connection with
any parish as to which present law is applicable.
Proposed law provides that proposed law will take effect and become operative if and when
the Act originating as HB 966 of the 2024 Regular Session is enacted and becomes effective.
(Amends R.S. 19:2(9) - (12) and R.S. 30:1103(12), 1104(C)(intro. para.), 1107, 1108(A)(2)
and (B)(1); adds R.S. 30:1108(A)(3))
Page 1 of 2
Prepared by Jacob Wilson. Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Natural Resources and
Environment to the original bill:
1. Add to present law providing for expropriation by legal entities, certain legal
entities created for the purpose of, or engaged in the transportation of carbon
dioxide by pipeline for underground storage, including but not limited to through
connecting to an existing pipeline transporting carbon dioxide for underground
storage, whether owned or operated by the same entity, and which has received
a certificate of public convenience and necessity pursuant to the provisions of
proposed law (R.S. 30:1107(B)).
2. Specify that proposed law does not allow for the expropriation of reservoir
storage rights for geologic storage of carbon dioxide, except in connection with
any project as to which present law (R.S. 30:1108(B)(2)) is applicable.
3. Remove expropriation powers granted in present law to any domestic or foreign
corporation, limited liability company, or other legal entity engaged in any
activities provided in present law.
4. Clarify the definition of "storage operator".
5. Specify the duties and powers of the commissioner as it relates to eminent
domain.
6. Provide for issuance of certificates of public convenience and necessity to each
transporter of carbon dioxide applying therefore, whether or not such transporter
is also the storage operator for the laying, maintaining, and operating of a
pipeline for the transportation of carbon dioxide to a storage facility, and such
rights necessary and incidental thereto, if after a public hearing pursuant to the
provisions of present law, he determines that it is or will be in the present or
future public interest to do so.
7. Specify that the exercise of eminent domain or expropriation powers under
present law does not allow for the expropriation of reservoir storage rights for
geologic storage. This prohibition against the use of expropriation of reservoir
storage rights for geologic storage shall not apply to the exercise of expropriation
powers in connection with any parish as to which Paragraph (B)(2) of present law
is applicable.
8. Make technical changes.
The House Floor Amendments to the engrossed bill:
1. Make technical changes.
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Natural Resources to the
reengrossed bill
1. Provides that proposed law will take effect and become operative if and when the
Act originating as HB 966 of the 2024 Regular Session is enacted and becomes
effective.
Page 2 of 2
Prepared by Jacob Wilson.