§ 30:4 — Jurisdiction, duties, and powers of the secretary; rules and regulations
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§4. Jurisdiction, duties, and powers of the secretary; rules and regulations
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§4. Jurisdiction, duties, and powers of the secretary; rules and regulations
A. The secretary has jurisdiction and authority over all persons and property
necessary to enforce effectively the provisions of this Chapter and all other laws relating to
the conservation of oil or gas.
B. The secretary shall make such inquiries as he thinks proper to determine whether
or not waste, over which he has jurisdiction, exists or is imminent. In the exercise of this
power the secretary has the authority to collect data; to make investigations and inspections;
to examine properties, leases, papers, books, and records; to examine, survey, check, test, and
gauge oil and gas wells, tanks, refineries, and modes of transportation; to hold hearings; to
provide for the keeping of records and the making of reports; to require the submission of
an emergency phone number by which the operator may be contacted in case of an
emergency; and to take any action as reasonably appears to him to be necessary to enforce
this Chapter.
C. The secretary has authority to make, after notice and hearings as provided in this
Chapter, any reasonable rules, regulations, and orders that are necessary from time to time
in the proper administration and enforcement of this Chapter, including rules, regulations,
or orders for the following purposes:
(1)(a)(i) To require the drilling, casing, and plugging of wells to be done in such a
manner as to prevent the escape of oil or gas out of one stratum to another.
(ii) To prevent the intrusion of water into oil or gas strata.
(iii) To prevent the pollution of fresh water supplies by oil, gas, or salt water.
(iv) To require the plugging of each dry and abandoned well and the closure of
associated pits, the removal of equipment, structures, and trash; and to otherwise require a
general site cleanup of such dry and abandoned wells.
(v) To allow for transferrable plugging credits in lieu of the bond with security
required by Subsection R of this Section in order to promote the plugging of orphaned
oilfield sites and oilfield sites that have been inactive for at least five years. A plugging credit
shall be issued for the plugging of orphaned oilfield sites and oilfield sites that have been
inactive for at least five years, with the specific requirements and procedures for issuance,
transfer, and acceptance of such credits to be developed by the secretary. The regulations
shall, at a minimum, provide criteria under which plugging credits may be earned, and
require approval by the secretary for the earning, using, banking, or selling of the plugging
credits.
(b) Only an owner as defined in R.S. 30:3 shall be held or deemed responsible for
the performance of any actions required by the secretary.
(2) To require the making of reports showing the location of all oil and gas wells,
and the filing of logs, electrical surveys, and other drilling records.
(3) To prevent wells from being drilled, operated, and produced in a manner to cause
injury to neighboring leases or property.
(4) To prevent the drowning by water of any stratum or part thereof capable of
producing oil or gas in paying quantities, and to prevent the premature and irregular
encroachment of water which reduces, or tends to reduce, the total ultimate recovery of oil
or gas from any pool.
(5) To require the operation of wells with efficient gas-oil ratios, and fix these ratios.
(6) To prevent blow outs, caving and seepage in the sense that conditions indicated
by these terms are generally understood in the oil and gas business.
(7) To prevent fires.
(8) To identify the ownership of all oil or gas wells, producing leases, refineries,
tanks, plants, structures, and all storage and transportation equipment and facilities.
(9) To regulate the shooting and chemical treatment of wells.
(10) To regulate secondary recovery methods, including the introduction of gas, air,
water, or other substance into producing formations.
(11) To limit and prorate the production of oil or gas or both from any pool or field
for the prevention of waste.
(12) To require, either generally or in or from particular areas, certificates of
clearance or tenders in connection with the transportation of oil, gas, or any product.
(13) To regulate the spacing of wells and to establish drilling units, including
temporary or tentative spacing rules and drilling units in new fields.
(14) To require interested persons to place uniform meters of a type approved by the
secretary wherever the secretary designates on all pipelines, gathering systems, barge
terminals, loading racks, refineries, or other places necessary or proper to prevent waste and
the transportation of illegally produced oil or gas. These meters shall be under the
supervision and control of the department of conservation. It shall be a violation of this
Chapter, subject to the penalties provided in R.S. 30:18, for any person to refuse to attach or
install a meter when ordered to do so by the secretary, or in any way to tamper with the
meters so as to produce a false or inaccurate reading, or to have any device through which
the oil or gas can be passed around the meter, unless expressly authorized by written permit
of the secretary.
(15) To require that the product of all wells shall be separated into so many million
cubic feet of gaseous hydrocarbons and barrels of liquid hydrocarbons, either or both, and
accurately measured wherever separation takes place. Gaseous hydrocarbon measurement
shall be corrected to ten ounces above atmospheric pressure. Liquid hydrocarbons shall be
measured into barrels of forty-two gallons each. Both measurements shall be corrected to
sixty degrees fahrenheit.
(16)(a) To regulate by rules, the drilling, casing, cementing, disposal interval,
monitoring, plugging and permitting of disposal wells which are used to inject waste
products in the subsurface and to regulate all surface and storage waste facilities incidental
to oil and gas exploration and production, in such a manner as to prevent the escape of such
waste product into a fresh groundwater aquifer or into oil or gas strata; may require the
plugging of each abandoned well or each well which is of no further use and the closure of
associated pits, the removal of equipment, structures, and trash, and other general site
cleanup of such abandoned or unused well sites; and may require reasonable bond with
security for the performance of the duty to plug each abandoned well or each well which is
of no further use and to perform the site cleanup required by this Subparagraph. Only an
owner as defined in R.S. 30:3(8) shall be held or deemed responsible for the performance of
any actions required by the commissioner.
(b)(i) Provided that before a permit to operate a new commercial operations' waste
disposal well may be granted, a public hearing shall be held on the application for a permit,
and shall fix the date, time, and place therefor. The operator or owner, prior to such public
hearing, shall give public notice on three separate days within a period of thirty days prior
to the public hearing, with at least five days between each publication of the notice, both in
the official state journal and in the official journal of the parish in which the well is to be
located, that application for a permit for a new commercial operations' waste disposal well
has been made and that a public hearing on the matter will be held on the date and at the time
and place which shall be stated in the public notice. The secretary shall prescribe the form
of the advertisement. In addition, the applicant for a permit shall place an advertisement in
the same newspapers but not in the classified advertisement or public notice section of the
newspapers, in a form which shall be not less than one-half page in size and printed in bold
face type; which shall inform the public that application for a permit has been made for a
new commercial operations' waste disposal well and that a public hearing, at which all
interested persons are charged to be present and to present their views and which shall state
the date, time, and place at which the meeting will be held. The content of both the public
notice and the one-half page announcement or advertisement also shall include the name of
the owner or operator; location of the proposed well, materials to be disposed in the well, and
a statement that comments may be sent to the secretary prior to the public meeting.
(ii) "Commercial operations" as defined in this Section pertains to those who dispose
of waste materials off the site where produced by others. "Waste materials" is defined as any
material, excluding drilling muds, produced waters and crude oil residues, for which no use
or reuse is intended and which is to be discarded.
(c) However, no rule, regulation, or order authorized by this Paragraph shall regulate
the hours of operation or receiving of offsite treatment, storage, and disposal facilities for
waste material as defined in Subparagraph (b) of this Paragraph.
(17)(a) To regulate the construction design and operation of pipelines transmitting
carbon dioxide to serve secondary and tertiary recovery projects for increasing the ultimate
recovery of oil or gas, including the issuance of certificates of public convenience and
necessity for pipelines serving such projects approved hereunder.
(b) No person shall exercise the right of expropriation under the laws of this state in
connection with the construction or operation of such a carbon dioxide pipeline until the
enhanced recovery project has been approved by the secretary and a certificate of public
convenience and necessity for the pipeline has been issued. If the enhanced recovery project
is located in another state or jurisdiction, the secretary's approval shall consist of
confirmation that the applicable regulatory authority of that state or jurisdiction has approved
or authorized the injection of carbon dioxide in association with such project.
(18) To regulate brine production operations.
(19) To designate an area within the state as a multiple mineral development area for
purposes of brine production operations.
(20) To adjudicate and determine multiple mineral development conflicts among
brine production operations if any of the following circumstances exist:
(a) There is potential injury to other mineral deposits or mineral development in or
beneath the property affected.
(b) There are simultaneous or concurrent operations conducted by other mineral
owners or lessees affecting the property.
(21) To require reporting of the production of oil, gas, and condensate on an
individual well-basis.
D. The secretary may make, after notice and public hearing as provided in this
Chapter, any reasonable rules, regulations, and orders that are necessary:
(1) To require that all pipelines, all wells, and all associated structures, including any
fittings, tie-overs, appliances, and equipment, which are constructed on state water bottoms
pursuant to the grant of a right-of-way by the secretary of the Department of Conservation
and Energy or the issuance of a lease by the State Mineral and Energy Board shall conform
to the following provisions:
(a) The owner or operator of a pipeline constructed on a right-of-way granted on state
water bottoms shall be responsible for burying the line to a depth consistent with regulations
promulgated by the office of conservation and for maintaining it at said depth to the extent
feasible and practical, as determined by the secretary, taking into account the changes
wrought by natural forces.
(b) Upon abandonment of a pipeline, well, or associated structure, the owner or
operator thereof shall be responsible for removing any related object above the mudline
which may unduly interfere with other uses of state waters or water bottoms, including
navigation or fishing, or shall adequately mark any such objects above the mudline for the
duration of the obstruction according to regulations of the United States Coast Guard and
regulations promulgated by the secretary. If necessary for environmental reasons or to
prevent undue interference with other uses of state waters or water bottoms, the owner of an
abandoned buried pipeline, well, or associated structure; an abandoned pipeline, well, or
associated structure; or portions thereof shall cause removal of that which constitutes an
obstruction or hazard to navigation or fishing, as determined necessary by the secretary.
(c) If an inspection by the department discloses an exposed pipeline, the owner
thereof shall be required to rebury the line at its original depth, to the extent feasible and
practical, to remove the pipeline, or to install and maintain for the duration of the line
adequate marking in accordance with rules and regulations of the United States Coast Guard,
United States Corps of Engineers, and the Department of Conservation and Energy. The
appropriate course for such remedial action shall be made by the secretary after a public
hearing taking into account environmental issues and other issues.
(d) If determined by the governor and the secretary of the Department of
Conservation and Energy to be in the best interests of the state, the owner or operator of a
pipeline, well, or associated structure shall not be required to have it removed but shall be
required to adequately mark any object above the mudline for the duration of the obstruction
according to regulations of the Coast Guard and of the secretary.
(e) At regular intervals subsequent to the abandonment of any pipeline, well, or
associated structure constructed on a right-of-way or lease established on state waterbottoms,
the owner or operator of such facility may cause and be responsible for inspection of that
property if the secretary requires it to ensure compliance with applicable rules and
regulations of state and federal agencies. The secretary may require an inspection if he
determines that the public interest requires that an inspection is necessary.
(f) A person shall not construct any pipeline, well, or associated structure on a
right-of-way or lease established on state waterbottoms unless he has obtained a permit from
the secretary prior to the initiation of construction.
(g) An owner or operator of any pipeline, well, or associated structure constructed
on state water bottoms pursuant to a right-of-way or lease shall report to the secretary any
activities, incidents, developments, or accidents creating an obstruction to navigation or
fishing, and any permanent abandonments.
(2) To require that all field transmissions, flow, and gathering lines constructed on
state water bottoms pursuant to the grant of a right-of-way by the secretary of the Department
of Conservation and Energy or the issuance of a lease by the State Mineral and Energy Board
shall meet all requirements of the United States Army Corps of Engineers for burial and shall
be located, installed, marked, and maintained in a proper manner, to be approved by the
secretary, so as to minimize undue interference with persons making other uses of state
waters or water bottoms, including mariners and fishermen.
(3) To require that all equipment, machinery, and materials associated with the
construction, operation, maintenance, or abandonment of all pipelines, including field
transmission, flow, and gathering lines; all wells; and all associated structures, which are
constructed on state water bottoms pursuant to the grant of a right-of-way by the secretary
of the Department of Conservation and Energy or the issuance of a lease by the State Mineral
and Energy Board shall conform to the following provisions:
(a)(i) The owner or operator of a pipeline, well, or associated structure constructed
on a right-of-way or lease upon state waterbottoms shall cause and be responsible for
inspection of that property if the secretary requires it to determine whether any equipment,
machinery, or material associated with activity on the lease or right-of-way, including sunken
boats and barges, has been discarded or abandoned above the mudline. The secretary shall
require an inspection if he determines that the public interest requires that an inspection is
necessary.
(ii) If the inspection reveals any equipment, machinery, or material above the
mudline, the owner shall be responsible for its removal to avoid its constituting an
obstruction which may unduly interfere with other uses, including navigation or fishing.
However, the secretary may by rule grant exceptions or variances from this requirement if
the location of the equipment, machinery, or material would cause removal to be
extraordinarily onerous or impractical. Moreover, removal shall not be required if the
secretary of the Department of Conservation and Energy determines that in the best interests
of the state removal shall not be required. However, the owner shall be required to mark the
equipment, machinery, or material above the mudline for the duration of the obstruction
according to regulations of the Coast Guard and the secretary.
(b) The owner or operator of any pipeline, well, or associated structure shall
promptly notify and report to the secretary concerning any discarded or abandoned
equipment, machinery, or materials, including sunken barges and boats, known to be
remaining on state waterbottoms as a result of activities conducted pursuant to a state
right-of-way or lease. He shall also report to the secretary the removal of any such
equipment, machinery, or materials.
(4) The provisions of this Subsection shall be limited in their scope and application
to those leases and rights-of-way existing on state waterbottoms within the area delineated
by the coastal zone of Louisiana as described in R.S. 49:213.4.
(5) To provide that the office of conservation shall conduct such inspections as the
secretary may deem necessary or appropriate in carrying out the provisions of this
Subsection.
(6) To provide appropriate procedure, including public notice, comment, and hearing
requirements, for implementation of this Subsection.
E. The secretary shall make, after notice and public hearing as provided in this
Chapter, any reasonable rules, regulations, and orders that are necessary to require that all
other pipelines not covered by Subsection D of this Section, together with any fittings,
tie-overs, appliances, and equipment, which are constructed in this state shall be buried,
maintained, or removed from the right-of-way or lease according to the following provisions: (1) Pipelines in active use and those not in active use but whose owner anticipates
reuse shall be buried to a depth consistent with regulations promulgated by the department
and shall be maintained during the course of the useful and active life of the lines at a depth
determined by the secretary to be substantially equivalent to the original depth of burial. The
secretary may by rule grant such exceptions or variances from this provision as may be
necessary for pipelines buried under navigable streams or water bottoms as provided for in
Subsection D of this Section.
(2) When a pipeline is abandoned, the secretary shall make a preliminary
investigation to determine if the line, or any portion thereof, constitutes an obstruction which
may unduly interfere with other uses of state waters or water bottoms, or if allowed to remain
in its present state will constitute such an obstruction. If the initial determination of the
secretary is that corrective action or removal of the pipeline, or any portion thereof, is
necessary to eliminate or prevent the obstruction and if the owner of the pipeline does not
agree with the secretary's determination and to abide by it, the secretary shall call a public
hearing for the purpose of determining finally what action, if any, he will require the owner
of the pipeline to take.
(3) Field transmission, flow and gathering lines shall be installed, located, marked,
maintained, and removed in a proper manner, to be approved by the secretary, so as to
minimize undue interference with persons, including mariners and fishermen, making other
uses of state waters or water bottoms.
F. For the purposes of Subsection E of this Section, the word "pipeline" shall mean
all intrastate pipelines used in the transportation of oil and gas, including byproducts and
waste therefrom, but shall not include field transmission, flow, and gathering lines, except
as provided in Paragraph (E)(3) of this Section. The secretary may require each pipeline
operator to inspect the line; however, the secretary may by rule grant such exceptions or
variances from this requirement as may be necessary for pipelines buried or installed in
locations where such a requirement would be extraordinarily onerous or impractical.
G. The Department of Conservation and Energy, through the secretary, shall
implement the provisions of Subsections D, E, and F of this Section as to interstate pipelines
insofar as those requirements may be consistent with the regulations for interstate pipelines
adopted by the United States Department of Transportation. In such event, the office shall
further implement the provisions of Subsections D, E, and F of this Section insofar as those
requirements may be consistent with the regulations for interstate pipelines adopted by the
United States Department of Energy.
H. Any pipeline owner required to construct a levee, dam, or weir in connection with
a pipeline, shall maintain that levee, dam, or weir in a condition as near as practicable to its
original condition, however, the secretary may grant such exceptions or variances from this
requirement if he determines that maintenance of the dam, levee, or weir no longer serves
the purposes intended and will not serve to protect the environment of the area. The secretary
may require the owner to inspect the levee, dam, or weir on a periodic basis and to file
reports of such inspections. The secretary may order the removal or alteration of any such
dam, levee, or weir when he determines that such action is necessary to avoid undue
interference with persons making other uses of state waters or water bottoms.
I. The secretary shall make, after notice and public hearing as provided in this
Chapter, any reasonable rules, regulations, and orders that are necessary to control the offsite
disposal at commercial facilities of drilling mud, saltwater and other related nonhazardous
wastes generated by the drilling and production of oil and gas wells. Such regulations shall
contain provisions identifying the waste materials to be regulated. Such regulations shall at
a minimum require:
(1) Every person who intends to open and operate a new offsite commercial facility
for the disposal of nonhazardous wastes produced in oil and gas drilling operations shall file
an application with the department for a permit to conduct such operation.
(2) At least thirty days prior to filing such application with the office, the applicant
shall publish a notice of intent to file the application, which notice shall contain sufficient
information to identify the applicant, the proposed site at which disposal operations will
occur, the nature and content of the waste streams to be disposed of, and the method of
disposal to be used. Such notice shall be published on three separate days in the official
journal of the parish in which the proposed facility will be located, and in the official journal
of the state, not less than one quarter of a page in size and printed in boldface type.
(3) Upon notice to the applicant by the department that the application is complete,
the applicant shall file with the local governing authority of the parish in which the proposed
facility is to be located, six copies of the complete application.
(4) Upon acceptance of the application as complete, the department shall publish in
the next available issue of the Louisiana Register, a notice of the filing and the location, date
and time of a public hearing to be held in the affected parish, which hearing shall not be less
than thirty days from the date of notice in the Register. The applicant shall publish a
substantially similar notice in the official journal of the parish affected on three separate days
at least fifteen days prior to the date set by the department for such public hearing. Such
notice shall be not less than one quarter page in size in boldface type.
(5) The public hearing shall be fact-finding in nature and shall not be subject to the
procedural requirements of the Administrative Procedure Act relative to rulemaking or
adjudication, provided that the department shall allow any interested person to present
testimony, facts or evidence related to the application, and shall make a record of the hearing.
(6) Standards applicable to generators of such waste materials.
(7) Criteria for the location, design and operation of commercial offsite disposal
facilities.
(8) A manifest system for all wastes transported from site of generation to a
commercial offsite disposal facility.
(9) The closure of all commercial offsite disposal facilities in a manner approved by
the secretary to insure protection of the public and the environment.
(10) Bonding to insure the adequate closure of any commercial offsite disposal
facility.
(11) Evidence of financial responsibility acceptable to the secretary for any liability
for damages which may be caused by the escape or discharge of waste materials from a
commercial offsite disposal facility.
(12) All existing commercial offsite disposal facilities to comply with the criteria in
such regulations within a specified time.
J. Notwithstanding any other provisions of law to the contrary, the department shall
require all abandoned well and platform locations on state water bottoms in the Gulf of
Mexico and adjacent bays and inlets to be cleared of all related obstructions by the owner of
such facilities and that such clearance be verified at the cost of such owner. The clearance
and verification requirements and procedures shall be substantially the same, where
applicable, as those required by the United States Department of the Interior Minerals
Management Service for abandoned oil and gas structures in the Gulf of Mexico. Such
clearance and verification requirements shall take into account the different characteristics
of the water bodies from which the obstructions are to be removed. The department shall
adopt rules to implement this Subsection no later than January 1, 1992. The provisions of
this Subsection and the rules adopted pursuant thereto shall supersede any conflicting
provision of law, particularly Subsections D, E, F, G, and H of this Section.
K. The secretary shall not authorize or issue any permit which allows the use or
withdrawal of three million gallons or more of ground water per day from the Chicot aquifer
that shall be injected into the subsurface in a parish whose population is more than seventy
thousand and less than seventy-five thousand.
L.(1) The secretary shall make, after notice and hearings as provided in this Chapter,
any reasonable rules, regulations, and orders that are necessary to require the operator of a
well, which utilizes the application of fluids with force or pressure in order to create artificial
fractures in the formation for the purpose of improving the capacity to produce hydrocarbons,
to report no later than twenty days following the completion of hydraulic fracturing
stimulation operations and in a manner determined by the secretary the following:
(a) The type and volume of the hydraulic fracturing fluid.
(b) A list of additives used, including the specific trade name and the supplier of the
additive.
(c) A list of ingredients contained in the hydraulic fracturing fluid, the associated
CAS registry number, and the maximum concentration of each ingredient in percent by mass
that is subject to the requirements of 29 CFR 1910.1200(g)(2). Such rules, regulations, and
orders shall provide for an ingredient that is subject to trade secret protection under the
criteria set forth in 42 U.S.C. 11042(a)(2), and require the operator to provide the contact
information of the entity claiming trade secret protection for a listed product and to report,
at a minimum, in such cases the chemical family associated with such ingredient. An
operator will not be responsible for reporting information that is not provided to the operator
due to a claim of trade secret information.
(2) Nothing in this Subsection shall authorize any person to withhold information
which is required to be disclosed by state or federal law.
(3) Any information provided pursuant to the provisions of this Subsection shall be
subject to examination and reproduction as provided by the Public Records Law, R.S. 44:1
et seq., or any other applicable law.
(4) The provisions of this Subsection shall not apply to operations conducted solely
for the purposes of sand control or reduction of near wellbore damage.
M. The secretary shall make, after notice and hearing as provided in this Chapter,
any reasonable rules, regulations, and orders that are necessary to control the drilling,
operating, and plugging of solution mining injection wells, the permitting of such wells, and
the resulting solution mined cavern. Such rules and regulations shall be adopted pursuant to
the Administrative Procedure Act and shall provide for but not be limited to the following:
(1) Submission of site assessments and updated site assessments to include a
geological, geomechanical, and engineering assessment of stability of salt stock and
overlying and surrounding sediment based on past, current, and planned well and cavern
operations.
(2) Submission of the locations of caverns and proposed caverns in relation to other
caverns, including solution caverns, disposal caverns, and storage caverns, and the periphery
of the salt stock provided on maps and cross-section depictions based upon best available
information and updated at least every five years.
(3) Notification by the operator to the department of a solution mining injection well
inactivity or conclusion of mining operations.
(4) Setback distance locations for new caverns in relation to the periphery of salt
stock.
(5) Enhanced monitoring plan implementation for any existing caverns within the
mandatory setback distance locations.
(6) Permit requirements that include the following:
(a) Assistance to residents of areas deemed to be at immediate potential risk in the
event of a sinkhole developing or other incident that requires an evacuation.
(b) Reimbursement to the state or any political subdivision of the state for reasonable
and extraordinary costs incurred in responding to or mitigating a disaster or emergency due
to a violation of this Subsection or any rule, regulation, or order promulgated or issued
pursuant to this Subsection. The costs shall be subject to approval by the director of the
Governor's Office of Homeland Security and Emergency Preparedness prior to being
submitted to the permittee for reimbursement. The payments shall not be construed as an
admission of responsibility or liability for the emergency or disaster. The Department of
Conservation and Energy is hereby authorized to adopt rules and regulations in accordance
with the Administrative Procedure Act to collect reimbursement under this Section.
(c) Reimbursement to any person who owns noncommercial residential immovable
property located within an area under a mandatory or forced evacuation pursuant to R.S.
29:721 et seq. for a period of more than one hundred eighty days, without interruption due
to a violation of this Subsection, or any rule, regulation, or order promulgated or issued
pursuant to this Subsection. The offer for reimbursement shall be for the replacement value
of the property based on an appraisal by a qualified professional. The replacement value of
the property shall be calculated based on the estimated value of the property prior to the time
of the incident resulting in the declaration of the disaster or emergency. The reimbursement
shall be made to the property owner within thirty days after notice by the property owner to
the permittee indicating acceptance of the offer and showing proof of continuous ownership
prior to and during an evacuation lasting more than one hundred eighty days, provided that
the offer for reimbursement is accepted within thirty days of receipt, and transfers the
immovable property free and clear of any liens, mortgages, or other encumbrances to the
permittee.
(7) Criteria considered when deciding whether to approve the implementation of the
closure plan for a solution mining injection well.
(8) Submission and maintenance of an updated post-closure plan to include
subsidence monitoring, corrective action, and site remediation, as may be necessary
following plugging and closure.
(9) Evidence of financial security to be maintained for closure and post-closure costs.
(10) Department protocols to ensure that production and well information from all
oil and gas activity within the vicinity of a salt dome shall be considered during the
permitting process for any solution mine permit.
N. Repealed by Acts 2025, No. 458, §11, eff. Oct. 1, 2025.
O.(1) No permit to drill or operate a new solution-mined cavern, or expand or
convert an existing solution-mined cavern in Iberia Parish may be issued until after a public
hearing is held no earlier than August 15, 2015, on the application for the permit. The
secretary shall promulgate rules and regulations to provide for such public hearings and shall
fix the date, time, and place therefor. The operator or owner, prior to such a public hearing,
shall give public notice on three separate days within a period of thirty days prior to the
public hearing, with at least five days between each publication notice, both in the official
state journal and in the official journal of the parish in which the well is to be located.
(2) At least thirty days prior to such public hearing on a permit to expand or convert
an existing solution-mined cavern or to drill and operate a new solution-mined cavern in
Iberia Parish, the permit applicant shall submit a report to the secretary, to Save Lake
Peigneur, Inc., and to the governing authority of Iberia Parish. The report shall provide a
baseline analysis of groundwater levels and salt content in the nearby groundwater wells that
can be accessed for such analysis; a plan to monitor groundwater levels and salt water
content for the duration of the activity for the creation of cavern storage should a permit be
granted; a geologic analysis by a qualified third party geologist that examines the integrity
of the salt dome; and the results of an analysis of testing that attempts to determine the source
and composition of intermittent foaming or bubbling appearing in Lake Peigneur.
(3) No permit to expand or convert an existing solution-mined cavern or to drill and
operate a new solution-mined cavern in Iberia Parish shall be issued prior to January 31,
2016.
(4) The provisions of this Subsection shall not apply to any activity or operation
related to safety, maintenance, inspection, testing or regulatory compliance, when necessary,
or when required by regulators.
P. The secretary has the authority to promulgate rules and regulations under the
Administrative Procedure Act to regulate the location, construction, operation, and
maintenance of a liquefied natural gas facility within the state.
Q.(1)(a) The secretary is authorized to develop and implement a program of
expedited processing or review of permits, modifications, licenses, registrations, plans,
proposals, exceptions, or variances and related correspondence for applicants who may
request such services.
(b)(i) In addition to any fees provided by law or regulation, an expedited processing
fee shall be charged to each applicant whose request for expedited processing is granted.
(ii)(aa) The expedited processing fee shall be equal to the direct cost incurred by the
department for the expedited processing or review, including each overtime hour, or portion
thereof, that any employee devotes to the expedited processing or review, at a rate not to
exceed one-and-one-half times the standard hourly wage, including related benefits, of the
highest paid eligible employee needed for the review.
(bb) In addition, the department shall assess an administrative surcharge of up to
twenty percent of the total overtime cost, which shall be no less than five hundred dollars.
(iii) This fee does not include any costs for mailing or delivery services beyond the
department's normal level of service. If additional or expedited shipping is requested, those
costs shall be borne by the applicant.
(iv) The expedited processing fee shall be waived if the need for the expedited
processing is caused solely by an error, mistake, or delay on the part of the department.
(2) The secretary shall adopt rules and regulations in accordance with the
Administrative Procedure Act to implement the provisions of this Subsection. The rules
shall, at a minimum, specify:
(a) The procedure for requesting expedited processing.
(b) The procedure for the department to approve or deny a request for expedited
processing.
(c) A timeline for the administrative and technical review portion of the expedited
processing.
(d) The method of providing public notice of Subparagraphs (a) through (c) of this
Paragraph through posting on the department's website.
(e) All documentation required to implement this Subsection, including but not
limited to necessary forms, costs statements, and schedules.
(f) A process for the applicant to claim portions of the records submitted to the
department pursuant to this Subsection as confidential, proprietary, or trade secret or
otherwise exempt from public disclosure in accordance with the Public Records Law. At
least three days prior to their release, the department shall notify the applicant of any public
records request for records submitted to the department pursuant to this Subsection and
claimed by the applicant as confidential, proprietary, trade secret, or otherwise exempt from
public disclosure in accordance with the Public Records Law.
(3) An applicant for the issuance, review, or approval of any permit, modification,
license, registration, plan proposal, exception, or variance under the jurisdiction of the
department may request expedited processing.
(4) The secretary may decline, or revoke when previously approved, any request for
expedited processing with written reasons subject to reconsideration for up to ten calendar
days.
(5) The expedited processing timeline commences on the date the secretary grants
the request for expedited processing. Expedited processing shall be deemed complete when
the final decision is transmitted in writing or when the department notifies the applicant that
a decision is ready.
(6) The First Circuit Court of Appeal shall have jurisdiction over a request for
judicial review of a decision by the department pursuant to this Subsection. Judicial review
pursuant to this Paragraph shall be subject to the provisions of R.S. 30:12.
R. The secretary shall make, after notice and public hearings as provided in this
Chapter, any rules, regulations, and orders that are necessary to require reasonable bond with
security for the performance of the duty to plug each dry and abandoned well and the closure
and to perform the site cleanup required by Item (C)(1)(a)(iv) of this Section. The rules,
regulations, and orders may classify based on location of the well and shall provide for the
following exceptions from the reasonable bond and security requirement:
(1) Wells exempt prior to September 1, 2015, that remain with the operator of record
as of that date.
(2) Wells utilizing plugging credits pursuant to Item (C)(1)(a)(v) of this Section.
(3) Wells exempt pursuant to R.S. 30:4.3(C).
S. To enforce the provisions of Part VIII of Chapter 8 of Title 40, R.S. 40:1749.11
et seq., the Louisiana Underground Utilities and Facilities Damage Prevention Law, as it
pertains to the prevention of damage to pipelines.
T. In addition to the requirements set forth in Subsection R of this Section, an
organization seeking to enter into a cooperative endeavor agreement with the secretary to
assist with plugging orphaned wells, in order to alleviate the burden on operators in meeting
financial security requirements, shall include in the cooperative endeavor agreement a
provision that allows full access to their operations and financial records for the purpose of
any audit conducted by the legislative auditor.
Related
Legislative History
Nearby Sections
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Cite This Page — Counsel Stack
Louisiana § 30:4, Counsel Stack Legal Research, https://law.counselstack.com/statute/la/30%3A4.