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LouisianaSB 5052026 Regular SessionSenateWALLET

ENVIRONMENTAL CONTROL: Provides relative to the Motor Fuels Underground Storage Tank Trust Dedicated Fund Account. (7/1/26) (EN INCREASE SG EX See Note)

Sponsored By: Stewart Cathey Jr. (Republican)

Signed by Governor

Natural Resources and EnvironmentFinance

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 2 benefits, 1 costs, 1 mixed.

Compensation rules for tank leak victims

Beginning July 1, 2026, Louisiana’s tank trust account can pay qualifying claims for damage from underground fuel tank releases. The release must affect groundwater, surface water, or soil. Claimants need a final judgment enforceable in Louisiana against both the tank owner and the environmental department’s secretary. The owner must have been an eligible participant when the release happened. The payment limit equals the amount needed to meet federal petroleum tank financial responsibility requirements; no dollar amount is stated.

Higher tank awards for more owners

For sites approved on or after July 1, 2026, tank systems installed before December 20, 2008, can qualify for assistance. The law removes the requirement that the site be registered as a single-wall tank system. The board sets the maximum individual grant or loan each year, with a hard ceiling of $300,000 instead of $150,000. That higher ceiling does not guarantee an award or a $300,000 payment.

Tank owners face deadlines and disclosures

For sites approved on or after July 1, 2026, owners can participate only once per fiscal year. Applicants must disclose the facility’s ownership structure; the owner is the person or legal entity that owns the facility. Approved upgrades or improvements must be finished within three years of participation approval. Grants reimburse completed work only after the Department of Environmental Quality inspects and approves it. The department must issue rules for applications, pre-upgrade steps, inspections, reimbursement or repayment, and enforcement of the annual participation limit.

Tank funding changes with award limits

These rules apply to sites approved on or after July 1, 2026. Annual grants and loans cannot exceed 75% of the tank trust interest account’s balance not already committed. This replaces the $3 million annual grant limit, allowing a larger or smaller pool depending on the balance. The board sets award-count limits, capped at 20 grants and loans per application period and 40 per fiscal year. Applications run July 1 through September 30 and January 1 through March 31.

Sponsors & Cosponsors

Sponsor

  • Stewart Cathey Jr.

    Republican • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 145 • No: 0

House vote • 5/19/2026

Read third time by title, roll called on final passage, yeas 95, nays 0. Finally passed, ordered to the Senate.

Yes: 95 • No: 0

House vote • 5/12/2026

Reported favorably

Yes: 13 • No: 0

Senate vote • 4/15/2026

Senate floor amendments read and adopted. Read by title and passed by a vote of 37 yeas and 0 nays; ordered reengrossed and sent to the House. Motion to reconsider tabled.

Yes: 37 • No: 0

Actions Timeline

  1. Signed by the Governor. Becomes Act No. 524.

    5/29/2026Senate

  2. Effective date 7/1/2026.

    5/29/2026Senate

  3. Signed by the Speaker of the House.

    5/25/2026House

  4. Sent to the Governor by the Secretary of the Senate.

    5/21/2026Senate

  5. Enrolled. Signed by the President of the Senate.

    5/20/2026Senate

  6. Read third time by title, roll called on final passage, yeas 95, nays 0. Finally passed, ordered to the Senate.

    5/19/2026House

  7. Received from the House without amendments.

    5/19/2026Senate

  8. Read by title, passed to 3rd reading.

    5/18/2026House

  9. Scheduled for floor debate on 05/19/2026.

    5/18/2026House

  10. Reported without Legislative Bureau amendments.

    5/13/2026House

  11. Reported favorably (13-0). Referred to the Legislative Bureau.

    5/12/2026House

  12. Read by title, under the rules, referred to the Committee on Natural Resources and Environment.

    4/21/2026House

  13. Received in the House from the Senate, read by title, lies over under the rules.

    4/20/2026House

  14. Senate floor amendments read and adopted. Read by title and passed by a vote of 37 yeas and 0 nays; ordered reengrossed and sent to the House. Motion to reconsider tabled.

    4/15/2026Senate

  15. Read by title. Ordered engrossed and passed to third reading and final passage.

    4/14/2026Senate

  16. Reported favorably.

    4/13/2026Senate

  17. Read second time by title and referred to the Committee on Finance.

    4/1/2026Senate

  18. Rules suspended. Introduced in the Senate. Read by title and placed on the Calendar for a second reading.

    3/31/2026Senate

Bill Text

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