Oil and Gas

Oil still greasing the discussion post-session

by Walter Pierce

More than a week after the regular session adjourned, Louisiana's oil and gas industry is still capping off what has arguably been its biggest initiative in years.

More than a week after the regular session adjourned, Louisiana's oil and gas industry is still capping off what has arguably been the most conspicuous policy initiative of the year.

Its effort to undercut the massive lawsuit filed by the Orleans-area flood authority has been signed into law, and so has the compromise bill on legacy litigation. While this mutes the warring at the Capitol, for now, the battle now moves onto other battlefields.

The resulting laws endorsed by Gov. Bobby Jindal are almost certainly destined for the courts and the oil lobby is looking to turn them into election issues this year and next, all the way down the ballot to the local level.

The Louisiana Oil and Gas Association entered the session with controversy at its back, with its headman Don Briggs taking fire for failing to testify in court, due to health concerns, and for an earlier deposition that gave critics temporary ammo.

LOGA was able to unload the baggage quickly and easily as the opening gavel dropped, thanks in large part to its friends.

Gifford Briggs

"It has always been us at the table testifying on these issues," said LOGA Vice President Gifford Briggs, "whereas this time the administration was at the table."

In addition to Jindal's assistance, LOGA made the strategic decision to have large landowners front the legacy litigation push, and it found a street fighter in Sen. Robert Adley, R-Benton, the sponsor of SB 667.

"But I can tell you this was still the hardest session we've faced," said Gifford Briggs.

Adley's bill applies retroactively to some 300 cases where plaintiffs are seeking damages and cleanup for environmental damages. It allows liability to be claimed, landowners to be paid and the Department of Natural Resources to develop cleanup plans - to the ire of opponents, who believe DNR is too friendly to the energy industry.

Adley also had a hand in introducing a set of bills to shutter the lawsuit filed against oil and gas companies by the Southeast Louisiana Flood Protection Authority-East.

By means of a political handoff, the language from one of Adley's bills was inserted into SB 469 by Sen. Bret Allain, R-Franklin, which stipulates that only agencies that are part of the Coastal Zone Management Act can file such suits. Likewise retroactive, it's a direct attack on SLFPA-E. The House gave approval Thursday evening and the bill now heads to the Senate for concurrence.

For the public opinion battle, the opposition landed far more blows with direct mail pieces and guest columns in major newspapers. LOGA's public relations vehicle, ChangeLouisiana.org, had a much smaller footprint, admitted Gifford Briggs.

The mechanics inside the rails were a different story and lawmakers say the floor work by the energy faction was intense. The Louisiana Association of Business and Industry did some of the heavy lifting in what proved to be an induction of sorts for its mostly new staff. With the loss of its top leaders since last session and under guidance from freshman president Stephen Waguespack, the lobbying blitz showed the new kids could play tough and smart, lawmakers say.

The one exception to the clean sweep was the failed crusade to bury the coastal lawsuits against oil and gas companies, many of them independents, filed by the parish councils in Jefferson and Plaquemines. Opposition from more than a dozen parish presidents helped halt the legislation introduced by Rep. Joel Robideaux, R-Lafayette.

The oil lobby is still plotting its next move.

"We've got to huddle on that," said Gifford Briggs. "Until there's a new governor, I don't think the will is there to address it in the Legislature."

Attention will instead turn to the source of the parish suits, with elections coming up first for Plaquemines' council members.

"Industry will have something at stake in who gets elected," Gifford Briggs added.

On the other side of the issue, retired Army Lt. Gen. Russel Honoré emerged as a dominating voice for opponents, even if he wasn't able to slow down LOGA's progress. After being among the few lead government personalities from the Katrina recovery to cross the threshold unscathed, Honoré finally showed what was next for him on the public stage.

Calls for him to put his own name on the ballot have increased, he told LaPolitics, but he's still being coy in his responses. Honoré is being rather bold, however, regarding the activism that's planned between now and the 2015 session, with an eye toward more protests like Adley saw recently in front of his home and office.

"When the session is over, legislators are going home," said Honoré. "We'll be going to their front door."

For supporters of the energy industry, that's the least of their worries. The next contest for the legacy and flood authority laws could take place in the courts with challenges from the opposition.

"Absolutely. No doubt they are coming," said Gifford Briggs. "The appeals and decisions will go all the way up to the top, whether they're state or federal cases."