ENERGY/OIL & GAS: Provides for oilfield site restoration fees (EN SEE FISC NOTE SD RV See Note)

Energy

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Jacob Landry
Last action: 2026-06-01
Official status: Signed by the Governor - Act 662
Effective date: Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Oilfield Site Restoration Fees

This act sets new fees for oil and gas produced from reduced rate production wells, including stripper and incapable wells.

What This Bill Does

Changes the way fees are calculated for oil and gas produced from reduced rate production wells like stripper or incapable wells.
Sets a fifty percent fee for oil from certified incapable oil wells compared to the regular fee.
Establishes a twenty-five percent fee for oil from stripper oil wells.
Imposes a forty percent fee on gas from low pressure oil wells.
Requires a seventeen and one-half percent fee for gas production from incapable gas wells.

Who It Names or Affects

Oil and gas companies operating in Louisiana, especially those with reduced rate production wells like stripper or incapable wells.

Terms To Know

Stripper oil well: An oil well that produces a small amount of oil compared to other wells.
Incapable well: A well that cannot produce at the same rate as other wells due to technical or geological issues.

Limits and Unknowns

The act does not specify how these fees will be used.
It is unclear what happens if a company fails to pay the new fees.

Bill History

2026-06-01 H
Effective date: 07/01/2026.
2026-06-01 H
Signed by the Governor. Becomes Act No. 662.
2026-05-27 H
Sent to the Governor for executive approval.
2026-05-27 S
Signed by the President of the Senate.
2026-05-26 H
Enrolled and signed by the Speaker of the House.
2026-05-26 H
Received from the Senate without amendments.
2026-05-26 S
Rules suspended. Read by title, passed by a vote of 34 yeas and 0 nays, and ordered returned to the House. Motion to reconsider tabled.
2026-05-20 S
Reported without Legislative Bureau amendments. Read by title and passed to third reading and final passage.
2026-05-19 S
Read by title and referred to the Legislative Bureau.
2026-05-18 S
Reported favorably.
2026-04-14 S
Read second time by title and referred to the Committee on Natural Resources.
2026-04-13 S
Received in the Senate. Rules suspended. Read first time by title and placed on the Calendar for a second reading.
2026-04-13 H
Read third time by title, roll called on final passage, yeas 97, nays 0. Finally passed, title adopted, ordered to the Senate.
2026-04-13 H
Called from the calendar.
2026-04-09 H
Scheduled for floor debate on 04/13/2026.
2026-04-09 H
Notice given.
2026-04-09 H
Read by title, returned to the calendar.
2026-04-08 H
Scheduled for floor debate on 04/09/2026.
2026-04-07 H
Read by title, ordered engrossed, passed to 3rd reading.
2026-04-01 H
Reported favorably (15-0).
2026-03-09 H
Read by title, under the rules, referred to the Committee on Natural Resources and Environment.
2026-02-27 H
First appeared in the Interim Calendar on 2/27/2026.
2026-02-27 H
Under the rules, provisionally referred to the Committee on Natural Resources and Environment.
2026-02-27 H
Prefiled.

Official Summary Text

ENERGY/OIL & GAS: Provides for oilfield site restoration fees (EN SEE FISC NOTE SD RV See Note)

Current Bill Text

Read the full stored bill text

ENROLLED
ACT No. 6622026 Regular Session
HOUSE BILL NO. 637
BY REPRESENTATIVE JACOB LANDRY
1 AN ACT
2 To amend and reenact R.S. 30:87(F)(2), relative to oilfield site restoration fees; to provide
3 for the calculation of oilfield site restoration fees on reduced rate production wells;
4 to provide for an effective date; and to provide for related matters.
5 Be it enacted by the Legislature of Louisiana:
6 Section 1. R.S. 30:87(F)(2) is hereby amended and reenacted to read as follows:
7 §87. Oilfield site restoration fees
8 * * *
9 F. The site restoration fee shall be the following:
10 * * *
11 (2) Reduced rate production such as stripper wells and incapable wells. The
12 site restoration fee for each respective category of oil or gas hereunder shall be in the
13 same proportion to the respective full rate production fees as the reduced rate
14 severance tax to the full rate severance tax for each respective category. reduced rate
15 production wells shall be as follows:
16 (a) The fee for oil produced from certified incapable oil wells as defined by
17 R.S. 47:633(A)(3)(b) shall be fifty percent of the fee imposed by Subparagraph
18 (1)(b) of this Subsection.
19 (b) The fee for oil produced from stripper oil wells as defined by R.S.
20 47:633(A)(3)(c)(i) and (ii) shall be twenty-five percent of the fee imposed by
21 Subparagraph (1)(b) of this Subsection.
22 (c) The fee for gas produced from low pressure oil wells as defined by R.S.
23 47:633(A)(5)(b) shall be forty percent of the fee imposed by Subparagraph (1)(c) of
24 this Subsection.
Page 1 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
HB NO. 637 ENROLLED
1 (d) The fee for gas production from incapable gas wells as defined by R.S.
2 47:633(A)(5)(c) shall be seventeen and one-half percent of the fee imposed by
3 Subparagraph (1)(c) of this Subsection.
4 Section 2. This Act shall become effective on July 1, 2026.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.