WeVote
Log In

Bill

Bill

SB 505

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

2026 Regular Session Introduced by Stewart Cathey

The bill expands and tightens the Tank Trust program, raising grant caps to $300k per award and $6 million per year, requires ownership disclosure, and mandates upgrades be complet

Signed by the Governor. Becomes Act No. 524.
0
WeVote Research Nonpartisan
Bill Summary · SB 505

Summary: Senate Bill 505 (Louisiana) – Motor Fuels Underground Storage Tank Trust Dedicated Fund Account

Date of Bill: 2026 Regular Session
Jurisdiction: Louisiana
Introduced by: Senator Cathey
Status: Engrossed and Reengrossed; effective July 1, 2026 (8/1/26 or as amended; see amendments)

Purpose
- To modify the administration and funding rules of the Motor Fuels Underground Storage Tank (UST) Trust Dedicated Fund Account.
- Specifically, to tighten timelines for upgrades, adjust grant/loan limits, expand total program capacity, and require ownership disclosures and streamlined application periods.

Key Provisions (Substantive Changes)
- Upgrades and Time Limits
- Upgrades and improvements funded by the Tank Trust must be completed within three fiscal years from approval.

  • Eligible Applicants and Ownership Disclosure

    • The applicant must be the entity that owns the underground storage tank project facility.
    • Applicants must disclose the ownership structure of the project facility.

  • Grant/Loan Amounts and Caps

    • The maximum grant or loan per award is capped at $300,000 (up from $150,000 previously).
    • The total amount of grants/loans awarded in a single year is capped at $6 million (up from $3 million).
    • The board may set the maximum award amount and total program caps, with the new explicit ceilings described above.

  • Overall Program Caps and Eligibility

    • The maximum program-wide award total is determined by the board and, in the reengrossed version, is tied to the unobligated balance of the Tank Trust’s interest account (the amendments specify up to 75% of unobligated balance as a component in some versions).

  • Application Periods and Caps on Grant/Loan Counts

    • The board shall determine the total number of grants/loans per application period and per year.
    • Per application period, up to 20 grants/loans may be awarded (increased from 15).
    • Per fiscal year, up to 40 grants/loans may be awarded.
    • Applicant periods are set to two windows:
    • January 1 to March 31
    • July 1 to September 30 (some amendments reference July 1–Sept. 30 and Jan. 1–Mar. 31 as the two periods)

  • Eligible Projects and Pre-Conditions (as amended)

    • The bill retains that the Tank Trust Account may fund upgrades and improvements to storage-tank sites; however, some versions limit eligibility to sites installed prior to December 20, 2008 (this appears in amended/reengrossed text as a specific eligibility constraint for certain grants/loans).
    • Availability and eligibility continue to require prior department inspection and approval of upgrades before reimbursement.

  • Rules and Implementation

    • The Department of Environmental Quality (DEQ) Secretary is empowered to promulgate rules to implement the grant/loan program, including:
    • Application process
    • Site upgrade procedures before and after expenditures
    • Inspection and reimbursement procedures

Effective Date
- The act is designed to take effect July 1, 2026. Some versions show August 1, 2026; the final engrossed/reengrossed bill notes July 1, 2026 as the effective date.

Who Is Affected
- Facility owners of motor-fuels underground storage tanks in Louisiana seeking upgrades or improvements funded by the Tank Trust.
- Entities owning eligible UST facilities must disclose ownership structure.
- Potential applicants must meet ownership and site criteria and comply with upgraded application and reporting processes.

Impact Overview
- Expands the potential scale of individual grants (up to $300k per grant) and annual funding capacity (up to $6 million per year).
- Improves program accountability through ownership disclosure and tighter upgrade timelines.
- Increases the number of awards possible per application period (up to 20) and per year (up to 40), potentially broadening participation.
- Sets formal application windows and ensures upgrades are completed within three fiscal years, aligning incentives with timely remediation and compliance.

Note: The bill includes multiple amendments across sections of R.S. 30:2195.2 and related provisions; the precise final language may vary between engrossed and reengrossed forms.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.