Louisiana House Bill HCR6

Louisiana 2017 Regular Session

• Introduced: 3/31/17
• Refer: 3/31/17
• Refer: 4/10/17

Caption

Amends the Department of Transportation and Development's administrative rules pertaining to property damage bonds (OR INCREASE SD EX See Note)

Impact

The resolution seeks to amend LAC 73:I.705(E) to address the excessive financial obligations faced by timber, logging, and lumber companies that operate on local roads and highways. Currently, these companies are required to obtain bonds worth $100,000 per trip or $250,000 for an annual plan. HCR6 proposes an alternative bond amount that is more manageable for these companies, thus potentially leading to increased operational sustainability for the logging industry within Louisiana. As these companies already contribute to state revenue through various taxes related to their operations, the resolution argues that imposing a heavy bond requirement is redundant and unfair.

Summary

HCR6 is a legislative resolution aimed at amending the administrative rules of the Louisiana Department of Transportation and Development regarding property damage bonds required from timber, logging, and lumber companies. Specifically, it proposes a modification to allow these companies to secure bonds or certificates of insurance at significantly lower amounts than currently mandated, which could alleviate financial burdens on these businesses. The resolution defines terms and delineates the conditions under which these modified requirements apply, including the distinction between types of roads and trip durations for bond requirements.

Sentiment

The general sentiment surrounding HCR6 appears to lean towards support from sectors directly involved in timber and logging. Proponents argue that the amendments will foster a more business-friendly environment, reducing unnecessary financial strain on companies that are already contributing to local economies through taxes. However, the legislation could face opposition from groups advocating for more stringent regulations on environmental or road safety matters, which could see lowered financial expectations from these companies as a risk.

Contention

The crux of contention regarding HCR6 lies in balancing regulatory requirements with the economic viability of the logging industry. Critics might argue that lowering financial accountability through reduced bond amounts could ultimately undermine the protection of state properties and local communities, especially in the event of damages caused by logging activities. Supporters, however, maintain that current requirements impose an undue burden on business operations and should be moderated to reflect the realities of the logging industry's contributions and constraints.