Posts filed under Louisiana

MILLS: SCOTUS Chooses Abortionists Over Women's Health Care Standards

The United States Supreme Court has ruled, 5-to-4, against the Louisiana law in June Medical Services v. Russo. This case was about state lawmakers instituting basic health and safety laws to protect women. The question was whether abortionists can bully their way out of following the rules that apply to everyone else. 

I am disappointed once again in the liberals on the U.S. Supreme Court and their newest ally, Chief Justice John Roberts, who decided against women and invalidated Louisiana’s admitting privileges law. The Court was wrong in failing to recognize the right of states to ensure access to quality emergency medical care.

Still, we are very proud of Louisiana Attorney General Jeff Landry, Solicitor General, Liz Murrill, and former Representative/current Senator Katrina Jackson (D-Monroe), who authored the 2014 legislation that received broad bipartisan support. It is unfortunate that the Supreme Court failed to recognize the sovereign rights of states to govern in a manner which protects women’s safety. Apparently, the U.S. Supreme Court has another agenda and will continue to retain the unconstitutional and illegitimate Roe v. Wade decision. Protecting the unborn child’s right to life is the greatest human rights issue of our time. We must stand firm in the fight.

Louisiana enacted this law to protect women from the abortion businesses and their history of dirty and dangerous abortions by requiring abortion doctors—like doctors at all Louisiana free standing clinics – to be able to admit and treat their patients at nearby hospitals if the need arises. This ensures that doctors performing abortions will be competent and provide continuity of care to their patients.

This decision sends a dangerous message to states, which have the duty to prioritize women’s health and safety over abortion business interests. All states—including Louisiana—have a valid interest in regulating abortion and a duty to protect the health and safety of women. Today’s dangerous and medically substandard abortion clinics harm women. Louisiana abortion providers went to extraordinary lengths to erase a law that promotes the wellbeing of women. The Supreme Court should have put an end to this.

Abortion doctors regularly place profits over patients. The Court failed to recognize that when abortion providers seek to overturn health and safety laws enacted to protect women, they are not operating in women’s best interests. The Court missed a chance to end this conflict of interest that rewards abortion businesses at the expense of women.

Please remain in prayer for our nation -- that our Court will soon see the evil of abortion and abandon the untenable position of defending those who take innocent lives.

In His Service, 
Gene Mills
President
Louisiana Family Forum

Posted on June 29, 2020 and filed under Abortion, Jeff Landry, Louisiana.

BRIGGS: LOUISIANA NEEDS LEGAL REFORM

In the past few months, like all of us, our state’s businesses have been forced to confront the uncertainties of a pandemic and a public health emergency, as well as an unprecedented economic crisis. It’s abundantly clear that we’re facing an enormous challenge, if you look at the data, you see that Louisiana’s unemployment is at the highest since the Great Depression, with massive retractions in the hospitality and oil & gas industries, two of the largest sectors of our state’s economy.

It is also clear that if we don’t also break down the persistent barriers to business growth, our state’s economy will not fully recover. We have to embrace new ideas and solutions to get Louisiana working again. We’ve heard talk from some politicians that all the Legislature needs to do is pass a budget and go home. They couldn’t be more wrong. Simply doing the bare minimum is not enough.

Read more: LOUISIANA NEEDS LEGAL REFORM

Posted on June 23, 2020 and filed under Louisiana, Oil and Gas.

Several Louisiana oil and gas companies file for bankruptcy amid coronavirus, low crude oil prices

Two businesses near Lafayette, one in Houma and another in Kenner filed for bankruptcy, all of which appear to be oil and gas services companies. Dozens more Louisiana businesses are owed money by the companies filing for bankruptcy, records show. 

In recent weeks, the Louisiana Oil and Gas Association has said about half its 460 member companies have told the organization that bankruptcy was on the table as an option to survive the economic downturn.

Read more: Several Louisiana oil and gas companies file for bankruptcy amid coronavirus, low crude oil prices

Posted on June 23, 2020 and filed under Louisiana, Oil and Gas.

LOGA and LMOGA statement on SB 359’s referral to the Senate Finance Committee

BATON ROUGE, LA (May 18, 2020) — Today, Monday May 18th, Senate Bill 359, which seeks to streamline the coastal lawsuits, was referred from the Senate Floor where it was pending final passage, back to the Senate Committee on Finance. Gifford Briggs, president of Louisiana Oil and Gas Association (LOGA) and Tyler Gray, president of Louisiana Mid-Continent Oil and Gas Association (LMOGA) made the following joint statement in response to the bill’s referral to Senate Finance:

“On more than one occasion, the Secretary or Department of Natural Resources has indicated he has all of the necessary resources to enforce the coastal program. Further, the Attorney General of Louisiana has indicated there is no anticipated fiscal impact to his department.”

“Nonetheless, the legislative fiscal office is referencing public testimony without consideration for current law providing for contingency and fee shifting arrangements as reason for the move. LMOGA and LOGA look forward to a swift hearing in Senate Finance, and a vote on the Senate floor to move this bill to the House this week.”

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About LMOGA

Louisiana Mid-Continent Oil and Gas Association, founded in 1923, is a trade association exclusively representing all sectors of the oil and gas industry operating in Louisiana and the Gulf of Mexico.  LMOGA serves exploration and production, refining, transportation, marketing and mid-stream companies as well as other firms in the fields of law, engineering, environment, financing and government relations. 

About LOGA 

The Louisiana Oil & Gas Association was organized in 1992 to represent the Independent and service sectors of the oil and gas industry in Louisiana; this representation includes exploration, production and oilfield services. LOGA’s primary goal is to provide our industry with a working environment that will enhance the industry. Find out more information at: http://www.loga.la

Posted on May 21, 2020 and filed under Louisiana, Oil and Gas.

LOGA: State’s Oil Producers Shuttering at Alarming Rate

BATON ROUGE, LA (May 4, 2020) — The economic consequences of the global COVID-19 pandemic, the oil glut generated by the Saudis and Russians, and the lack of storage are being felt at a much quicker pace than previously projected, gravely threatening Louisiana’s energy sector.

The second in a series of “point-in-time” surveys shows that nearly a quarter of the state’s oil related workforce has potentially already been laid off, and four in every five Exploration and Production (E&P) companies has already begun shutting in wells.

“Our members have indicated they’ve already been forced to lay off 23% of their workforce and the large majority are now taking steps to shut-in production,” Louisiana Oil & Gas Association President Gifford Briggs said. “We feared these outcomes would take place by mid-to-late May, but the crushing weight of the crisis is taking hold much quicker than expected. Without a doubt, we need federal and state policymakers to take immediate action to help mitigate further losses from these extreme market conditions.”

Louisiana’s severance tax rate is the highest in the country at 12.5%, nearly four times the neighboring Texas 4.6% rate. “We’re worried about taxes and other costs that are not going down that we still have to pay as prices have cratered,” the head of one Louisiana energy company shared.

Oil prices closed most recently on the West Texas Intermediate at $18.84, a menacingly low amount. Louisiana’s independent producers require an average of $37.00 a barrel to break even. 

Further, more than half of company leaders indicated that bankruptcy or closures are likely. “We have been forced to cut salaries between 6% and 20% for our employees,” one member shared. “I as the owner have cut my salary to zero.”

According to the Louisiana Workforce Commission and the Department of Natural Resources, the oil and gas industry employs approximately 33,900 workers operating around 33,650 oil and gas wells around the state. 

Those tens of thousands of jobs bring Louisiana families $3.2 billion in wages. According to the survey results, 23% have already reportedly had to be laid off. 

State tax revenue will also suffer drastically from the sharp decline in oil prices and staggering job losses across the state.

This survey from LOGA’s members, which comprises 450 exploration and production and service companies across Louisiana, is below.

LOGA Survey Results

  • Members have been forced to reduce 23% of their Louisiana workforce already

  • 77.5% of operators have already begun taking steps to shut-in production

  • 97% are moderately or extremely concerned about the future of the industry

  • 51.35% said bankruptcy likely

  • 34% applied for EIDL funds, of those only 25% received the funds they expected

  • Of those who received funds, 46.67 indicted they were not enough to help them stay in business

  • Of those who received funds, 72% indicated they were not enough to avoid layoffs

“We’re one of the largest employers in Louisiana with the highest average wages. Just imagine what shut-ins and company closures mean for individuals and communities. These are real dollars and their lack is going to be felt all across the state,” Briggs added.

“Of the things we can control, we must take bold action to enact immediate changes,” Briggs said. “We are looking forward to working with the legislature and the administration to figure out how to keep wells flowing and keep people employed as long as possible.”

Emergency Measures to Help the Louisiana Oil & Gas Industry Survive

  • Reduce state severance taxes for a period of one year while protecting resources for local governments via passing HB 506

  • Support the passage of SB 359 and take appropriate steps to address the government-led coastal lawsuits

  • Identify any opportunities at the federal and state level to expedite additional storage capacity

One member summed up the widespread feeling of dejection in the oil patch. “If we are truly an essential industry, we sure don't feel like it right now.”

About the Louisiana Oil & Gas Association 

The Louisiana Oil & Gas Association was organized in 1992 to represent the Independent and service sectors of the oil and gas industry in Louisiana; this representation includes exploration, production and oilfield services. LOGA’s primary goal is to provide our industry with a working environment that will enhance the industry. Find out more information at: http://www.loga.la

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Posted on May 4, 2020 and filed under Louisiana, Oil and Gas.

LOUISIANA CITIZENS FOR JOB CREATORS: A Much Needed Answer to American Independence

It has been over a month since states across the country have closed their doors, imposed Stay at Home orders, and essentially brought the US Economy to a grinding halt. Main Street can now be called Pain Street as so many businesses are being financially gutted and their very existence slowly being bled dry. 

Even with $2.2 Trillion being infused into the economy, the unemployment rate is at record highs and the economic moral of America is at record lows. 

If the coronavirus has taught us anything it is how vulnerable our country is and how dependent we are on China and foreign supply chains. This must stop.  

In an effort to address this desperate need for change, The Empowerment Alliance has produced thought provoking ideas and solutions to help address the daunting task of getting our country back up and running through energy independence and free market solutions; setting forth a foundation for long term economic growth and stability through self reliance and being "American Made."

Learn more about their initiatives HERE.   

Posted on April 21, 2020 and filed under Coronavirus, Louisiana.

LOGA: ‘Crude oil trading at lowest price in history’

BATON ROUGE, LA (April 20, 2020) —

On Monday, West Texas Intermediate futures (WTI) traded below $11 a barrel for the first time since 1986, reaching as low as $10.63 early Monday morning, indicating a drop in price of over 80% since the beginning of the year.  WTI has not traded in single digits since December of 1973. However, when adjusted for inflation, this is the lowest price that oil has traded in U.S. history. (https://www.macrotrends.net/1369/crude-oil-price-history-chart)

“The crisis facing the industry is impossible to overstate,” Louisiana Oil & Gas Association President Gifford Briggs said. “The global demand destruction of oil, caused by the worldwide shutdown of the economy, has sent prices to the lowest in history when adjusted for inflation. There is no magic pill that will save the thousands of jobs that will be lost, but we can immediately take steps to limit the losses.”  

“President Donald Trump has outlined a clear plan to get the economy moving again.  It is time that Louisiana, Texas and other states work with President Trump to implement his plan as soon as possible, and lean on countries around the world to do the same.  Until demand rebounds,  if industry is going to survive we will need severance tax relief, royalty relief, and an end to the government sponsored coastal lawsuits. State leaders must take comprehensive action immediately or we will lose an entire industry, and the jobs, wages, families and communities that are sustained by it.”

“Many of our members are being told they cannot deliver crude in May due to storage constraints, and as a result have begun planning to shut in 100% of their Louisiana production,” Briggs added. “It’s an absolute worst case scenario, a perfect storm.”

About the Louisiana Oil & Gas Association 

The Louisiana Oil & Gas Association was organized in 1992 to represent the Independent and service sectors of the oil and gas industry in Louisiana; this representation includes exploration, production and oilfield services. LOGA’s primary goal is to provide our industry with a working environment that will enhance the industry. Find out more information at: http://www.loga.la

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Posted on April 20, 2020 and filed under Louisiana, Oil and Gas.

Wanhua and Wuhan - Chinese Influence in Louisiana

Cajun Conservatism has reported in the past about Louisiana officials trying to do business with a Chinese state-owned chemical company that has a questionable safety record. This chemical company has been trying to build a plant in the state for years, with little success. Last year, Wanhua pulled plans to build a massive plant in St. James after local opposition mounted and just this year, the Westwego City Council pulled the rug out from under them. Well, they’re back in the news touting their efforts to help Louisiana cope with coronavirus:

To help pandemic response, businesses are encouraged to donate urgently needed PPE equipment. Several companies including Krunchy Kripsy Chicken, ExxonMobil and Wanhua Chemical have donated various supplies in the wake of the national shortage of PPE.

Ironic that a Chinese state-owned entity would try to help Louisiana recover from a virus that came from China. What comes around goes around. Now, The Washington Post reports today that the United States has been concerned for years about coronavirus research being done at facilities in Wuhan. Wanhua and Wuhan … if they can’t control their health labs, what makes you think they can control their chemical plants? Or maybe it’s, if they can’t control their chemical plants, what makes you think they could have controlled their health labs?

Posted on April 16, 2020 and filed under Coronavirus, Louisiana.

LOGA Comments on OPEC+ Deal, Likely Impact on Louisiana Energy Producers

BATON ROUGE, LA (April 13, 2020) — Louisiana Oil & Gas Association President Gifford Briggs issued the following statement today in response to the announcement of a new deal between members of the Organization of the Petroleum Exporting Countries and other major producers like Russia, known as OPEC+, to reduce global oil production by just under 10 million barrels a day beginning next month. 

“The OPEC+ deal may eventually help move the needle in the right direction, but the cuts announced Sunday fall far short of the meaningful measures that Louisiana’s independent oil and gas producers need to survive,” Briggs said.

“Our industry is on the verge of collapsing. This is a time for bold, decisive action, not small steps in the right direction. With tens of thousands of jobs and millions of dollars in tax revenue at risk, it is essential for policymakers at all levels of government to implement aggressive and immediate solutions to offset the expectation of prolonged shut-in wells, a massively oversupplied world oil market and the global shutdown of our economy.” 

“At the federal level, we urge members of Congress to support a temporary elimination of offshore royalties in the Gulf of Mexico to prevent thousands of leases from being shut in,” Briggs said.

“At the state level, we urge Louisiana lawmakers to provide immediate severance tax relief and support legislation to address the government sponsored coastal lawsuits.  These important steps will let Louisiana energy companies stay in business, so they can keep people working and keep wells flowing.” 

The plan by OPEC+ will slash 9.7 million barrels a day, or close to 10 percent of the world’s output, in May or June. The market responded to the news of a deal last Thursday with a drop in the futures price for West Texas Intermedia (WTI), signaling a belief that the cuts were not deep enough.

Global oil storage capacity is quickly becoming a threat, with many experts predicting that storage will dry up completely sometime in May. This threat has already become widespread reality in Louisiana where producers are being crippled by below-$10/bbl agreements and limited production sales for May crude deliveries. 

“The futures market is not a true representation of what is happening on the ground here in Louisiana.  Companies simply cannot survive when they cannot sell the oil they produce, and what they do sell at such a low price. We need help!”

About the Louisiana Oil & Gas Association 

The Louisiana Oil & Gas Association was organized in 1992 to represent the Independent and service sectors of the oil and gas industry in Louisiana; this representation includes exploration, production and oilfield services. LOGA’s primary goal is to provide our industry with a working environment that will enhance the industry. Find out more information at http://www.loga.la

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Posted on April 13, 2020 and filed under Louisiana, Oil and Gas.

Attorney General Jeff Landry And State Senator Fred Mills Announce Donation Hydroxychloroquine Sulfate Tablets

Photo source: Medscape

Photo source: Medscape

BATON ROUGE, LA - Louisiana Attorney General Jeff Landry, working with the assistance of State Senate Health and Welfare Chairman Fred Mills, is announcing a major donation by Amneal Pharmaceuticals to help respond to the COVID-19 health emergency. Amneal is donating 400,000 hydroxychloroquine sulfate tablets to the State of Louisiana.

"On behalf of Louisiana, I want to thank Amneal for this generous donation," said General Landry. "It is important we all work together to help solve the COVID-19 Coronavirus crisis. We must come together as Louisianans and as Americans. This donation from Amneal demonstrates their strong effort to be a good corporate citizen in our Nation."

Read more: Attorney General Jeff Landry And State Senator Fred Mills Announce Donation Of 400,000 Hydroxychloroquine Sulfate Tablets From Amneal Pharmaceuticals To Benefit COVID-19 Coronavirus Patients In Louisiana

Posted on April 1, 2020 and filed under Heathcare, Jeff Landry, Louisiana.

LOGA: Schumer fails Louisiana’s independent oil and gas businesses, communities

Photo source: LOGA Twitter

Photo source: LOGA Twitter

BATON ROUGE, LA — Senate Democratic Leader Chuck Schumer crowed victory against ‘Big Oil’ this morning after blocking funds that would have helped workers in Louisiana’s independent oil and gas industry and service sector. Including the funding for the Strategic Petroleum Reserve (SPR) in the coronavirus stimulus package would have created an additional $3 billion market for Louisiana producers to sell oil into. A previous draft of the bill contained $3 billion to refill the SPR. Current refinery demand is down and storage is shrinking, meaning the SPR purchases would have taken oil off the Gulf Coast system.

“Senator Schumer used these awful times to score a political victory by claiming to defeat a ‘$3 billion bailout for big oil,’” LOGA President Gifford Briggs said. “In reality, the independent producers and the thousands of small service companies that support their drilling operations are the workers and families Sen. Schumer truly defeated.

Louisiana oil producers are facing low prices, low demand and filling storages. Having the ability to store another 77 million barrels in the SPR was the lifeline that many needed to carry them forward over the next few months. The impact of this decision will be negatively felt in homes and communities across Louisiana.”

LOGA recently surveyed its membership and the revelations are dire. Should nothing change in the price markets, over the next 120 days 65% of Louisiana’s oil and gas workers could be laid off as independent businesses are forced to adjust to low energy prices.

President Trump based his directive to refill the SPR on the sound public policy of energy security at a bargain for taxpayers. “Based on the prices of oil, I’ve ... instructed the secretary of energy to purchase, at a very good price, large quantities of crude oil for storage in the U.S. Strategic Reserve. We’re going to fill it right up to the top.”

“The Louisiana Oil & Gas Association is grateful for Louisiana’s federal delegation for all the work they are doing to address the extraordinary headwinds the industry is facing,” said Briggs. “We remain hopeful that our delegation will be able to work with the President to purchase the oil necessary to ‘fill it right up to the top,’ and provide Louisiana’s independent oil and gas businesses and communities the support they so desperately need right now.”

About The Louisiana Oil & Gas Association

The Louisiana Oil & Gas Association was organized in 1992 to represent the Independent and service sectors of the oil and gas industry in Louisiana; this representation includes exploration, production and oilfield services. LOGA’s primary goal is to provide our industry with a working environment that will enhance the industry. LOGA services its membership by warding off tax increases, changing existing burdensome regulations, and educating the public and government of the importance of the oil and gas industry in the state of Louisiana. Find out more information at: http://www.loga.la

Posted on March 26, 2020 and filed under Louisiana, Oil and Gas.

LOGA: Oil trades below $21 for first time in nearly two decades

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BATON ROUGE, LA (March 19, 2020) —  For the first time in nearly two decades, oil is trading below $21 per barrel. While the country is dealing with the coronavirus pandemic, the oil and gas industry is facing the additional challenge of plummeting energy prices. West Texas Intermediate (WTI) traded as low as $20.80/BBL yesterday.

“The oil and gas industry is facing a perfect storm,” said Gifford Briggs, President of the Louisiana Oil & Gas Association. “While the COVID-19 pandemic has paralyzed the country and rapidly reduced the demand for energy, Russia and OPEC are ramping up production. This combination of unprecedented events has led many experts to predict that oil prices will remain below $35/BBL for the foreseeable future. These are serious times.”

“Our hearts and prayers are with all of the communities and businesses who are struggling to survive in the midst of this public health and economic crisis. The Louisiana Oil & Gas Association is working with local, state and federal leaders to do everything possible to support and protect the families and hardworking men and women in the oil and gas industry.” 

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Posted on March 19, 2020 and filed under Louisiana, Oil and Gas.

Higgins: Ban on Large Church Gatherings is Unconstitutional

Photo source: US Representative Clay Higgins

Photo source: US Representative Clay Higgins

The letter reads, in part, “As you know, the First Amendment to the United States Constitution specifically bars the government from making laws respecting the establishment of religion or prohibiting the free exercise thereof. I agree that all our constituents and religious leaders should follow the recommendations of the Center for Disease Control & Prevention (CDC). However, the decision to gather should be the choice of the individual or institution and not a mandate by any government entity. The State has no authority to enforce this proclamation nor any ban on worship.”

Read more: Higgins: Ban on Large Church Gatherings is Unconstitutional

Posted on March 14, 2020 and filed under Clay Higgins, John Bel Edwards, Louisiana.

OPINION: Rural Louisianans Need A Voice in Healthcare Discussions

By Rebekah Hebert, RN 

As of right now, rural Louisianans are losing the healthcare debate in America. We face continued hospital closures and doctor shortages in more remote parts of the state, and many patients face outstanding medical bills that they didn’t expect to receive when going to see a doctor. When it comes to access to care and affordability, lawmakers in Washington seem to forget to talk about those who are most impacted: the hard-working Louisianans in rural parts of the state. 

There are 750,000 residents that live in rural parts of Louisiana, and most of them face similar fears when it comes to how healthcare access. In the event of a medical emergency, there is often a very limited window of time for patients to get to a Level I or II trauma center. Rural Louisianans often have to navigate miles of highway traffic before they even reach the nearest equipped facility. Air ambulances provide rural residents with a solution; they are able to fly over traffic and carry a team of professionals that can immediately provide medical attention to patients. The rapid response times of air medical services gives peace of mind to rural communities who may otherwise have few options in the event of a life-threatening medical situation.

Those that live in more urbanized parts of the state don’t face the same issues rural residents do. They don’t share the same anxiety we face about whether we will make it to the hospital in time if a loved one goes into labor or if our partner suffers from a seizure or heart attack. In emergency situations, air medical providers are often the last lifeline.

As critical as air medical services are to remote communities, insurers don’t always cover the cost of calling an air ambulance, and rapid-response air medical providers can end up taking on the costs themselves and ultimately having to shut down. Alternatively, when an insurer doesn’t cover these costs, patients may end up having to cover these high costs themselves. We need lawmakers in Washington to find a solution that does not leave patients drowning in debt or force medical response teams to shut their doors. Rural constituents deserve the comfort of knowing that there are effective modes of transportation and first responders that can reach patients statewide and quickly get them to a hospital.

Instead of closing up shop, air medical providers should be encouraged to expand their businesses, especially to cover the increasing number of rural regions that are confronted with hospital closures and shortages of medical professionals. 

Rural Louisianans are losing the healthcare debate, because too often we are not even a part of the conversation. But I have not lost hope. Representative Scalise has an opportunity to be a healthcare champion for his rural constituents by supporting legislation that secures access to air medical services for rural communities while taking the burden of dealing with disputes between insurers and providers off of patients’ shoulders. I hope, above all, that the Congressman will choose to protect rural Louisianan patients over insurer profits in the ongoing healthcare discussions in Washington.                                  

Rebekah Hebert is a Registered Nurse and a healthcare advocate from rural Louisiana.

Posted on March 12, 2020 and filed under Heathcare, Louisiana.

LCCM: Talbot Takes First Step in Lowering Car Insurance!

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Earlier this week, Senator Kirk Talbot introduced in the Louisiana State Senate legislation that will finally address Louisiana's astronomical car insurance rates! SB 418, the Omnibus Premium Reduction Act of 2020 aims to do just that - lower car insurance by addressing the legal climate that encourages frivolous lawsuits and drives car insurance rates through the roof. 

This bill has received vast support from Abbeville to Zwolle and would provide drastic relief to automobile insurance consumers. Many bills have been introduced to fix our broken legal system and address the sky high auto insurance rates the voters demanded action on last fall. 

Senator Talbot's bill (SB 418) is a critical bill in accomplishing this and we need you to call and email your legislators to let them know you support reforming our legal system and lowering car insurance!  

SB 418 could be heard in Committee as soon as next week.  Please call your State Senators at  (225) 342-2040 and ask them to vote YES on SB 418 by Senator Talbot.  

Posted on March 11, 2020 and filed under Louisiana.

LLAW: New report shows toll of civil court costs on Louisiana’s economy

Via press release from Louisiana Lawsuit Abuse Watch 

Baton Rouge – Louisiana Lawsuit Abuse Watch (LLAW) today released the 2019-20 Economic Benefits of Tort Reform, an assessment measuring the impact of excessive civil court costs on Louisiana’s economy. The study, conducted by The Perryman Group for Citizens Against Lawsuit Abuse (CALA), found that Louisiana is losing jobs and revenue because of the state’s civil justice system. The assessment included extensive survey data, industry information and a variety of corroborative source material. The Perryman Group analyzed outcomes in the state using Ohio, which has engaged in notable tort reform in the recent past, as a benchmark.

The total current impact of excessive tort costs on the Louisiana economy amounts to estimated losses of $1.9 billion in annual output (gross product). This amounts to about 19,800 lost jobs and losses of $1.2 billion annually in personal income for hard working Louisianans. This reduction in business activity due to civil justice costs leads to lower than expected gross product, which results in a hidden “tort tax” of $412.17 per person. All major industry groups are negatively impacted, with retail trade, business services, health services and other service industries showing the greatest losses. Yearly fiscal losses (as of 2019) are estimated at $100.3 million in state revenues and $84 million to local governments. These effects are based on the current size of the state’s population and economy and can be expected to rise over time in the absence of meaningful civil justice reforms.

The assessment found that an inadequately balanced justice system can be counterproductive. A system that generates exorbitant levels of damages or numbers of awards may result in negative impacts through the misallocation of society’s scarce economic and human resources.  Some of these negative effects include increased costs and risks of doing business in an area; disincentives for innovations which promote consumer welfare; enhanced incentives to file lawsuits of questionable merit resulting in increased inefficiencies; higher insurance premiums than would exist under a more balanced approach; and increased health care costs and declining availability of medical services, among others.

“These findings clearly show that civil justice reform must be a priority in Louisiana. Frivolous lawsuits and exorbitant plaintiff awards impact all sectors of our economy. These job-killing lawsuits hurt Louisiana families, and in addition, economic opportunities are driven away while resulting costs are passed down in the form of higher prices for goods and services,” said LLAW Executive Director Lana Venable.

Civil justice reforms that have resulted in the greatest reduction in losses are those aimed at reducing frivolous lawsuits, capping appeal bonds, setting negligence standards and limiting non-economic damages. These reforms have been shown to enhance innovation and increase productivity, as well as to improve judicial efficiency and economic performance.

According to the assessment, when working properly, the judicial system provides a critical institutional framework that provides a fair and equitable forum for resolving disputes, compensates plaintiffs who have been legitimately harmed and deters undesirable behavior.

“A healthy legal system should ensure fairness for both truly impaired individuals and small and large businesses operating in Louisiana. Imbalances in the system lead to unpredictability for consumers and businesses, costing jobs and resulting in constrained economic growth,” according to Louisiana Coalition for Common Sense Executive Director Karen Eddlemon.

Louisiana was ranked 49th in the US Chamber Institute for Legal Reform’s 2019 Lawsuit Abuse Climate Survey, which measures the reasonability and balance of each states’ tort liability systems. Louisiana also earned the number four ranking in the American Tort Reform Foundation’s 2019-20 Judicial Hellholes Report based on systematic application of civil laws and court procedures.

Read the full report here

Posted on March 9, 2020 and filed under Louisiana.

Even "Honor Code's" Buddies at The Advocate Think It's Time For Tort Reform

Photo source: Louisiana Dept. of Insurance

Photo source: Louisiana Dept. of Insurance

Drive most places in Louisiana and you’ll see a lot of reasons for our rating as No. 2 in America in the cost of car insurance.

Whether it’s aggressive — to the point of reckless — driving, or tons of people texting and chatting on phones instead of concentrating on the road, or for that matter, crappy roads filled with holes and unsuited to heavy traffic, Louisiana earns its high insurance costs every day.

That’s because accidents and, all too often, medical costs from injuries, are part of the cost-basis for insurance companies. They must charge enough in premiums to pay claims and have a profit, or they won’t stay in business very long.

Read more: Our Views: Lower car insurance by fixing trial lawyers' gamed system

Posted on February 29, 2020 and filed under Louisiana.

AG Jeff Landry: Louisiana joins multistate investigation into JUUL Labs

“As a father, I am deeply troubled by the alarming number of middle school and high school students using e-cigarettes,” said General Landry. “As the Attorney General, I will continue to do all that I legally can to protect children and make our state safer,” Landry said.

Landry says even though cigarette usage has dramatically dropped among youth, vaping rates continue to skyrocket.

Read more: AG Jeff Landry: Louisiana joins multistate investigation into JUUL Labs

Posted on February 27, 2020 and filed under Jeff Landry, Louisiana.

BRIGGS: How to Usher in Louisiana’s Roaring 2020s

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Gifford Briggs,
President, Louisiana Oil & Gas Association
February 24, 2020

The Roaring 20’s were a time of unprecedented economic prosperity in America. A century has since passed. Can Louisiana and its oil and gas industry experience roaring economic prosperity once more?

Let’s take a look. One hundred years later, our nation’s economy is booming. Unemployment is at record lows, the stock market is at record highs, and it seems that everywhere you look, President Trump’s business acumen has acted like a shot of adrenaline for America.

Energy producers are no exception. Reforms of rules and regulations that had previously hindered industry growth have expanded offshore drilling, streamlined the pipeline permitting process, and made the United States an oil and gas powerhouse once again.

Is that federal leadership enough to usher in a roaring 20’s decade for our state? 

Considering our natural blessings, we are well-positioned for prosperity. Louisiana’s trifecta of oil and gas assets are a case in point. First is Louisiana’s natural gas giant: The Haynesville Shale. Recently Louisiana’s northwest formation had the second-highest new-well gas production per rig in the nation. Our abundant resources don’t stop there - we are also home to assets in the Gulf of Mexico and vast resources ready to be tapped in South Louisiana.  

Secondly, the Bayou State has a strong and expansive pipeline infrastructure. Pipelines are the safest, most secure way to transport product across vast distances. New York is now facing pricing, employment, and development woes simply because they do not have the pipeline capacity or willingness to move resources.

Finally, our LNG export capacity is a strength unique to our state: instead of simply refining natural gas, we now liquefy and export it all over the globe. LSU’s Center for Energy Studies estimates that Louisiana’s LNG projects could total nearly $100 billion in capital investment, potentially ushering in 20,000 construction jobs and 1,500 full-time jobs at Louisiana terminals once completed. 

These three key assets have positioned Louisiana to play a defining role in the United States’ move toward permanent energy independence in the global market, but considering our current realities more must be done on a state level by Louisiana leadership to enable our oil and gas industry to succeed.

South Louisiana energy activity continues to lag behind energy-producing regions all over the country. Our toxic legal environment and tax structure have crippled investment, taking Louisiana families away from the state in droves. It is time we bring them back.

But how? 

We can learn from other oil and gas producing states. Our Lone Star neighbor has undertaken strategic, long term measures to fix its’ legal and regulatory framework, and they now boast a simpler tax environment. As a result, they have experienced steady investment both inside and outside of the oil and gas industry, and families all over the nation are becoming newly adopted Texans.

Perhaps we are learning from our prospering neighbors and will experience that decade of strong Louisiana growth. In the gall of 2019, Louisiana voters sent a strong message to the capitol that we want bold action for a better Louisiana. It’s time for change.

This newly elected body of legislators has the momentum and vision necessary to tackle substantive reforms. They have the potential to put an end to the rampant lawsuit abuse that has put a moratorium on oil and gas investment and turned Louisiana communities into ghost towns. They have the potential to transform our tax structure, making it fairer, more competitive, and attractive to outside businesses. They have the potential to get Louisiana’s oil and gas industry roaring again.

LOGA sees great opportunities arising and is optimistic about what is possible in the coming year. From the 4th floor to the House and Senate floors, we are looking forward to working with everyone to create the nation’s leading oil and gas industry and ushering in Louisiana’s very own roaring 2020s. 

Posted on February 24, 2020 and filed under Louisiana, Oil and Gas.