The Louisiana Legislature's Commerce Committee convened on May 13, 2025, to discuss several key legislative measures, including House Bill 368 and House Bill 257, both aimed at enhancing regulatory frameworks for water and wastewater companies.

The meeting commenced with a motion from Representative Newell to report House Bill 368 as amended. The motion was passed without objection, allowing the bill to move forward in the legislative process.

Following this, the committee turned its attention to House Bill 257, introduced by Representative Saint Blom. This bill seeks to empower the Public Service Commission (PSC) to petition district courts for the receivership of water and wastewater companies under specific circumstances. Currently, such authority is held by the Department of Environmental Quality (DEQ) for wastewater companies and the Department of Health (LDH) for water companies. Representative Saint Blom emphasized that the bill aims to provide the PSC with similar capabilities to address companies that may be failing to meet regulatory standards.

The committee reviewed amendments to House Bill 257, with the first amendment (26 82) being adopted unanimously. This amendment included changes to terminology regarding administrative orders, bond requirements, and conditions for dissolving receiverships. It also clarified that receivers could purchase the companies they oversee.

A second amendment (27 20) was introduced, which mandates that receivers submit a transition and operational plan within 90 days of their appointment. This amendment was also adopted without objection, reinforcing the need for a structured approach to managing companies in receivership.

During the discussion, Brandon Frey, executive secretary of the PSC, noted that the need for receivership is infrequent, typically arising in cases of severe non-compliance or financial distress. He highlighted that the bill provides an essential tool for addressing situations where companies fail to maintain operational standards, thereby protecting public interests.

The meeting concluded with a clear progression of both bills, setting the stage for further legislative action. The committee's discussions underscored the importance of regulatory oversight in ensuring the reliability and safety of water and wastewater services in Louisiana.