|
Request for an advisory opinion regarding whether Chris Piehler, Administrator of the Inspection Division of the Louisiana Department of Environmental Quality, may receive payments related to a lease agreement. |
|
Chris Piehler is Administrator of the LDEQ Inspection Division. His family inherited property from his mother upon her death in 2004. The property is currently subject to a lease agreement with Audubon Oil and Gas LLC for access to mineral rights, and he and his family are recipients of a monetary sum to grant said mineral (oil and natural gas) access. After search of the LDEQ database, Mr. Piehler has found no regulated entities associated with Audubon Oil and Gas LLC. His research of the company revealed that the small staff of 1-4 persons does not operate a site that conducts oil and gas exploration and production but rather acts as a land company that enables establishment of landowner access approvals.
Mr. Piehler was recently informed by his sister-in-law that she received a royalty check on the natural gas produced on the family property. The royalty check is the result of an agreement between Audubon Oil and Gas LLC and a sub lessee. The royalty check was from Shell Western E&P (sub-lessee). Mr. Piehler has not received a royalty check but assumes that he will in the near future. Shell Western E&P is a company that is regulated in numerous locations in Louisiana by the LDEQ. The LDEQ has environmental requirements for their operations and the LDEQ enforces those requirements. Mr. Piehler did not expect Shell to be the payer of royalties since his agreement was with Audubon Oil and Gas LLC.
As Administrator of the Inspection Division, Mr. Piehler does not inspect, investigate, or directly provide regulation to companies; however, he manages the staff that does.
|
|
R.S. 42:1111C(2)(d) prohibits a public servant from accepting any thing of economic value for or in consideration of services rendered to or for a person (1) who has or is seeking to have a contractual, business, or financial relationship with the public servant's agency; (2) conducts operations or activities which are regulated by the public servant's agency; or (3) who has substantial economic interests which may be substantially affected by the performance or nonperformance of the public servant's official duty.
R.S. 42:1102(20.1) includes the lease, rental, or sale of movable or immovable property in the definition of "service."
|
|
Adopt the proposed advisory opinion.
|
|
| Assigned Attorney: |
Deidra Godfrey |
|
|