LDWF Needs to Improve Process for Assessing Compensation for Damages to Public Oyster Grounds
The Louisiana Department of Wildlife and Fisheries (LDWF) needs to do a better job of assessing compensation for damages caused by entities given permits for work in the state’s public oyster grounds, according to an audit report released Monday by Legislative Auditor Daryl Purpera.
The performance audit for the state auditor found that while LDWF had assessed a total of $2.5 million in compensation for damages to public oyster grounds during fiscal years 2010 and 2014, it potentially could have collected an additional $867,164 if LDWF charged permit holders the actual cost to replace cultch and a sack of oysters.
The performance audit also found that LDWF has not assessed final compensation for 378 permits, which could bring the state an additional $3.5 million for rebuilding oyster reefs.
LDWF oversees approximately 1.68 million acres of public oyster grounds, which are used by licensed fishermen to gather oysters for their private oyster leases or to sell them on the open market.
Other entities — primarily oil and gas companies — can obtain a Coastal Use Permit from the Louisiana Department of Natural Resources to conduct activities on the grounds, such as laying pipelines or drilling wells. In exchange, the entities must compensate the state for damages either by planting cultch and paying LDWF the replacement value of a sack of oysters, or by making payments to the Public Oyster Seed Ground Development Account.
The audit report outlined five areas LDWF should work on to make sure it is assessing adequate compensation for damages: