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Regular Session, 2010
SENATE BILL NO. 752
BY SENATOR LONG
COLLEGES/UNIVERSITIES. Creates and provides for the Louisiana Centers of
Excellence Financing Corporation and authorizes the issuance of bonds to finance the
construction of centers of excellence. (2/3-CA7s9(F)) (8/15/10)
AN ACT1
To enact R.S. 39:1367(E)(2)(b)(v) and Chapter 17-F of Subtitle III of Title 39 of the2
Louisiana Revised Statutes of 1950, to be comprised of R.S. 39:1800.21 through3
1800.35, relative to the creation of a nonprofit corporation to provide for the4
financing and leasing of centers of excellence; to provide for its board of directors;5
to authorize the lease and sublease of the facilities; to authorize the issuance of bonds6
and certificates of participation; to empower the nonprofit corporation, the Louisiana7
Community and Technical College System and the state to take such other actions8
or enter into such other agreements as may be necessary and appropriate to carry out9
its responsibilities; to provide that debt issued by the nonprofit corporation is10
excluded from net state tax supported debt; and to provide for related matters.11
Be it enacted by the Legislature of Louisiana:12
Section 1. R.S. 39:1367(E)(2)(b)(v) and Chapter 17-F of Subtitle III of Title 39 of13
the Louisiana Revised Statutes of 1950, comprised of R.S. 39:1800.21 through 1800.35, are14
hereby enacted to read as follows:15
§1367. State debt; limitations16
* * *17 SB NO. 752
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E. As used in this Section, the following terms shall have the following1
meanings ascribed to them unless the context clearly indicates otherwise:2
* * *3
(2) * * *4
(b) "Net state tax supported debt" shall not mean:5
* * *6
(v) Any bond, note, certificate, or other evidence of indebtedness issued7
pursuant to R.S. 39:1800.21 through 1800.34.8
* * *9
CHAPTER 17-F. LOUISIANA CENTERS OF10
EXCELLENCE FINANCING CORPORATION ACT11
§1800.21. Title12
This Chapter shall be referred to and may be cited as the "Louisiana13
Centers of Excellence Financing Corporation Act".14
§1800.22. Definitions15
As used in this Chapter, the following words and terms shall have the16
following meanings, unless the context clearly indicates or requires another or17
different meaning or intent:18
(1) "Annual appropriation dependency clause" shall mean a clause19
which shall be included in any lease-purchase financing document which20
provides that if, after a diligent and good faith effort by the state to appropriate21
funds for the payment of sums due under a lease-purchase financing agreement,22
such funds are not appropriated, such lease-purchase agreement shall terminate23
in accordance with the terms of the lease-purchasing financing agreement and24
the state shall not be liable for the payment of further sums due on such25
agreements past the then current fiscal year, provided possession of the project26
is returned to the corporation. Such lease-purchase financing document shall27
further provide that in the event of an inability to appropriate sufficient funds28
such inability shall not constitute a default under such agreement.29 SB NO. 752
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(2) "Bonds" means bonds, notes, or any other evidence of indebtedness1
issued by the corporation.2
(3) "Center of excellence" means a community college or vocational3
technical facility which provides customized education and training programs4
for targeted industries that drive Louisiana's economy.5
(4) "Certificates" means certificates of participation executed and6
delivered by a trustee evidencing ownership interests in any lease entered into7
by the state or the system, as lessee, and the corporation, as lessor.8
(5) "Corporation" means the nonprofit corporation authorized to be9
formed by this Chapter, or any corporation succeeding to the principal10
functions thereof or to which the powers conferred upon the corporation by this11
Chapter shall be given by law. It is further declared that any such corporation12
shall be a private entity that shall not constitute a state agency, board, or13
commission nor shall it be deemed to be a public or quasi public corporation or14
an administrative unit, public servant, employee, or agent of any institution of15
higher education for any purpose whatsoever.16
(6) "Division of administration" means the division of administration17
created within the office of the governor by Title 39 of the Louisiana Revised18
Statutes of 1950.19
(7) "Lease-purchase financing" means the financing and acquisition of20
property by a corporation pursuant to an arrangement under which such21
corporation acquires title to property and enters into a lease-purchase22
agreement with the state providing for the leasing of the property by such23
corporation to the state and acquisition by the state at the end of the lease24
period of title to the property.25
(8) "Project" means the acquisition, purchase, construction, renovation,26
improvement, or expansion of a public facility by the corporation, to be27
financed with funds provided in whole or in part pursuant to this Chapter.28
(9) "Public facilities" means buildings, parking garages, and related29 SB NO. 752
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facilities used or to be used as a center of excellence for students, faculty and1
staff of the Louisiana Community and Technical College System, and all land,2
buildings and movable or immovable equipment incorporated therein and3
relating thereto.4
(10) "System" means the Louisiana Community and Technical College5
System.6
§1800.23. Construction of Chapter7
A. This Chapter shall be deemed to provide a complete, additional, and8
alternative method for doing the things authorized hereby and shall be regarded9
as supplemental and additional to powers conferred by other laws.10
B. To the extent that the provisions of this Chapter are inconsistent with11
the provisions of R.S. 12:202.1, or any other provisions of any general statute12
or special act or parts thereof, the provisions of this Chapter shall be deemed13
controlling.14
§1800.24. Functions of corporation15
There is hereby authorized the formation and incorporation of a16
nonprofit corporation, the purpose of which shall be the financing of the design,17
acquisition, purchase, construction, renovation, improvement, equipping or18
expansion of facilities to be leased to the Louisiana Community and Technical19
Colleges System and used as centers of excellence.20
§1800.25. Membership of board of directors; vacancies; compensation;21
expenses22
A. The corporation shall be governed by a board of seven directors23
comprised as follows:24
(1) The governor, or his designee.25
(2) The commissioner of administration, or his designee.26
(3) The president of the Senate, or his designee.27
(4) The speaker of the House of Representatives, or his designee.28
(5) The secretary of the Louisiana Department of Economic29 SB NO. 752
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Development, or his designee.1
(6) The president of the Louisiana Community and Technical College2
System, or his designee.3
(7) The chairman of the Workforce Investment Advisory Council.4
B. Members of the board of directors shall serve without compensation,5
but the corporation may reimburse such members for necessary expenses6
incurred in the discharge of their duties. Members of the legislature serving on7
the board shall receive the same per diem and travel reimbursement for8
attending meetings of the board as is normally provided for members of the9
legislature.10
C. Members of the board of directors shall elect a president, a secretary-11
treasurer and such other officers as shall be deemed necessary and appropriate.12
§2800.26. Applicable laws to corporation13
A. The corporation shall be subject to the Public Records Law, the Open14
Meetings Law, the Bond Validation Procedures Law, and the Code of15
Governmental Ethics. The corporation shall follow all provisions of R.S.16
38:2211 et seq., when utilized by the system as a financing vehicle for the17
construction, renovation, or expansion of public facilities.18
B. In any action for damages for an offense or quasi offense against the19
corporation, its officers, or employees, the corporation, its officers, or employees20
shall be entitled to assert any defense or limitation available to the state or an21
agency thereof, including but not limited to the provisions of Part XV of22
Chapter 32 of Title 13 of the Louisiana Revised Statutes of 1950.23
C. In any claim or lawsuit against the corporation or its officers or24
employees for damages arising out of personal injury or death of an official or25
employee of the state, its agencies, boards or commissions, the exclusive,26
compulsory and obligatory relief shall be limited to the remedies and relief27
afforded under Chapter 10 of Title 23 of the Louisiana Revised Statutes of 1950,28
including but not limited to R.S. 23:1034.29 SB NO. 752
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§1800.27. Powers1
A. In addition to the powers granted it by the General Nonprofit2
Corporation Law, Title 12 of the Louisiana Revised Statutes of 1950, the3
corporation shall have power to undertake any project, to provide for the4
financing thereof, and in connection therewith:5
(1) To receive and accept from any agency of the United States or any6
agency of the state of Louisiana or any municipality, parish, or other political7
subdivision thereof, or from any individual, association, or corporation gifts,8
grants, or donations of monies or other property for achieving any other9
purposes of this Chapter.10
(2) To finance, own, lease as lessee or lessor a public facility or facilities11
owned or leased by the corporation and to enter into contracts for any or all12
such purposes, including contracts for the acquisition, purchase, construction,13
renovation, improvement, or expansion of such public facility or facilities owned14
or leased by the corporation.15
(3) To receive and accept from any source loans, contributions, or grants16
for or in aid of a project, or the financing thereof in either money, property,17
labor, or other things of value.18
(4) To mortgage all or any portion of its interest in a public facility or19
facilities and the property on which any such public facility or facilities are20
located, whether owned or thereafter acquired, including the granting of a21
security interest in any property, corporeal or incorporeal, and to assign or22
pledge all or any portion of its interest in property, corporeal or incorporeal,23
and the revenues therefrom.24
(5) To lease for a term not to exceed thirty years to the system or to the25
state of Louisiana, through the division of administration, the project being26
financed or public facilities conveyed to the corporation in connection with such27
financing, upon such terms and conditions as are mutually agreeable and both28
parties deem proper, however, any and all such agreements shall contain an29 SB NO. 752
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annual appropriation dependency clause, and to charge and collect rents1
therefor and to terminate any such lease upon the failure of the lessee to comply2
with any of the obligations thereof; to include in any such lease, if it shall so3
desire, provisions that the lessee thereof shall have options to renew the term of4
the lease for such period or periods and at such rent as shall be determined by5
the corporation or to purchase any or all of the public facilities, or that upon6
payment of all of the indebtedness incurred by the corporation for the financing7
of such project, then the corporation shall convey any or all of the public8
facilities to the state of Louisiana on behalf of the system with or without9
consideration. The system or the state of Louisiana, through the division of10
administration, may enter into a lease for immovable or movable property with11
the corporation, whether as lessee or lessor, pursuant to this Chapter.12
(6) To obtain, or aid in obtaining, from any department or agency of the13
United States or the state of Louisiana or any private company, any insurance14
or guarantee as to, or of, or for the payment or repayment of, interest or15
principal, or both, or any part thereof, on any lease or obligation or any16
instrument evidencing or securing the same, made or entered into pursuant to17
the provisions of this Chapter and to assign any such insurance or guarantee as18
security for the corporation's bonds.19
(7) To enter into any trust agreement or agreements providing, among20
other matters, for the execution and delivery of certificates in any lease between21
the state and the corporation.22
(8) To enter into any and all agreements or contracts, execute any and23
all instruments, and do and perform any and all acts or things necessary,24
convenient, or desirable for the purposes of the corporation or to carry out any25
power expressly given in this Chapter.26
B. In addition to the powers granted it by law, the system or the state of27
Louisiana, through the division of administration, shall have the power:28
(1) To enter into a negotiated lease or leases with the corporation of any29 SB NO. 752
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public facility for a term not to exceed thirty years upon such terms and1
conditions as it shall deem proper, however, such agreements shall contain an2
annual appropriation dependency clause.3
(2) To sublease any such leased public facilities to any political4
subdivision or public body of the state of Louisiana or to any commission,5
entity, or regional authority created under or by intergovernmental cooperation6
under the laws of the state of Louisiana; provided that no such sublease shall7
relieve the sublessor of its obligations under its lease from the corporation8
relating to the subleased public facilities.9
(3) Notwithstanding the provisions of R.S. 41:1211 et seq., to negotiate10
a lease or leases to the corporation of land owned by the system or by the state11
for a period not to exceed thirty years upon such terms and conditions as it shall12
deem proper.13
C. Any political subdivision or public body of the state of Louisiana or14
any public commission, entity, or regional authority created under the law of15
the state of Louisiana may, with the prior approval of the division of16
administration, enter into a sublease of public facilities from the system or the17
state of Louisiana.18
§1800.28. Bonds19
A. The corporation is authorized, from time to time, to issue its bonds20
in order to provide for achieving any of its purposes under this Chapter.21
B. Except as may otherwise be expressly provided by this corporation,22
each of its bonds shall be payable from any revenues or monies of the23
corporation available therefor and not otherwise pledged, subject only to any24
agreements with the holders of particular bonds pledging any particular25
revenues or monies. Such bonds shall be and are deemed to be for all purposes26
negotiable instruments, subject only to the provisions of such bonds for27
registration.28
C.(1) The corporation's bonds may be issued as serial bonds or as term29 SB NO. 752
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bonds, or the corporation, in its discretion, may issue bonds of both types. The1
issuance of all bonds shall be authorized by resolution of the board of directors2
and shall bear such date or dates, mature at such time or times, not exceeding3
thirty years from their respective dates, bear interest at such rate or rates, be4
payable at such time or times, be in such denominations, be in such form, either5
coupon or registered, carry such registration privileges, be executed in such6
manner, be payable in lawful money of the United States of America at such7
place or places, and be subject to such terms of redemption, as the indenture,8
trust agreement, or resolution relating to such bonds may provide. The9
corporation's bonds may be sold by the corporation at public or private sale, for10
such price or prices and upon such terms and conditions as the corporation11
shall determine. The corporation may sell any bonds at a price below the par12
value thereof; provided, however, that the discount shall not exceed six percent13
of the par value thereof. Pending preparation of the definitive bonds, the14
corporation may issue interim receipts or certificates or temporary bonds which15
shall be exchanged for such definitive bonds.16
(2) Bonds of the corporation shall not be invalid because of any17
irregularity or defect in the proceedings or in the issuance and sale thereof and18
shall be incontestable in the hands of a bona fide purchaser or holder. The19
corporation, after authorizing the issuance of bonds by resolution, shall publish20
once in a newspaper of general circulation in the parish in which the21
corporation is domiciled, a notice of intention to issue the bonds. The notice22
shall include a description of the bonds and the security therefor. Within thirty23
days after the publication, any person in interest may contest the legality of the24
resolution, any provision of the bonds to be issued pursuant to it, the provisions25
securing the bonds, and the validity of all other provisions and proceedings26
relating to the authorization and issuance of the bonds. If no action or27
proceeding is instituted within the thirty days, no person may contest the28
validity of the bonds, the provisions of the resolution pursuant to which the29 SB NO. 752
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bonds were issued, the security of the bonds, or the validity of any other1
provisions or proceedings relating to their authorization and issuance, and the2
bonds shall be presumed conclusively to be legal. Thereafter, no court shall3
have authority to inquire into such matters.4
D. Any resolution or resolutions authorizing the issuance of any bonds5
or any issue of bonds may contain provisions, which shall be part of the contract6
with the holders of the bonds so authorized, as to pledging all or any part of the7
revenues of a project or any revenue-producing contract or contracts made by8
the corporation with any agency, department, corporation, or other person,9
public or private, to secure the payment of the bonds or of any particular issue10
of bonds.11
E. Neither the members of the board of directors of the corporation or12
any person executing the bonds shall be liable personally on the bonds or be13
subject to any personal liability or accountability by reason of the issuance14
thereof.15
§1800.29. Bonds; security; trust agreement; indenture; ancillary contracts;16
interest rate swap agreements17
A. In the discretion of the corporation, any bonds issued by it may be18
secured by a trust agreement or indenture by and between the corporation and19
a corporate trustee, which may be any trust company or bank having the20
powers of a trust company within or without the state. Such trust agreement21
or indenture or the resolution providing for the issuance of such bonds may22
pledge or assign the revenues to be received from any lease of the public23
facilities. Such trust agreement, indenture, or resolution providing for the24
issuance of such bonds may contain such provisions for protecting and25
enforcing the rights and remedies of the bondholders as may be reasonable and26
proper and not in violation of law. Any such trust agreement, indenture, or27
resolution may set forth the rights and remedies of the bondholders and of the28
trustee or trustees and may restrict the individual right of action of29 SB NO. 752
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bondholders. In addition to the foregoing, any such trust agreement, indenture,1
or resolution may contain such other provisions as the corporation may deem2
reasonable and proper for the security of bondholders.3
B. (1) The corporation may enter into, amend or terminate, as it4
determines to be necessary or appropriate, any ancillary contracts:5
(a) To facilitate the issuance, sale, resale, purchase, repurchase or6
payments of bonds, including without limitation bond insurance, letters of7
credit and liquidity facilities.8
(b) To attempt to hedge risk or achieve a desirable effective interest rate9
or cash flow, subject to the approval of the State Bond Commission.10
(2) The determination of the board, so approved, that an ancillary11
contract or the amendment or termination thereof is necessary or appropriate12
as aforesaid shall be conclusive. Such contracts shall be made upon the terms13
and conditions established by the board and approved by the State Bond14
Commission, including without limitation provisions as to security, default,15
termination, payment, remedy and consent to service of process.16
C. The corporation may enter into, amend or terminate, any swap17
contract that it determines to be necessary or appropriate to place the18
obligations or investments of the corporation, as represented by the bonds or19
the investment of their proceeds, in whole or in part, on the interest rate, cash20
flow or other basis desired by the board, which contract may include without21
limitation contracts commonly known as interest rate swap agreements, and22
futures or contracts providing for payments based on levels of, or changes in,23
interest rates, subject to approval of the State Bond Commission. The24
determination of the board, so approved, that a swap contract or the25
amendment or termination thereof is necessary or appropriate as aforesaid26
shall be conclusive. These contracts and arrangements may contain such27
payment, security, default, remedy, and other terms and conditions as28
determined by the board and approved by the State Bond Commission, after29 SB NO. 752
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giving due consideration to the creditworthiness of the counterparty or other1
obligated party, including any rating by any nationally recognized rating2
agency, and any other criteria as may be appropriate.3
§1800.30. Bonds and certificates; payment; no liability of state or political4
subdivision5
Neither bonds nor certificates shall be deemed to constitute a debt or6
liability of the state of Louisiana or of any agency, board, or political7
subdivision thereof or a pledge of the faith and credit of the state of Louisiana8
or of any such agency, board, or political subdivision.9
§1800.31. Refunding bonds10
The corporation may provide for the issuance of its bonds for the11
purpose of refunding any bonds or any series of bonds then outstanding,12
including the payment of any redemption premium thereon and any interest13
accrued or to accrue to the date of redemption and purchase or maturity of14
such bonds. All such refunding bonds shall be subject to the provisions of this15
Chapter in the same manner and to the same extent as other bonds issued16
pursuant to this Chapter.17
§1800.32. Bonds and certificates as legal investments18
Bonds and certificates are hereby made securities in which all banks,19
bankers, savings banks, trust companies, and other persons carrying on a20
banking business, all insurance companies, insurance associations, and other21
persons carrying on an insurance business, and all administrators, executors,22
guardians, trustees, and other fiduciaries, and all other persons whatsoever who23
now are or may hereafter be authorized to invest in bonds or other obligations24
of the state of Louisiana may properly and legally invest any funds, including25
capital belonging to them or within their control, and such bonds and26
certificates are hereby made securities which may properly and legally be27
deposited with and received by any state or municipal officers or agency of the28
state of Louisiana for any purpose for which the deposit of bonds or other29 SB NO. 752
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obligations of the state of Louisiana is now or may hereafter be authorized by1
law.2
§1800.33. Bonds and certificates; freedom from taxation3
Any bonds and certificates, their transfer, and the income therefrom4
shall at all times be free from taxation of every kind by the state of Louisiana5
and by all political subdivisions in the state of Louisiana.6
§1800.34. Excess earnings7
Any net earnings of the corporation beyond that necessary for8
retirement of any bonds issued by the corporation or to implement the purposes9
of this Chapter shall inure to the benefit only of the state of Louisiana.10
§1800.35. Dissolution of corporation; title to the property to vest in successor11
Upon dissolution of the corporation, title to all property owned by the12
corporation shall vest in the successor corporation created by the legislature, if13
any, if such successor corporation qualifies under Section 103 of the Federal14
Internal Revenue Code of 1986, as amended, to issue obligations the interest on15
which is exempt from federal income taxation. If no such successor corporation16
is so created, title to such property shall vest in the state of Louisiana.17
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Martha S. Hess.
DIGEST
Present law, relative to state debt limitations, defined "net state tax supported debt" to mean
all of the following debt obligations issued by the state or any entity in the state for which
the state is legally obligated to make debt service payments:
(1)General obligation bonds secured by the full faith and credit of the state.
(2)Debt secured by capital leases of immovable property payable by the state or annual
appropriations of the state.
(3) Debt secured by statewide tax revenues or statewide special assessments.
(4) Any funds advanced by a political subdivision in accordance with R.S. 47:820.2.
(5) Bonds secured by self-supported revenues which in the first instance may not be
sufficient to pay debt service and will then draw on the full faith and credit of the
state.
Present law provides that "net state tax supported debt" shall not include: SB NO. 752
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(1) Any obligations owed by the state pursuant to the State Employment Security Law.
(2) Cash flow borrowings payable from revenue attributable to one fiscal year.
(3) Bonds or notes issued by the state pursuant to Section 4 or 5 of Act 41 of the 2006
First Extraordinary Session of the Louisiana Legislature, to implement the Gulf
Opportunity Zone Act of 2005.
(4)Any bond, note, certificate, warrant, reimbursement obligation issued pursuant to
R.S. 23:1532.1, which authorizes the issuance of bonds secured by a special
assessment on employers, to finance and pay the outstanding principal amount
advanced to the state from the federal account of the Unemployment Trust Fund.
Proposed law retains present law and provides that net state tax supported debt shall not
include any bond, note, certificate, or other evidence of indebtedness issued pursuant to
proposed law, which authorizes the issuance of bonds by a nonprofit corporation to finance
the design, acquisition, purchase, construction, renovation, improvement, equipping or
expansion of facilities to be leased to the Louisiana Community and Technical Colleges
System and used as centers of excellence.
Proposed law authorizes the formation and incorporation of a nonprofit corporation, the
purpose of which shall be the financing of the design, acquisition, purchase, construction,
renovation, improvement, equipping or expansion of facilities to be leased to the Louisiana
Community and Technical Colleges System and used as centers of excellence.
Proposed law provides that the corporation shall be governed by a board of directors
comprised of:
1. The governor or his designee.
2. The commissioner of administration or his designee.
3. The president of the Senate or his designee.
4. The speaker of the House of Representatives or his designee.
5. The secretary of the Louisiana Department of Economic Development or his
designee.
6. The president of the Louisiana Community and Technical College System or his
designee.
7. The chairman of the Workforce Investment Advisory Council.
Proposed law provides that members of the board of directors shall serve without
compensation, but the corporation may reimburse such members for necessary expenses
incurred in the discharge of their duties but authorizes per diem and reimbursement of travel
expenses for legislators serving on the board.
Proposed law provides that the members of the board of directors shall elect a president, a
secretary-treasurer and such other officers as shall be deemed necessary and appropriate.
Proposed law provides that the corporation shall be subject to the Public Records Law, the
Open Meetings Law, the Bond Validation Procedures Law and the Code of Governmental
Ethics.
Proposed law specifies the powers of the corporation, which include: SB NO. 752
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(1) To receive and accept from the United States, the state of Louisiana or any political
subdivision thereof, or from any individual, association, or corporation gifts, grants,
or donations of monies or other property.
(2) To finance, own, lease as lessee or lessor a public facility or facilities owned or
leased by the corporation and to enter into contracts for any purpose.
(3) To receive and accept from any source loans, contributions, or grants.
(4) To mortgage, to grant a security interest in any property, and to assign or pledge all
or any portion of its interest in property, and the revenues therefrom.
(5) To lease for a term not to exceed thirty years to the system or to the state the project
being financed, upon such terms and conditions as are agreeable and proper,
however, any and all such agreements shall contain an annual appropriation
dependency clause, and to charge and collect rents therefor and to terminate any such
lease upon the failure of the lessee to comply with any of the obligations thereof. The
system or the state of Louisiana through the division of administration may enter into
a lease for immovable or movable property with the corporation, whether as lessee
or lessor.
(6) To obtain insurance.
(7) To enter into a trust agreement.
(8) To enter into any and all agreements or contracts, execute any and all instruments,
and do and perform any and all acts or things necessary, convenient, or desirable for
the purposes of the corporation.
Proposed law gives the Louisiana Community and Technical Colleges System or the state
of Louisiana, the power:
(1) To enter into a negotiated lease or leases with the corporation of any public facility
for a term not to exceed thirty years upon such terms and conditions as it shall deem
proper, however, such agreements shall contain an annual appropriation dependency
clause.
(2) To sublease any such leased public facilities to any political subdivision or public
body of the state of Louisiana or to any commission, entity, or regional authority
created under or by intergovernmental cooperation under Louisiana law.
(3) To negotiate a lease or leases to the corporation of land owned by the system or by
the state for a period not to exceed thirty years.
Proposed law authorizes the corporation to issue bonds, and provides for the security,
maturity and other terms relative to such bonds. Proposed law further authorizes the bonds
to be secured by a trust agreement. Authorizes the corporation to enter into ancillary
contracts of bond insurance, letters of credit and liquidity facilities and hedges. Authorizes
the corporation to enter into swap contracts.
Proposed law provides that bonds of the corporation shall not be deemed to constitute a debt
or liability of the state or of any agency, board or political subdivision thereof nor a pledge
of the full faith and credit of the state of Louisiana.
Proposed law provides that the corporation may issue refunding bonds, that corporation
bonds are legal investments and are exempt from Louisiana taxes.
Proposed law provides that upon dissolution of the corporation, title to all property shall vest SB NO. 752
SLS 10RS-1744 ORIGINAL
Page 16 of 16
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
in a successor corporation created by the legislature, and if no such successor corporation
is created, title shall vest in the state of Louisiana.
Effective August 15, 2010.
(Adds R.S. 39:1367(E)(2)(b)(v) and R.S. 39:1800.21-1800.35)