SLS 10RS-3671 ENGROSSED Page 1 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Regular Session, 2010 SENATE BILL NO. 804 (Substitute of Senate Bill No. 754 by Senator Morrell) BY SENATOR MORRELL LEVEES. Creates Non-Flood Protection Asset Management Authority within the Department of Transportation and Development from January 1, 2011 until January 1, 2012; creates the Non-Flood Protection Asset Management Authority as a political subdivision effective January 1, 2012; transfers management and control of non-flood assets from the division of administration to the authority. (See Act) AN ACT1 To amend and reenact R.S. 36:801.1(A), R.S. 38:330.12 and 330.12.1, to enact R.S.2 36:509(P) and R.S. 38:330.12.1, and to repeal R.S. 36:509(P), relative to non-flood3 protection assets, functions, and activities within a levee district within the4 jurisdiction of an authority; to provide for the management and control of such5 assets; to create the Non-flood Protection Asset Management Authority within the6 Department of Transportation and Development and as a political subdivision; to7 transfer management of such assets from the division of administration to the8 authority; to provide for the powers, duties, and functions of the authority; to provide9 for a board of commissioners of the authority; to provide for membership of the10 board of commissioners; and to provide for related matters.11 Be it enacted by the Legislature of Louisiana:12 Section 1. R.S. 36:801.1(A) is hereby amended and reenacted and R.S. 36:509(P) is13 hereby enacted to read as follows:14 §509. Transfer of agencies to Department of Transportation and Development15 * * *16 P. The Non-Flood Protection Asset Management Authority (R.S.17 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 2 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. 38:330.12.1) is placed within the Department of Transportation and1 Development and shall perform and exercise its powers, duties, functions, and2 responsibilities in the manner provided for agencies transferred in accordance3 with the provisions of R.S. 36:801.1.4 * * *5 §801.1. Transfer; retention of all functions6 A. The agencies transferred by the provisions of R.S. 36:4(D), 4.1(C) and7 (G), 53(H), 209(R), 259(J), 409(N), 509(O), 509(P), 651(D), 725(A), and 769(J)8 shall continue to be comprised and selected as provided by law.9 * * *10 Section 2. R.S. 38:330.12 is hereby amended and reenacted and R.S. 38:330.12.1 is11 hereby enacted to read as follows:12 §330.12. Ownership and management of non-flood protection functions and13 activities14 A. On and after January 1, 2007, any Any facility or improvement within a15 levee district within the territorial jurisdiction of an authority, which facility or16 improvement is not directly related to providing adequate drainage, flood control, or17 water resources development pertaining to tidewater flooding, hurricane protection,18 or saltwater intrusion, that is owned or operated by a board of commissioners of the19 levee district, including all land, rights-of-way, servitudes, and improvements20 situated thereon, or connected therewith, for such purpose, shall be managed and21 controlled by the state, through the division of administration, Non-Flood22 Protection Asset Management Authority, hereinafter referred to as the23 "authority", without the necessity of any other act or instrument, except that for24 purposes of the Orleans Levee District, any such facilities or improvement shall25 continue to be owned by the Orleans Levee District. For the purpose of this Section26 only, the division of administration authority shall be the successor to the state and27 the board of commissioners of such levee district. The levee district state through28 the division of administration shall continue the routine maintenance of all such29 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 3 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. non-flood properties or facilities within its jurisdiction until the division of1 administration authority receives responsibility for such maintenance.2 B.(1) The division of administration authority may enter into contracts,3 agreements, or cooperative endeavors of any nature , on behalf of the state with a4 state agency, political subdivision, or other legal entity or person, or any combination5 thereof, for the operation and maintenance of any facility or improvement, which it6 manages or controls pursuant to Subsection A of this Section.7 (2) The division of administration authority may sell, lease, or otherwise8 transfer any such property and perform any and all things necessary to carry out the9 objects of this Section. If the division of administration authority determines that10 the sale, lease or transfer of such property is appropriate, it shall first offer the11 property to political subdivisions in the parish in which the property is located and12 state agencies conducting operations in that parish, other than levee districts, political13 subdivisions, or agencies responsible for flood control. If any such public entity is14 interested in acquiring the property, the division of administration authority shall15 evaluate proposals submitted by those entities. If no such proposal is received, or if16 such proposals are not determined to be in the best interest of the state authority, the17 property may be offered for sale or lease as otherwise provided by law.18 C. Except as required by federal law or regulation or state constitution, the19 expense of operating any facility or improvement referred to in Subsection A of this20 Section, which produces revenue for the levee district shall be collected by the21 division of administration authority and, after deducting an amount for the expense22 of managing and controlling such facility or improvement, the remaining revenues23 therefrom shall be disbursed to the flood protection authority to the credit of the24 levee district in which the facility or improvement is located.25 D. The division of administration authority may otherwise provide for the26 implementation of this Section by the adoption of rules and regulations pursuant to27 the Administrative Procedure Act.28 E. No action taken pursuant to this Section or to any provision of this Part29 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 4 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. shall do any of the following:1 (1) Impair the obligation of outstanding bonded indebtedness or of any other2 contract of any levee district.3 (2) Impair the ability of any levee district to satisfy any legal action or claim4 pending against the district on the effective date of this Section.5 §330.12.1. Non-Flood Protection Asset Management Authority; creation;6 composition; powers, duties, functions7 A. The Non-Flood Protection Asset Management Authority, hereafter8 referred to as the "authority", is hereby created possessing full corporate power9 to manage, control, regulate, operate, and maintain any non-flood protection10 facility or improvement asset or function within a levee district within the11 jurisdiction of a flood protection authority.12 B. The authority is placed within the Department of Transportation and13 Development and shall perform and exercise its powers, duties, functions, and14 responsibilities in the manner provided for agencies transferred in accordance15 with the provisions of R.S. 36:801.1. The authority shall not be eligible to receive16 or expend any money from the Transportation Trust Fund.17 C. The authority shall be composed of the following members who shall18 be subject to Senate confirmation, provided that no state senator or state19 representative shall appoint himself as a member of the authority:20 (1) One member appointed by the board of commissioners of the levee21 district where the non-flood asset is located.22 (2) One member appointed by the executive director of the levee district23 where the non-flood asset is located.24 (3) One member appointed by the state senator elected to represent state25 Senate District No. 4.26 (4) One member appointed by the state senator elected to represent state27 Senate District No. 3.28 (5) One member appointed by the state representative elected to29 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 5 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. represent state House District No. 94.1 (6) One member appointed by the state representative elected to2 represent state House District No. 97.3 (7) One member appointed by the state representative elected to4 represent state House District No. 101.5 (8) One member appointed by each state representative in whose6 representative district a non-flood asset is located.7 (9) One member appointed by the secretary of the Department of8 Transportation and Development.9 (10) One member appointed by the commissioner of the division of10 administration.11 (11) One member appointed by the chairman of the Coastal Protection12 and Restoration Authority.13 D.(1) Members of the authority shall serve a term of four years. Any14 vacancy occurring on the authority shall be filled in the same manner as the15 original appointment for the unexpired portion of the position vacated.16 (2) A majority of the members of the authority shall constitute a quorum17 for the transaction of official business and all official actions of the authority18 shall require an affirmative vote by a majority of the members present and19 voting at a meeting.20 (3) Members of the authority shall not receive any compensation for21 serving on the board but each member may receive not more that fifty dollars22 per day for attendance at meetings of the authority or its subcommittees. In23 addition, members may be reimbursed for mileage expenses incurred while in24 the performance of their official duties at the rate established by the division of25 administration for travel by state officials.26 E. The authority shall be domiciled in the parish of Orleans.27 F. The authority shall elect from its members a chairman and a secretary28 and shall select a vice-chairman to serve in the absence of the chairman. The29 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 6 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. authority may employ an executive director and such personnel as may be1 necessary to implement the provisions of this Section.2 G. The authority shall be responsible for the development and3 implementation of a management plan to best utilize the assets under its4 jurisdiction and maximize the benefits, attributes, and revenue potentials of5 such assets. Such plan shall include parameters for the interactions between the6 authority and other political subdivisions in the geographical areas of the assets7 under the jurisdiction of the authority and shall detail a procedure and process8 for the operation, maintenance, sale, lease, or transfer of any facility or9 improvement managed or controlled by the authority.10 Section 3. R.S. 36:801.1(A) is hereby amended and reenacted to read as follows:11 §801.1. Transfer; retention of all functions12 A. The agencies transferred by the provisions of R.S. 36:4(D), 4.1(C) and13 (G), 53(H), 209(R), 259(J), 409(N), 509(O), 509(P), 651(D), 725(A), and 769(J)14 shall continue to be comprised and selected as provided by law.15 * * *16 Section 4. R.S. 38:330.12.1 is hereby amended and enacted to read as follows:17 §330.12.1. Non-Flood Protection Asset Management Authority; creation;18 composition; powers, duties, functions19 A. The Non-Flood Protection Asset Management Authority, hereafter20 referred to as the "authority", is hereby created as a political subdivision possessing21 full corporate power to manage, control, regulate, operate, and maintain any non-22 flood protection facility or improvement asset or function within a levee district23 within the jurisdiction of a flood protection authority.24 B. The authority is placed within the Department of Transportation and25 Development and shall perform and exercise its powers, duties, functions, and26 responsibilities in the manner provided for agencies transferred in accordance with27 the provisions of R.S. 36:801.1. The authority shall not be eligible to receive or28 expend any money from the Transportation Trust Fund.29 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 7 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. C. The authority shall be composed of the following members who shall be1 subject to Senate confirmation, provided that no state senator or state representative2 shall appoint himself as a member of the authority:3 (1) One member appointed by the board of commissioners of the levee4 district where the non-flood asset is located.5 (2) One member appointed by the executive director of the levee district6 where the non-flood asset is located.7 (3) One member appointed by the state senator elected to represent state8 Senate District No. 4.9 (4) One member appointed by the state senator elected to represent state10 Senate District No. 3.11 (5) One member appointed by the state representative elected to represent12 state House District No. 94.13 (6) One member appointed by the state representative elected to represent14 state House District No. 97.15 (7) One member appointed by the state representative elected to represent16 state House District No. 101.17 (8) One member appointed by each state representative in whose18 representative district any non-flood asset is located.19 (9) One member appointed by the secretary of the Department of20 Transportation and Development. Two members appointed by the mayor of the21 city of New Orleans.22 (10) One member appointed by the commissioner of the division of23 administration.24 (11) One member appointed by the chairman of the Coastal Protection and25 Restoration Authority.26 D.(1) Members of the authority shall serve a term of four years. Any vacancy27 occurring on the authority shall be filled in the same manner as the original28 appointment for the unexpired portion of the position vacated.29 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 8 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. (2) A majority of the members of the authority shall constitute a quorum for1 the transaction of official business and all official actions of the authority shall2 require an affirmative vote by a majority of the members present and voting at a3 meeting.4 (3) Members of the authority shall not receive any compensation for serving5 on the board but each member may receive not more that fifty dollars per day for6 attendance at meetings of the authority or its subcommittees. In addition, members7 may be reimbursed for mileage expenses incurred while in the performance of their8 official duties at the rate established by the division of administration for travel by9 state officials.10 E. The authority shall be domiciled in the parish of Orleans.11 F. The authority shall elect from its members a chairman and a secretary and12 shall select a vice-chairman to serve in the absence of the chairman. The authority13 may employ an executive director and such personnel as may be necessary to14 implement the provisions of this Section.15 G. The authority shall be responsible for the development and16 implementation of a management plan to best utilize the assets under its jurisdiction17 and maximize the benefits, attributes, and revenue potentials of such assets. Such18 plan shall include parameters for the interactions between the authority and other19 political subdivisions in the geographical areas of the assets under the jurisdiction20 of the authority and shall detail a procedure and process for the operation,21 maintenance, sale, lease, or transfer of any facility or improvement managed or22 controlled by the authority.23 Section 5. R.S. 36:509(P) is hereby repealed in its entirety.24 Section 6.(A) The provisions of law contained in Sections 1 and 2 of this Act shall25 become effective on January 1, 2011, and shall cease to be effective on January 1, 2012.26 (B) The provisions of law contained in Sections 3, 4 and 5 of this Act shall become27 effective on January 1, 2012.28 SB NO. 804 SLS 10RS-3671 ENGROSSED Page 9 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Sharon F. Lyles. DIGEST Morrell (SB 804) Present law provides for on and after January 1, 2007 the operation and control of non-flood assets with a levee district or the territorial jurisdiction of an authority, including all land, rights-of-way, servitudes, and improvements situated thereon, or connected therewith, are to be managed and controlled by the state, through the division of administration, without the necessity of any other act or instrument, except that for purposes of the Orleans Levee District, any such facilities or improvement shall continue to be owned by the Orleans Levee District. Requires that the division of administration shall be the successor to the board of commissioners of the levee district and that the levee district continue the routine maintenance of all properties or facilities within its jurisdiction until the division of administration receives responsibility for such maintenance. Present law authorizes the division of administration to enter into contracts, agreements, or cooperative endeavors for operation and maintenance of any non-flood facility or improvement under its management and control. Authorizes the division of administration to sell, lease or otherwise transfer such property and perform those things necessary to carry out present law. Proposed law retains these provisions until January 1, 2011 and then substitutes the Non- Flood Protection Asset Management Authority for the division of administration. Provides that this authority possesses full corporate power to manage, control, regulate, operate, and maintain any non-flood protection facility or improvement asset or function within a levee district within the jurisdiction of a flood protection authority. Proposed law, from January 1, 2011, to January 1, 2012, places the authority within the Department of Transportation and Development and provides that the authority is not eligible to receive or expend money from the Transportation Trust Fund. Proposed law provides for a board of commissioners to exercise the duties, functions, powers, and responsibilities of the authority. Proposed law provides that from January 1, 2011, to January 1, 2012, the board of commissioners of the Non-Flood Protection Asset Management Authority be composed of the following persons subject to Senate confirmation, and provides that no state senator or state representative shall appoint himself as a member: (1)One member appointed by the board of commissioners of the levee district where a non-flood asset is located. (2)One member appointed by the executive director of the levee district where a non- flood asset is located. (3)One member appointed by the state senator elected to represent state Senate District No. 4. (4)One member appointed by the state senator elected to represent state Senate District No. 3. (5)One member appointed by the state representative elected to represent state House District No. 94. (6)One member appointed by the state representative elected to represent state House SB NO. 804 SLS 10RS-3671 ENGROSSED Page 10 of 10 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. District No. 97. (7)One member appointed by the state representative elected to represent state House District No. 101. (8)One member appointed by each state representative in whose representative district a non-flood asset is located. (9)One member appointed by the secretary of the Department of Transportation and Development. (10)One member appointed by the commissioner of the division of administration. (11)One member appointed by the chairman of the Coastal Protection and Restoration Authority. Proposed law effective January 1, 2012, creates the authority as a political subdivision and removes its placement within the Department of Transportation and Development and retains prohibition that authority is not eligible to receive or expend money from the Transportation Trust Fund. Proposed law provides that effective January 1, 2012, the board of commissioners of the Non-Flood Protection Asset Management Authority is to be composed of the same number of members appointed by the same organizations or officials and in the same manner subject to Senate confirmation as the original board, except that the member appointed by the secretary of the Department of Transportation and Development and the member appointed by the commissioner of the division of administration are replaced by two members appointed by the mayor of the city of New Orleans. Proposed law provides that the board serves for the same term, and has the same rules for filling vacancies, quorum, officers, domicile, etc. as for the original board, and provides for the same per diem and milage reimbursement. Sections 1 and 2 effective January 1, 2011, and cease to be effective January 1, 2012. Sections 3, 4 and 5 effective January 1, 2012. (Amends R.S. 36:801.1(A), R.S. 38:330.12 and 330.12.1; enacts R.S. 36:509(P); R.S. 38:330.12.1; repeals R.S. 36:509(P))