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Regular Session, 2012
HOUSE BILL NO. 1103
BY REPRESENTATIVE LEGER
DISTRICTS/SPECIAL: Provides relative to the La. Sports and Entertainment District
AN ACT1
To amend and reenact R.S. 33:130.842(A) and to enact R.S. 33:130.845(10), relative to the2
Louisiana Sports and Entertainment District; to revise the boundaries of the district;3
to provide procedures regarding the dedication of certain state of Louisiana sales tax4
increments for district purposes; and to provide for related matters.5
Notice of intention to introduce this Act has been published6
as provided by Article III, Section 13 of the Constitution of7
Louisiana.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 33:130.842(A) is hereby amended and reenacted and R.S.10
33:130.845(10) is hereby enacted to read as follows:11
§130.842. Louisiana Sports and Entertainment District; creation; territorial12
jurisdiction13
A. The Louisiana Sports and Entertainment District, a body politic and14
corporate, referred to in this Subpart as the "district", is hereby created in the city of15
New Orleans, referred to in this Subpart as the "city". The district shall be16
comprised of all the property bounded by Poydras Street, Lasalle Street, Gravier17
Street, Loyola Avenue, Girod Street, South Liberty Street, Julia Street, Le Rouge18
Street, Howard Avenue, and South Claiborne Avenue, referred to in this Subpart as19
the "property".20
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§130.845. Rights and powers1
The district, acting by and through its board, shall have and exercise all2
powers of a political subdivision necessary or convenient for the carrying out of its3
objects and purposes, including but not limited to the following in addition to the4
other rights and powers set out in this Subpart:5
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(10) Notwithstanding any other provisions of law to the contrary, and subject7
to dedication by law, state of Louisiana sales tax increments may be dedicated to the8
district to be used for district purposes. State of Louisiana sales tax increments shall9
not exceed the aggregate portion of the local sales tax increments dedicated for10
district purposes. Prior to the dedication of any state sales tax increments to pay11
revenue bonds of the district, the district shall submit the proposed cooperative12
endeavor agreement providing for such dedication to the Joint Legislative Committee13
on the Budget for approval. The submittal shall also include a written evaluation and14
determination by the division of administration of the anticipated increase in state15
sales tax revenues to be collected within the state over state sales tax revenues that16
were collected within the state in the year immediately prior to the year in which the17
project is submitted to the committee that would be a direct result of the project. In18
determining whether to approve the dedication of state sales tax increments, the Joint19
Legislative Committee on the Budget shall take into account whether the city has20
agreed to the dedication of a portion of the city's sales tax to the district, including21
the length of time for such dedication and the amount of any dedication. Provided22
the district has obtained the approval of the Joint Legislative Committee on the23
Budget as required by this Paragraph, no other approvals with respect to such24
cooperative endeavor agreement shall be required, except that the approval of the25
State Bond Commission shall be required only to the extent that state sales tax26
increments make up all or any portion of the revenue source pledged to the payment27
of bonds of the district.28 HLS 12RS-2252 ENGROSSED
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Section 2. This Act shall become effective upon signature by the governor or, if not1
signed by the governor, upon expiration of the time for bills to become law without signature2
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If3
vetoed by the governor and subsequently approved by the legislature, this Act shall become4
effective on the day following such approval.5
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Leger HB No. 1103
Abstract: Relative to the La. Sports and Entertainment District and the use of state sales
tax increments for tax increment financing, changes certain procedures for the
approval of the use of such state sales tax increments.
Present law creates the La. Sports and Entertainment District as a political subdivision of the
state located in the city of New Orleans. Provides that the district is created to provide for
cooperative economic and community development among the district, the city, the state,
and the owners of property in the district, to enhance the development of and improvement
to the property within the area of the district, and to expand the entertainment and leisure
activities within the district. Provides for district boundaries and governance. Proposed law
retains present law but makes changes to district boundaries.
Present law provides for the rights and powers of the district, including the power to
implement tax increment financing as authorized in present law (R.S. 33:9038.33 and
9038.34) for economic development districts. Prohibits the district from exercising the
power of taxation.
Proposed law retains present law except makes changes in procedures relative to the
approval of the dedication of state sales tax increments for economic development projects
affecting the district. Proposed law additionally provides that state sales tax increments shall
not exceed the aggregate portion of the local sales tax increments dedicated for district
purposes.
Present law (R.S. 33:9038.34(A)(6)), in part, requires that, prior to the dedication of any
state sales tax increments to pay revenue bonds for a local economic development project,
the secretary of the Dept. of Economic Development (DED) shall submit the proposed
project to the Joint Legislative Committee on the Budget for approval and shall include a
written evaluation and determination by DED, with input from and certification by the Dept.
of Revenue, of the anticipated increase in state sales tax revenues to be collected within the
state over such revenues that were collected within the state in the year immediately prior
to the year the project is submitted to the committee that would be a direct result of the
project.
Proposed law requires that the district (instead of DED) submit the proposed cooperative
endeavor agreement to the Joint Legislative Committee on the Budget for approval.
Removes requirement that the submittal include a written evaluation and determination by
DED and requires, instead, that the submittal include a written evaluation and determination
by the division of administration of the anticipated increase in state sales tax revenues to be
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in the year immediately prior to the year in which the project is submitted to the committee
that would be a direct result of the project. Proposed law further requires the Joint
Legislative Committee on the Budget, in determining whether to approve the dedication of
state sales tax increments, to take into account whether the city of New Orleans has agreed
to dedicate city sales tax for a local economic development project(s) in the district,
including the length of time for and the amount of any such dedication.
Proposed law provides that if the district obtains approval of the Joint Legislative Committee
on the Budget, no other approval with respect to the cooperative endeavor agreement is
needed, except the approval of the State Bond Commission is required only to the extent that
the state sales tax increments make up all or any portion of the revenue source pledged to
the payment of bonds of the district.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 33:130.842(A); Adds R.S. 33:130.845(10))
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Municipal, Parochial and
Cultural Affairs to the original bill.
1. Clarifies that La. sales tax increments, rather than sales taxes, may be dedicated
to the district.
2. Adds provision that prohibits state sales tax increments from exceeding the
aggregate portion of the local sales tax increments dedicated for district
purposes.
2. Relative to the submittal of the local economic development project to the Joint
Legislative Committee on the Budget for approval, additionally requires that the
submittal include a written evaluation and determination by the division of
administration. Provides relative to the contents of the submittal.