HLS 12RS-1086 ENGROSSED
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Regular Session, 2012
HOUSE BILL NO. 493
BY REPRESENTATIVE BARRAS AND SENATOR MI LLS
TAX/AD VALOREM-EXEMPTION: Authorizes certain municipalities to grant contracts
for the exemption of property annexed by the city
AN ACT1
To enact Chapter 8 of Subtitle III of Title 47 of the Louisiana Revised Statutes of 1950, to2
be comprised of R.S. 47:2371, relative to ad valorem; to authorize the governing3
authority of certain municipalities to grant ad valorem tax exemption contracts for4
certain property annexed by the municipality; to provide for the approval of5
contracts; to provide for certain contract limitations; to provide with respect to the6
assessment and taxation of property subject to a contract; to provide for7
effectiveness; and to provide for related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. Chapter 8 of Subtitle III of Title 47 of the Louisiana Revised Statutes of10
1950, comprised of R.S. 47:2371, is hereby enacted to read as follows: 11
CHAPTER VIII. MISCELLANEOUS EXEMPTIONS12
ยง2371. Ad valorem tax exemption contracts; municipalities; annexed land13
A. The governing authority of any municipality with a population of between14
thirty thousand and thirty-one thousand according to the latest federal decennial15
census, hereinafter referred to as "municipality", is authorized to enter into contracts16
for the exemption from ad valorem taxes of property which is annexed by the17
municipality after January 1, 2013.18
B. Each contract shall require authorization by two-thirds vote of the19
governing authority of the municipality. A contract shall grant the property owner20 HLS 12RS-1086 ENGROSSED
HB NO. 493
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an exemption from ad valorem taxes for a period of up to five calendar years, and1
contracts may be renewed for up to five additional years. All property exempted2
pursuant to a contract shall be listed on the assessment rolls and submitted to the Tax3
Commission or its successor, but no taxes shall be collected thereon during the4
period of exemption; however, the exemption authorized by this Section shall in no5
way affect or impair the security of any bonds payable from the proceeds of a tax.6
Section 2. This Act shall take effect and become operative if and when the proposed7
amendment of Article VII of the Constitution of Louisiana contained in the Act which8
originated as House Bill No. ____ of this 2012 Regular Session of the Legislature is adopted9
at a statewide election and becomes effective.10
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)]
Barras HB No. 493
Abstract: Authorizes the granting of ad valorem tax exemption contracts by any
municipality with a population of between 30,000 and 31,000 according to the latest
census for property which is annexed by the municipality after Jan. 1, 2013.
Proposed law authorizes the governing authority of any municipality with a population of
between 30,000 and 31,000 according to the latest federal decennial census, hereinafter
"municipality", to enter into contracts for the exemption from ad valorem taxes of property
which is annexed by the municipality after Jan. 1, 2013.
Proposed law requires that contracts be approved by 2/3 vote of the governing authority of
the municipality. Contract shall grant the property owner an exemption from ad valorem
taxes for a period of up to five calendar years, with an option for renewal for up to five
additional years.
Proposed law requires that all property exempted pursuant to a contract shall be listed on the
assessment rolls, but no taxes shall be collected thereon during the period of exemption;
however, the exemption authorized by proposed law shall in no way affect or impair the
security of any bonds payable from the proceeds of a tax.
Effective if and when the proposed amendment of Article VII of the Constitution of La.
contained in the Act which originated as House Bill No. ____ of this 2012 R.S. of the
Legislature is adopted at a statewide election and becomes effective.
(Adds R.S. 47:2371)