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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2012
SENATE BILL NO. 660
BY SENATOR MARTINY
TAX/SALES. Provides for the administration of sales tax increment financing. (7/1/12)
AN ACT1
To amend and reenact R.S. 33:9038.34(A)(6), relative to sales tax increment financing; to2
provide for certain proposed sales tax increment financing project submissions to the3
Joint Legislative Committee on the Budget; to provide for an effective date; and to4
provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 33:9038.34(A)(6) is hereby amended and reenacted to read as7
follows: 8
ยง9038.34. Sales tax increment financing9
A.10
* * *11
(6) Subject to dedication by law and the provisions of R.S. 33:9029.2, state12
of Louisiana sales tax increments may be dedicated to pay the revenue bonds of a13
local economic development project but shall not exceed the aggregate portion of the14
local sales tax increment dedicated for such purposes. Prior to the dedication of any15
state sales tax increments to pay revenue bonds for a local economic development16
project, the secretary of the Department of Economic Development shall submit the17 SB NO. 660
SLS 12RS-1493 ORIGINAL
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
proposed project to the Joint Legislative Committee on the Budget for approval. The1
submittal shall also include a written evaluation and determination by the2
department, with input from and certification by the Department of Revenue, of the3
anticipated increase in state sales tax revenues to be collected within the state over4
state sales tax revenues that were collected within the state in the year immediately5
prior to the year in which the project is submitted to the committee that would be a6
direct result of the project. In addition, any cooperative endeavor agreement or other7
agreement providing for the expenditure of funds collected by the state as state sales8
tax increments and dedicated to a project or for the payment of revenue bonds9
therefor shall be subject to approval by the State Bond Commission prior to10
execution by the state. In the event that the secretary of the Department of11
Economic Development fails to submit a local economic development project to12
the Joint Legislative Committee on the Budget for approval within sixty days13
of the date that the local entity has submitted its local economic development14
project to the department, the local entity may submit the local economic15
development project for approval directly to the Joint Legislative Committee16
on the Budget, labeled as without recommendation by the secretary of the17
Department of Economic Development.18
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Section 2. This Act shall become effective on July 1, 2012; if vetoed by the governor20
and subsequently approved by the legislature, this Act shall become effective on July 1,21
2012, or on the day following such approval by the legislature, whichever is later.22
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Jay R. Lueckel.
DIGEST
Present law provides that subject to dedication by law sales tax increments may be dedicated
to pay the revenue bonds of a local economic development project, but shall not exceed the
aggregate portion of the local sales tax increment dedicated for such purposes. Further
provides 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 Department of Economic
Development (DED) shall submit the proposed project to the Joint Legislative Committee
on the Budget (JLCB) for approval. The submittal shall also include a written evaluation and
determination by DED, with input from and certification by the Department of Revenue, of SB NO. 660
SLS 12RS-1493 ORIGINAL
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
the anticipated increase in state sales tax revenues that would be a direct result of the project.
In addition, any cooperative endeavor agreement or other agreement providing for the
expenditure of funds collected by the state as state sales tax increments and dedicated to a
project or for the payment of revenue bonds therefor shall be subject to approval by the State
Bond Commission prior to execution by the state.
Proposed law retains present law but specifies that in the event that the secretary of DED
fails to submit a local economic development project to JLCB for approval within 60 days
of the date that the local entity has submitted its project to DED, the local entity may submit
the local economic development project for approval directly to the JLCB, labeled as without
recommendation by the secretary.
Effective July 1, 2012.
(Amends R.S. 33:9038.34(A)(6))