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Regular Session, 2012 ENROLLED
SENATE BILL NO. 723
BY SENATORS APPEL, ALARIO, ALLAIN, BROOME, CHABERT, CORTEZ,
CROWE, DONAHUE, DORSEY-COLOMB, ERDEY, GALLOT,
JOHNS, KOSTELKA, LAFLEUR, MARTINY, MILLS, MORRELL,
MORRISH, MURRAY, RISER, GARY SMITH, THOMPSON,
WALSWORTH, WARD AND WHITE AND REPRESENTATIVES
BROSSETT, LEGER, ARNOLD, BADON, WESLEY BISHOP,
BROADWATER, TIM BURNS, CARMODY, CONNI CK, DIXON,
HARRIS, HAZEL, HOFFMANN, HOWARD, HUNTER, GI ROD
JACKSON, LIGI, LOPINTO, LORUSSO, MILLER, MORENO,
ORTEGO, PONTI, POPE, REYNOLDS, SIMON AND THIBAUT
AN ACT1
To enact R.S. 36:109(V) and Chapter 54 of Title 51 of the Louisiana Revised Statutes of2
1950, to be comprised of R.S. 51:3111 through 3118, relative to the Louisiana3
International Commerce Initiative; to create the office of international commerce4
within the Department of Economic Development; to create the Louisiana Board of5
International Commerce; to provide for membership of the board; to provide for6
powers and duties of the board; to provide for definitions, terms, procedures, and7
conditions; to provide for development of the Master Plan of International8
Commerce and an annual report; to provide for legislative oversight; and to provide9
for related matters.10
Be it enacted by the Legislature of Louisiana:11
Section 1. R.S. 36:109(V) is hereby enacted to read as follows: 12
§109. Transfer of boards, commissions, departments, and agencies to Department13
of Economic Development14
* * *15
V. The office of international commerce (R.S. 51:3111) is placed within16
the Department of Economic Development and shall exercise and perform its17
functions, duties, and responsibilities as provided by law.18
ACT No. 687 SB NO. 723 ENROLLED
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* * *1
Section 2. Chapter 54 of Title 51 of the Louisiana Revised Statutes of 1950, to be2
comprised of R.S. 51:3111 through 3118 are hereby enacted to read as follows:3
CHAPTER 54. LOUISIANA INTERNATIONAL COMMERCE INITIATIVE4
§3111. Purpose5
The provisions of this Chapter establish the office of international6
commerce within the Department of Economic Development to serve as the7
authority on behalf of the state to advance the state's international commerce8
economic sector. The office of international commerce shall achieve this9
objective by utilizing the state's public and private resources to strategically10
develop and enhance Louisiana's participation and competitiveness in11
international commerce, by attracting foreign and domestic investment and12
trade related corporate business into the state, and by developing13
manufacturing, corporate, and service business activity based upon Louisiana's14
trade economy.15
§3112. Definitions16
As used in this Chapter, the following terms shall have the meanings17
ascribed to them below:18
(1) "Board" means the Louisiana Board of International Commerce.19
(2) "Department" means the Department of Economic Development.20
(3) "Initiative" means the Louisiana International Commerce Initiative.21
(4) "International ports" means those ports, commonly known as deep22
draft ports, whose main function is waterborne commerce, both import and23
export, directly linked to world commerce. These ports include, but are not24
limited to, the following:25
(a) Port of Greater Baton Rouge.26
(b) Lake Charles Harbor and Terminal District, Port of Lake Charles.27
(c) Port of New Orleans.28
(d) Plaquemines Port, Harbor and Terminal District.29
(e) St. Bernard Port, Harbor and Terminal District.30 SB NO. 723 ENROLLED
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(f) Port of South Louisiana.1
(5) "Inland ports" means those ports, commonly known as shallow draft2
ports, engaged in waterborne commerce whose cargoes depend upon import or3
export through international ports for connection to world markets.4
(6) "International commerce" means a two–tiered, integrated economic5
sector concentrating upon the state's unique position in world commerce. "Tier6
one" shall be defined as business activity in the areas of waterborne or airborne7
commerce, manufacturing related to imported and exported products and8
services, other international activities, and corporate business activity resulting9
from the state's engagement in international commerce. "Tier two" shall be10
defined as inland transportation connectors, including water, highway, and rail,11
air transportation, airborne passenger travel, assembly and distribution, free12
trade zones, and other support business activities including but not limited to13
finance, insurance, suppliers of materials, legal, brokerage, freight forwarding,14
and other such services.15
(7) "Master plan" means the Master Plan of International Commerce.16
(8) "Office" means the office of international commerce within the17
Department of Economic Development.18
(9) "Project" means but is not limited to the construction of a physical19
asset and associated infrastructure to be used in the course of the business of20
international commerce, a business activity such as a marketing effort or the21
development of a business relationship, or an executable strategy such as joint22
ventures between governmental and nongovernmental organizations or23
businesses. Projects may be undertaken by the office, another agency, or other24
entities as described in this Chapter. For the purposes of this Chapter,25
"project" shall not be construed to include any of the following:26
(a) A project not consisting of the construction of a physical asset,27
including infrastructure, with a projected final cost of less than one million28
dollars.29
(b) A project consisting of construction of a physical asset, including30 SB NO. 723 ENROLLED
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infrastructure, with a projected final cost of less than five million dollars.1
(c) As it relates to ports, a project of any inland port or a project from2
any port or harbor district other than an international port.3
(10) "Secretary" means the secretary of the Department of Economic4
Development.5
§3113. Office of international commerce6
A. The office of international commerce is hereby created as an office7
within the Department of Economic Development.8
B. The office shall include the secretary, the executive director of9
international commerce, staff of the department assigned to the office, the10
board, any advisory subcommittee appointed by the chairman of the board, and11
staff of the board and any advisory subcommittee.12
§3114. Powers and duties of the secretary and executive director13
A. The secretary shall administer and enforce the provisions of this14
Chapter relating to duties and activities of the office, the board, and advisory15
subcommittees of the board.16
B. The secretary may execute partnerships, joint ventures, memoranda17
of understanding, cooperative endeavors, or other similar relationships with18
local, state, or federal public entities, foreign governments, nongovernmental19
organizations, or private entities and business interests to implement the master20
plan. Such state public entities shall include but are not limited to the21
following: the Department of Transportation and Development, the22
Department of Agriculture and Forestry, and the Department of Culture,23
Recreation and Tourism.24
C. The executive director of the office of international commerce shall25
report directly to the secretary.26
D. The secretary and the executive director shall represent the board in27
all matters.28
E. The secretary and the executive director shall represent the policy29
and viewpoints of the office at foreign, state, regional, and local levels.30 SB NO. 723 ENROLLED
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§3115. Louisiana Board of International Commerce1
A. The Louisiana Board of International Commerce is hereby created2
within the office of international commerce of the Department of Economic3
Development. The board shall be domiciled in East Baton Rouge Parish.4
B. The board shall exercise, subject to the provisions of this Chapter, the5
following duties:6
(1) Develop, coordinate, implement, make reports on, manage, and7
provide oversight of the Master Plan of International Commerce and prepare8
annual reports to the legislature. The master plan shall position Louisiana as9
a leader in international commerce and trade and shall include a comprehensive10
strategy addressing all matters of international commerce and trade for the11
state of Louisiana. An annual report shall monitor the progress of the12
implementation of the master plan and shall be submitted to the legislature for13
approval as set forth in R.S. 51:3117.14
(2) Develop and execute a strategy to coordinate planning, marketing,15
and resources between all private or nongovernmental organizations, private16
business interests, international ports, the department, other departments of17
state government, including the Department of Transportation and18
Development, the Department of Agriculture and Forestry, the Department of19
Culture, Recreation and Tourism, and any other federal or state governmental20
agency involved in international commerce.21
(3) Establish criteria for projects to be included in the master plan and22
use these criteria to evaluate and approve projects for inclusion in the master23
plan that are submitted by the organizations, entities, or persons provided in24
Paragraph (2) of this Subsection.25
(4) Include in the master plan projects approved by the board.26
(5) Include in the annual report a detailed description of each project27
included in the master plan, and the current status of approved projects.28
(6) Create a mechanism to establish priorities of the approved projects29
and establish a procedure for the use of the priority system to control the order30 SB NO. 723 ENROLLED
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in which projects included in the master plan are executed.1
(7) Coordinate and assist the organizations, entities, or persons2
described in Paragraph (2) of this Subsection in its development and execution3
of projects that are approved by the board as being consistent with the4
comprehensive strategy of the master plan and in the priority order established5
by the board. Such assistance by the board shall include but not be limited to6
coordination between governmental and nongovernmental organizations as well7
as assistance with the identification of capital resources for the use of8
organizations that develop projects.9
(8) Monitor implementation of a state strategy to attract foreign direct10
investment and to attract international corporate business to Louisiana.11
(9) Identify, solicit, and recommend to the secretary, partnerships, joint12
ventures, memoranda of understanding, cooperative endeavors, or other similar13
relationships with local, state, or federal public entities, foreign governments,14
nongovernmental organizations, or private entities and business interests to15
implement the master plan. Such public entities shall include but are not16
limited to the following: the Department of Transportation and Development,17
the Department of Agriculture and Forestry, and the Department of Culture,18
Recreation and Tourism.19
(10) Identify, accept, obtain or assist in obtaining, foreign, federal, state,20
and private funds consistent with the provisions of this Chapter. Such funds21
shall include funds from matching sources, gifts, grants, and donations. 22
(11) Develop and implement methods to self-generate funds. Such23
funds obtained consistent with the provisions of this Chapter shall be used solely24
for the operations of the office and execution of projects included in the master25
plan.26
(12) Identify funding sources for infrastructure that is required to27
support projects or existing facilities and assist organizations, entities, or28
persons provided in Paragraph (2) of this Subsection to enter into business29
relationships, such as public-private partnerships, to secure funding for such30 SB NO. 723 ENROLLED
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infrastructure.1
(13) Conduct meetings and hold hearings.2
(14) Adopt rules in accordance with the Administrative Procedure Act3
consistent with the provisions of this Chapter.4
(15) As determined by the board, the chairman shall appoint advisory5
subcommittees to review, evaluate, and report to the board on projects6
proposed for inclusion in the master plan or for other purposes as approved by7
the board. In accordance with the scope of the subcommittee's work, the8
subcommittee may include non-board personnel. Such personnel shall not be9
compensated by the board. The board may request the secretary to engage10
experts to assist the board in performing its functions and duties. Every effort11
shall be made to utilize the staff of the office, department, international ports,12
nongovernmental organizations, or state universities prior to the engagement13
of outside experts.14
(16) Establish a recommended annual budget for the operation of the15
office and submit such recommended budget to the secretary for inclusion in the16
department's annual budget. Funding of the office for the first year of17
operation shall be derived from existing department resources and funds.18
Details of the office's revenues and expenses, including its recommended annual19
budget, shall be included in the annual report.20
(17) Expend funds consistent with the provisions of this Chapter.21
(18) Recommend that the secretary enter into agreements, memoranda22
of understanding, and cooperative endeavors with foreign governments, private23
entities, nongovernmental organizations, and local, state, and federal public24
entities that are consistent with the provisions of this Chapter.25
(19) Provide recommendations to the legislature with respect to the26
implementation, management, and funding of the office.27
(20) Present recommendations to the House Committee on Commerce28
and the Senate Committee on Commerce, Consumer Protection, and29
International Affairs by February first of each year for proposed legislation30 SB NO. 723 ENROLLED
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consistent with the comprehensive strategy of the master plan and the1
provisions of this Chapter.2
(21) Advise the secretary on any matter regarding the office.3
§3116. Membership of board4
A. The board shall consist of the following members:5
(1) The secretary of the department or his designee.6
(2) The secretary of the Department of Transportation and Development7
or his designee.8
(3) The commissioner of the Department of Agriculture and Forestry or9
his designee.10
(4) The secretary of the Department of Culture, Recreation and Tourism11
or his designee, with consideration given to the appointment of the executive12
director of the Council on the Development of French in Louisiana as his13
designee.14
(5)(a) Eight members appointed by the governor who represent regional15
economic development organizations in the state. Such members shall, to the16
greatest extent possible, be engaged in international commerce or trade. The17
governor shall make the appointment from a list of names submitted by the18
following organizations:19
(i) Greater New Orleans, Inc.20
(ii) Baton Rouge Area Chamber.21
(iii) Central Louisiana Economic Development Alliance.22
(iv) Southwest Louisiana Partnership for Economic Development.23
(v) North Louisiana Economic Partnership.24
(vi) Acadiana Economic Development Council, Inc.25
(vii) Northeast Louisiana Economic Alliance.26
(viii) Jefferson Parish Economic Development Commission.27
(ix) South Louisiana Economic Council.28
(x) Ascension Chamber of Commerce.29
(xi) River Region Chamber of Commerce.30 SB NO. 723 ENROLLED
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(b) Each organization shall submit two names to the governor.1
(6)(a) Four members appointed by the governor, of which two members2
shall represent international business, and two members shall represent3
manufacturing business relating to international commerce. The governor shall4
make the appointments from a list of names submitted by the following5
organizations:6
(i) Louisiana Association of Business and Industry.7
(ii) The National Federation of Independent Business.8
(iii) The World Trade Center New Orleans.9
(iv) The Louisiana Chemical Association.10
(v) New Orleans Board of Trade.11
(vi) Le Centre International De Lafayette.12
(b) Each organization shall submit two names to the governor.13
(7)(a) Six members appointed by the governor who represent14
international ports. The governor shall make the appointments from a list of15
names submitted by the following:16
(i) Port of Greater Baton Rouge.17
(ii) Lake Charles Harbor and Terminal District, Port of Lake Charles.18
(iii) Port of New Orleans.19
(iv) Plaquemines Port, Harbor and Terminal District.20
(v) St. Bernard Port, Harbor and Terminal District.21
(vi) Port of South Louisiana.22
(b) Each port shall submit two names to the governor. The governor23
shall select at least one representative from each of the ports submitting24
nominations.25
(8)(a) One member appointed by the governor to represent the state's26
airports. The governor shall make the appointments from a list of names27
submitted by the following:28
(i) Baton Rouge Metropolitan Airport.29
(ii) The Chennault International Airport Authority.30 SB NO. 723 ENROLLED
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(iii) Louis Armstrong New Orleans International Airport.1
(iv) Shreveport Regional Airport.2
(v) England Airpark.3
(vi) Lafayette Regional Airport.4
(vii) Monroe Regional Airport.5
(b) Each airport shall submit two names to the governor. The governor6
shall select one representative from the airports submitting nominations.7
B. The initial appointed members of the board shall be appointed no8
later than October 1, 2012.9
C. Initial appointments to the board shall be for terms as follows:10
(1) Four members representing regional economic development11
organizations in Louisiana, one member representing international business,12
one member representing manufacturing business relating to international13
commerce, two members representing international ports, and one member14
representing the state's airports shall be appointed for two years.15
(2) Four members representing regional economic development16
organizations in Louisiana, one member representing international business,17
one member representing manufacturing business relating to international18
commerce, and three members representing international ports shall be19
appointed for one year.20
(3) After the initial appointment provided for in Paragraphs (1) and (2)21
of this Subsection, all members shall serve for a five-year term. Each member22
shall serve until a successor is appointed.23
D. Vacancies shall be filled in the same manner as the original24
appointments for the unexpired portion of the term.25
E. A majority of the members of the board shall constitute a quorum for26
the transaction of business. The vote of a majority of the members of the board27
present and voting, a quorum being present, shall be required for any official28
action of the board.29
F. The board shall hold its first meeting at its domicile no later than30 SB NO. 723 ENROLLED
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December 1, 2012, and shall meet quarterly thereafter, on a date and at a time1
and place as the board may designate. The board may meet at such other times2
as deemed necessary by the chairman or by the majority of its members.3
G. At the initial meeting of the board, the board shall elect from its4
membership a chairman and such other officers as it deems necessary to carry5
out the duties and functions of the board. All officers shall be members of the6
board. Such officers shall constitute an executive committee, which shall7
conduct certain business activities as authorized by the board during such times8
as the board is not in session.9
H. Board members shall not receive any salary for their duties as10
members. The members may receive a mileage allowance for traveling to and11
from meetings and for other travel authorized by the board at a rate not to12
exceed the mileage rate for state employees.13
§3117. Master Plan of International Commerce and annual report14
A.(1)(a) The board shall, in accordance with the procedures set forth in15
this Chapter, develop a Master Plan of International Commerce to position16
Louisiana as a leader in international commerce. Such master plan shall17
include projects that are consistent with objectives of this Chapter. Such18
master plan shall not include any toll road projects located in the parishes of19
East Baton Rouge or Livingston.20
(b) The board, in accordance with the procedures set forth in this21
Chapter, including legislative approval, shall review, revise, and amend the22
master plan when necessary or, at a minimum, every year.23
(2) The annual report, at a minimum, shall include the following24
information:25
(a) Status of the office.26
(b) All projects approved by the board, including the priority and status27
of each project.28
(c) Project proposals submitted to the board for inclusion in the master29
plan and the timeline for such proposals.30 SB NO. 723 ENROLLED
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(d) Benchmarks to be used as measurement of the progress of the office.1
(e) Details as to the status of benchmarks defined in earlier reports,2
future planning efforts, and the status of other major elements detailed in the3
master plan.4
(f) A list of office staff and each person's responsibilities and a financial5
report of the recommended budget, provided in R.S. 51:3115(B)(16).6
B.(1)(a) Except as specified in Paragraph (4) of this Subsection, only7
projects included in the master plan shall be eligible for assistance, financial,8
technical, or otherwise, from the office or department. However, nothing in this9
Subparagraph shall prohibit any party from receiving funding for projects10
directly through the legislative process set forth in this Subsection, provided11
such project proposal was first submitted to the board for evaluation and12
inclusion in the master plan.13
(b) Any person or entity may submit a project proposal to the board for14
consideration to be included in the master plan. The board shall promptly15
consider the project and shall approve such projects for inclusion in the master16
plan only if they are consistent with the comprehensive strategy of the master17
plan. Every project submitted to the board shall include a return on investment18
analysis in a form acceptable to the department. The board shall place19
emphasis on the results of the return on investment analysis when determining20
whether to approve the project.21
(c) If, after consideration, the board approves the project, the board22
shall notify the person or entity of such approval and shall assist such person or23
entity as provided by this Chapter.24
(d) If, after consideration, the project is not approved by the board, the25
board shall notify the person or entity in writing of its decision. In addition, the26
board shall submit a written evaluation, including the return on investment27
analysis, of such project to the secretary of the Department of Transportation28
and Development, the House Committee on Appropriations, the Senate29
Committee on Finance, and the division of administration. Nothing in this30 SB NO. 723 ENROLLED
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Subparagraph shall be construed to prohibit any person or entity from1
resubmitting a project proposal for consideration by the board.2
(2) Nothing in this Chapter shall preclude or restrict any of the3
organizations, entities, or persons provided in R.S. 51:3115(B)(2) or any private4
or nongovernmental party from independently developing and executing5
projects that are not approved by the board. Such projects shall comply with6
all applicable laws, rules, and regulations but shall not be eligible to receive the7
assistance of the office or the department, except as provided in Paragraph (3)8
of this Subsection.9
(3) Any of the organizations, entities, or persons provided in R.S.10
51:3115(B)(2) or any private or nongovernmental party may apply for funding11
for nonapproved projects in accordance with all applicable laws and12
procedures. The legislature shall be provided the evaluation submitted by the13
board in accordance with Subparagraph (1)(d) of this Subsection when14
determining whether to fund such project or provide legislative incentives of15
any kind for the project or to the organization, entity, or person proposing such16
project.17
(4) The department may identify, plan, and develop projects including18
those relating to international commerce without submitting them to the board19
for approval as being consistent with the master plan. Such projects may be20
developed by the department independent of the board.21
C.(1)(a) The master plan shall be submitted to the House Committee on22
Commerce and the Senate Committee on Commerce, Consumer Protection and23
International Affairs, meeting jointly, and the House Committee on24
Transportation, Highways, and Public Works and the Senate Committee on25
Transportation, Highways, and Public Works, meeting jointly, for approval on26
or before March first of each calendar year.27
(b) If either joint committee disapproves the master plan, it shall send28
the master plan back to the board together with a brief summary of the reasons29
for disapproval and may make recommendations concerning changes it deems30 SB NO. 723 ENROLLED
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necessary or appropriate to remedy any deficiencies in the plan.1
(c) After approval of the committees, the legislature may approve or2
disapprove the master plan by resolution adopted by a majority vote of the3
members of each house of the legislature. If the legislature disapproves the4
master plan, it shall include in the resolution a brief summary of the reasons for5
disapproval and may make recommendations concerning any changes it deems6
necessary or appropriate to remedy any deficiencies in the master plan.7
(d) If the legislature approves the master plan, or if the legislature fails8
to take action on the master plan during the regular legislative session, the9
board shall implement the plan as submitted.10
(e) At any time subsequent to the adoption or implementation of the11
master plan in accordance with the procedure set forth in this Chapter, the12
board may amend or supplement the plan or add or delete projects. No project13
shall be added or deleted unless and until the amendment to the master plan is14
approved as provided by this Subsection. However, if such project is added or15
deleted while the legislature is not in session, the board shall submit the addition16
or deletion to the master plan to the Joint Legislative Committee on the Budget17
for approval.18
(2) Annual reports shall be submitted to the House Committee on19
Commerce, the Senate Committee on Commerce, Consumer Protection and20
International Affairs, the House Committee on Transportation, Highways, and21
Public Works and the Senate Committee on Transportation, Highways, and22
Public Works on or before March first of each calendar year.23
§3118. Exceptions24
A. Notwithstanding any provision of law to the contrary, nothing in this25
Chapter shall be construed to affect the Port Construction and Development26
Priority Program, R.S. 34:3451 et seq.27
B. Notwithstanding any provision of law to the contrary, nothing in this28
Chapter shall be construed to affect the Airport Construction and Development29
Priority Program, R.S. 2:801 et seq.30 SB NO. 723 ENROLLED
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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.
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: