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Regular Session, 2014
HOUSE BILL NO. 1229
BY REPRESENTATIVE LEGER
FUNDS/FUNDING: Establishes the Louisiana Sporting, Special Events, and Major
Conventions Fund as a special treasury fund
AN ACT1
To enact R.S. 39:100.126(D) and Subpart S of Part II-A of Chapter 1 of Subtitle I of Title2
39 of the Louisiana Revised Statutes of 1950, to be comprised of R.S. 39:100.137,3
relative to special funds; to create the Louisiana Sporting, Special Events, and Major4
Conventions Fund as a special treasury fund; to provide for the deposit, use, and5
investment of the monies in the fund; to authorize the promulgation of certain rules6
and regulations; provide for the review and approval of such rules; and to provide7
for related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 39:100.126(D) and Subpart S of Part II-A of Chapter 1 of Subtitle I10
of Title 39 of the Louisiana Revised Statutes of 1950, comprised of R.S. 39:100.137, are11
hereby enacted to read as follows: 12
§100.126. Major Events Fund13
* * *14
D. The provisions of this Section shall not apply to any sporting, special15
event, or convention hosted by the state of Louisiana which applies for and receives16
monies from the Louisiana Sporting, Special Events, and Major Conventions Fund17
pursuant to the provisions of R.S. 39:100.137.18
* * *19 HLS 14RS-1507 ORIGINAL
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SUBPART S. LOUISIANA SPORTING, SPECIAL EVENTS, AND1
MAJOR CONVENTIONS FUND2
§100.137. Louisiana Sporting, Special Events, and Major Conventions Fund3
A. The purpose of this Section is to establish a mechanism to fund4
participation by the state of Louisiana and its non-profit corporations, local5
organizing committees, local host committees, stadiums, venues and convention6
facilities in seeking and winning bids to host sport championships, special events,7
and major conventions in national and international competitions. This Section seeks8
to establish a mechanism whereby a portion of the incremental state tax revenues9
generated as a result of winning and hosting such events can be reinvested in funding10
the costs of competing for and hosting future sport championships, special events,11
and major conventions without impairing the state general fund. The goal is to12
create a mechanism to foster the cycling of a portion of incremental net state tax13
revenues generated from hosting sport championships, special events, and major14
conventions into winning additional events, which will ultimately create significant15
economic gain by growing state tax revenues and the state's large private special16
event industry without annual state general fund line item appropriations.17
B.(1) There is hereby established as a special fund in the state treasury, the18
"Louisiana Sporting, Special Events, and Major Conventions Fund", hereinafter19
referred to as "the fund", which shall consist of a share of incrementally gained state20
tax revenues generated as a result of a qualified sporting, special event, or major21
convention hosted or contracted for at a Louisiana site by a non-profit corporation,22
local organizing committee, or by a sporting, stadium, arena, competition area,23
assembly, or convention facility or its official managing entity when such facility is24
largely built, financed, or owned by the state of Louisiana or any political25
subdivision of the state. After compliance with the requirements of Article VII.26
Section 9(B) of this constitution relative to the Bond Security and Redemption Fund,27
the treasurer shall deposit all defined incremental state tax revenue generated as a28
result of a qualified major event into the fund. The monies in the fund shall be29 HLS 14RS-1507 ORIGINAL
HB NO. 1229
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invested by the state treasurer in the same manner as monies in the state general1
fund. All interest earned from the investment of monies in the fund shall be2
deposited into and remain in the fund. All unexpended and unencumbered monies3
remaining in the fund at the close of each fiscal year shall remain in the fund.4
(2) Monies in the fund shall be used exclusively to fund the costs associated5
with applying for, bidding on, meeting the financial requirements of proffering6
essential incentives for, meeting necessary related guarantees and operating funding7
for, and meeting hosting requirements for the selection of a site in Louisiana as the8
site for a qualified sporting, special, or major convention event, and all costs9
associated with actually conducting and managing the qualified event in Louisiana.10
C.(1) The secretary of the Department of Economic Development shall11
promulgate rules and regulations in accordance with the Administrative Procedure12
Act to implement the provisions of this Section, including but not limited to rules13
defining the types of non-profit organizations, local organizing committees, host14
committees, and facilities eligible to utilize state tax revenues deposited into the15
fund, establish the process for applying for use of such funds, as well as establish16
guidelines governing all sporting events, special events, and major conventions17
eligible for funding from the fund.18
(2) The state treasurer shall promulgate rules and regulations in accordance19
with the Administrative Procedure Act to establish the independent mechanisms,20
criteria, formulas, and economic evaluations necessary to establish the level of21
incremental state tax benefits generated as a result of a particular sporting event,22
special event, or major convention that shall be used in determining the amount of23
incremental state tax proceeds to be deposited into the fund.24
(3) Rules and regulations promulgated pursuant to the provisions of this25
Subsection shall be subject to review and approval by the Joint Legislative26
Committee on the Budget.27 HLS 14RS-1507 ORIGINAL
HB NO. 1229
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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. 1229
Abstract: Establishes the "Louisiana Sporting, Special Events, and Major Conventions
Fund" as a special treasury fund to fund certain costs associated with bidding for and
hosting qualified sporting, special event, or major conventions in Louisiana.
Present law provides for the establishment to the "Major Event Fund" as a special fund in
the state treasury to provide funding for entities within the state for the costs associated with
attracting, hosting, and staging major events of area-wide, statewide, regional, national, or
international prominence. Such funding requires prior approval of the Joint Legislative
Committee on the Budget (JLCB).
Proposed law retains present law but exempts any sporting, special event, or convention
hosted by the state of Louisiana which applies for and receives monies from the Louisiana
Sporting, Special Events, and Major Conventions Fund.
Proposed law establishes the "Louisiana Sporting, Special Events, and Major Conventions
Fund", hereinafter referred to as "the fund", as a special treasury fund which for deposit of
a share of incrementally gained state tax revenues generated as a result of the state hosting
qualified sporting, special event, and major conventions. Requires the treasurer to deposit
all defined incremental state tax revenue generated as a result of a qualified major event into
the fund.
Proposed law requires the monies in the fund to be invested by the state treasurer in the same
manner as monies in the state general fund. Further requires all interest earned from the
investment of monies in the fund to be deposited into and remain in the fund.
Proposed law provides that monies in the fund shall be used exclusively to fund the costs
associated with applying for, bidding on, meeting the financial requirements of proffering
essential incentives for, meeting necessary related guarantees and operating funding for and
meeting hosting requirements for the selection of a site in Louisiana as the site for a
qualified sporting, special, or major convention event, and all costs associated with actually
conducting and managing the qualified event.
Proposed law requires secretary of the Dept. of Economic Development to promulgate rules
and regulations in accordance with the APA to define the types of non-profit organizations,
local organizing committees, host committees, and facilities eligible to utilize state tax
revenues deposited into the fund, establish the process for applying for use of such funds,
as well as establish guidelines governing all sporting events, special events, and major
conventions eligible for funding.
Proposed law requires the state treasurer to promulgate rules and regulations in accordance
with the APA to establish the independent mechanisms, criteria, formulas and economic
evaluations necessary to establish the level of incremental state tax benefits generated as a
result of a particular sporting event, special event, or major convention that shall be used in
determining the amount of incremental state tax proceeds to be deposited into the fund.
Proposed law requires all rules and regulations promulgated pursuant to proposed law be
subject to review and approval by JLCB.
(Adds R.S. 39:100.126(D) and 100.137)