HLS 14RS-177 ORIGINAL Page 1 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Regular Session, 2014 HOUSE BILL NO. 311 BY REPRESENTATIVE ST. GERMAIN PUBLIC LANDS/STATE: Removes lands located in the Atchafalaya Basin from certain state lease requirements AN ACT1 To amend and reenact R.S. 41:1217(A), relative to the lease of state lands; to exempt leases2 on lands located between the guide levees of the Atchafalaya Basin from the lease3 extension requirement that the lessee construct improvements; to provide for the4 extension of such leases; and to provide for related matters.5 Be it enacted by the Legislature of Louisiana:6 Section 1. R.S. 41:1217(A) is hereby amended and reenacted to read as follows:7 ยง1217. Term and rental; port authorities excepted8 A.(1) All leases Any lease executed under the provisions of this Part shall9 be for a period not exceeding ten years and shall provide for consideration to be paid10 as a cash rental of not less than one dollar per acre, which shall be payable in cash11 annually and in advance, or if the land is leased for agricultural purposes of planting,12 growing, cultivating, and harvesting any agricultural crop, the consideration shall be13 so paid in cash or on a share basis at the option of the lessor.14 (2) Leases Except for a lease on state land located between the guide levees15 of the Atchafalaya Basin, a lease granted under this Section may be extended as16 follows:17 (1) (a) Any person who leases such land and who adds or contracts for18 permanent improvements to be constructed or placed on or made to the land in the19 amount of not less than two thousand dollars nor more than ten thousand dollars20 HLS 14RS-177 ORIGINAL HB NO. 311 Page 2 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. upon written notification to the lessor and upon a proper showing that such1 improvements have in fact been made or contracted for may lease such lands for an2 additional period of not more than ten years, with the payment of rentals therefor to3 be made as hereinabove stated provided in this Section.4 (2)(a) (b)(i) Any person who leases such land and who within the original or5 any additional term of the lease adds or contracts permanent improvements to be6 constructed, placed, or made upon the land in the amount of ten thousand dollars or7 more, upon written notification to the lessor and upon a proper showing that such8 improvements have in fact been made or contracted for, may, at the discretion of the9 lessor, lease such land for an additional ten-year period or any part thereof for each10 ten thousand dollars worth of improvements or additions made or contracted onto the11 land not to exceed a maximum term of twenty additional years from the end of the12 then current lease period.13 (b) (ii) When the value of the improvements to be constructed, placed, or14 made upon the land exceeds one hundred fifty thousand dollars, or where the lessee15 agrees to prepay the last two annual rental payments of the lease plus a cash bonus16 in an amount equal to the current year's lease rental or the sum of fifty thousand17 dollars, whichever be the greater, the lease may be extended for thirty additional18 years from the end of the then current lease period.19 (c) (iii) When the lease has been extended to forty years under this Paragraph,20 the lessee shall be allowed to extend the lease for additional ten-year periods as long21 as the qualifying permanent improvements remain intact, or, in the event of fire,22 storm, or other acts of God, are reconstructed by the end of the ten-year term in the23 event of fire, storm, or other acts of God, and as long as the lessee continues to meet24 all other conditions of the lease.25 (3) (c) Any lessee who makes improvements onto the land leased shall be26 allowed a period of at least ninety days to remove such improvements after the27 termination of his lease.28 (3) Any lease on state land located between the guide levees of the29 Atchafalaya Basin may, at the discretion of the lessor, be extended for additional ten-30 HLS 14RS-177 ORIGINAL HB NO. 311 Page 3 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. year periods without the lessee being required to add or contract for permanent1 improvements to be constructed or placed on or made to the land.2 * * *3 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)] St. Germain HB No. 311 Abstract: Exempts state land located in the Atchafalaya Basin from certain requirements contained in state leases in order to qualify for lease extensions. Present law, applicable to leases for state lands, authorizes an original lease of no more than 10 years with 10-year extensions authorized based on certain levels of improvements made to the property by the lessee. Proposed law allows state leases on state land located within the Atchafalaya Basin to be extended for 10-year periods without the necessity on the lessee making improvements. (Amends R.S. 41:1217(A))