Louisiana 2014 Regular Session

Louisiana House Bill HB582 Latest Draft

Bill / Chaptered Version

                            ENROLLED
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ACT No. 247
Regular Session, 2014
HOUSE BILL NO. 582
BY REPRESENTATIVE JONES
AN ACT1
To enact R.S. 33:2740.32, relative to the city of Morgan City; to create the Morgan City2
Development District; to provide for the governing authority thereof; to provide for3
its powers and duties; to provide relative to the levy and collection of taxes by the4
governing authority of the district; to provide relative to bonds and other5
indebtedness of the district; and to provide for related matters.6
Notice of intention to introduce this Act has been published7
as provided by Article III, Section 13 of the Constitution of8
Louisiana.9
Be it enacted by the Legislature of Louisiana:10
Section 1.  R.S. 33:2740.32 is hereby enacted to read as follows:11
ยง2740.32.  Morgan City Development District12
A. There is hereby created a body politic and corporate which shall exist in13
perpetuity and be known as Morgan City Development District, hereafter in this14
Section referred to as the "district". The district shall be composed of all of the15
territory located within the city of Morgan City, as now incorporated or hereafter16
annexed or as acquired by the city of Morgan City. The district shall be a political17
subdivision of the state as defined in the Constitution of Louisiana.  The district,18
acting through its board of commissioners as the governing authority of the district,19
is hereby granted all of the rights, powers, privileges, and immunities accorded by20
laws and the Constitution of Louisiana to political subdivisions of the state, including21
but not limited to the power to incur debt and issue revenue and general obligation22
bonds, to issue certificates of indebtedness, to issue bonds and certificate anticipation23
notes, to issue refunding bonds, and the power of taxation, subject to the limitations24
hereinafter provided.25 ENROLLEDHB NO. 582
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B.  The district is created for the objectives and purposes of:1
(1) Accepting title from or contracting with the city of Morgan City2
concerning any or all immovable and movable property and improvements owned3
or acquired by the city of Morgan City.4
(2) Acquiring land, immovable and movable property, and improvements5
from any other sources, entities, or persons.6
(3) Utilizing any land, immovable and movable property, and improvements7
to enhance economic benefits generated in the city of Morgan City through8
diversified activities, including but not limited to:9
(a) Planning land use and development to foster creation of new jobs,10
economic development, industry, health care, commerce, manufacturing, tourism,11
relocation of people and businesses to the area, shipbuilding, aviation, military,12
warehousing, transportation, offices, recreation, housing development, conservation,13
residential development, and subdivision development.14
(b) Constructing, operating, and maintaining facilities, improvements, and15
infrastructure, including buildings, roads, bridges, drainage, and utilities.16
(c) Planning, developing, building, constructing, operating, regulating,17
maintaining, selling, and transferring any residential or subdivision land, real and18
personal property, and improvements.19
C.(1) The district shall be governed by a board of commissioners, hereafter20
in this Section referred to as the "board", consisting of five members appointed by21
the mayor of the city of Morgan City and confirmed by the city council.22
(2) Each member appointed to the board shall be a citizen of the United23
States, a domiciliary of and a qualified voter in the city of Morgan City for at least24
one year preceding the date of appointment, and shall remain a domiciliary of and25
a qualified voter in the city of Morgan City during the entirety of the term of office.26
(3) The term of office of members of the board shall be four years.  All27
initial appointees shall serve four-year terms.28 ENROLLEDHB NO. 582
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(4) Any member who misses fifty percent of the board's meetings, regular1
or special, in any calendar year shall be disqualified and removed automatically from2
office and his position shall be vacant as of the first day of the next calendar month.3
Such vacated position shall be filled by appointment of the mayor and confirmed by4
the city council for the balance of the vacated term.  The former member shall not5
be eligible for reappointment until expiration of the balance of the vacated term.6
(5) The mayor may remove any board member for any reason, including but7
not limited to failure to attend board meetings, subject to the approval of the other8
four board members. The removal process shall proceed to completion unless four9
board members object to the removal of the member by the second regular board10
meeting after the removal action was first initiated.11
(6) Any vacancy in the membership of the board occurring by reason of the12
expiration of the term of office, death, resignation, disqualification, or otherwise13
shall be filled by appointment of the mayor and confirmed by the city council within14
sixty days after receipt of written notification of the vacancy.  If the mayor and15
council fail to fill the vacancy within sixty days after receipt of written notification16
of the vacancy, the board shall appoint an interim successor to serve on the board17
until the position is filled by the mayor and council.18
(7)  Members of the board shall serve without compensation, shall have the19
power to organize and reorganize the executive, administrative, clerical, and other20
departments and forces of the district, and to fix the duties, powers, and21
compensation of all employees, agents, and consultants of the district.  The board22
may reimburse any member for expenses actually incurred with the authorization of23
the board in the performance of duties on behalf of the district.24
(8) The board shall elect yearly from its number, a chairman, vice chairman,25
secretary, and treasurer and shall establish their duties as may be regulated by rules26
adopted by the board.  The offices of secretary and treasurer may be held by the27
same person. The board shall meet in regular session once each month and also shall28
meet in special session as convened by the chairman or upon written notice of three29
members. A majority of the commission members, not including vacancies, shall30 ENROLLEDHB NO. 582
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constitute a quorum. All actions of the board shall be approved by the affirmative1
vote of a majority of the members present and voting; however, no action of the2
board shall be authorized on the following matters unless approved by a majority of3
the total board membership:4
(a) Adoption of bylaws and other rules and regulations for conduct of the5
district's business.6
(b)  Hiring or firing of the district's administrator.7
(c)  The incurring of funded, general, or bonded debt.8
(d)  Levy of taxes and call for any tax or other election.9
(e)  Adoption or amendment of the annual budget.10
(f)  Sale, lease, or alienation of real property or improvements.11
(9)  Vote by proxy is not permitted.  Any member may request a recorded12
vote on any resolution or action of the district.13
(10) The board shall cause minutes and a record to be kept of all its14
proceedings, and it shall select a newspaper of general circulation within its15
territorial jurisdiction as its official journal in which it shall publish its minutes and16
in which it shall publish all official notices as are required by law.17
(11) All meetings of the board shall be subject to state laws relative to open18
meetings including R.S. 42:14.19
D. The exercise by the board of the powers conferred shall be deemed and20
held to be an essential governmental function of the state.  As the exercise of the21
powers granted hereby will be in all respects for the benefit of the people of the state,22
for the increase of their commerce and prosperity, and for the improvement of their23
health and living conditions, the district shall not be required to pay any taxes,24
including but not limited to sales and use taxes, ad valorem, occupational licensing,25
income, or any other taxes of any kind or nature, or assessments upon any property26
acquired or used by the district under the provisions of this Section, or upon the27
income therefrom.  Any bonds, certificates, or other evidences of indebtedness issued28
by the district and the income therefrom shall be exempt from taxation by the state29
and by any parish, municipality, or other political subdivision of the state.  The30 ENROLLEDHB NO. 582
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district shall not be deemed to be a public utility and shall not be subject in any1
respect to the authority, control, regulation, or supervision of the Louisiana Public2
Service Commission.3
E. In addition to the powers and duties elsewhere granted in this Section, the4
board is hereby granted and shall have and may exercise all powers necessary or5
convenient for the carrying out of its objectives and purposes, including but not6
limited to the following:7
(1)  To sue and be sued, and as such, to stand in judgment.8
(2)  To adopt, use, and alter at will a corporate seal.9
(3) To acquire by gift, grant, purchase, or lease and to hold and use any10
property, immovable, movable, mixed, corporeal, or incorporeal, or any interest11
therein, necessary or desirable for carrying out the objects and purposes of the12
district.13
(4) To sell, transfer, or convey any property acquired by it, or any interest14
therein, at any time to accomplish the objects and purposes of the district subject to15
applicable law. Any such sale, transfer, or conveyance shall provide for a fair and16
equitable return of revenue to the district.17
(5) To lease or sublease all or any portion of any property for a term not18
exceeding ninety-nine years at a fixed or variable rental subject to applicable law.19
Any such lease entered into shall provide for a fair and equitable return of revenue20
to the district.21
(6)(a) To sell, lease for a term of up to ninety-nine years, exchange, or22
otherwise dispose of or transfer to or with other political corporations of this state23
or private persons at public or private sale any residential or subdivision land,24
property, improvements, or portions thereof, including immovable property, which25
is, in the opinion of the board of commissioners, appropriate to accomplish the26
objectives and purposes of the district.27 ENROLLEDHB NO. 582
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(b) Prior to any disposition or transfer of property pursuant to this Paragraph,1
a majority of the total board membership shall approve the disposition or transfer and2
fix the price and terms of the sale, lease, exchange, or other contract to be made with3
reference to the property.  Such disposition or transfer shall not require4
advertisement or public bids nor require any notice to be published in a newspaper5
or to be posted in any public place.6
(c) Any sale of industrial land shall be in accordance with laws providing for7
the disposition or transfer of such land.8
(7) To convey to the United States, the state, or to any political subdivision9
of the state any land, property, right-of-way, easement, servitude, or other thing of10
value that the district may own or acquire for use by said governmental entity to11
accomplish the objectives and purposes of the district.12
(8) To make and collect reasonable charges for the use of property of the13
district and for services rendered by the district and to regulate fees or rentals14
charged for use of privately owned facilities located on property owned or sold by15
the district when such facilities are offered for use by a public or by a private16
industrial, commercial, research, or other economic development entity or activity.17
(9) To enter into contracts to achieve the district's objectives and purposes,18
including but not limited to contracts for professional and other services and for the19
purchase, lease, acquisition, sale, construction, operation, maintenance, and20
improvements of land, public works, and facilities, as the district may deem21
necessary or convenient to accomplish the objectives and purposes of the district,22
subject to R.S. 38:2211 et seq.23
(10) To plan, develop, regulate, operate, and maintain activities and planned24
land uses to foster creation of new jobs, economic development, industry, health25
care, commerce, manufacturing, tourism, relocation of people and businesses to the26
area, shipbuilding, aviation, military, warehousing, transportation, offices, recreation,27
housing development, and conservation.28 ENROLLEDHB NO. 582
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(11) To acquire land and improvements by gift, grant, purchase, or lease to1
construct, operate, and maintain facilities, improvements, and infrastructure,2
including buildings, roads, bridges, drainage, and utilities, and to perform other3
functions and activities on property owned or leased by the district to accomplish the4
objectives and purposes of the district and to protect the public health and welfare.5
(12)  In its own name and behalf, to incur debt and issue general obligation6
bonds under the authority of and subject to the provisions of Article VI, Section 337
of the Constitution of Louisiana, and Subpart A of Part III of Chapter 4 of Subtitle8
II of Title 39 of the Louisiana Revised Statutes of 1950, for the establishment,9
operation, and maintenance of district property or to carry out the other public10
purposes of this Section, and to issue revenue bonds, borrow money, and issue11
certificates of indebtedness, notes, and other debt obligations as evidence thereof and12
provide for the manner and method of repayment.13
(13)  To require and issue licenses.14
(14) To levy annually and cause to be collected an ad valorem tax, provided15
that the amount, term, and purpose of said tax, as set out in a proposition submitted16
to a vote in accordance with the Louisiana Election Code, has been approved by a17
majority of the qualified electors voting in an election held for that purpose.18
(15)(a)  To levy and collect a sales and use tax within the boundaries of the19
district for such purposes and at such rate not exceeding one percent, as provided by20
the proposition authorizing its levy, which tax may exceed the limitation set forth in21
the Constitution of Louisiana, provided the proposition submitted to a vote in22
accordance with the Louisiana Election Code, has been approved by a majority of23
the qualified electors voting in an election held for that purpose.24
(b) The tax shall be levied upon the sale at retail, the use, the lease or rental,25
the consumption, the distribution, and storage for use or consumption of tangible26
personal property, and upon the sales of services within the district, all as presently27
defined in R.S. 47:301 et seq.28 ENROLLEDHB NO. 582
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(c)  Except where inapplicable, the procedure established by R.S. 47:301 et1
seq., shall be followed in the imposition, collection, and enforcement of the tax, and2
procedural details necessary to supplement those Sections and to make them3
applicable to the tax authorized by this Paragraph shall be fixed in the resolution4
imposing the tax.5
(d) The tax shall be imposed and collected uniformly throughout the district.6
(e) Any tax levied under this Paragraph shall be in addition to all other taxes7
which the parish or any other political subdivision within St. Mary and St. Martin8
parishes are now or hereafter authorized to levy and collect.9
(16) To develop, activate, construct, exchange, acquire, improve, repair,10
operate, maintain, lease, mortgage, sell, and grant a security device affecting the11
movable and immovable property, servitudes, facilities, and works within the district12
under such terms and conditions as the district may deem necessary or appropriate13
for any public purpose, including industrial, residential, subdivision, and commercial14
development.15
(17) After notice and public hearing to designate one or more project areas16
within the boundaries of the district, each of which designated project areas shall17
constitute a political subdivision of the state, governed by the board with the power18
to incur debt, issue certificates, issue revenue and general obligation bonds, as well19
as refunding bonds, and levy sales and use taxes within its boundaries, in the same20
manner and on the same conditions as the district is authorized to do within the21
boundaries of the district. Each designated area shall be given a name and22
designated as "Morgan City Development Subdistrict No. ___".23
(18) To borrow money and to pledge or grant a security device affecting all24
or part of its revenues, leases, rents, and other advantages as security for such loans.25
(19) To appoint officers, agents, and employees, prescribe their duties, and26
fix their compensation.27 ENROLLEDHB NO. 582
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F.(1) In addition to the authority granted by this Section or by other law, the1
district and any subdistrict of the district may issue revenue bonds to acquire,2
purchase, lease, construct, or improve housing, residential development, subdivision3
development, commercial, research, industrial, or other plant sites and buildings, or4
other capital improvements authorized in this Section, including energy and pollution5
abatement and control facilities and necessary property and appurtenances thereto;6
and may sell, lease, sublease, or otherwise dispose of by suitable and appropriate7
contract to any enterprise locating or existing within the jurisdiction of the district,8
or the respective subdistrict, such sites, buildings, or facilities and appurtenances9
thereto, all or severally.  The funds derived from the sale of such bonds may be10
disbursed in whole or in part upon delivery of the bonds as shall be provided in the11
contract between the district, or respective subdistrict, and the residential,12
commercial, research, industrial, or other enterprise to be aided, encouraged, or13
benefitted.14
(2) Bonds issued under this Section shall be authorized by resolution of the15
district, or respective subdistrict, and shall be limited obligations of the district or16
respective subdistrict, the principal of and interest on which shall be payable solely17
from the income and revenue derived from the sale, lease, or other disposition of the18
project or facility to be financed by the bonds or from the income and revenue19
derived from the sale, lease, or other disposition of any existing project or facility20
acquired, constructed, and improved under the provision of this Section; however,21
in the discretion of the district or respective subdistrict, the bonds may be22
additionally secured by mortgage or other security device covering all or part of the23
project from which the revenues so pledged may be derived.  Any refunding bonds24
issued pursuant to this Subsection shall be payable from any source described in this25
Paragraph or from the investment of any of the proceeds of the refunding bonds26
authorized under this Section and shall not constitute an indebtedness or pledge of27
the general credit of the district or respective subdistrict within the meaning of any28
constitutional or statutory limitation of indebtedness and shall contain a recital to that29
effect. Bonds of the district or respective subdistrict shall be issued in such form,30 ENROLLEDHB NO. 582
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shall be in such denominations, shall bear interest, shall mature in such manner, and1
be executed by one or more members of the board of the body as provided in the2
resolution authorizing the issuance thereof. Such bonds may be subject to3
redemption at the option of and in the manner determined by the board in the4
resolution authorizing the issuance thereof.5
(3) No bonds or other evidences of indebtedness may be issued under this6
Subsection without the prior approval of the State Bond Commission of the terms7
and provisions thereof.8
(4)  Bonds issued under this Subsection shall be issued, sold, and delivered9
in accordance with the terms and provisions of a resolution adopted by the board.10
The resolution shall be published in a newspaper of general circulation within the11
jurisdiction of the district or respective subdistrict, and for a period of thirty days12
after said publication, any interested citizen may bring an action to contest the bonds13
and the security therefor, as provided in the Constitution of Louisiana.  If, after the14
expiration of thirty days, no suit has been filed, the issuance, sale, and security of the15
bonds shall be incontestable, and no court shall have authority to entertain any action16
questioning or contesting such matters.17
(5) Bonds, certificates, or other evidences of indebtedness issued by the18
district or any subdistrict of the district under this Section are deemed to be securities19
of public entities within the meaning of Chapters 13 and 13-A of Title 39 of the20
Louisiana Revised Statutes of 1950, and shall be subject to defeasance in accordance21
with the provisions of Chapter 14 of Title 39 of the Louisiana Revised Statutes of22
1950, and may also be issued as short-term revenue notes of a public entity under23
Chapter 15-A of Title 39 of the Louisiana Revised Statutes of 1950.24
G. No bonds, other debt obligations, or contracts of the district shall be a25
charge upon the income, property, or revenue of the city of Morgan City; nor shall26
any obligations of the district be obligations of the city of Morgan City.27 ENROLLEDHB NO. 582
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H. The board shall be the appropriate governing body for all purposes1
provided in the Louisiana Enterprise Zone Act, R.S. 51:1781 et seq., within the area2
comprised of property owned and formerly owned by the district, and shall have the3
power to perform all acts specified by applicable laws and regulations to achieve such4
purpose.5
SPEAKER OF THE HOUSE OF REPRESENTATI VES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: