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)]
Pierre HB No. 821
Abstract: Provides for the ranking of a lien filed by a sustainable energy financing district.
Present law authorizes a parish or municipality to create a special district to be known as a
sustainable financing district. Provides that the governing authority of the local parish or
municipality shall be the governing authority for any such district.
Proposed law retains present law.
Present law provides that the parish or municipality creating the district may incur debt for the
purpose of providing funds to make loans provided for in the present law.
Proposed law retains present law.
Present law provides that the owner of property within the district may request financing in the
form of a loan from the district to cover the costs of energy efficiency improvements.
Proposed law retains present law.
Present law requires the parish or municipality to file a statement of lien with the recorder of
mortgages for the parish in which the property is located for the full amount of the program loan
which takes effect against third persons upon the filing of the statement of the lien.
Proposed law retains present law.
Present law provides that the lien filed by a parish or municipality pursuant to present law shall
rank equivalent to that of ad valorem taxes or local assessments and liens and privileges as
provided in existing law (R.S. 9:4821(1)).
Proposed law provides that the lien filed by a parish or municipality pursuant to present law shall
rank subordinate to all liens in existence at the time the lien for the assessment is filed or a first
mortgage on the property recorded after such filing, but shall be superior to any other lien on the
property recorded after such filing.
Present law provides that the lien and privilege has the same ranking as an ad valorem tax lien on
immovable property. Provides that the lien and privilege may be enforced and collected by
ordinary civil proceedings or as any ordinary property tax lien assessed against the property. Proposed law provides that the lien filed by a parish or municipality pursuant to present law is
subordinate to all liens in existence at the time the lien for the assessment is filed or a first
mortgage on the property recorded after such filing, but shall be superior to any other lien on the
property recorded after such filing.
(Amends R.S. 33:130.812(C)(1)(intro. para.) and (3))