HLS 14RS-863 ORIGINAL
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2014
HOUSE BILL NO. 821
BY REPRESENTATIVE PIERRE
ENERGY/ALTERNATE: Provides relative to sustainable energy financing districts
AN ACT1
To amend and reenact R.S. 33:130.812(C)(1)(introductory paragraph) and (3), relative to2
liens of sustainable energy financing districts; to provide relative to the ranking of3
liens of sustainable energy financing districts; and to provide for related matters.4
Be it enacted by the Legislature of Louisiana:5
Section 1. R.S. 33:130.812(C)(1)(introductory paragraph) and (3) are hereby6
amended and reenacted to read as follows:7
§130.812. Financing for projects8
* * *9
C.(1) The amount of the loan including interest rates and administrative fees10
shall be assessed against the immovable property upon which the improvements are11
placed and shall be collected in the same manner as is provided for the ad valorem12
taxes assessed on the property by the local governmental subdivision creating the13
district. In order to secure repayment of loans, upon entering into a program loan14
with a borrower, the local government subdivision creating a district shall file a15
statement of lien with the recorder of mortgages for the parish in which the property16
is located. The lien or privilege shall be for the full amount of the program loan and17
shall take effect against third persons upon filing the statement of lien with the18
appropriate recorder of mortgages for the parish where the property is located. The19
lien shall rank equivalent to that of ad valorem taxes or local assessments and liens20 HLS 14RS-863 ORIGINAL
HB NO. 821
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are additions.
and privileges as provided in La. R.S. 9:4821(1) be subordinate to all liens in1
existence at the time the lien for the assessment is filed or a first mortgage on the2
property recorded after such filing, but shall be superior to any other lien on the3
property recorded after such filing. The statement of lien shall contain the following:4
* * *5
(3) Upon failure of the property owner to pay the current year’s assessment6
when due, the local governmental subdivision and district shall have the right to7
enforce the lien and privilege to recover and collect the current year's payment or8
assessment along with any prior year's payment or assessment remaining delinquent.9
The lien and privilege shall have the same ranking as an ad valorem tax lien on10
immovable property as provided in R.S. 9:4821(1), and A lien placed on a property11
pursuant to this Subpart shall be subordinate to all liens in existence at the time the12
lien for the assessment is filed or a first mortgage on the property recorded after such13
filing, but shall be superior to any other lien on the property recorded after such14
filing. The lien may be enforced and collected by ordinary civil proceeding in15
accordance with Code of Civil Procedure Articles 851 et seq. or by executory16
process if the loan documentation contains a confession of judgment or by any other17
applicable state law to enforce and collect the amount due as a property tax lien18
assessed against the property in any manner fixed for collection of taxes subject to19
the same civil penalties for delinquencies, together with attorneys' fees and costs20
incurred in notification to the owner and the enforcement and collection of the21
amounts owed.22
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HB NO. 821
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
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))