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)]
HB 135 Original 2015 Regular Session Gisclair
Abstract: Establishes the LA 1 Strategic Economic Zone in Lafourche Parish in the vicinity of Port
Fourchon for purposes of economic development and land loss mitigation activities adjacent
to LA Highway 1, and also establishes a state income and corporation franchise tax credit for
land loss mitigation projects within the zone.
Proposed law establishes the LA 1 Strategic Economic Zone, hereinafter "zone", to put in effect the
state's commitment to the rebuilding of LA 1 roadways and bridges and preservation and
improvement of its surrounding areas. The zone is comprised of all lands and water bottoms located
within the geographic area which is adjacent to LA 1 between the South Lafourche Levee District
ring levee and LA Highway 3090.
Proposed law provides that state economic development efforts within the zone shall be focused on
expanding the economic potential for the area which can be derived from increased offshore drilling
operations, foreign trade, and tourism. Further, the geophysical integrity of lands within the zone
is necessary to ensure a continuous free flow of traffic over LA 1.
Proposed law establishes a tax credit against any La. income or corporation franchise tax for eligible
land loss mitigation projects within the zone. The amount of the credit shall be equal to 30 % of the
cost of the project completed in the tax year. The credit shall be taken in the taxable period in which
the project is completed, and any unused credit may be carried forward for a period of five years.
Proposed law provides definitions for various terms for purposes of the tax credit, including the
definition of "eligible improvement project" as land loss mitigation projects involving construction
of bulkheads and fill in areas.
Proposed law authorizes the promulgation of rules in accordance with the Dept. of Natural Resources
and the Dept. of Revenue for purposes of implementation of proposed law.
Proposed law is applicable for taxable periods beginning on or after Jan. 1, 2015.
(Adds R.S. 47:6361 and 6362)