ENROLLED
ACT No. 361
2015 Regular Session
HOUSE BILL NO. 773
BY REPRESENTATIVE LEGER
1 AN ACT
2 To amend and reenact R.S. 36:104(B)(7), R.S. 47:6007(D)(2)(b) and (4),
3 6015(B)(3)(introductory paragraph), 6034(E)(2)(a)(i)(aa) and (iii)(aa), and R.S.
4 51:2317, to enact R.S. 36:104(C) and (D), and to repeal R.S. 51:936.2, relative to
5 fees assessed by the secretary of the Department of Economic Development; to
6 provide a uniform authorized fee schedule for economic development incentive and
7 financial assistance programs; to provide for the recovery of costs associated with
8 certain administrative functions; to provide for establishment and collection of
9 authorized fees and costs; to authorize the promulgation of rules and regulations; to
10 provide for certain limitations; to provide for disposition of fees; to provide for an
11 effective date; and to provide for related matters.
12 Be it enacted by the Legislature of Louisiana:
13 Section 1. R.S. 36:104(B)(7) is hereby amended and reenacted and R.S. 36:104(C)
14 and (D) are hereby enacted to read as follows:
15 §104. Powers and duties of the secretary of economic development
16 * * *
17 B. The secretary shall have the authority to:
18 * * *
19 (7) Establish and collect fees and recover costs from any person applying for
20 financial incentives or assistance granted by the department, not exceeding the
21 amounts provided for in Subsection C of this Section. The amount of the fees shall
22 be established in rules promulgated in accordance with the Administrative Procedure
23 Act. The rules may also include provisions for the reduction or waiver of fees and
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1 advance deposit for costs. All fees shall be nonrefundable unless otherwise provided
2 for by rules. The fees shall be established and collected as provided in R.S. 51:936.2
3 and in accordance with procedures adopted in accordance with the provisions of the
4 Administrative Procedure Act.
5 * * *
6 C. The amount of fees and costs shall not exceed the following:
7 (1) The fee for an advance notification shall not exceed two hundred fifty
8 dollars.
9 (2) The fee for filing an application shall be equal to one-half of one percent
10 of the amount of the incentives or exempted taxes. However, the minimum amount
11 shall be five hundred dollars and the maximum amount of the fee shall be fifteen
12 thousand dollars.
13 (3) The fee for a loan guaranty shall not exceed four percent of the
14 guaranteed loan amount.
15 (4) The fee for an affidavit of final cost or project completion report,
16 regardless of whether it is the original report or an amended report, shall not exceed
17 two hundred fifty dollars.
18 (5) The fee for an annual certification report, including but not limited to
19 compliance reports, employee reports, and payroll reports shall not exceed two
20 hundred fifty dollars.
21 (6) The fee for a contract amendment, including but not limited to a transfer
22 or name change shall not exceed two hundred fifty dollars.
23 (7) The fee for a contract renewal shall not exceed two hundred fifty dollars.
24 (8) The fee for a statutorily required verification report, including but not
25 limited to an expenditure verification by a certified public accountant or tax attorney,
26 audits, attestations, tax opinions, or other reports under agreed-upon procedures shall
27 not exceed the actual cost to the department based on hours expended at a rate not
28 to exceed two hundred fifty dollars an hour for department-contracted services or
29 salary and benefits for department employee services.
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1 D. Fees collected pursuant to Subsection C of the Section shall be used
2 solely for costs associated with the administration of department programs.
3 Section 2. R.S. 47:6007(D)(2)(b) and (4), 6015(B)(3)(introductory paragraph), and
4 6034(E)(2)(a)(i)(aa) and (iii)(aa) are hereby amended and reenacted to read as follows:
5 §6007. Motion picture investor tax credit
6 * * *
7 D. Certification and administration.
8 * * *
9 (2)
10 * * *
11 (b) If the application is incomplete, additional information may be requested
12 prior to further action by the office or the secretary of the Department of Economic
13 Development. An application fee shall be submitted with the application based on
14 the following:
15 (i) Two-tenths of one percent times the estimated total incentive tax credits.
16 (ii) The minimum application fee is two hundred dollars, and the maximum
17 application fee is five thousand dollars. in accordance with R.S. 36:104.
18 * * *
19 (4)(i) Any taxpayer applying for the credit shall be required to reimburse the
20 office for any audits required in relation to granting the credit.
21 (ii)(aa) The production application fee provided for in Subparagraph (2)(b)
22 of this Subsection received by the office shall be deposited upon receipt in the state
23 treasury. After compliance with the requirements of Article VII, Section 9(B) of the
24 Constitution of Louisiana relative to the Bond Security and Redemption Fund and
25 prior to any money being placed into the general fund or any other fund, an amount
26 equal to that deposited as required by this Item shall be credited by the treasurer to
27 a special fund hereby created in the state treasury to be known as the Entertainment
28 Promotion and Marketing Fund. The money in the fund shall be appropriated by the
29 legislature to be used solely for promotion and marketing of Louisiana's
30 entertainment industry.
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1 (bb) The money in the fund shall be invested by the treasurer in the same
2 manner as money in the state general fund and interest earned on the investment of
3 the money shall be credited to the fund after compliance with the requirements of
4 Article VII, Section 9(B) of the Constitution of Louisiana relative to the Bond
5 Security and Redemption Fund. All unexpended and unencumbered money in the
6 fund at the end of the year shall remain in the fund.
7 * * *
8 §6015. Research and development tax credit
9 * * *
10 B.
11 * * *
12 (3) Each taxpayer seeking the credits authorized in this Section shall apply
13 to the Department of Economic Development for the credits. The taxpayer shall
14 remit an application fee of two hundred fifty dollars with the application in
15 accordance with R.S. 36:104. The application shall include all of the following:
16 * * *
17 §6034. Musical and theatrical production income tax credit
18 * * *
19 E. Certification and administration:
20 * * *
21 (2)(a) Application. An applicant for the tax credit shall submit an
22 application for initial certification to the Department of Economic Development that
23 includes the following information:
24 (i) The application for state-certified productions shall include:
25 (aa) An application fee received by the Department of Economic
26 Development based on the following: in an amount set in accordance with R.S.
27 36:104.
28 (I) Two-tenths of one percent times the estimated total incentive tax credits.
29 (II) The minimum application fee shall not be less than two hundred dollars,
30 and the maximum application fee shall not be more than five thousand dollars.
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1 (III) The application fee shall be deposited upon receipt in the state treasury.
2 After compliance with the requirements of Article VII, Section 9(B) of the
3 Constitution of Louisiana relative to the Bond Security and Redemption Fund and
4 prior to any money being placed into the general fund or any other fund, an amount
5 equal to that deposited as required by this Item shall be credited by the treasurer to
6 a special fund which is hereby created in the state treasury to be known as the
7 Entertainment Promotion and Marketing Fund.
8 (IV) The money in the fund shall be appropriated by the legislature to be
9 used solely for promotion and marketing of Louisiana's entertainment industry. The
10 money in the fund shall be invested by the treasurer in the same manner as money
11 in the state general fund and interest earned on the investment of the money shall be
12 credited to the fund after compliance with the requirements of Article VII, Section
13 9(B) of the Constitution of Louisiana relative to the Bond Security and Redemption
14 Fund. All unexpended and unencumbered money in the fund at the end of the year
15 shall remain in the fund.
16 * * *
17 (iii) The application for state-certified musical or theatrical facility
18 infrastructure projects shall include:
19 (aa) An application fee received by the Department of Economic
20 Development based on the following: in an amount set in accordance with R.S.
21 36:104.
22 (I) Two-tenths of one percent times the estimated total incentive tax credits.
23 (II) The minimum application fee shall not be less than two hundred dollars,
24 and the maximum application fee shall not be more than five thousand dollars.
25 (III) The application fee shall be deposited upon receipt in the state treasury.
26 After compliance with the requirements of Article VII, Section 9(B) of the
27 Constitution of Louisiana relative to the Bond Security and Redemption Fund and
28 prior to any money being placed into the general fund or any other fund, an amount
29 equal to that deposited as required by this Item shall be credited by the treasurer to
30 a special fund known as the Entertainment Promotion and Marketing Fund.
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1 (IV) The money in the fund shall be appropriated by the legislature to be
2 used solely for promotion and marketing of Louisiana's entertainment industry. The
3 money in the fund shall be invested by the treasurer in the same manner as money
4 in the state general fund and interest earned on the investment of the money shall be
5 credited to the fund after compliance with the requirements of Article VII, Section
6 9(B) of the Constitution of Louisiana relative to the Bond Security and Redemption
7 Fund. All unexpended and unencumbered money in the fund at the end of the year
8 shall remain in the fund.
9 * * *
10 Section 3. R.S. 51:2317 is hereby amended and reenacted to read as follows:
11 §2317. Application fees and origination fees
12 A. The corporation, through the secretary, may charge application fees and
13 other fees as necessary to cover costs associated with administering its programs in
14 a manner consistent with the financial and economic benefits and risks of the
15 programs to the state. Adoption of such charges shall be published in the Louisiana
16 Register in conformance with the provisions of the Administrative Procedure Act.
17 B. The fees authorized by this Section shall not exceed the following
18 amounts for the programs listed below:
19 (1) Small business loan program:
20 (a) Application fee $100.00
21 (b) Guaranty fee 4 percent of the guaranty amount
22 (2) Micro loan program:
23 (a) Application fee $100.00
24 (b) Guaranty fee 4 percent of the guaranty amount
25 (3) Contract loan program:
26 (a) Application fee $ 100.00
27 (b) Guaranty fee 4 percent of the guaranty amount
28 (4) Small business bonding assistance program:
29 (a) Application fee $ 100.00
30 (b) Guaranty fee 2 percent of the guaranty amount
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1 Section 4. R.S. 51:936.2 is hereby repealed in its entirety.
2 Section 5. This Act shall become effective on July 1, 2015.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
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