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 66 Original 2016 Second Extraordinary Session Jimmy Harris
Abstract: Provides with respect to state and local sales and use tax exemptions for the sale of
taxable services and tangible personal property at publicly owned domed stadiums and other
facilities.
Domed stadiums and baseball facilities
owned by the state or a political subdivision
Present law provides an exemption from state and local sales and use tax for sales at a:
(1)State-owned domed stadium with a seating capacity of at least 70,000.
(2)A domed stadium with a seating capacity of at least 12,500 and owned by a local political
subdivision.
(3)A state-owned open baseball site with a seating capacity of at least 10,000 which has a
professional sports franchise that participates in Class Triple A professional baseball.
Proposed law changes the seating capacity at a state-owned open baseball site from at least 7,500
to at least 10,000.
Proposed law changes present law by limiting the state and local sales and use tax exemptions for
sales at a state owned domed stadium facility or baseball site, and the state sales and use tax
exemptions for sales at a domed facility owned by a local political subdivision, to sales of the
following:
(1)Admission tickets to athletic contests or any large scale bid-upon event, which tickets are
sold in the primary ticket market or secondary ticket sales if such sales are made by a
nonprofit host organization.
(2)Any sale, service, or other transaction occurring in a domed facility or baseball facility,
including the sale of parking on adjacent property under the same jurisdiction, in connection
with athletic contests or any large scale bid-upon events.
(3)Sales of goods from a team merchandise store at the facility.
(4)50% of the cost price of admission tickets to events, activities, or enterprises other than tickets to athletic contests or any large scale bid-upon events, wherever sold.
(5)Tours of the facility.
(6)The full price of admission tickets for non-athletic events if the event was under contract on
or before July 1, 2016.
Proposed law provides that these exemptions shall apply to any event, activity, or enterprise held in
conjunction with an athletic contest held in or adjacent to a domed facility or baseball facility to
which the exemptions apply.
Any other facility owned by the state or a political subdivision
Present law provides an exemption from state sales and use taxes for sales at any publicly owned
facility other than a domed stadium or baseball facility ("other public facility") if the local
jurisdiction in which the other public facility is located also extends an exemption for such sales
from its own sales and use taxes. The only sales taxable at events at these facilities are sales at trade
shows.
Proposed law changes present law by limiting the state sales and use tax exemptions for sales at an
other public facility to sales of the following:
(1)Admission tickets to athletic contests or any large scale bid-upon event, which tickets are
sold in the primary ticket market or secondary ticket sales if such sales are made by a
nonprofit host organization.
(2)Any sale, service, or other transaction occurring in such facility in connection with officially
sanctioned events affiliated with any athletic contests held at the venues subject to the
provisions of R.S. 39:467.
(3)Sales of goods from a team merchandise store at the facility.
(4)50% of the cost price of admission tickets to events, activities, or enterprises other than
tickets to athletic contests, wherever sold.
(5)Tours of the facility.
(6)The full price of admission tickets for non-athletic events if the event was under contract on
or before July 1, 2016.
(7)Parking as allowed for events pursuant to an existing lease or extension thereof.
Proposed law provides that these exemptions shall apply to any event, activity, or enterprise held in
conjunction with an athletic contest held in or adjacent to the facility to which the exemptions apply. Proposed law establishes legislative intent to prohibit any interpretation of proposed law as imposing
any new state or local tax upon admissions, parking, and other transactions at the following events:
intercollegiate athletic events, high school athletic events, youth sport events, or events sponsored
by a La.-based civic, educational, historical, charitable, fraternal, or religious organization that is a
nonprofit organization.
Dedications of tax revenues
Proposed law establishes a dedication and allocation of state sales and use tax proceeds, exclusive
of the avails of taxes derived from sales at a trade show, in an amount equal to 30% of the avails of
the state sales and use tax imposed under R.S. 47:321 (1% tax) which are attributable to sales in a
domed stadium with a seating capacity of at least 70,000, to be allocated to the Louisiana School
for Math, Science, and the Performing Arts and the New Orleans Center for Creative Arts. Such
allocation shall be made after satisfaction of the requirements of the Bond Security and Redemption
Fund, and the balance of the collections shall be deposited into the state general fund.
Proposed law establishes the following dedication of local sales and use tax proceeds, exclusive of
the avails of taxes derived from sales at a trade show:
(1)20% of the avails of the sales and use taxes imposed in Orleans Parish by any political
subdivision which are attributable to sales at a domed stadium shall be allocated to the New
Orleans Council on Aging. Monies to satisfy this dedication shall be derived proportionately
from the sales and use tax distributions for the following purposes: 50% from the City of
New Orleans General Fund, 30% from the Orleans Parish School Board, and 20% from the
Regional Transit Authority.
(2)For purposes of any parish in which there is located a facility on the property of a public
post-secondary educational institution that is subject to the provisions of proposed law, the
avails of any sales and use tax imposed by any political subdivision which are attributable
to sales at that facility shall be allocated to that institution.
(3)66% of the avails of any sales and use tax imposed by any political subdivision which are
attributable to sales at the Angola State Penitentiary Rodeo shall be allocated to the West
Feliciana School Board, and 34% shall be allocated to the West Feliciana Council on Aging.
Applicable to taxable periods beginning on or after July 1, 2016.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 39:467, 468 and 469(B); Adds 470 and 470.1)