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 476 Original 2018 Regular Session Ivey
Abstract: Establishes an ad valorem tax exemption for property that is subject to a cooperative
endeavor agreement that requires the property owner to make payments in lieu of ad valorem
taxes.
Present constitution authorizes the imposition of ad valorem property taxes by local governments,
school boards, and other special districts.
Present constitution authorizes a variety of exemptions from ad valorem tax.
Proposed constitutional amendment changes present constitution by establishing an exemption for
property subject to a cooperative endeavor agreement that requires the property owner to make
payments in lieu of the ad valorem taxes imposed by a taxing authority that is a party to the
agreement. The exemption shall not exceed 10 years in duration. However, an exemption may
exceed the 10 year limitation if recommended by the governor, and to the extent of the governor's
recommendation.
Proposed constitutional amendment limits eligibility for the exemption to either a manufacturing
establishment that qualifies for the industrial tax exemption, or a property subject to a cooperative
endeavor agreement that has been approved by a legislative committee. Proposed constitutional
amendment further prohibits eligibility for this exemption for a manufacturing establishment that
has a contract for the industrial tax exemption, unless it is within the first two years of that contract.
Proposed constitutional amendment requires that exempt properties be listed on the assessment rolls
and that information concerning those properties be submitted to the La. Tax Commission.
Provides for submission of the proposed amendment to the voters at the statewide election to be held
Nov. 6, 2018.
(Adds Const. Art. VII, ยง21(O))