The original instrument was prepared by Leonore F. Heavey. The following digest,
which does not constitute a part of the legislative instrument, was prepared by James
Benton.
DIGEST
SB 148 Engrossed 2018 Regular Session Morrell
Present constitution provides that all property is subject to ad valorem taxation unless specifically
exempted.
Present constitution authorizes the State Board of Commerce and Industry, with gubernatorial
approval, to enter into contracts to exempt new and expanding manufacturing facilities from ad
valorem taxation.
Proposed constitutional amendment retains present constitution ability of the board to enter into
contracts to exempt certain manufacturing facilities from certain ad valorem taxes but adds a
requirement that the exemption receive the endorsement of the sheriff, school board, assessor,
municipality, and parish governing authority in which the establishment is located. Provides that the
endorsement of the sheriff, school board, assessor, municipality, and parish governing authority shall
be as provided by law.
Present constitution authorizes a five-year renewal of up to a 100% exemption of ad valorem taxes
that would otherwise be due.
Proposed constitutional amendment limits the renewal period to three years and limits the exemption
to 80% of the assessed valuation.
Present constitution requires the board to take into account the best interests of the state when
determining whether or not to grant an industrial property tax exemption.
Proposed constitutional amendment requires that the State Board of Commerce and Industry
establish criteria for determining what is in the best interest of the state and that these criteria shall
include the creation of new, permanent direct jobs.
Specifies submission of the amendment to the voters at the statewide election to be held on
November 6, 2018.
(Amends Const. Art. VII, Sec. 21(F))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Revenue and Fiscal Affairs to the original bill
1. Adds assessors to the list of entities who must endorse the exemption.