Louisiana 2019 Regular Session

Louisiana House Bill HB573 Latest Draft

Bill / Engrossed Version

                            HLS 19RS-383	ENGROSSED
 2019 Regular Session
HOUSE BILL NO. 573
BY REPRESENTATIVE ABRAMSON
DISTRICTS/SPECIAL:  Provides relative to the Ernest N. Morial-New Orleans Exhibition
Hall Authority
1	AN ACT
2To enact Chapter 12-C of Title 33 of the Louisiana Revised Statutes of 1950, to be
3 comprised of R.S. 33:4710.11 through 4710.29, relative to the Ernest N. Morial-New
4 Orleans Exhibition Hall Authority; to incorporate Acts of the Legislature of
5 Louisiana providing for the authority into the Louisiana Revised Statutes of 1950,
6 including provisions for its creation, purpose, and governance, its powers and duties,
7 including the power to levy taxes and incur debt; to provide for the termination of
8 certain taxes, authorized uses of tax revenue, and an annual report on taxes levied by
9 the authority; to provide relative to the authority's power to incur debt, the projects
10 for which debt may be incurred, and for the transfer of certain reserve funds to the
11 city of New Orleans; to provide relative to contracts with disadvantaged businesses;
12 and to provide for related matters.
13	Notice of intention to introduce this Act has been published
14	as provided by Article III, Section 13 of the Constitution of
15	Louisiana.
16Be it enacted by the Legislature of Louisiana:
17 Section 1.  Chapter 12-C of Title 33 of the Louisiana Revised Statutes of 1950,
18comprised of R.S. 33:4710.11 through 4710.29, is hereby enacted to read as follows:
Page 1 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	CHAPTER 12-C.  ERNEST N. MORIAL-NEW ORLEANS 
2	EXHIBITION HALL AUTHORITY
3 §4710.11.  Creation
4	A.  There is hereby created the Ernest N. Morial-New Orleans Exhibition
5 Hall Authority, hereafter in this Chapter referred to as the "authority", which is
6 created as a body politic and corporate and political subdivision of the state.  The
7 territorial limits and territorial jurisdiction of the authority shall be the entire parish
8 of Orleans, including but not limited to the Ernest N. Morial Convention Center-New
9 Orleans.
10	B.  The domicile of the authority shall be in the city of New Orleans,
11 Louisiana.
12	C.  The purpose for which the authority is created is to acquire, construct,
13 reconstruct, extend, improve, maintain, and operate projects within the city of New
14 Orleans, subject to the zoning and other applicable ordinances of the city of New
15 Orleans, except as to the Poydras Street Wharf and other properties under the
16 administration of the board of commissioners of the Port of New Orleans, in order
17 to promote the economic growth and development of the city and its neighboring
18 parishes.
19	D.  As used in this Chapter, the word "project" or "projects" means any one
20 or more of any combination of convention, exhibition, and tourist facilities, and the
21 necessary site improvements, infrastructure, furnishings, machinery, equipment, and
22 appurtenances therefor other than lodging facilities but including infrastructure and
23 site improvements to facilitate the private development and funding of lodging
24 facilities.
25 §4710.12.  Board of commissioners
26	A.  The authority shall be governed by a board of commissioners, hereafter
27 in this Chapter referred to as the "board", composed of twelve members appointed
28 as follows:
29	(1)  The governor shall appoint:
Page 2 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	(a)  Three members at large.
2	(b)  One member from a list of three names submitted by the New Orleans
3 Restaurant Association.
4	(c)  Two members who reside within the territorial limits of the authority.
5	(d)  One member from a list of three names submitted by the Greater New
6 Orleans Hotel and Motel Association.
7	(e)  One member who is a resident of the legislative district in which the
8 Ernest N. Morial Convention Center-New Orleans is located and who is selected by
9 the state representative and state senator from that district.
10	(2)  The mayor of the city of New Orleans, with the consent of the governing
11 authority of the city of New Orleans, shall appoint:
12	(a)  One member at large.
13	(b)  One member from a list of three names submitted by the Greater New
14 Orleans Tourist and Convention Commission.
15	(c)  One member from a list of three names submitted by the Chamber-New
16 Orleans and the River Region.
17	(3)  From the names remaining on the lists from the various nominating
18 organizations, the governor shall select and appoint one member who shall also serve
19 as the board's president.
20	B.  Except as provided by Subsection A of this Section, all persons who are
21 appointed to the board shall be residents of or have their principal place of business
22 in the parish of Orleans.
23	C.  The members of the board who are appointed by the governor shall serve
24 at the pleasure of the governor.  The term of a member of the board appointed by the
25 mayor, except a commissioner appointed to fill an unexpired term, is four years.
26	D.  Each gubernatorial appointment shall be submitted to the Senate for
27 confirmation.
28	E.  As soon as practicable after their appointment, the commissioners shall
29 meet at the domicile and elect from their number a vice president and such other
Page 3 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 officers as may be considered appropriate.  The secretary and treasurer of the board,
2 which offices may be combined, may be selected by the board from among the
3 members or may be otherwise selected by the board.
4	F.  The board shall adopt such rules and regulations as it deems necessary for
5 its own government.
6	G.  Seven members of the board shall constitute a quorum for the transaction
7 of business.
8	H.  The board shall keep a record of all of its proceedings, and it shall
9 designate one newspaper of general circulation in the parish of Orleans as its official
10 journal in which an extract of the minutes of such proceedings shall be published.
11 §4710.13.  Powers and duties
12	The authority shall have all the powers and authority necessary or convenient
13 to carry out the purposes of this Chapter including but not limited to the following
14 powers and authority:
15	(1)  To employ such officers, employees, and agents as it deems necessary
16 for the performance of its powers and duties and fix the compensation of such
17 officers, employees, and agents.
18	(2)  To acquire, construct, reconstruct, extend, improve, maintain, and operate
19 projects located or to be located in the parish of Orleans.
20	(3)  To acquire, whether by sale, exchange, lease, or otherwise, title to or
21 rights and interests in real property within the parish of Orleans, including leasehold
22 interests, required to implement the purposes of this Chapter.  In connection with any
23 exchange of property in which the authority may engage, the property acquired by
24 the authority and the property given up by the authority shall each have a value to the
25 authority that is approximately equal, with any difference to be paid in cash.  The
26 term "value to the authority" shall include any and all factors reflecting a benefit to
27 the authority and shall include without limitation proximity of a property to other
28 property owned by the authority, increased efficiency of operations of the authority
Page 4 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 afforded by a property, and resolution of any claims against or potential liabilities
2 of the authority achieved by any aspect of the exchange.
3	(4)  To enter into contracts with any person, firm, or corporation, public or
4 private, including the state of Louisiana or any department, agency, or political
5 subdivision thereof, on such terms and conditions as the board may determine, with
6 respect to the acquisition, construction, reconstruction, extension, improvement,
7 maintenance, or operation of projects or the furnishing or distribution of the services,
8 facilities, or commodities thereof, including but not limited to the leasing or
9 subleasing for allied services such as hotels, restaurants, retail outlets, offices,
10 parking, entertainment, and similar activities.  Any lease or sublease of the authority,
11 or both, to an exhibition or convention user, or both, including any assignments
12 thereof, any lease or sublease or extensions or renewals thereof, including any
13 assignments thereof, for allied services such as hotels, restaurants, retail outlets,
14 offices, and entertainment, are exempt from the provisions of R.S. 38:2211 et seq.
15 and any other provision of law with respect to the purchase or lease of property by
16 public entities; all other contracts, leases or subleases, or both, including any
17 assignment thereof, shall be entered into in accordance with the provisions of R.S.
18 38:2211.
19	(5)  To enter into contracts with any person, firm, or corporation, public or
20 private, including the state of Louisiana or any department, agency, or political
21 subdivision thereof, on such terms and conditions as the board may determine, with
22 respect to the use, lease, or sublease of project facilities and services for convention
23 or exhibition purposes or any other purpose authorized by the provisions of this
24 Chapter.  No provision of this Chapter is intended or shall be construed to authorize
25 or permit the state of Louisiana or any of its departments or agencies to enter into
26 any contract or agreement under which the state of Louisiana or any of its
27 departments or agencies will assume responsibility for any indebtedness of the
28 authority or with respect to management, operation, or maintenance of any facility
29 or project; however, this prohibition shall not extend to or affect the agreement
Page 5 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 between the board of commissioners of the Port of New Orleans and International
2 Rivercenter entered into on April 24, 1974, as amended, or any transferee, purchaser,
3 or assignee of any interest in said agreement, whether in whole or in part,
4 notwithstanding any provision of law or this Chapter to the contrary.
5	(6)  Except as limited by the terms and conditions of that certain lease
6 covering and affecting the Poydras Street Wharf, to establish, maintain, revise,
7 charge, and collect such rates, fees, rentals, or other charges for the use, services,
8 facilities, and commodities of or furnished by any project and to provide methods of
9 collection of and civil penalties for nonpayment of such rates, fees, rentals, or other
10 charges.
11	(7)  To incur debt and issue bonds or other obligations for the purpose of the
12 authority in the manner provided by this Chapter.
13	(8)  To pledge to the payment of its bonds or other obligations and interest
14 thereon the avails or proceeds of the hotel occupancy taxes authorized by this
15 Chapter and other income and revenues of the authority derived from any source
16 whatsoever, including without limitation any and all taxes, fees, and charges
17 authorized by this Chapter and revenues derived from one or more projects or
18 expansion projects and leases and agreements securing the payment of bonds.
19	(9)  To levy and collect taxes in the manner provided in this Chapter.
20	(10)  Except as limited by the terms and conditions of that certain lease
21 covering and affecting the Poydras Street Wharf and subject to the rights, powers,
22 and jurisdiction of the board of commissioners of the Port of New Orleans, to make
23 and enforce rules and regulations governing the use, maintenance, and operation of
24 projects.
25	(11)  To accept donations, gifts, and grants of real or personal property for
26 the acquisition, construction, reconstruction, extension, improvement, maintenance,
27 or operation of any project and to make and perform such agreements or contracts
28 as necessary or convenient in connection with the procuring or acceptance of such
Page 6 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 donations, gifts, and grants.  Such donations, gifts, and grants shall be the sole
2 property of the authority.
3	(12)  To accept loans, grants, or contributions from and to enter into contracts
4 and cooperate with the United States of America, the state, and any agency or
5 subdivision thereof with respect to any project in accordance with law.
6	(13)  Except as limited by the terms and conditions of that certain lease
7 covering and affecting the Poydras Street Wharf, to lease or sublease to or from any
8 person, firm, or corporation, public or private, all or any part of any project upon
9 such terms and conditions and for such term of years, not in excess of sixty years, as
10 the board may deem advisable to carry out the provisions of this Chapter and to
11 provide, if deemed advisable by the board, for an option to purchase or otherwise
12 lawfully acquire such project upon the terms and conditions therein specified. Any
13 lease or sublease, or both, of the authority to an exhibition or convention user or to
14 facilitate the private development and funding of lodging facilities, including any
15 assignments thereof, any lease or sublease or extension or renewal thereof, including
16 any assignments thereof, for allied services such as hotels, restaurants, retail outlets,
17 offices, and entertainment, are exempt from the provisions of R.S. 38:2211 et seq.,
18 and any other provision of law with respect to the purchase or lease of property by
19 public entities; all other contracts, leases or subleases, or both, of the authority,
20 including any assignment thereof, shall be entered into in accordance with the
21 provisions of R.S. 38:2211.
22	(14)  To execute such instruments and agreements and do all things necessary
23 or convenient in the exercise of the powers granted by this Section or in the
24 performance of the covenants or duties of the authority or to secure the payment of
25 its bonds.
26	(15)  To contract, upon such terms as it may agree upon, for financial,
27 engineering, legal, and other professional services necessary or expedient in the
28 conduct of its affairs.
Page 7 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	(16)  For consideration, to dispose of property by sale, exchange, lease, or
2 otherwise in order to implement the purposes of this Chapter.  In connection with
3 any exchange of property in which the authority may engage, the property acquired
4 by the authority and the property given up by the authority shall each have a value
5 to the authority that is approximately equal, with any difference to be paid in cash.
6 The term "value to the authority" shall include without limitation proximity of a
7 property to other property owned by the authority, increased efficiency of operations
8 of the authority afforded by a property, and resolution of any claims against or
9 potential liabilities of the authority achieved by any aspect of the exchange.
10	(17)  To enter into a contract or contracts with the city of New Orleans,
11 pursuant to which the authority may assume the management, operation, and
12 maintenance of any exhibition center and convention hall and responsibility for any
13 obligation or indebtedness incurred for the construction thereof and pay out of
14 revenues of the authority available for such purpose the expense thereof.
15	(18)  To acquire by lease from the state of Louisiana or any department,
16 board, commission, agency, or political subdivision thereof, including the city of
17 New Orleans, sites for any of its projects upon such terms and conditions as the
18 board may determine.  Any such lease is exempt from provisions of law with respect
19 to the lease of property by public entities and in particular the provisions of Chapter
20 10 of Title 41 of the Louisiana Revised Statutes of 1950.
21 §4710.14.  Rivercenter
22	A.(1)  In addition to the authority and powers granted it in R.S. 33:4710.13,
23 the authority may, subject to the approval and consent of the holder or holders of any
24 mortgage or other lien or encumbrance affecting same, purchase from International
25 Rivercenter or its successor, hereafter in this Section referred to as "Rivercenter", an
26 ordinary Louisiana partnership in commendam organized by Articles of Partnership
27 entered into on the 25th day of September, 1973, and duly recorded in the office of
28 the Recorder of Mortgages for the parish of Orleans, state of Louisiana, in Book
29 1218J2, Folio 242, on the 27th day of September, 1973, as amended, all of
Page 8 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 Rivercenter's right, title, and interest in and to and to assume all obligations of
2 Rivercenter arising out of that certain lease covering and affecting certain areas of
3 the public wharf known as the Poydras Street Wharf, located generally at the foot of
4 Poydras Street on the east or left descending bank of the Mississippi River, in the
5 city of New Orleans, Louisiana, which areas are leased by Rivercenter under an
6 agreement between the Board of Commissioners of the Port of New Orleans and
7 International Rivercenter made and entered into on the 24th day of April, 1974, as
8 amended, and to purchase all of the improvements owned by Rivercenter located
9 thereon and to keep and maintain same subject to the terms and conditions of the
10 lease.  The dollar amount to be paid by the authority for leasehold interest and
11 improvements and facilities shall not exceed the actual cost incurred by Rivercenter
12 in connection with such leasing and the construction of the improvements and
13 facilities thereon.  Actual cost, as used in this Paragraph means the following: costs
14 paid or incurred by Rivercenter in connection with the obtaining of the lease and the
15 acquisition and construction of the improvements and facilities located on the leased
16 premises; architects' and engineers' fees; the cost of surveys, investigations, licenses,
17 permits, testing, and site preparation; the cost of removing and relocating structures,
18 utilities and railroad tracks; demolition costs; leasing commissions and fees;
19 professional consultants' fees; development fees; lease rental payments; legal,
20 financing and accounting expenses and fees; loan service fees; interest and interest
21 standby fees; and all other items of expenses incident and properly allocable to the
22 obtaining of the lease and the construction of the improvements and facilities on the
23 leased premises and placing the same in operation.  The actual cost incurred by
24 Rivercenter shall be verified by independent certified public accountants retained by
25 the authority.  The purchase price may be paid entirely in cash or may be paid in
26 installments over a period of years with interest to be payable on the unpaid principal
27 installments at a rate fixed by the authority with the approval of the State Bond
28 Commission or by a combination of the foregoing, or by a mutual agreement, all or
29 a portion of the purchase price may be paid in bonds issued by the authority.
Page 9 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	(2)  Notwithstanding anything in this Section to the contrary, the amount to
2 be paid by the authority for the leasehold interest and improvements and facilities
3 shall not exceed six million dollars.  However, if the transfer of Rivercenter's rights
4 and interest in the wharf occurs subsequent to September 1, 1978, the sum of six
5 million dollars may be increased by the costs incurred by Rivercenter from
6 September 1, 1978, to the date of the closing of the transaction.  The "costs incurred
7 by Rivercenter from September 1, 1978, to the date of the closing of the transaction"
8 shall mean rental, interest on six million dollars paid by Rivercenter, maintenance
9 costs and other actual charges incurred during this period, and any capital costs for
10 improvement of the wharf as an exhibition center.  Neither the provisions of R.S.
11 38:2211 et seq. nor any other provisions of general law with respect to the purchase
12 or leasing of property by public entities shall be applicable to such purchase and
13 assumption of obligations.
14	B.  In furtherance of Subsection A of this Section, the board of
15 commissioners of the Port of New Orleans shall give its consent to the purchase by
16 the authority of all of the right, title, and interests of Rivercenter in and to and the
17 assumption by the authority of all of the obligations of Rivercenter arising under that
18 certain lease covering and affecting certain areas of the Poydras Street Wharf, to the
19 purchase by the authority of all the improvements owned by Rivercenter located
20 thereon, and, for the duration of the lease and subject to the terms and conditions of
21 the lease, to the construction, maintenance, and operation by the authority on the
22 leased premises, of convention, exhibition, and tourist facilities, except that the
23 construction, maintenance, and operation of such facilities shall not infringe upon,
24 impair, or diminish the operation or maintenance of the passenger terminal or those
25 areas devoted, intended, or required for use for passenger terminal operations and
26 other purposes and activities required by the lease and shall not infringe upon,
27 impair, or interfere with access to or egress from operations on sections of the
28 Poydras and Canal Street Wharves not covered by the lease except with the prior
29 approval of the board of commissioners of the Port of New Orleans.  The board and
Page 10 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 the authority shall cooperate and coordinate to assure that authorized users shall have
2 suitable ingress and egress to the facilities of the port.  If the authority defaults in the
3 performance of the obligations imposed by the lease, the board of commissioners of
4 the Port of New Orleans may enforce its rights under the lease by conventional
5 means in any court of competent jurisdiction, as provided in the lease.
6 §4710.15.  Hotel occupancy tax
7	A.(1)  In order to provide funds for the purposes of the authority, the
8 authority may levy and collect a tax upon the occupancy of hotel rooms located
9 within the parish of Orleans.  The tax shall be in the amount of one percent of the
10 rent or fee charged for such occupancy.  The tax shall be in addition to all taxation
11 upon the occupancy of hotel rooms located in the parish of Orleans.
12	(2)(a)  The word "hotel" as used in this Chapter means and includes any
13 establishment engaged in the business of furnishing or providing rooms intended or
14 designed for dwelling, lodging, or sleeping purposes to transient guests, where such
15 establishment consists of ten or more guest rooms.  "Hotel" does not include any
16 hospital, convalescent or nursing home or sanitarium, or hotel-like facility operated
17 by or in connection with a hospital or medical clinic providing room exclusively for
18 patients and their families.
19	(b)  "Person" as used in this Section shall have the same definition as that
20 contained in R.S. 47:301(8).
21	(3)  The tax shall be paid by the person who exercises or is entitled to
22 occupancy of the hotel room and shall be paid at the time the rent or fee for
23 occupancy is paid.
24	(4)  The tax shall not apply to the rent for a hotel room rented to the same
25 occupant for a period of thirty or more consecutive calendar days, nor shall it apply
26 to hotel rooms rented for less than three dollars a day.
27	B.  The authority shall impose the tax by resolution adopted by the board who
28 has the right to provide in the resolution necessary and appropriate rules and
29 regulations for the imposition, collection, and enforcement of the tax.  The resolution
Page 11 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 levying and imposing the hotel occupancy tax may not be adopted by the board and
2 no real property or leasehold interest may be acquired and no obligation to acquire
3 any real property or leasehold interest may be incurred by the authority unless prior
4 thereto the governing authority of the city of New Orleans approves the levy of such
5 tax by a favorable vote of a majority of the members thereof and the question of or
6 proposition to authorize the levy of the tax and the funding of avails thereof into
7 bonds is submitted to the electors of the city at an election called, conducted,
8 canvassed, and promulgated by the governing authority of the city, in accordance
9 with the laws of Louisiana governing the conduct of elections, to authorize the
10 issuance of bonds and the levying of taxes, and a majority of those electors voting
11 in such election have voted in favor of the question or proposition to impose the tax
12 and fund the avails thereof into bonds.
13	C.  The authority may contract with the state of Louisiana or the city for the
14 collection of the tax, which tax may be collected in the same manner and subject to
15 the same conditions as the hotel occupancy tax being imposed by the Louisiana
16 Stadium and Exposition District on hotels located in the city of New Orleans.
17 §4710.15.1.  Additional hotel tax authorized
18	In addition to tax authorized by R.S. 33:4710.5, the authority may levy and
19 collect an additional tax on the occupancy of hotel rooms located within the parish
20 of Orleans.  The tax shall be in the amount of one percent of the rent or fee charged
21 for such occupancy and shall be in addition to all taxation upon the occupancy of
22 hotel rooms located in the parish of Orleans.  The tax shall be levied and collected
23 in the same manner, according to the same procedures and upon the same terms and
24 conditions, including the approval of the governing authority of the city of New
25 Orleans and the electorate of the city, as required for the imposition of the tax by
26 R.S. 33:4710.15.  The tax authorized by this Section shall be automatically
27 terminated upon the payment in full of all bonds or other obligations secured in
28 whole or in part by the tax.
Page 12 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 §4710.15.2.  Additional hotel occupancy tax authorized
2	A.(1)  In addition to the hotel occupancy tax authorized to be levied and
3 collected by the authority pursuant to R.S. 33:4710.15 and 4710.15.1, the authority
4 may levy and collect a tax upon the paid occupancy of hotel rooms located within
5 the parish of Orleans.  The hotel occupancy tax shall be in the amount of fifty cents
6 per occupied hotel room per night for hotels containing ten to two hundred
7 ninety-nine guest rooms, one dollar per occupied hotel room per night for hotels
8 containing three hundred to nine hundred ninety-nine guest rooms, and two dollars
9 per occupied hotel room per night for hotels containing one thousand or more guest
10 rooms.
11	(2)  The tax shall be levied and collected in the same manner, according to
12 the same procedures and upon the same terms and conditions, including the approval
13 of the governing authority of the city of New Orleans and the electorate of the city,
14 as required for the imposition of the tax by R.S. 33:4710.15.
15	B.  The hotel occupancy tax shall be automatically terminated upon payment
16 in full of all bonds or other obligations of the authority payable in whole or in part
17 from or secured by such hotel occupancy tax.
18 §4710.16.  Use of revenues
19	Prior to the issuance of bonds pursuant to this Chapter, any revenue of the
20 authority derived from any source whatsoever may be used by the authority for the
21 payment of the administrative and operating expenses of the board and for the
22 payment of any expenses incurred in determining the feasibility of a project or
23 projects and developing plans therefor, including engineering, architectural, legal,
24 and administrative costs and fees incidental thereto.  Any revenue of the authority
25 remaining at the end of each fiscal year prior to the issuance of bonds and after the
26 payment of such expenses shall be considered surplus and may, in the sole discretion
27 of the authority, be distributed by the authority to the city of New Orleans or retained
28 by authority for utilization on future expenses, capital expenditures, or costs
29 reasonably anticipated to be incurred.
Page 13 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 §4710.17.  Bonds
2	A.  The authority may, from time to time, with the approval of the State Bond
3 Commission, issue negotiable bonds in one or more series in such principal amount
4 as, in the opinion of its board, shall be necessary to provide for the acquisition,
5 construction, reconstruction, extension, or improvement of one or more projects,
6 including engineering, architectural, inspection, legal, and financial fees and costs,
7 interest on such bonds during construction and for a reasonable period thereafter,
8 establishment of reserves to secure such bonds, and all other expenditures of the
9 authority incidental or necessary or convenient thereto.  The annual payments due
10 on bonds of the authority for principal, interest, premium, or otherwise shall not
11 exceed the estimated annual revenues of the hotel occupancy taxes authorized by this
12 Chapter and other income and revenues of the authority derived from any source
13 whatsoever, including without limitation any and all taxes, fees, and charges
14 authorized by this Chapter and revenues derived from one or more projects or
15 expansion projects and leases and agreements securing the payment of bonds.  Such
16 bonds shall be authorized and issued by a resolution of the board of the authority and
17 shall be of such series, bear such date or dates, be serial or term bonds, or a
18 combination thereof, mature at such time or times, bear interest at such rate or rates
19 payable on such date or dates, be in such denominations, be in such form, carry such
20 registration and exchangeability privilege, be payable in such medium of payment
21 and at such place or places, be subject to such terms of redemption, and be secured
22 in such manner consistent with the authority contained in this Section as the
23 resolution authorizing such bonds may provide.
24	B.  The bonds shall be executed in the name of the authority by the manual
25 or facsimile signature of such officer or officers of the board as may be designated
26 in the resolution or other instrument providing for their issuance.  If any officer
27 whose manual or facsimile signature appears on any bond ceases to be such officer
28 before the delivery of such bonds, such signature nevertheless shall be valid and
29 sufficient for all purposes as if he had remained in office until such delivery.  The
Page 14 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 resolution or trust instrument may provide for authentication of the bonds by the
2 trustee or fiscal agent thereunder.
3	C.  All bonds issued by the authority shall be sold in such manner and for
4 such prices as the board may determine.
5	D.  The board may, in any resolution authorizing the issuance of such bonds,
6 enter into such covenants with the future holder or holders of the bonds as to the
7 management and operation of projects, the lease or rental thereof, the imposition and
8 collection of fees and charges for services and facilities furnished by the authority,
9 the disposition of such fees and revenues, the issuance of future bonds and the
10 creation of future liens and encumbrances against the projects and the revenues
11 therefrom, the carrying of insurance on the project facilities, the keeping of books
12 and records, and other pertinent matters as may be deemed proper by the board to
13 assure the marketability of the bonds.
14	E.  Any holder of the bonds or any of the coupons thereto attached may by
15 appropriate legal action compel performance of all duties required of the authority
16 and officials of the authority and the board by this Chapter.
17	F.  If any bond issued under this provision of this Chapter and secured by the
18 revenue or revenues of a project or projects is permitted to go into default as to
19 principal or interest, any court of competent jurisdiction may, pursuant to the
20 application of the holder of the bond, appoint a receiver for such project or projects,
21 which receiver shall be under the duty of operating the project or projects and
22 collecting the revenues pledged to the payment of the bonds, pursuant to the
23 provisions of this Chapter and the resolution authorizing the bonds.
24	G.  Bonds may, in the discretion of the board, be additionally secured by
25 conventional mortgage on all or any part of the properties or facilities acquired,
26 constructed, extended, or improved with the proceeds thereof, and the board shall
27 have full discretion to make such provisions as it may see fit for the making and
28 enforcement of such mortgage and the provisions to be therein contained.
Page 15 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	H.  The board may provide by resolution for the issuance of refunding bonds
2 of the authority for the purpose of refunding outstanding bonds of the authority
3 issued pursuant to the provisions of this Chapter, such refunding bonds to be issued
4 pursuant to the provisions of Chapter 14-A of Title 39 of the Louisiana Revised
5 Statutes of 1950, as amended.
6	I.  Any bonds issued pursuant to this Section and the income therefrom is
7 exempt from taxation by this state or any political subdivision thereof.
8	J.  Every resolution authorizing the issuance of bonds of the authority shall
9 be published at least once in the official journal of the authority.  For thirty days after
10 the date of publication, any person in interest may contest the legality of the
11 resolution and of any provision therein made for the security and payment of the
12 bonds.  After that time, no one shall have any cause of action to test the regularity,
13 formality, legality, or effectiveness of the resolution and provisions thereof for any
14 cause.  Thereafter, it shall be conclusively presumed that every legal requirement for
15 the issuance of the bonds has been complied with.  No court shall have authority to
16 inquire into any of these matters after the thirty days.
17	K.  If the authority has issued bonds secured by hotel occupancy taxes,
18 neither the legislature nor the authority shall discontinue or decrease the tax or
19 permit to be discontinued or decreased the tax in anticipation of the collection of
20 which such bonds have been issued, or in any way make any change in the allocation
21 and dedication of the proceeds of such tax which would diminish the amount of the
22 tax revenues to be received by the authority until all of such bonds have been retired
23 as to principal and interest or irrevocable provision made for the payment of
24 principal and interest on such bonds, and there is hereby vested in the holders from
25 time to time of such bonds and the coupons representing interest thereon a
26 contractual right under the provisions of this Chapter.
27 §4710.17.1.  Additional authority to issue bonds
28	A.  Without reference to any other provision of the Constitution of Louisiana
29 or of the laws of Louisiana and as a grant of power in addition to the authority to
Page 16 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 issue bonds contained in R.S. 33:4710.17 and to carry out the purposes of this
2 Chapter, the authority may, from time to time, with the approval of the State Bond
3 Commission, issue negotiable bonds in one or more series for the purpose of
4 providing funds to finance an expansion project or projects, including engineering,
5 architectural, inspection, legal, and financial fees and costs, interest on such bonds
6 during construction and for a reasonable period thereafter, establishment of reserves
7 to secure such bonds, all costs associated with the issuance of such bonds, including
8 credit enhancement, derivative products, underwriter's discount, and funding of
9 accounts, if any, required by the terms of the resolution or trust indenture authorizing
10 their issuance, and all other expenditures of the authority incidental or necessary or
11 convenient thereto.  Such bonds shall be authorized and issued by a resolution or
12 resolutions of the board and shall be of such series, bear such date or dates, be of
13 such type, mature at such time or times, bear interest at such rate or rates payable on
14 such date or dates, be in such denominations, be in such form, carry such registration
15 and exchangeability privilege, be payable in such medium of payment and at such
16 place or places, be subject to such terms of redemption, and be secured in such
17 manner consistent with the authority contained in this Section as the resolution
18 authorizing such bonds may provide.  Payment of the bonds authorized by this
19 Section may be secured by a pledge of the avails or proceeds of the hotel occupancy
20 taxes and food and beverage tax authorized by this Chapter, such other taxes, fees,
21 and charges authorized by this Chapter, and any other income and revenue of the
22 authority as may be determined by the board and as authorized or permitted by law.
23 The word "bonds" as used in this Section shall mean and include bonds, notes,
24 certificates of indebtedness, or other evidence of indebtedness for the repayment of
25 borrowed money.
26	B.  Bonds issued pursuant to this Section also may be secured by a trust
27 agreement by and between the authority and one or more corporate trustees or fiscal
28 agents, which may be any trust company or bank having the powers of a trust
29 company within or without this state.
Page 17 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	C.  All bonds issued by the authority shall be sold in such manner and for
2 such prices as the board may determine.
3	D.  The board may, in any resolution authorizing the issuance of such bonds,
4 enter into such covenants with the future owner or owners of the bonds as to the
5 management and operation of expansion projects, the lease or rental thereof, the
6 imposition and collection of fees and charges for services and facilities furnished by
7 the authority, the disposition of such fees and revenues, the issuance of future bonds
8 and the creation of future liens and encumbrances against the expansion projects and
9 the revenues therefrom, the carrying of insurance on the expansion projects, the
10 keeping of books and records, and other pertinent matters, including the appointment
11 of a receiver in the event of default, as may be deemed proper by the board to assure
12 the marketability of the bonds.
13	E.  Any bonds may, in the discretion of the board, be additionally secured by
14 a conventional mortgage on all or any part of the properties or facilities acquired,
15 constructed, extended, or improved with the proceeds thereof, and the board shall
16 have full discretion to make such provisions as it may see fit for the making and
17 enforcement of such mortgage and the provisions to be therein contained.
18	F.  The board may issue refunding bonds of the authority for the purpose of
19 refunding outstanding bonds issued pursuant to the provisions of this Section in
20 accordance with Chapter 14-A of Title 39 of the Louisiana Revised Statutes of 1950.
21	G.  Any pledge of taxes, fees and charges, revenues, securities, and other
22 monies made by the authority pursuant to this Section shall be valid and binding
23 from time to time when the pledge is made.  Such taxes, fees and charges, revenues,
24 securities, and other monies so pledged and then held or thereafter received by the
25 authority or any fiduciary shall immediately be subject to the lien of such pledge
26 without any physical delivery thereof or further act, and the lien of any such pledge
27 shall be valid and binding as against all parties having claims of any kind in tort,
28 contract, or otherwise against the authority, whether or not such parties have notice
Page 18 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 thereof.  The instrument by which such a pledge is created need not be filed or
2 recorded except in the official minutes of the authority.
3	H.  The bonds shall be executed in the name of the authority in the manner
4 provided in the resolution authorizing the issuance of such bonds.
5	I.  Pending the preparation of definitive bonds, the authority may issue
6 interim receipts or temporary bonds, exchangeable for definitive bonds when such
7 bonds have been executed and are available for delivery.
8	J.  No member of the board or of the authority or any person executing such
9 bonds shall be liable personally on such bonds.
10	K.  All bonds and any interest coupons appertaining thereto issued pursuant
11 to this Section shall be and are hereby made negotiable instruments within the
12 meaning of and for all purposes of the negotiable instruments law of Louisiana,
13 subject only to the provisions of bonds for registration.
14	L.  All bonds and the income therefrom is exempt from all taxation by this
15 state or any political subdivision thereof.  The bonds shall be legal and authorized
16 investments for banks, savings banks, insurance companies, homestead and building
17 and loan associations, trustees, and other fiduciaries and may be used for deposit
18 with any officer, board, municipality, or other political subdivision of the state of
19 Louisiana, in any case where deposit or security is required.
20	M.  When any bonds secured in whole or in part by any taxes, fees, or
21 charges authorized by this Section have been issued, neither the legislature nor the
22 authority shall discontinue or decrease the applicable taxes, fees, or charges, or
23 permit to be discontinued or decreased the applicable taxes, fees, or charges in
24 anticipation of the collection of which such bonds have been issued, or in any way
25 make any change in the allocation and dedication of the proceeds of such taxes, fees,
26 or charges which would diminish the amount of the revenues to be received
27 therefrom by the authority until all of such bonds shall have been retired as to
28 principal and interest or irrevocable provision is made for the payment of principal
29 and interest on such bonds.
Page 19 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	N.  The bonds and the interest thereon shall not be considered a debt of the
2 state or any political subdivision thereof within the meaning of the constitution or the
3 statutes of the state and shall never constitute a charge against the credit or taxing
4 power of the state or any other political subdivision thereof.  Neither the state or any
5 other political subdivision thereof shall in any manner be liable for the payment of
6 the principal, interest or premium, sinking or reserve fund requirements, or other
7 requirements of the bonds or for the performance of any agreement or pledge of any
8 kind which may be undertaken by the authority.
9	O.  The powers and rights conferred by this Section shall be in addition and
10 supplemental to the powers and rights conferred by any other general or special law.
11 This Section does and shall be construed to provide a complete and additional
12 method for the doing of the things authorized thereby.  The issuance of bonds or
13 refunding bonds or other obligations pursuant to the provisions of this Section need
14 not comply with the requirements of any other state law applicable to the issuance
15 of the bonds or other obligations for the financing of any project, except as provided
16 by this Section.  No proceedings, notice, or approval shall be required for the
17 issuance of any bonds or any instrument as security therefor, except as provided in
18 this Section.  The provisions of this Section shall be liberally construed for the
19 accomplishment of its purposes.
20	P.  Any resolution authorizing the issuance of bonds shall be published one
21 time in the official journal of the authority; however, it shall not be necessary to
22 publish any exhibits to such resolution if exhibits are available for public inspection
23 and such fact is stated in the publication.  For thirty days after the date of
24 publication, any person in interest may contest the legality of the resolution, any
25 provision of the bonds to be issued pursuant to it, the provisions therein made for the
26 security and payment of the bonds, and the validity of all the provisions and
27 proceedings relating to the authorization and issuance of such bonds.  After that time,
28 no person may contest the regularity, formality, legality, or effectiveness of the
29 resolution, any provision of the bonds to be issued pursuant to it, the provisions for
Page 20 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 the security and payment of the bonds, and the validity of all other provisions and
2 proceedings relating to their authorization and issuance, for any cause whatever.
3 Thereafter, it shall be conclusively presumed that the bonds are legal and that every
4 legal requirement for the issuance of the bonds has been complied with.  No court
5 shall have authority to inquire into any of these matters after the thirty days.
6 §4710.18.  Obligations of the authority solely
7	Bonds issued by the authority are negotiable instruments and are solely the
8 obligations of the authority and not of the state of Louisiana or any other agency or
9 political subdivision thereof.  The full faith and credit of the state of Louisiana or of
10 any other state agency shall not secure nor shall the full faith and credit of the state
11 at any time in the future be pledged to secure the payment of any indebtedness
12 incurred by the authority.  The bonds issued by the authority do not constitute an
13 indebtedness, general or special, or a liability of the state or any other political
14 subdivision thereof.  The issuance of the bonds does not directly or indirectly
15 obligate the state or any other political subdivision thereof to provide any funds for
16 the payment of such bonds.  The bonds and interest coupons attached thereto shall
17 not at the time of issuance nor shall they ever be considered a debt of the state or any
18 other political subdivision thereof within the meaning of the constitution or the
19 statutes of the state and shall not at the time of issuance and shall never constitute a
20 charge against the credit or taxing power of the state or any other political
21 subdivision thereof.  Neither the state or any other political subdivision thereof shall
22 in any manner be liable for the payment of the principal, interest on premiums,
23 sinking or reserve fund requirements or other requirements of the bonds or for the
24 performance of any agreement or pledge of any kind which may be undertaken by
25 the authority.  No breach by the authority of any pledge or agreement shall create any
26 obligation upon the state or any other political subdivision, including any charge
27 against its credit or taxing power.
Page 21 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 §4710.19.  Use of revenue from hotel occupancy taxes
2	A.  Notwithstanding any other provisions of this Chapter to the contrary, if
3 the authority issues bonds and pledges to the payment thereof the proceeds or avails
4 of hotel occupancy taxes authorized by this Chapter, the net proceeds of such taxes
5 in each fiscal year shall be used to satisfy the authority's obligations under the
6 resolutions providing for the issuance of the bonds, including the payment of the
7 expenses of operating, maintaining, or improving the project or projects financed
8 with the proceeds of such bonds.
9	B.  After provision has been made for the discharge of such obligations, any
10 balance remaining from such taxes, as set forth in the authority's audited financial
11 statements for each fiscal year, shall be applied, within thirty days of the acceptance
12 by the board of the audited statements, for the following purposes and in the
13 following order of priority:
14	(1)  For the payment of rents due by the authority.
15	(2)  For the payment of bond service charges.
16	(3)  For the payment of the administrative and operating expenses of the
17 authority.
18	(4)  For the payment of the cost of maintaining, improving, and operating
19 exhibition or convention facilities if the authority undertakes the maintenance,
20 improvement, and operation of same pursuant to a contract with the city of New
21 Orleans or any other person.  Any contract entered into by the authority with any
22 private person, firm, or corporation for the maintenance or operation of any
23 exhibition or convention facility shall be made and entered into in accordance with
24 the provisions of R.S. 38:2211.
25	(5)  To establish a reserve fund for replacement and for future needs for the
26 purposes provided for in this Chapter.  Such future needs shall be described with
27 reasonable particularity.  The aggregate amount held in the reserve fund shall not
28 exceed one hundred million dollars.
Page 22 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	(6)  For the payment to the city of New Orleans of one hundred percent of
2 any amount remaining at the end of the fiscal year after the other requirements of this
3 Subsection are met.
4	(7)  Notwithstanding the provisions of Paragraph (6) of this Subsection, the
5 authority shall not make the payments required by that Paragraph if the retention of
6 such funds is authorized by a majority of the electors of Orleans Parish voting at an
7 election held for that purpose in accordance with the Louisiana Election Code.
8 §4710.20.  State funds
9	Any provision of law to the contrary notwithstanding, the state shall not,
10 without prior express and specific authorization by a law, advance or expend any
11 funds for payment of the debt service or retirement of revenue bonds issued by the
12 Ernest N. Morial-New Orleans Exhibition Hall Authority, or its predecessor, the
13 New Orleans Exhibition Hall Authority.
14 §4710.21.  Superdome; certain exhibits
15	If an exhibition be suitable for and the exhibitor be willing to hold the
16 exhibition in the Superdome, no contract for such exhibition in any facility of the
17 authority shall be entered into without the prior approval of the operating
18 management of the Superdome, which approval shall not be unreasonably withheld.
19 §4710.22.  Port of New Orleans
20	A.  Nothing in this Chapter shall be construed to affect, impinge upon, or
21 diminish the rights, powers, and jurisdiction of the board of commissioners of the
22 Port of New Orleans.
23	B.  Notwithstanding anything contained in this Chapter to the contrary, no
24 provision of this Chapter shall be interpreted or construed to require the location or
25 construction of an exhibition facility on the public wharf known as the Poydras
26 Street Wharf, more particularly described in the lease between the board of
27 commissioners of the Port of New Orleans and International Rivercenter made and
28 entered into on the 24th day of April, 1974, as amended.
Page 23 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 §4710.23.  Food and beverage tax
2	A.(1)  The authority may levy and collect a tax on food and beverages sold
3 by any food service establishment, as defined in this Section, located within the
4 parish of Orleans or in any airport or air transportation facility owned and operated
5 by the city of New Orleans, excluding any food service establishment owned by any
6 individual or corporation who had gross annual receipts of less than two hundred
7 thousand dollars from the operation of all such establishments during the calendar
8 year prior to the year in which the food and beverage tax is assessed.
9	(2)  The food and beverage tax shall be in an amount not exceeding one-half
10 of one percent of gross receipts from the sales of food and beverages by said food
11 service establishments.
12	(3)  The tax shall be paid by the person who purchases such food or beverage
13 and shall be paid at the time that the charge for the food or beverage is paid.
14	(4)  The phrase "food service establishment" shall mean any fixed or mobile
15 restaurant, coffee shop, cafeteria, short order café, luncheonette, grill, tearoom,
16 sandwich shop, soda fountain, tavern, bar, cocktail lounge, night club, roadside
17 stand, industrial feeding establishment, private, public, or nonprofit organization or
18 institution routinely serving food, catering kitchen, commissary, delicatessen,
19 convenience store, grocery store, or similar place in which food or drink is prepared
20 for sale or for service on the premises or elsewhere, and any other establishment or
21 operation where food or drink is served or provided for the public.  However, the
22 food and beverage tax shall not apply to meals furnished to any of the following:  the
23 staff and students of educational institutions, including kindergartens; the staff and
24 patients of hospitals; the staff, inmates, and patients of mental institutions, and the
25 boarders of rooming houses.  Such tax shall also not apply to occasional meals
26 furnished in connection with or by educational, religious, or medical organizations
27 if the meals are consumed on the premises where purchased.  However, sales by any
28 of the above institutions or organizations in facilities open to outsiders or to the
Page 24 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 general public are not exempt from the food and beverage tax authorized by this
2 Section.
3	B.  The authority shall impose the food and beverage tax by resolution
4 adopted by the board who shall have the right to provide in the resolution necessary
5 and appropriate rules and regulations for the imposition, collection, and enforcement
6 of the food and beverage tax, including rules relative to issuance of tax exemption
7 certificates.  Said resolution levying and imposing the food and beverage tax may not
8 be adopted by the board unless prior thereto the governing authority of the city of
9 New Orleans approves the levy of such food and beverage tax by a favorable vote
10 of a majority of the members present and voting and the question of or proposition
11 to authorize the levy of the food and beverage tax and the use of avails thereof shall
12 have been submitted to the electors of the city of New Orleans at an election called,
13 conducted, canvassed, and promulgated by the governing authority of the city, in
14 accordance with the laws of Louisiana governing the conduct of elections to
15 authorize the issuance of bonds and the levying of taxes, and a majority of those
16 electors voting in such election shall have voted in favor of the question or
17 proposition to impose the food and beverage tax.
18	C.  The authority may contract with the state of Louisiana or the city of New
19 Orleans, or both, for the collection of the food and beverage tax authorized by this
20 Section.
21	D.(1)  The food and beverage tax shall be automatically terminated upon
22 payment in full of all bonds or other obligations of the authority payable in whole or
23 in part from or secured by such food and beverage tax.  The authority shall not
24 refinance bonds that are secured by the tax and that are outstanding on May 1, 2019,
25 nor shall it take any action that would delay the retirement or extend the term of such
26 bonds.
27	(2)  Notwithstanding the provisions of Paragraph (1) of this Subsection, the
28 authority may levy the tax authorized by this Section and pledge the avails thereof
29 to bonds or other obligations if such levy and pledge is reauthorized by a majority
Page 25 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 of the electors of Orleans Parish voting at an election held after May 1, 2019, for that
2 purpose in accordance with the Louisiana Election Code.
3 §4710.24.  Expansion project; additional taxes
4	A.  As used in this Section, "expansion project" shall mean a project or
5 projects for the acquisition, construction, installation, and equipping of additions or
6 improvements to the Ernest N. Morial Convention Center-New Orleans, the
7 "convention center", including but not by way of limitation each of the following:
8	(1)  Phase III Convention Center Expansion Project, which consists of a
9 building attached to the convention center containing additional exhibit space,
10 meeting rooms, ballroom space, a food court, exhibit hall concession stands, food
11 production facilities, and other structures and facilities functionally related to the
12 convention center and completed in April of 1999.
13	(2)  Phase IV Convention Center Expansion Project, which means the project
14 to construct a free-standing building across Henderson Street from the existing
15 Convention Center, on a site owned by the authority, containing approximately one
16 million five hundred thousand square feet under roof including approximately five
17 hundred thousand square feet of exhibit space, with accompanying meeting rooms,
18 food service areas, building service areas and other facilities functionally related
19 thereto, and which shall be connected to Phase III Convention Center Expansion
20 Project by a pedestrian bridge above Henderson Street.
21	(3)  Phase V Convention Center Expansion Project, which means a project
22 to advance a tourism development plan for the convention center, including
23 enhancements to the facility and installation of basic infrastructure to facilitate
24 private development including the private development of lodging facilities on
25 property owned by the authority, the private component of which may involve a joint
26 project between the authority and a private entity and the public component of which
27 is to be developed and funded in the following four stages in the order and according
28 to the priorities determined by the authority:
Page 26 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	(a)  Stage one is to provide infrastructure including but not limited to the
2 following:
3	(i)  Making public infrastructure improvements on Convention Center
4 Boulevard, from Poydras Street to Orange Street, including utility improvements,
5 redevelopment of north and south bound traffic lanes, the incorporation of a
6 landscaped linear park and pedestrian mall, and the relocation, redirection, and
7 redevelopment of traffic along South Peters Street and Tchoupitoulas Street.
8	(ii)  The development of public infrastructure in the area generally bounded
9 by Henderson Street, Tchoupitoulas Street, Orange Street, and the Mississippi River
10 flood wall to include the extension of Convention Center Boulevard from Henderson
11 Street to Orange Street, public utility infrastructure to support anticipated private
12 development, and any needed soil remediation.
13	(iii)  The relocation of existing power lines along Convention Center
14 Boulevard and the incorporation of a mechanical means of mass transit, such as a
15 moving sidewalk or a monorail, to transport people along Convention Center
16 Boulevard, from Poydras Street to Orange Street.  Stage one projects shall be
17 accomplished in a manner which ensures that there is no reduction or impairment of
18 current vehicular capacity in that area, particularly with respect to any improvements
19 in the vicinity of Convention Center Boulevard and Poydras and Orange Streets.
20	(b)  Stage two is to make improvements at or on the riverfront to provide the
21 following:
22	(i)  Development of a riverfront festival park along the Mississippi River at
23 existing wharfs, providing access to the river through the development of
24 approximately five acres for recreational, hospitality, commercial, and residential
25 use.
26	(ii)  Development of riverfront festival park infrastructure, including public
27 utilities, lighting, and landscaping.
28	(c)(i)  Stage three is to further integrate the convention center with its
29 surrounding urban areas through the following:
Page 27 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	(aa)  Renovation of the south end of the existing convention center in order
2 to create a new south entrance in response to adjacent development.
3	(bb)  Development of an executive conference center which may be
4 integrated as part of a new, privately developed hotel.
5	(ii)  Stage three projects shall be accomplished in a manner which ensures no
6 impairment or diminishment of vehicular access to the facilities of the board of
7 commissioners of the Port of New Orleans which are or may be accessed via
8 Henderson Street.
9	(d)(i)  Stage four is to provide for the renovation, restoration, construction,
10 or demolition of building or buildings, and site preparation related thereto, to
11 facilitate the creation and development of a riverfront festival park.
12	(ii)  Activity associated with the renovation, restoration, construction, or
13 demolition of the building or buildings and the development and operation of the
14 park shall be conducted in a fashion which ensures no interference with or adverse
15 effect upon the main line track of the New Orleans Public Belt Railroad.
16	B.(1)  In order to provide funds for the Phase IV Convention Center
17 Expansion Project and for the use of such funds, along with existing taxes, fees, and
18 charges to secure any bonds issued for the Phase IV Convention Center Expansion
19 Project, the authority may levy and collect within the parish of Orleans a tax of one
20 percent on the occupancy of hotel rooms located in Orleans Parish.
21	(2)  The tax shall be paid by the person who exercises or is entitled to
22 occupancy of the hotel room, and shall be paid at the time the rent or fee for
23 occupancy is paid.
24	(3)  The tax shall not apply to the rent for a hotel room rented to the same
25 occupant for a period of thirty or more consecutive calendar days, nor shall it apply
26 to hotel rooms rented for less than three dollars a day.
27	C.(1)  In order to provide additional funds for the Phase IV Convention
28 Center Expansion Project, the authority may levy and collect an additional tax on
29 food and beverages sold by any food service establishment located within the parish
Page 28 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 of Orleans or in any airport or air transportation facility owned and operated by the
2 city of New Orleans, excluding any food service establishment owned by any
3 individual or corporation who had gross annual receipts of less than five hundred
4 thousand dollars from the operation of all such establishments during the calendar
5 year prior to the year in which the additional food and beverage tax is assessed.  The
6 tax shall be in the amount of one-fourth of one percent of gross receipts from the
7 sales of goods and beverages by said food service establishments.
8	(2)  The tax shall be paid by the person who purchases such food or beverage
9 and shall be paid at the time that the charge for the food or beverage is paid.
10	(3)  The phrase "food service establishment" has the meaning set forth in R.S.
11 33:4710.23 and shall not mean or include convenience stores or grocery stores.
12	(4)  The tax shall not apply to meals furnished to any of the following:  the
13 staff and students of educational institutions, including kindergartens and pre-
14 kindergartens; the staff and patients of hospitals; the staff, inmates, and patients of
15 mental institutions; and the boarders of rooming houses.  The tax also shall not apply
16 to occasional meals furnished in connection with or by educational, religious, or
17 medical organizations if the meals are consumed on the premises where purchased.
18 However, sales by any of the above institutions or organizations in facilities open to
19 outsiders or to the general public are not exempt from the additional food and
20 beverage tax authorized by this Subsection.
21	D.  The authority shall impose the taxes authorized by this Section by
22 resolutions adopted by the board who shall have the right to provide in the
23 resolutions necessary and appropriate rules and regulations for the imposition,
24 collection, and enforcement of such taxes, including rules relative to issuance of tax
25 exemption certificates for the food and beverage tax.  The authority may contract
26 with the state of Louisiana or the city of New Orleans, or both, for the collection of
27 the taxes authorized by this Section.
28	E.(1)  Any tax authorized by this Section shall be automatically terminated
29 upon payment in full of all bonds or other obligations payable in whole or in part
Page 29 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 from or secured by said taxes.  The authority shall not refinance bonds that are
2 secured by any tax authorized by this Section and that are outstanding on May 1,
3 2019, nor shall it take any action that would delay the retirement or extend the term
4 of such bonds.
5	(2)  Notwithstanding the provisions of Paragraph (1) of this Subsection, the
6 authority may levy any tax authorized by this Section and pledge the avails thereof
7 to bonds or other obligations as provided in this Section if such levy and pledge is
8 reauthorized by a majority of the electors of Orleans Parish voting at an election held
9 after May 1, 2019, for that purpose in accordance with the Louisiana Election Code.
10	F.  Without reference to any other provision of the constitution or laws of
11 Louisiana, including this Chapter, the authority may, from time to time, with the
12 approval of the State Bond Commission, issue negotiable bonds in one or more series
13 for the purpose of providing funds to finance the Phase IV Convention Center
14 Expansion Project of the Ernest N. Morial Convention Center in accordance with the
15 provisions of R.S. 33:4710.17 and 4710.17.1; such bonds to be payable from all
16 revenues derived by the authority as more particularly set forth in the resolution or
17 resolutions providing for their issuance.
18	G.  Without reference to any other provision of the constitution or laws of
19 Louisiana, including this Chapter, the authority may, from time to time, with the
20 approval of the State Bond Commission, issue negotiable bonds in one or more series
21 for the purpose of providing funds to finance the Phase V Convention Center
22 Expansion Project of the Ernest N. Morial Convention Center in accordance with the
23 provisions of R.S. 33:4710.17 and 4710.17.1; such bonds to be payable from all
24 revenues derived by the authority as more particularly set forth in the resolution or
25 resolutions providing for their issuance.
26 §4710.25.  Service contractor tax
27	A.  Notwithstanding any other provision of law to the contrary, the authority
28 may levy and collect, within the parish of Orleans, a tax on the furnishing of goods
29 and services which are provided on a contractual basis by service contractors in
Page 30 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 conjunction with trade shows, conventions, exhibitions, and other events, whether
2 public or private, such services to include goods and services provided in connection
3 with the installation and dismantling of exhibits, displays and booths, decorations,
4 electrical supplies, material handling, drag, flowers and floral decorations,
5 computers, audio and visual equipment, bands and orchestras, lighting trusses,
6 rigging and associated equipment, furniture, carpets, signs, props, floats, business
7 machines, plumbing, telephones, photography, catering food services, compressed
8 air or gas, balloons, scaffolding, fork lifts, highlights, security, information retrieval
9 systems, and any other services or items associated with the above.  The tax shall be
10 levied on the service contractor providing the services in an amount equal to two
11 percent of total charges specified in the contract to be paid to the service contractor
12 for the furnishing of the goods and services; however, the amount of the tax may be
13 included in the contract as a charge to be paid by the person for whom the goods and
14 services were provided.
15	B.  In the ordinance imposing the tax, the "service contractor tax ordinance",
16 the authority shall provide for the administration and enforcement of the tax and the
17 collection of the tax from persons subject to the tax as the authority determines to be
18 necessary or practicable for the effective collection, administration, and enforcement
19 of the tax.  The authority may enter into agreements as it deems appropriate with any
20 governmental agency providing for the governmental agency to act as the authority's
21 agent to collect the tax.
22	C.  For purposes of this Section, "service contractors" means and includes
23 those persons who contract to furnish the services and items listed in this Section in
24 conjunction with trade shows, conventions, and exhibitions, whether public or
25 private, which are held and conducted within the parish of Orleans.
26	D.  All proceeds of the tax, penalties, and interest collected under the service
27 contractor tax ordinance shall be paid to the treasurer of the authority or, at the
28 discretion of the authority, to a bank designated by the authority or trustee in
29 accordance with the provisions of a bond resolution and deposited into a trust fund
Page 31 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 held in the name of the authority and administered by the treasurer or trustee as
2 provided in this Section.
3	E.  All amounts deposited from the proceeds of the tax levied pursuant to this
4 Section to the credit of the trust fund shall be administered and disbursed as follows:
5 first, an amount, if any, necessary for the payment of costs of collection of the tax
6 shall be set aside in a special account established for such purpose; second, an
7 amount necessary for the payment of refunds shall be retained in the trust fund or set
8 aside in a special account established for such purpose; and third, the balance of the
9 proceeds shall be used solely for the purpose of paying costs of the Phase III
10 Expansion Project and may be pledged to and used for the payment of bonds secured
11 in whole or in part by such tax and for the payment of all costs and expenses
12 associated with the issuance, sale, and delivery of such bonds, including credit
13 enhancement, derivative products, underwriter's discount, and funding of reserves
14 or other accounts required by the resolution or trust indenture authorizing their
15 issuance.
16	F.  When all bonds secured in whole or in part by the tax have been retired
17 or are no longer deemed to be outstanding under the terms of their issuance, the
18 authority to levy and collect the tax authorized in this Section shall be null and void
19 and such tax shall no longer be collected.
20 §4710.26.  Sight-seeing tour tax
21	A.  As used in this Section, the following words and terms have the following
22 meanings:
23	(1)  "Per capita sight-seeing tour" means a sight-seeing tour sold to
24 individuals and/or groups of individuals on a cost per person basis.
25	(2)  "Sight-seeing tour" means a tour of places and things, including but not
26 by way of limitation points of interest, historic buildings, parks, and other sites
27 conducted by persons acting as sight-seeing guides or lecturers, and includes walking
28 tours and those conducted on any type of vehicle or other means of conveyance.
29 "Sight-seeing tour" does not mean any of the following types of tours: tours for a
Page 32 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 group or groups of individuals who collectively hire a guide or a vehicle for an
2 exclusive private tour limited to such group or groups of individuals or tours of
3 museums, historic buildings or homes, churches, cemeteries, buildings, planetariums,
4 libraries, zoos, or aquariums when a fee is charged by such establishment, place, or
5 facility for a tour of, or visit to, such establishment, place, or facility; however, the
6 definition of "sight-seeing tour" does mean and include tours of, or visits to, any of
7 the establishments, places, or facilities set forth in this Section, if such tours or visits
8 are a part of a general tour of multiple sites, establishments, places, or facilities.
9	(3)  "Ticket" means a certificate, token, or any document evidencing that
10 payment of an admission fee or fare has been made.
11	B.  Notwithstanding any other provisions of law to the contrary, the authority
12 may levy and collect a tax of one dollar on all tickets sold in the parish of Orleans
13 for per capita sight-seeing tours in the parish of Orleans, or for tours, a portion of
14 which includes sight-seeing in the parish of Orleans, except those sold by a
15 governmental agency.  The tax shall be imposed by ordinance, the "tour tax
16 ordinance", adopted by the board which shall provide for the administration and
17 enforcement of the tax and the collection of the tax from persons subject to the tax
18 as the authority determines to be necessary or practical for the effective collection,
19 administration, and enforcement of the tax.  The tax shall be paid by the purchasers
20 of the tickets at the time of purchase.  The authority may enter into agreements as it
21 deems appropriate with any governmental agency providing for that entity or agency
22 to act as the authority's agent to collect the tax.
23	C.  All proceeds of the tax, penalties, and interest collected under the tour tax
24 ordinance shall be paid to the treasurer of the authority or, at the discretion of the
25 authority, to a bank designated by the authority or trustee in accordance with the
26 provisions of a bond resolution and deposited into a trust fund held in the name of
27 the authority and administered by the treasurer or trustee as provided hereinafter in
28 this Section.
Page 33 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1	D.  All amounts deposited from the proceeds of the tax levied pursuant to this
2 Section to the credit of the trust fund shall be administered and disbursed as follows:
3 first, an amount, if any, necessary for the payment of costs of collection of the tax
4 shall be set aside in a special account established for such purpose; second, an
5 amount necessary for the payment of refunds shall be retained in the trust fund or set
6 aside in a special account established for such purpose; and third, the balance of the
7 proceeds deposited in the trust fund shall be used solely for the purpose of financing
8 a portion of the Phase III Expansion Project and may be pledged to and used for the
9 payment of bonds secured in whole or in part by such tax and for the payment of all
10 costs and expenses associated with the issuance, sale, and delivery of such bonds,
11 including credit enhancement, derivative products, underwriter's discount, and
12 funding of reserves or other accounts required by the resolution or trust indenture
13 authorizing their issuance.
14	E.  Until bonds have been issued by the authority and secured by all or any
15 part of the proceeds of the tax, monies on deposit in the trust fund shall be used
16 solely to pay costs of the Phase III Expansion Project.
17	F.  When all bonds secured in whole or in part by the tax have been retired
18 or are no longer deemed to be outstanding under the terms of their issuance, the
19 authority to levy and collect the tax authorized in this Section shall be null and void
20 and such tax shall no longer be collected.
21 §4710.27.  Leases
22	A.  In addition to any other powers of the authority and without reference to
23 any other provision of the constitution or laws of Louisiana, the authority may pledge
24 its taxes, revenues, securities, and other monies to secure any lease or sublease
25 entered into by the authority.  Such taxes, revenues, securities, and other monies so
26 pledged and then held or thereafter received by the authority or any fiduciary shall
27 immediately be subject to the lien of such pledge without any physical delivery
28 thereof or further act, and the lien of any such pledge shall be valid and binding as
29 against all parties having claims of any kind in tort, contract, or otherwise against the
Page 34 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 authority, whether or not such parties have notice thereof.  The instrument by which
2 such a pledge is created need not be filed or recorded except in the official minutes
3 of the authority.
4	B.  When any lease or sublease is secured by the hotel occupancy tax levied
5 pursuant to R.S. 33:4710.15.2 or the food and beverage tax levied pursuant to R.S.
6 33:4710.23, neither the legislature nor the authority shall discontinue or decrease the
7 applicable tax or permit to be discontinued or decreased the applicable tax in
8 anticipation of the collection of which such leases or subleases, or both, have been
9 entered into, or in any way make any change in the allocation and dedication of the
10 proceeds of such tax which would diminish the amount of the applicable tax
11 revenues to be received by the authority until all of such leases or subleases, or both,
12 shall have expired.
13 §4710.28.  Escrow fund
14	In each fiscal year, after payment of all obligations of the authority secured
15 by or payable from all or any part of the taxes levied pursuant to R.S. 33:4710.15.2
16 and 4710.23, the authority shall deposit the balance of such taxes into a special
17 escrow fund to be used solely to retire said obligations in advance of their maturities
18 at a price or prices not greater than the applicable redemption price.  However, the
19 provisions of this Section shall be applicable only to outstanding obligations of the
20 authority issued or incurred prior to the effective date of this amendment to this
21 Section and shall not be applicable with respect to any bonds or other obligations
22 issued or incurred thereafter to pay any costs of the Phase III Expansion Project, the
23 Phase IV Expansion Project, or the Phase V Convention Center Expansion Project.
24 §4710.29.  Minority businesses
25	A.  To provide equal procurement, contractual, and employment participation
26 in any project, the authority shall prescribe rules and regulations as may be necessary
27 to provide for the following protections for the rights of minority citizens:
28	(1)  To designate and set aside for awarding to minority businesses not less
29 than thirty percent of anticipated local procurement of goods and services
Page 35 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 respectively, including contracts for professional services but excluding construction,
2 for any expansion project, based upon the total value of such procurement.
3	(2)  To designate and set aside for awarding to minority contractors not less
4 than twenty percent of the construction contracts for any expansion project, based
5 upon the total value of such contracts.
6	(3)  To establish an affirmative action plan for the hiring and maintenance of
7 personnel for any expansion project.
8	(4)  To establish an affirmative action plan to guarantee that equal
9 opportunity in employment is incorporated into each agreement or contract with any
10 provider of services to the authority for any expansion project.
11	(5)  To prescribe and promulgate rules and regulations to provide for
12 effective enforcement of the rights granted in this Section including injunctive relief
13 and penalties for violations.
14	(6)  To prescribe and promulgate rules and regulations for the certification
15 of businesses as bona fide minority businesses or minority contractors.
16	B.  For purposes of this Section, the following definitions apply:
17	(1)  "Minority" means a person who is a citizen or lawful permanent resident
18 of the United States and who is:
19	(a)  Black: having origins in any of the black racial groups of Africa.
20	(b)  Hispanic: of Mexican, Puerto Rican, Cuban, Central or South American,
21 or other Spanish or Portuguese culture or origin regardless of race.
22	(c)  Asian American: having origins in any of the original peoples of the Far
23 East, Southeast Asia, the Indian subcontinent, or the Pacific Islands.
24	(d)  American Indian or Alaskan Native: having origins in any of the original
25 peoples of North America.
26	(2)  "Minority business" or "minority contractor" means a small business
27 organized for profit performing a commercially useful function which is owned and
28 controlled by one or more minority individuals or a minority enterprise as defined
29 in R.S. 39:1952.  "Owned and controlled" means a business in which one or more
Page 36 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1 minorities or minority business enterprises own at least fifty-one percent or in the
2 case of a corporation at least fifty-one percent of the voting stock and control at least
3 fifty-one percent of the management and daily operations of the business.
4 Section 2.  R.S. 33:4710.11(D) is hereby amended and reenacted to read as follows:
5	D.  As used in this Chapter, the word "project" or "projects" means any one
6 or more of any combination of convention, exhibition, and tourist facilities,
7 including a convention center hotel with multi-story parking garage and bridge
8 connecting the hotel and the south end of the convention center, the "Convention
9 Center Headquarters Hotel Project", and the necessary land, acquired by lease or
10 purchase, site improvements, infrastructure, furnishings, machinery, equipment, and
11 appurtenances therefor other than lodging facilities but including infrastructure and
12 site improvements to facilitate the private development and funding of lodging
13 facilities.  The authority may utilize its tax revenues, other income, and other
14 revenues for the costs of the design, development, construction, furnishing, and
15 equipping of the Convention Center Headquarters Hotel Project, as provided in and
16 pursuant to any contracts described in this Section or as provided in and pursuant to
17 a cooperative endeavor agreement.
18 Section 3.(A)  Section 1 and this Section of this Act shall become effective on July
191, 2019; if the Act is vetoed by the governor and subsequently approved by the legislature,
20Section 1 and this Section of this Act shall become effective on July 1, 2019, or on the day
21following such approval by the legislature, whichever is later.
22 (B)  Section 2 of this Act shall become effective on July 1, 2020, but only if prior to
23that date, the Ernest N. Morial-New Orleans Exhibition Hall Authority enters a cooperative
24endeavor agreement with the city of New Orleans regarding property tax payments or
25payments in lieu of property taxes, issues regarding project financing, and any other matter
26of concern to either party all as related to the Convention Center Headquarters Hotel Project
27property provided for in R.S. 33:4710.11(D) as amended by Section 2 of this Act.  A copy
28of the cooperative endeavor agreement and an affidavit indicating that both parties recognize
29that the agreement constitutes the agreement anticipated by this Section shall be submitted
Page 37 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
1to the presiding officers of the Louisiana House of Representatives and the Louisiana Senate
2and the Louisiana State Law Institute.  If any of the submissions required by this Section is
3not received by July 1, 2020, Section 2 of this Act shall not become effective.
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 573 Engrossed 2019 Regular Session	Abramson
Abstract:  Codifies laws pertaining to the Ernest N. Morial-New Orleans Exhibition Hall
Authority and provides relative to revenues and projects of the authority.
Present law creates the Ernest N. Morial-New Orleans Exhibition Hall Authority (convention
center authority) to acquire, construct, reconstruct, extend, improve, maintain, and operate
projects within the city of New Orleans in order to promote the economic growth and
development of the city and its neighboring parishes.
Proposed law incorporates uncodified Acts of the legislature relating to the convention
center authority into the La. Revised Statutes of 1950.  The table at the end of this digest
indicates the Sections of Act No. 305 of 1978 R.S., as amended, the most recent expression
of the legislature on each of those Sections or portions thereof, and the placement of those
provisions in the proposed codification scheme in Title 33 of the La. Revised Statutes of
1950.
Proposed law also makes changes to present law as follows:
Present law authorizes the convention center authority to levy hotel occupancy taxes and
provides relative to the use of the proceeds of such taxes after provision is made for the
payment of debt secured by such proceeds.  Proposed law provides that such remaining
revenue shall be that specified as such in audited financial statements for each fiscal year. 
Proposed law requires that payments required by present law and proposed law shall be
made within 30 days of the acceptance of the audited statements.
Present law, modified by proposed law as indicated, requires use of such hotel occupancy
tax proceeds remaining after payment of debt for the following purposes in the following
order of priority:
(1)Payment of rents due.
(2)Payment of bond service charges.
(3)Payment of administrative and operating expenses.
(4)Payment of the cost of maintaining, improving and operating exhibition or
convention facilities.
(5)To establish a reserve fund for replacement and for future needs.  Proposed law
requires that such future needs be described with reasonable particularity and
prohibits the aggregate amount held in such reserve funds from exceeding $100
million.
Page 38 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
(6)Payments to the city of New Orleans.  Present law provides that revenues remaining
at the end of each fiscal year, prior to the issuance of bonds and after the payment of
specified expenses, is considered surplus and may be paid to the city of New
Orleans.  Proposed law requires remaining funds in excess of $100 million, at the
end of each fiscal year, to be paid to the city of New Orleans unless the voters of
New Orleans authorize the convention center authority to retain such funds.
Present law authorizes the convention center authority to levy a tax on food and beverages
sold by any food service establishment located within Orleans Parish or in any airport or air
transportation facility owned and operated by the city of New Orleans at a rate not to exceed
1/2%.
Present law authorizes the convention center authority to undertake specified "expansion
projects", one of which is designated Phase IV, which includes construction of a free-
standing building across Henderson Street from the existing convention center, on a site
owned by the convention center authority, containing approximately 1,500,000 square feet
under roof, including approximately 500,000 square feet of exhibit space, with
accompanying meeting rooms, food service areas, building service areas, and other facilities
functionally related thereto.
Present law authorizes the convention center authority, for the purpose of funding Phase IV,
to impose an additional 1% hotel occupancy tax and a 1/4% tax on food and beverages sold
by any food service establishment located within Orleans Parish or in any airport or air
transportation facility owned and operated by the city of New Orleans.
Present law provides for termination of both food and beverage taxes and the 1% hotel
occupancy tax upon payment in full of obligations secured in whole or in part by proceeds
of such taxes.  Proposed law prohibits the convention center authority from refinancing
bonds secured by such taxes or taking any other action that would delay the retirement of
such bonds that are outstanding on May 1, 2019.  However, proposed law authorizes the
convention center authority to levy such taxes and pledge the avails thereof if such actions
are reauthorized by the voters of New Orleans.
Present law requires the convention center authority to prescribe rules to provide for
protections for the rights of minority citizens.  Present law requires that such rules include,
for any expansion project ("expansion project" is described above in this digest), the setting
aside for minority businesses of not less than 30% of anticipated local procurement of goods
and services other than construction and not less than 20% of the construction contracts. 
Requires adoption of affirmative action plans.
Proposed law retains present law but makes it applicable to any project undertaken by the
convention center authority.
Present law defines "project" to mean convention, exhibition, and tourist facilities, other than
lodging facilities, and necessary site improvements, infrastructure, furnishings, machinery,
equipment, and appurtenances.  Proposed law adds acquisition of land and a hotel with
multi-story parking garage and bridge connecting the hotel and the south end of the
convention center to the definition of project.  Proposed law becomes effective on July 1,
2020, but only if the convention center authority enters a cooperative endeavor agreement
with the city of New Orleans regarding certain taxes and other matters.
Effective July 1, 2019, except as otherwise provided by the Act.
Page 39 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
Section of Act No. 305Source	Disposition in Title 33
1- Creation Act 43 of 1992 RS 4710.11(A)
2- Bd of commissioners
(A) Act 1174 of 1997 RS 4710.12(A) and (B)
(B) Act 1174 of 1997 RS 4710.12(C)
(C) Act 572 of 1984 RS 4710.12(D)
(D) Act 572 of 1984 RS obsolete
3- Domicile Act 1174 of 1997 RS 4710.11(B)
3- Bd of commissionersAct 1174 of 1997 RS 4710.12(D)-(H)
4- Powers and duties
4(intro paragraph) Act 557 of 2014 RS 4710.11(C) and (D)
4(A) and (B) Act 305 of 1978 RS 4710.13(1) an (2)
4(C) Act 1176 of 1997 RS 4710.13(3)
4(D) Act 557 of 2014 RS 4710.13(4)
4(E) and (F) Act 305 of 1978 RS 4710.13(5) and (6)
(G) Act 557 of 2014 RS 4710.13(7)
4(H) and (I) Act 42 of 1994 RS 4710.13(8) and (9)
4(J), (K), and (L) Act 305 of 1978 RS 4710.13(10), (11), and (12)
4(M) Act 557 of 2014 RS 4710.13(13)
4(N) and (O) Act 305 of 1978 RS 4710.13(14) and (15)
4(P) Act 1176 of 1997 RS 4710.13(16)
5- Rivercenter
5(A) and (B) Act 305 of 1978 RS 4710.14
5(C) Act 305 of 1978 RS 4710.13(17)
5(D) Repealed; Act 287 of 1982Previously repealed
5(E) Act 9 of 1980 2nd ES 4710.13(18)
6- Hotel occupancy taxAct 305 of 1978 RS 4710.15
6.1- Additional hotel
occupancy tax
Act 42 of 1994 RS 4710.15.1
7- Use of revenue Act 305 of 1978 RS 4710.16
8- Issue bonds
8(1st paragraph) Act 42 of 1994 RS 4710.17(A)
8(2nd paragraph) Act 42 of 1994 RS 4710.17(B)
8(3rd through 7th para)Act 305 of 1978 RS 4710.17(C)-(G)
8(8th paragraph) Act 42 of 1994  RS 4710.17(H)
Page 40 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
8(9th and 10th para)Act 305 of 1978RS 4710.17(I) and (J)
9- Authority of
legislature
Act 305 of 1978RS 4710.17(K)
10- Obligations solely of
the authority 
Act 305 of 1978RS 4710.18
11- Hotel tax revenuesAct 305 of 1978RS 4710.19
12- Limit on state
authority to
spend funds
Act 43 of 1992 RS 4710.20
13- Exhibitions;
superdome
Act 305 of 1978RS 4710.21
14- Severability Act 305 of 1978RS obsolete
15- Powers of Port of
New Orleans
Act 305 of 1978RS 4710.22(A)
16- Effective date of
original Act
Act 305 of 1978RS obsolete
17- Poydras Street
Wharf
Act 305 of 1978RS 4710.22(B)
18- Hotel occupancy tax
(flat rate)
Act 390 of 1987 RS 4710.15.2
19- Food and beverage
tax
Act 390 of 1987 RS 4710.23
20- Phase IV expansion;
additional taxes
20(A) Act 557 of 2014 RS 4710.24(A)
20(B) through (E)Act 72 of 02 1ES 4710.24(B)-(F)
20(F) Act 557 of 2014 RS 4710.24(G)
20.1- Service contractor
tax
Act 42 of 1994 RS 4710.25
20.2- Sight-seeing tour
tax
Act 42 of 1994 RS 4710.26
21- Bonds
21(A) Act 42 of 1994 RS 4710.17.1(A)
21(B) through (F) Act 390 of 1987 RS 4710.17.1(B)-(F)
21(G) Act 42 of 1994 RS 4710.17.1(G)
21(H) through (L) Act 390 of 1987 RS 4710.17.1(H)-(L)
21(M) Act 42 of 1994 RS 4710.17.1(M)
21(N) through (P)Act 390 of 1987 RS 4710.17.1(N)-(P)
22- Pledge of funds to
leases
Act 390 of 1987 RS 4710.27
Page 41 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 19RS-383	ENGROSSED
HB NO. 573
23- Escrow; certain
funds
Act 557 of 2014 RS 4710.28
24- Minority businessesAct 390 of 1987 RS 4710.29
(Adds R.S. 33:4710.11-4710.29)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Ways and Means to the
original bill:
1. Add provisions requiring the payment of certain reserve funds to the city of New
Orleans unless the voters of New Orleans authorize the convention center
authority to retain such funds.
2. Add provisions prohibiting the convention center authority from delaying the
retirement of outstanding bonds secured by certain taxes unless the voters of
New Orleans reauthorize those taxes.
3. Add provisions making disadvantaged business provisions of present law
applicable to all projects rather than expansion projects.
4. Add provisions adding a hotel project to authorized projects and provisions
making such addition contingent on a cooperative endeavor agreement with the
city of New Orleans.
Page 42 of 42
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions.