HLS 20RS-15 ORIGINAL 2020 Regular Session HOUSE BILL NO. 282 BY REPRESENTATIVE BAGLEY PROCUREMENT: Provides for lease terms of airport facilities 1 AN ACT 2To repeal R.S. 2:135.1(B)(2), relative to airport facility leases; to provide for the removal 3 of lease requirements pertaining to the addition or construction of certain 4 improvements for non-carrier airports and air-carrier airports; and to provide for 5 related matters. 6Be it enacted by the Legislature of Louisiana: 7 Section 1. R.S. 2:135.1(B)(2) is hereby repealed in its entirety. 8 Section 2. The Louisiana State Law Institute is hereby authorized and directed to 9redesignate R.S. 2:135.1(B)(1)(a) through R.S. 2:135.1(B)(1)(e) as R.S. 2:135.1(B)(1) 10through R.S. 2:135.1(B)(5). 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 282 Original 2020 Regular Session Bagley Abstract: Removes lease requirements that authorize the lessor to grant the option to extend the primary airport facility lease term for an additional period of not more than 10 years based on the amount of permanent improvements added or contracted to be added. Present law provides that the length of all airport facility leases is for a period not to exceed 10 years; however, the lessor may grant the option to extend the lease term for an additional 10 years to any lessee who: (1) Leases land or holds a 10-year lease in effect on or after Aug. 15, 1999, and within the 10-year lease term, adds or contracts to add permanent improvements to or on the land in the amount not less than $20,000. Page 1 of 2 HLS 20RS-15 ORIGINAL HB NO. 282 (2) Has provided written notice to the lessor of the desire to extend the primary lease. (3) Has provided proof that the improvements have been made or contracted for. Present law provides the option for the lessor to extend the lease term by an additional 10 years under the following conditions: (1) When the lease provides that the improvements will become the property of the lessor at no additional cost to the lessor. (2) When such improvements are in excess of $60,000 for non-air carrier airports or $100,000 for air carrier airports and the lease provides for the addition or construction on or to the land in these amounts. Present law prohibits the extended lease term from exceeding a maximum term of 100 years. Proposed law repeals the present law provisions in their entirety. Directs the La. State Law Institute to redesignate certain provisions. (Repeals R.S. 2:135.1(B)(2)) Page 2 of 2