HLS 20RS-275 ORIGINAL
2020 Regular Session
HOUSE BILL NO. 526
BY REPRESENTATIVE IVEY
TAX/AD VALOREM-EXEMPTION: (Constitutional Amendment) Establishes an ad
valorem tax exemption for certain property subject to a cooperative endeavor
agreement requiring the property owner to make payments in lieu of taxes
1 A JOINT RESOLUTION
2Proposing to add Article VII, Section 21(O) of the Constitution of Louisiana, relative to ad
3 valorem property tax exemptions; to establish an exemption for certain non-
4 residential property subject to a cooperative endeavor agreement requiring payments
5 in lieu of taxes; to provide for certain requirements and limitations; to provide for
6 submission of the proposed amendment to the electors; to provide for effectiveness;
7 and to provide for related matters.
8 Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members
9elected to each house concurring, that there shall be submitted to the electors of the state of
10Louisiana, for their approval or rejection in the manner provided by law, a proposal to add
11Article VII, Section 21(O) of the Constitution of Louisiana, to read as follows:
12 ยง21. Other Property Exemptions
13 Section 21. In addition to the homestead exemption provided for in Section
14 20 of this Article, the following property and no other shall be exempt from ad
15 valorem taxation:
16 * * *
17 (O) Non-residential property subject to a cooperative endeavor agreement,
18 as provided by law and this constitution, between the owner and one or more taxing
19 authorities which agreement requires the property owner to make payments in lieu
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 20RS-275 ORIGINAL
HB NO. 526
1 of taxes. Non-residential property eligible for this exemption shall be established by
2 law.
3 (1) The exemption authorized under this Paragraph shall be to the extent
4 agreed to and provided for in the cooperative endeavor agreement. All property made
5 part of the cooperative endeavor agreement shall be listed on the assessment rolls
6 and submitted to the Louisiana Tax Commission.
7 (2) Enactment of any law to implement this Paragraph and any amendment
8 to that law shall require a two-thirds vote of the elected members of each house of
9 the legislature.
10 Section 2. Be it further resolved that the provisions of the amendment contained in
11this Joint Resolution shall become effective on January 1, 2021.
12 Section 3. Be it further resolved that this proposed amendment shall be submitted
13to the electors of the state of Louisiana at the statewide election to be held on November 3,
142020.
15 Section 4. Be it further resolved that on the official ballot to be used at the election,
16there shall be printed a proposition, upon which the electors of the state shall be permitted
17to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as
18follows:
19 Do you support an amendment to grant a property tax exemption for non-
20 residential property subject to a cooperative endeavor agreement with local
21 taxing authorities allowing the property owner to make payments in place of
22 property taxes and to require a two-thirds vote of the legislature to enact laws
23 related to the exemption? (Effective January 1, 2021) (Adds Article VII,
24 Section 21(O))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 20RS-275 ORIGINAL
HB NO. 526
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 526 Original 2020 Regular Session Ivey
Abstract: Establishes an ad valorem tax exemption for non-residential property subject to
a cooperative endeavor agreement that requires the property owner to make
payments in lieu of ad valorem taxes.
Present constitution authorizes the imposition of ad valorem property taxes by local
governments, school boards, and other special districts.
Present constitution establishes a list of exclusive ad valorem tax exemptions.
Proposed constitutional amendment changes present constitution by creating an exemption
for non-residential property subject to a cooperative endeavor agreement requiring the
property owner to make payments in lieu of the ad valorem taxes imposed by a taxing
authority party to the agreement. The extent of the exemption shall be as provided for in the
agreement.
Proposed constitutional amendment provides the specific property eligible for this
exemption shall be established in law.
Proposed constitutional amendment requires that any law enacted to implement this payment
in lieu of taxes program will require a two-thirds vote of both houses of the legislature.
Proposed constitutional amendment requires that exempt properties be listed on the
assessment rolls and that information concerning those properties be submitted to the La.
Tax Commission.
Provides for submission of the proposed amendment to the voters at the statewide election
to be held Nov. 3, 2020.
Effective Jan. 1, 2021
(Adds Article VII, Sec. 21(O))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.