HLS 20RS-381 ORIGINAL 2020 Regular Session HOUSE BILL NO. 679 BY REPRESENTATIVE NELSON CULTURE/REC/TOUR DEPT: Provides relative to the sale and lease of immovable property by the secretary of the Department of Culture, Recreation and Tourism 1 AN ACT 2To amend and reenact R.S. 36:204(B)(6) and (9), relative to the Department of Culture, 3 Recreation and Tourism; to provide relative to immovable property under the 4 department's supervision, jurisdiction, and management; to provide relative to the 5 powers and duties of the secretary of the department with respect to the sale and 6 lease of such property; and to provide for related matters. 7Be it enacted by the Legislature of Louisiana: 8 Section 1. R.S. 36:204(B)(6) and (9) are hereby amended and reenacted to read as 9follows: 10 ยง204. Powers and duties of secretary of culture, recreation and tourism 11 * * * 12 B. The secretary shall have authority to: 13 * * * 14 (6)(a) Sell, lease, or sublease state park lands in accordance with the 15 applicable provisions of the sale and lease laws of public lands of the state of 16 Louisiana state owned immovable property located within the boundaries of any 17 state park, in accordance with the applicable provisions of law for the sale of the 18 state's immovable property. Additionally, any such sale is subject to the approval of 19 the legislature. 20 * * * Page 1 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-381 ORIGINAL HB NO. 679 1 (9)(a) Grant leases, subleases, and concession leases, and enter any related 2 contract or agreement, hereafter in this Paragraph collectively referred to in this 3 Paragraph as a "lease", on any portion of the immovable property under the 4 department's supervision, jurisdiction, or management, except the Lower Pontalba 5 Building, to any of the following: public or private entity. Except as otherwise 6 provided in this Paragraph, a lease is subject to the applicable provisions of law for 7 the lease of the state's immovable property. 8 (a) A public body. The application, advertisement, and bid requirements set 9 forth in Part I of Chapter 10 of Title 41 of the Louisiana Revised Statutes of 1950 10 shall not apply to such a lease. 11 (b) A private entity. The provisions of Part I of Chapter 10 of Title 41 of the 12 Louisiana Revised Statutes of 1950 shall not apply to a mineral or timber lease with 13 a private entity. If a private entity is obligated under the terms of a lease to 14 undertake activities or to construct improvements on the leased immovable property 15 that will support the public purposes of the department, the provisions of Part I of 16 Chapter 10 of Title 41 of the Louisiana Revised Statutes of 1950 shall not apply to 17 the lease, but such a lease is subject to the following conditions: 18 (i) Such a lease shall be negotiated and let in accordance with fair and 19 reasonable criteria established and applied relating to a balance of factors including 20 but not limited to rent, highest return of revenue and benefits, financial stability of 21 the lessee or sublessee, architectural design, development and management of 22 operational plan, uniqueness of operation, and stimulating other economic activity 23 and public benefits within the state. 24 (ii) A lease entered into by a private lessee for the performance of work on 25 the leased premises or the erection, construction, or maintenance of improvements 26 on the leased premises shall not constitute a contract for public work as defined in 27 R.S. 38:2211(A). 28 (iii) The architectural plans for such improvements shall be approved by the 29 secretary prior to construction on the leased or subleased property. Page 2 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-381 ORIGINAL HB NO. 679 1 (iv) Such leases shall be subject to R.S. 39:11 and 366.11. 2 (c) The provisions of this Paragraph shall not impair or diminish the priority 3 established for individuals who are blind, under the administration of the Louisiana 4 Rehabilitation Services, in the operation of vending stands, vending machines, 5 cafeterias, or other food concessions. 6 (b) If a private entity is obligated under the terms of a lease to construct 7 improvements on the leased immovable property, the architectural plans for such 8 improvements are subject to the approval of the secretary prior to construction. 9 (c) If a lease authorizes a private entity to construct improvements on any 10 leased immovable property located within the boundaries of a state park, such lease 11 is subject to the approval of the legislature. 12 (d) No lease entered into by a private entity for the performance of work on 13 the leased immovable property, or for the erection, construction, or maintenance of 14 improvements on the leased immovable property, shall constitute a contract for 15 public work as defined in R.S. 38:2211(A). 16 (e) The provisions of this Paragraph shall not impair or diminish the priority 17 established for individuals who are blind, under the administration of the Louisiana 18 Rehabilitation Services, in the operation of vending stands, vending machines, 19 cafeterias, or other food concessions. 20 * * * 21 Section 2. This Act shall become effective upon signature by the governor or, if not 22signed by the governor, upon expiration of the time for bills to become law without signature 23by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If 24vetoed by the governor and subsequently approved by the legislature, this Act shall become 25effective on the day following such approval. Page 3 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-381 ORIGINAL HB NO. 679 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 679 Original 2020 Regular Session Nelson Abstract: Provides for certain limitations on the powers granted to the secretary of the Dept. of Culture, Recreation and Tourism with respect to the sell and lease of immovable property. Present law (R.S. 36:204 and R.S. 56:1687) provides generally for the powers and duties of the secretary of the Dept. of Culture, Recreation and Tourism (department), including the authority to sell state park lands. Authorizes the secretary to sell such lands in accordance with the applicable provisions for the sale of the state's public lands. Proposed law instead authorizes the secretary to sell state owned immovable property located within the boundaries of a state park, in accordance with the applicable provisions for the sale of the state's immovable property. Additionally makes such sales subject to legislative approval. Present law authorizes the secretary to grant leases, subleases, and concession leases and to enter any related contract or agreement on any portion of immovable property under the department's supervision, jurisdiction, or management, except the Lower Pontalba Building to any public or private entity. Proposed law removes the authority granted to the secretary to enter into related contracts or agreements. Proposed law otherwise retains present law. Present law provides that the application, advertisement, and bid requirements of present law (R.S. 41:1211 et seq.) relative to the lease of public lands do not apply to a lease of immovable property granted by the secretary to a public entity or to a mineral or timber lease granted to a private entity. Proposed law provides instead that leases of immovable property shall be granted in accordance with the applicable provisions of law for the lease of the state's immovable property. Present law provides that if a private entity is obligated under the terms of a lease to undertake activities or to construct improvements on the property that will support the public purposes of the department, the lease is subject to the following conditions: (1)The lease will be negotiated and let in accordance with fair and reasonable criteria established and applied relating to a balance of factors including but not limited to rent, highest return of revenue and benefits, financial stability of the lessee or sublessee, and architectural design. (2)A lease entered into by a private lessee for the performance of work on the leased premises or the erection, construction, or maintenance of improvements on the leased premises will not constitute a contract for public work. (3)The architectural plans for such improvements shall be approved by the secretary prior to construction on the leased or subleased property. (4)Such leases are subject to the laws governing the administration of state lands and cooperative endeavor agreements. Page 4 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-381 ORIGINAL HB NO. 679 Proposed law provides instead that if a private entity is obligated under the terms of a lease to construct improvements on the leased immovable property, the architectural plans for the improvements are subject to the approval of the secretary prior to construction. Further provides that if a lease authorizes a private entity to construct improvements on any leased immovable property located within the boundaries of a state park, the lease is subject to legislative approval. Proposed law retains present law provision that no lease entered into by a private entity for the performance of work on the leased immovable property, or for the erection, construction, or maintenance of improvements on the leased immovable property, shall constitute a contract for public work as defined in R.S. 38:2211(A). Present law provides that it is not the intent of present law to impair or diminish the priority established for individuals who are blind, under the administration of the Louisiana Rehabilitation Services, in the operation of vending stands, vending machines, cafeterias, or other food concessions. Proposed law retains present law. Effective upon signature of governor or lapse of time for gubernatorial action. (Amends R.S. 36:204(B)(6) and (9)) Page 5 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions.