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 850 Engrossed 2020 Regular Session Ivey
Abstract: Provides relative to economic development districts authorized to engage in tax increment
financing.
Present law authorizes parishes and municipalities to create economic development districts which
have the authority to engage in tax increment financing. Proposed law requires that the boundary
of a district be a single, contiguous boundary and provides that no property within that boundary
shall be excluded from the district.
Present law authorizes such districts, subject to voter approval, to levy ad valorem, sales, and hotel
occupancy taxes. Authorizes, also subject to voter approval, local governments to pledge ad valorem
tax increments to the repayment of revenue bonds. Proposed law retains present law.
Present law provides that if there are no voters in the district, no election is required. Proposed law
provides that if there are no voters in the district, the governing authority of the district shall call the
election in and submit the proposition to the qualified electors of every precinct that lies, in whole
or in part, within the jurisdiction.
Proposed law prohibits calling an election pursuant to present law unless the parish governing
authority has authorized its call if the district is in the unincorporated area of the parish or the
municipal governing authority has authorized its call if the district is within a municipality.
Proposed law prohibits an economic development district from expending funds to make
improvements to private property unless the district provides a report showing that the public benefit
expected from the expenditure exceeds the expenditure of public funds. Requires that the report
shall be discussed and adopted at a public meeting of the governing authority of the district and shall
be made available to the public at least 30 days prior to that meeting.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 33:9038.32(B), 9038.33(A), and 9038.39; Adds R.S. 33:9038.32.1 and 9038.32.2)