Louisiana 2020 2020 Regular Session

Louisiana Senate Bill SB369 Comm Sub / Analysis

                    The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by James Benton.
DIGEST
SB 369 Original	2020 Regular Session	Fields
Proposed law authorizes the governing authority of a parish or municipality in which a public
postsecondary education institution, a "college", is located to create an economic development
district that includes property owned by the college. The purpose of such a district is to provide for
cooperative economic and community development among the district, the college, the parish or
municipal governing authority, the state, and the owners of property in the district. The parish or
municipal governing authority will establish the boundaries of a district in the ordinance creating it;
such boundaries may be changed and are not required to be contiguous.
Proposed law prohibits a municipal governing authority from creating a district that includes
unincorporated areas of a parish without the written consent of the parish governing authority, and
prohibits a parish governing authority from creating a district that includes areas in a municipality
without written consent of the municipal governing authority.
Proposed law provides that such a district is governed by a board of commissioners, comprised as
follows:
(1)The highest executive officer of the college appoints four persons.
(2)The member of the parish or municipal governing authority whose district includes the
official physical address of the college appoints one person.
(3)The member of the La. House of Representatives whose district includes the official physical
address of the college appoints one person.
(4)The member of the La. Senate whose district includes the official physical address of the
college appoints one person.
Proposed law provides that commissioners serve five-year terms, with vacancies filled in the manner
of the original appointment. However, if an appointment to fill a vacancy is not made within 60 days,
the board will appoint an interim successor to serve until the position is filled by the appointing
authority.  Authorizes removal of a commissioner for cause by a 3/4 vote of the board. Provides that
commissioners serve without compensation but authorizes reimbursement of expenses.
Proposed law provides that the official journal of such a district is the official journal of the parish
where the domicile of the board is located.  Provides that a district created pursuant to proposed law
is a political subdivision of the state and has the powers of a political subdivision.  Provides that such
powers include the power: (1)To develop public improvement projects for the benefit of the respective college, either
directly with the respective college or through one or more private foundations or nonprofit
corporations affiliated with the respective college, or both.
(2)To exercise the powers granted to an economic development district established pursuant to
present law. (Present law authorizes such a district to utilize tax increment financing.  Further
authorizes a district to levy ad valorem taxes up to five mills, sales taxes up to 2%, and hotel
occupancy taxes up to 2%, all subject to voter approval unless there are no voters in the
district.)
(3)To exercise the powers granted to a community development district established pursuant
to present law. (Present law authorizes such a district to finance, construct, and operate
various public facilities and authorizes the levy of special property assessments, based on
proportionate benefit from the facility, to fund such activities.)
Proposed law provides procedures for the levy of any tax or assessment, including a requirement for
voter approval unless there are no voters in the district. If a district is expanded to include an area
where qualified electors reside, proposed law prohibits collection of a tax in the added area unless
the qualified electors of that added area approve the tax.
Proposed law authorizes such a district to create subdistricts which are governed by the board of
commissioners and have the same powers as the district.
Proposed law authorizes the district to issue bonds and to otherwise incur debt. Provides
requirements and procedures therefor.
Proposed law provides that such a district will dissolve and cease to exist upon the later to occur of
either one year after the date on which all debt of the district is paid in full or 50 years from the
creation of the district.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Adds R.S. 33:9038.73)