Louisiana 2021 2021 Regular Session

Louisiana House Bill HB137 Comm Sub / Analysis

                    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 137 Engrossed	2021 Regular Session	Duplessis
Abstract:  Provides relative to the employment positions reported toward the total operating force
or personnel level for non-gaming economic development activities.
Present law (R.S. 27:240 et seq.) provides for the Land-Based Casino Operating Contract and
provides for the operations for the land-based casino.
Present law (R.S. 27:248) provides relative to the promotion of non-gaming economic development
by the casino gaming operator or an affiliate company through the development of businesses
including but not limited to restaurants, entertainment outlets, and retail outlets leased or subleased
to third-party tenants or subtenants within, adjacent to, and around the official gaming establishment.
Present law requires the casino gaming operator to report quarterly the total operating force or
personnel level of the third-party tenants to the board of directors of the La. Economic Development
and Gaming Corporation.
Present law provides that the reported operating force or personnel level for the prior quarter shall
be determined by taking into account the greater of either the three-month average for the applicable
reporting quarter or the highest monthly total during the applicable reporting quarter.  Further
provides that the reported operating force or personnel level for the prior quarter shall be credited
to the casino gaming operator for purposes of meeting certain present law obligations, provided that
such credit is limited to 400 employment positions toward the total operating force or personnel
level. 
Present law provides that prior to July 15, 2024, the casino operator shall make a capital investment
on or around the official gaming establishment of $325,000,000 subject to an extension for any force
majeure event.
Proposed law amends present law to remove the 400 employment positions credited toward the total
operating force or personnel level.
Present law defines "operating force or personnel level" as the number of people employed by the
casino and any related non-gaming entity, including hotel operations, third-party tenants, and
corporate employees.
Present law provides that the casino gaming operator shall not reduce its total operating force or
personnel level below 90% of the force or level as such existed on March 8, 2001. Present law provides that to meet those goals the credit is limited to 400 employment positions.
Proposed law changes present law from 400 positions to not more than half of the total operating
force or personnel level to meet those goals.
Proposed law adds hospitality outlet employees to the definition of "operating force or personnel
level" and also adds third-party contractor employees provided, however, that the employees of third-
party contractors shall be included only until the $325,000,000 capital investment requirement has
been fulfilled.
Proposed law removes third-party tenants from the total operating force or personnel level that is
reported to the gaming control board.
Proposed law amends the present law definition to also include employees of any third-party
contractors.
Present law provides that the casino gaming operator shall be credited an amount equal to the pro
rata share of compensation to employees of the third-party tenants.
Proposed law amends present law to provide that the amount credited to the casino gaming operator
is equal to the compensation to employees of the third-party tenants.
(Amends R.S. 27:248(C)(2)(intro. para.), (3), (4), and (5))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Administration of Criminal
Justice to the original bill:
1. Remove third-party tenants from the total operating force or personnel level reported to
the gaming control board.
2. Provide that third-party contractor employees are only counted in the total operating force
or personnel definition until the $325,000,000 capital investment is completed.
3. Add hospitality outlet personnel to the definition of "operating force or personnel level".
4. Change the level of positions to meet the requirements of the prohibited reduction of
work force from 400 positions to not more than half of the total operating force or
personnel level.