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 415 Original 2021 Regular Session Gaines
Abstract: Authorizes tourist commissions to create tourism recovery and improvement districts to
generate funds to aid in the state's traveler economy.
Proposed law authorizes tourist commissions, for the purpose of facilitating the collection of
supplementary funds to market and promote destinations in the state, to create tourism recovery and
improvement districts upon the written petition of the owners or authorized representatives of the
owners or authorized representatives of businesses in the district, signed by either of the following:
(1)The business owners in the proposed tourism recovery and improvement district who will
pay more than 50% of the assessments proposed to be levied.
(2)More than 50% of the total assessed businesses by number.
Proposed law requires that the petition include a summary of the management plan. Provides further
with respect to the content requirements of the management plan, including the name and the
boundaries of the district and the estimated cost of improvements within the district. Authorizes the
tourist commission to modify the management plan.
Proposed law provides that a tourist commission may, by resolution, propose to levy an assessment
on businesses. Provides that an assessment may be levied based on a fixed amount, rate per
transaction, fixed rate per transaction per day, percentage of sales, any combination of these methods,
or any other method that confers benefit to the payor.
Proposed law requires that the resolution describe the assessment to be levied in general terms and
include a statement that the assessment is to be levied pursuant to proposed law. Requires the tourist
commission to give notice by mail to the owners of the businesses proposed to be assessed. Further
requires that the resolution provide for the collection of the assessment, interest charges, and
penalties for delinquent remittence.
Proposed law provides that in a newly created tourism recovery and improvement district the
assessment may be levied for a term not to exceed five years, but the district may be renewed for a
term not to exceed 10 years. Proposed law provides that in order to finance capital improvements
with bonds, a district may levy assessments until the maximum maturity of the bonds.
Proposed law provides that if there are no changes to activities, assessment rates, assessment method,
or boundaries, the district may be renewed by conducting a public hearing pursuant to proposed law. Further provides that if there are changes in these categories, the district may be renewed by
following the procedures for the petition and public hearing as provided in proposed law. Provides
for the allocation of assessment revenues from the prior district.
Proposed law provides that a protest to the levy of an assessment may be made orally or in writing
by any interested person. Requires that every written protest be filed with the tourist commission
at or before the time fixed for the public hearing. Proposed law authorizes the tourist commission
to waive any irregularity in the form or content of any written protest. Provides that a written protest
may be withdrawn in writing at any time before the conclusion of the public hearing. Provides
further with respect to the content requirements of the written protest. Provides that if written
protests are received from a certain number of business owners then no further proceedings to levy
the assessment may take place for one year.
Proposed law requires an assessed business to place the assessment as a mandatory surcharge on the
consumer receipt or guest folio. Further requires that all assessments passed through to consumers
and guests as surcharges be disclosed on all information or communication platforms of the business
in the same manner as other surcharges.
Proposed law provides for the dissolution of a tourism recovery and improvement district by
resolution of the tourist commissioners if the district has no outstanding indebtedness and meets
either of the following conditions:
(1)During the operation of the district, there shall be a 30 day period each year in which
assessees may request dissolution of the district.
(2)The tourist commission must initiate proceedings to dissolve a district upon the written
petition of the owners or authorized representatives of the owners or authorized
representatives of businesses in the district, signed by either:
(a)The business owners in the proposed tourism recovery and improvement district who
will pay more than 50% percent of the assessments proposed to be levied.
(b)More than 50% percent of the total assessed businesses by number.
Proposed law requires that the resolution state the reason for the dissolution and the time and place
of the public hearing. Additionally requires that the resolution contain a proposal to dispose of any
assets acquired with the revenues from the assessment.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Adds R.S. 33:4600.1-4600.10)