2023 Regular Session ENROLLED
SENATE BILL NO. 229
BY SENATOR DUPLESSIS AND REPRESENTATIVE KNOX
1 AN ACT
2 To amend and reenact R.S. 33:130.862(A) and to enact R.S. 33:130.865.1, relative to the
3 boundaries of the New Orleans Exhibition Hall Authority Economic Growth and
4 Development District; to provide for a payment in lieu of taxes provision; and to
5 provide for related matters.
6 Notice of intention to introduce this Act has been published.
7 Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 33:130.862(A) is hereby amended and reenacted and R.S.
9 33:130.865.1 is hereby enacted to read as follows:
10 §130.862. New Orleans Exhibition Hall Authority Economic Growth and
11 Development District; creation; territorial jurisdiction
12 A. The New Orleans Exhibition Hall Authority Economic Growth and
13 Development District, a body politic and corporate, referred to in this Subpart as the
14 "district", is hereby created in the city of New Orleans, referred to in this Subpart as
15 the "city". The district shall be comprised of all the property bounded by the
16 floodwall at Girod Street to Market Street, Market Street to Tchoupitoulas Street,
17 north on Tchoupitoulas Street to Euterpe Street, west on Euterpe Street to Chippewa
ACT No. 212
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1 Street (extended), north on Chippewa Street (extended) to Melpomene Street, west
2 on Melpomene Street to Annunciation Street, north on Annunciation Street to Thalia
3 Street, east on Thalia Street to St. Thomas Street (extended), north on St. Thomas
4 Street (extended) to Calliope Street riverbound, east on Calliope Street riverbound
5 to Convention Center Boulevard, north on Convention Center Boulevard to Girod
6 Street, and east on Girod Street to the floodwall, referred to in this Subpart as the
7 "property".
8 * * *
9 §130.865.1. Payment in lieu of taxes
10 A. Any property that is acquired or owned by the district or any
11 subdistrict is hereby declared to be public property used for public purposes
12 and shall be exempt from all ad valorem taxes. However, any improvements
13 thereon, other than those improvements owned by the New Orleans Exposition
14 Hall Authority, shall be subject to all ad valorem taxes, or, in the alternative, a
15 payment in lieu of taxes, subject to the process defined in Subsection B of this
16 Section.
17 B. Subject to prior review by the New Orleans City Council of an
18 economic development project with a payment in lieu of taxes agreement as
19 provided for herein, the district or any subdistrict may designate any property
20 it acquires or owns, each no greater than one discrete parcel subject to its own
21 ad valorem tax bill, to be an "economic development project" that may be
22 leased to a lessee subject to the lessee making payments to the tax collector for
23 the city of New Orleans in an annual sum in lieu of ad valorem taxes to
24 compensate the city of New Orleans for any services rendered to such economic
25 development project. The annual sum, together with any fees and charges to be
26 paid by such lessee shall not be in excess of the ad valorem taxes such lessee
27 would have been obligated to pay in such year had such property been owned
28 by the lessee during the period for which such payment in lieu of taxes is made.
29 The payment to be made in lieu of taxes, together with any fees and charges of
30 the district or any subdistrict, shall constitute statutory impositions within the
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1 meaning of R.S. 47:2128. Prior to entering into the payment in lieu of tax
2 agreement, the district or any subdistrict, acting by and through the board,
3 shall provide the city of New Orleans office of economic development with the
4 payment in lieu of tax proposal for property designated an economic
5 development project serving the public purposes of the district or subdistrict,
6 which proposal shall consist of the following:
7 (1) The term of the payment in lieu of tax proposal evidenced in a
8 payment in lieu of tax agreement.
9 (2) The annual amount of the payment in lieu of taxes to be paid by the
10 lessee.
11 (3) A description of the economic development project identified in the
12 payment in lieu of tax proposal, which at a minimum shall consist of one or
13 more of the following:
14 (a) For each distinct parcel and lot within the economic development
15 project, including areas therein that are leased to sub-lessees, creation of at least
16 ten new permanent jobs.
17 (b) For each economic development project in aggregate, creation of an
18 affordable workforce housing development of not less than seventy-five housing
19 units, defined to be priced at an affordable or workforce rate, as then defined
20 by the United States Department of Housing and Urban Development, for a
21 minimum period of thirty years.
22 (4) Documentation that the economic development project identified in
23 the payment in lieu of tax agreement will meet all required city standards,
24 including but not limited to the city of New Orleans local hire and
25 disadvantaged business enterprise rules, as well as all applicable rules within
26 the Comprehensive Zoning Ordinance of the city of New Orleans. Each
27 payment in lieu of tax proposal, as defined herein, shall be submitted prior to
28 acquiring or owning an economic development project with such payment in
29 lieu of tax agreement. The proposal shall be submitted to the city of New
30 Orleans office of economic development for review via personal delivery to the
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1 director of such office, in exchange for a stamped receipt by the office or via
2 registered or certified U.S. mail. The office of economic development shall have
3 forty-five days from the date the proposal is received to review the payment in
4 lieu of tax proposal, pursuant to those standards herein and any additional
5 requirements which may be adopted by the office of economic development, and
6 transmit a recommendation of approval or denial to the New Orleans city
7 council, through the clerk of the city council. The city council shall have fifteen
8 days from the date the proposal is received by its clerk to review the payment
9 in lieu of tax proposal, followed by an additional thirty-day period to adopt a
10 resolution disapproving or approving, with or without amendments, the
11 proposal. The thirty day approval period shall include a hearing before the city
12 council economic development committee, which may recommend a vote of
13 disapproval, approval, or approval with amendments on the resolution to the
14 full city council. The payment in lieu of tax agreement shall be deemed denied
15 for execution by the district or any subdistrict if the city council fails to adopt
16 a resolution approving the proposal, with or without amendments, within the
17 thirty days following such fifteen-day review period. The payment in lieu of tax
18 agreement related to an economic development project within the district or
19 any subdistrict shall become effective upon approval by resolution of the board
20 of the district or any subdistrict after the payment in lieu of tax agreement has
21 received the approval of the city council and has incorporated the city council
22 amendments, if any, to the payment in lieu of tax agreement.
23 C. All economic development projects for which a payment in lieu of tax
24 agreement is approved shall submit annual project compliance reports to the
25 city council and office of economic development, with such data that shall be
26 required by the office of economic development.
27 D. Failure to comply with any provision of the approved payment in lieu
28 of tax agreement shall be grounds for amendment or cancellation of said
29 agreement by further council resolution.
30 E. In connection with the lease of any property owned by the district or
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1 subdistrict to a private entity, the contract of lease or other agreement shall not
2 be subject to R.S. 33:4710.11(D)(4) and R.S. 33:4710.11(D)(5).
3 F. Nothing herein shall be construed to relieve any party of the obligation
4 to comply with the Comprehensive Zoning Ordinance of the city of New
5 Orleans, including but not limited to provisions related to inclusionary zoning.
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
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