2018 Louisiana Laws
Revised Statutes
TITLE 33 - Municipalities and Parishes
RS 33:4690.12 - East Baton Rouge Parish infrastructure development districts
§4690.12. East Baton Rouge Parish infrastructure development districts
A. Findings and purpose. (1) The legislature finds that there are pockets of East Baton Rouge Parish which possess great potential for development or redevelopment. However, before such development can take place, basic infrastructure must be provided or upgraded in the areas. The legislature finds that the traditional method of financing infrastructure development, separate taxes or assessments for each individual improvement, e.g. roads, lighting, water, sewer, etc., though very appropriate in many cases, may not be the best way to provide multiple improvements in a relatively small geographic area. The legislature finds that an effective method of financing a spectrum of infrastructure improvements in a small geographic area is to finance the entire undertaking as a single package rather than levying separate taxes for each individual improvement. It is the purpose of this Section to authorize the levy of ad valorem taxes and non ad valorem assessments for financing infrastructure improvement projects in East Baton Rouge Parish.
(2) The legislature further finds that given the complexity of such projects and the geographic compactness of the areas contemplated for such development, the governing authority of East Baton Rouge may wish to create special taxing districts having the authority to plan and execute the infrastructure development projects and to levy the ad valorem taxes and non ad valorem assessments authorized by this Section. Even if the governing authority of the parish serves as the governing authority of the district, there are proven political and legal advantages to the use of special taxing districts for carrying out governmental functions. It is further the purpose of this Section to authorize the governing authority of East Baton Rouge Parish to create special taxing districts authorized to do those things necessary, as prescribed in this Section, to finance and execute infrastructure development projects such as those described in this Subsection.
B. Creation. Without limiting any authority of the governing authority of the city of Baton Rouge and the parish of East Baton Rouge as provided in the consolidated government home rule charter, the governing authority may create special taxing districts within the parish for the purpose of infrastructure improvement subject to the provisions of this Section. The city-parish governing authority may not create such a district until it has held a public hearing on the issue. Any such district shall be a political subdivision of the state as defined in Article VI, Section 44 of the Constitution of Louisiana and shall have all authority granted by the constitution, the home rule charter of East Baton Rouge Parish, and this Section. The city-parish governing authority may serve as the governing authority of any such special district or it may provide for appointment of a governing authority in the ordinance creating the district. The city-parish governing authority may, at its discretion, require as a condition of creation of the infrastructure development district that title to, control of, and responsibility for maintenance of any or all infrastructure projects within the district be transferred to the city-parish governing authority in accordance with its existing ordinances and practices.
C. Special powers. The district may, subject to applicable regulatory jurisdiction and permitting authority of other public entities and officials, finance, fund, plan, establish, acquire, construct or reconstruct, enlarge or extend, equip, operate, and maintain systems, facilities, and basic infrastructures for the following:
(1) Water management and control for the lands within the district and to connect some or any of such facilities with roads and bridges.
(2) Water supply, sewer, and wastewater management, reclamation, and reuse, or any combination thereof, and may construct and operate connecting intercepting or outlet sewers and sewer mains and pipes and water mains, conduits, or pipelines in, along, and under any street, alley, highway, or other public place or way, and dispose of any effluent, residue, or other byproducts of such system or sewer system.
(3) Bridges or culverts that may be needed across or in any drain, ditch, canal, floodway, holding basin, excavation, public highway, tract, grade, fill, or cut, and roadways over levees and embankments, and may construct any and all of such works and improvements across, through, or over any public right-of-way, highway, grade, fill, or cut.
(4) District roads equal to or exceeding parish specifications and street lights.
(5) Transit shelters, ridesharing facilities and services, parking improvements, and related signage.
D. Taxing authority. (1)(a) The governing authority of a special taxing district created as provided in this Section may levy and collect, in the same manner and at the same time as all other ad valorem taxes in the parish are levied and collected, a special ad valorem tax, not to exceed twenty mills, upon all taxable, immovable property situated within the boundaries of the district. The ad valorem tax provided for herein shall be in addition to all other ad valorem taxes provided for by law.
(b) The proceeds of the tax authorized by this Paragraph may be used for any lawful purpose of the district. However, not more than three mills shall be dedicated to or used for ordinary operating expenses of the district.
(2) To plan, establish, acquire, construct or reconstruct, enlarge or extend, and equip the facilities and projects of the district and to pay expenses associated with and related to the issuance of bonds for such facilities and projects, the district governing authority may levy a benefit special assessment. The district governing authority shall determine the amount of the assessment based upon a report of the district's engineer and shall assess lands benefited by the improvement, such assessment to be apportioned in proportion to the benefits received by each tract of land. The benefit special assessment shall be levied and payable in equal annual installments for each year for which bonds secured by the assessment are outstanding. The tax collector shall collect and enforce assessments in the same manner and at the same time as ad valorem taxes. Benefit special assessments shall be a lien on the property against which assessed until paid.
(3) To maintain, operate, and preserve the facilities and projects of the district, the district governing authority may levy a maintenance special assessment. The district governing authority shall determine the amount of the assessment based upon a report of the district's engineer and shall assess lands benefited by the improvement, such assessments to be apportioned in proportion to the benefits received by each tract of land. Assessments shall be collected and enforced by the tax collector in the same manner and at the same time as ad valorem taxes. Maintenance special assessments shall be a lien on the property against which assessed until paid.
E. General powers and duties. The governing authority of the district shall have the following additional powers and duties:
(1) To adopt bylaws for the regulation of its affairs and the conduct of its business.
(2) To adopt an official seal and alter the seal at its pleasure.
(3) To maintain an office at such place as it may designate and to occupy space for such purposes as may be made available by the city-parish governing authority.
(4) To sue and to be sued.
(5) To receive, administer, and comply with the conditions and requirements respecting any gift, grant, guarantee, subsidy, or donation of any property or money.
(6) To acquire, by any lawful means, property, including rights-of-way, and to hold and use any franchise or property, whether real, personal, or mixed, tangible or intangible, necessary or desirable for carrying out the objects and purposes of the district.
(7) To borrow money and issue bonds or obligations of the district in the manner provided by this Section and to refund the same.
(8) To make and execute contracts and other instruments necessary in the exercise of the powers and functions of the district under this Section.
(9) To pledge or assign any monies, fees, charges, or other revenues and any proceeds derived by the district from the sale of bonds and other contracts or rights of the district.
(10) To employ such employees, to make use of such persons as the city-parish governing authority may make available to the district for its use, and to employ or otherwise retain the services of accountants, financial advisors, underwriters, attorneys, engineers, and such other consultants as may be required, in the judgment of the governing authority, and to fix and pay their compensation.
(11) To exercise any and all other powers necessary to accomplish the purposes set forth herein.
F. Authority to incur debt. (1) For any of its lawful purposes, the district governing authority may issue bonds secured by and payable from a pledge of the proceeds of the ad valorem taxes and the non ad valorem assessments authorized by this Section. The bonds shall have such form, characteristics, and details and shall be issued in accordance with this Subsection and all other laws applicable to the issuance of bonds by political subdivisions including but not limited to Article VI, Section 35 of the Constitution of Louisiana and Part IV of Chapter 11 and Chapters 13, 13-A, 14, and 14-A of Title 39 of the Louisiana Revised Statutes of 1950.
(2) The district governing authority shall authorize the issuance of bonds by adoption of a resolution. It may not adopt a resolution authorizing the issuance of general obligation bonds until a proposition authorizing the funding of the tax or assessment into bonds and stating the purpose or purposes for which the bonds will be issued is approved by a majority of the qualified district electors voting on the proposition at an election held for that purpose and conducted in accordance with the Louisiana Election Code.
(3) The bonds shall be of such series, bear such date or dates, be serial or term bonds, mature at such time or times no later than thirty years from their date, bear interest at such rate or rates payable on such date or dates, be in such denomination, be in such form, carry such registration and exchangeability provisions, be payable in such medium of payment and at such place or places, be subject to such terms of redemption, and be entitled to such priorities on the tax or assessment as the resolution authorizing such bonds may provide.
(4) The bonds shall be executed in the name of the district by the manual or facsimile signatures of such official or officials as may be designated in the resolution authorizing their issuance. If any officer whose manual or facsimile signature appears on any bond ceases to be such officer before the delivery of such bonds, such signature nevertheless shall be valid and sufficient for all purposes as if he had remained in office until such delivery. The resolution may provide for authentication of the bonds by the fiscal agent thereunder.
(5) The commissioners, officers, or employees of the district or any other person executing the bonds of the district, while acting within the scope of their authority, shall not be personally liable for the bonds nor be subject to any personal liability or accountability by reason of the issuance, sale, and delivery thereof.
(6) The holders of any bonds issued hereunder shall have such rights and remedies as may be provided in the resolution authorizing the issuance of the bonds, including but not by way of limitation, appointment of a trustee for bondholders and any other available civil action to compel compliance with the terms and provisions of the bonds and the resolution.
(7)(a) Until all bonds issued pursuant to this Subsection have been retired as to principal and interest or irrevocable provision otherwise made for their complete redemption and payment in principal, interest, and redemption premium if any, neither the legislature, the district, nor any other authority may act to:
(i) Impair any obligation of contract for the benefit of the holders of the bonds.
(ii) Discontinue or decrease the tax or assessment or permit to be discontinued or decreased the tax or assessment in anticipation of the collection of which such bonds have been issued.
(iii) Make any change in the allocation and dedication of the proceeds of such tax which would diminish the amount of the tax revenues to be received by the district.
(b) There is hereby vested in the holders of such bonds a contract right in the provisions of this Subsection.
(8) Bonds issued pursuant to this Subsection shall have all the qualities of negotiable paper and shall constitute negotiable instruments under applicable state law. They shall not be invalid for any irregularity or defect in the proceedings for the issuance and sale thereof and shall be incontestable in the hands of bona fide purchasers or holders for value.
(9) All bonds and the income therefrom shall be exempt from taxation by the state and any political subdivision thereof. The bonds shall be legal and authorized investments for banks, savings banks, insurance companies, homestead and building and loan associations, trustees, and other fiduciaries and may be used for deposit with any officer, board, or political subdivision of the state in any case where, by present or future laws, deposit of security is required.
(10) All bonds issued shall be advertised for sale on sealed bids. The district may reject any and all bids. If the bonds are not sold pursuant to the advertisement, they may be sold by the commission at private sale within sixty days after the date advertised for the reception of sealed bids, but no private sale shall be made at a price less than the highest bid received. If not so sold, the bonds shall be readvertised as prescribed by this Paragraph.
(11) The proceeds derived from the sale of bonds shall be used exclusively by the issuer for the purpose or purposes for which the bonds are authorized to be issued, but the purchasers of the bonds shall not be obligated to see to the application thereof.
Acts 2000, 1st Ex. Sess., No. 106, §1.
