2018 Louisiana Laws
Revised Statutes
TITLE 47 - Revenue and Taxation
RS 47:338.1 - Tax authorized; rate; sales tax districts; certain municipalities

PART I. LOCAL SALES TAXES

§338.1. Tax authorized; rate; sales tax districts; certain municipalities

            A.(1) Any incorporated municipality of the state is hereby authorized to levy and collect a sales and use tax not in excess of two and one-half percent as hereinafter set forth:

            (a) One and one-half percent as authorized by Act No. 722 of the 1974 Regular Session of the Louisiana Legislature; and

            (b) Except in those municipalities in the parishes of Catahoula, LaSalle, Caldwell, Franklin, and Tensas, an additional one percent sales and use tax, authorized by Article VI, Section 29(B) of the Constitution of Louisiana, which one percent sales and use tax shall be in addition to all other sales and use taxes which any incorporated municipality is authorized to levy as of September 11, 1981.

            (2) However, the ordinance imposing the tax shall be adopted by the governing authority of the incorporated municipality only after the question of the imposition of the tax has been submitted to the qualified electors of the incorporated municipality at an election conducted in accordance with the general election laws of the state of Louisiana, and a majority of those voting in the election shall have voted in favor of the proposition to impose such additional sales and use tax.

            B. In addition to the exemptions from the state sales and use tax as set forth in R.S. 47:305 et seq., the municipalities of Lake Charles and Monroe shall have the authority to exempt drugs prescribed by physicians for personal consumption and use, and wheelchairs and prosthetic devices, and food purchased for personal consumption off the premises where purchased, for the sales and use tax so levied.

            C. Notwithstanding any other statutory provisions to the contrary, including but not limited to provisions providing for equal collection and levy of sales taxes and in order to prevent the duplicate collection of sales taxes in areas annexed into a municipality, school boards, parishes, municipalities, and special taxing districts may enter into intergovernmental agreements providing for the collection, sharing, and levy of, and exemptions from, any taxes authorized by this Section.

            D.(1) Notwithstanding any other provision of law to the contrary and in addition to any other authority granted by law, the governing authorities of the municipalities of Breaux Bridge, St. Martinville, Youngsville, and the governing authorities of municipalities having a population in excess of thirty thousand five hundred but not more than thirty thousand seven hundred persons, based on the latest federal decennial census may create sales tax districts consisting of a portion of their respective municipalities. Each sales tax district, as a political subdivision of the state, is authorized to levy and collect an additional one percent sales and use tax upon the sale at retail, the use, the lease or rental, the consumption, and the storage for use or consumption of tangible personal property and on sales of services, as defined by law, if approved by a majority of the electors of the district voting thereon in an election held for that purpose. The governing authority of a sales tax district shall be the governing authority of the municipality, the domicile of the sales tax district shall be the regular meeting place of the municipality, and the officers of the sales tax district shall be officers of the municipality.

            (2)(a) Except for the sales tax district in the municipality of Breaux Bridge, the proceeds of the additional sales tax levied pursuant to the provisions of this Subsection shall be used by the governing authority of the municipality, under the terms and provisions of an intergovernmental agreement between the municipality and the sales tax district, for paying the costs and expenses of constructing, improving, and maintaining the municipality's infrastructure which serves properties located in the municipality or shall be used to promote the economic development of the sales tax district and the municipality, and may be funded into bonds for such purposes in the manner provided by state law.

            (b) In the municipality of Breaux Bridge, the proceeds of the additional sales tax levied pursuant to the provisions of this Subsection shall be used by the governing authority of the municipality under the terms and provisions of an intergovernmental agreement between the municipality and the sales tax district as follows:

            (i) Twenty percent of the proceeds shall be used annually for the repair and maintenance of the municipality's infrastructure which serves property located within the municipality provided that an Annual Plan for Repair and Maintenance of Municipality Infrastructure is approved by the adoption of an ordinance of the governing authority of the municipality, by a two-thirds vote.

            (ii)(aa) Eighty percent of the proceeds shall be expended on new construction of infrastructure within the municipality or substantial improvements of existing infrastructure within the municipality according to a Master Plan for the Construction of Municipal Infrastructure, which shall list the specific infrastructure construction or improvement projects to be funded through the tax proceeds, including funding into bonds for such purposes in the manner provided by state law, and which shall be adopted by the governing authority of Breaux Bridge in the manner provided for in this Item.

            (bb) The Master Plan for the Construction of Municipal Infrastructure shall not be finally adopted until the governing authority of the municipality has a public meeting at which the Master Plan may be reviewed by the public, the Master Plan shall be explained to the public, and the public shall be allowed to comment on the Master Plan. The governing authority shall give notice of its intention to adopt such Master Plan before each meeting, and notice of this intention shall be published in the official journal of the municipal governing authority, the publication to appear at least fourteen days before the public meeting. The notice of intent so published shall state the date, time, and place of the public hearing. The Master Plan for the Construction of Municipal Infrastructure shall be approved by the adoption of an ordinance, of the governing authority of the municipality, by a two-thirds vote.

            (cc) It is the specific intent of the legislature in enacting this provision that the Master Plan shall not include funding for repair and maintenance of municipal infrastructure, and any such funding in the Master Plan shall be null and void.

            (dd) As used in this Section, "infrastructure" means transportation and communication systems, gas systems, roads, bridges, drainage, parks, sidewalks and similar public utilities.

            (3) The tax authorized pursuant to the provisions of this Subsection shall be collected as provided in the Uniform Local Sales Tax Code and other applicable provisions of law. The boundaries of any sales tax district as specified by the governing authority shall be wholly within the corporate limits of the municipality and shall not overlap any other municipal sales tax district.

            (4) The additional tax authorized by this Subsection shall not apply to the rental and leasing of motor vehicles.

            (5) The additional tax authorized by this Subsection shall not limit in any respect any prior taxing authority granted by any other provision of law and shall be in addition to any other such taxing authority.

            E.(1) Notwithstanding any other provision of law to the contrary and in addition to any other authority granted by law, the governing authority of a municipality having a population in excess of eight thousand one hundred thirty but not more than eight thousand one hundred forty-five persons, based on the latest federal decennial census may use the proceeds of the additional sales tax levied pursuant to the provisions of Paragraph (D)(1) of this Section under the terms and provisions of an intergovernmental agreement between the municipality and the sales tax district as follows:

            (a) Fifty percent of the proceeds shall be used annually for the municipality's operating budget as approved by the adoption of an ordinance of the governing authority of the municipality, by a two-thirds vote.

            (b) Fifty percent of the proceeds shall be expended on new construction of infrastructure within the municipality or substantial improvements of existing infrastructure within the municipality according to a Master Plan for the Construction of Municipal Infrastructure, which shall list the specific infrastructure construction or improvement projects to be funded through the tax proceeds, including funding into bonds for such purposes in the manner provided by state law, and which shall be adopted by the governing authority of the municipality in the manner provided for in this Subparagraph.

            (2) The provisions of this Subsection shall become effective on July 1, 2016, and shall remain effective through June 30, 2019.

            Acts 1950, No. 285, §1. Amended by Acts 1968, No. 214, §1; Acts 1974, No. 722, §1; Acts 1981, No. 527, §1; Acts 1988, No. 743, §1; Acts 1992, No. 668, §1, eff. July 6, 1992; Acts 2000, No. 26, §1, eff. June 16, 2000; Acts 2008, No. 923, §1, eff. July 15, 2008; Acts 2011, 1st Ex. Sess., No. 20, §1, eff. June 12, 2011; Redesignated from R.S. 33:2711 pursuant to Acts 2011, No. 248, §4; Acts 2012, No. 568, §1, eff. June 5, 2012; Acts 2016, No. 490, §1, eff. June 13, 2016.

NOTE: SEE ACTS 1992, NO. 930, §3, FOR EFF. DATE OF ACTS 1992, NO. 668.

NOTE: See Acts 2000, No. 26, §3, relative to intent of Act (affects Concordia Parish).