§ 33:4707 — Authorization for issuance of bonds for the development of industrial parks; terms

Louisiana § 33:4707

• Jurisdiction: Louisiana
• Title 33: Municipalities and Parishes

Text

A. For the purposes of this Section, unless the context clearly otherwise requires, the following definitions shall apply and shall be equally applicable to both the singular and plural forms of any of the defined terms:
(1) "Board" means the board of commissioners of the New Orleans Regional Business Park, or any successor thereto.
(2) "City" means the city of New Orleans, Louisiana.
(3) "Council" means the council of the city of New Orleans, Louisiana.
(4) "District" means the New Orleans Regional Business Park created by R.S. 33:4701, or any successor thereto.
(5) "Developer" means any person having an interest in real property located in the district. As used in the preceding sentence, "person" means any person or entity whatsoever, including but not limited to, any individual, firm, partnership, joint venture, association, corporation, cooperative, estate, trust, business trust, or syndicate.
(6) "Financing agreement" means any agreement relating to an industrial park project between the district and a developer authorized pursuant to this Section.
(7) "Industrial park", when used in the term "industrial park project", shall mean a tract or tracts of land suitable primarily for use as building sites by a group of enterprises engaged in industrial, manufacturing, processing, assembling, distribution or wholesale businesses.
(8) "Industrial park project" means a project for the acquisition and development of land as a site for an industrial park, including the provision of water, sewer, drainage, streets or similar facilities or of transportation, power or underground communication cable facilities and other functionally related facilities which are incidental to the use of the site as an industrial park.
(9) "Project costs" means all costs necessary for the planning, development, acquisition, construction, or improvement of an industrial park project, including site acquisition, construction, and installation of water, sewer, drainage, streets or similar facilities or of transportation, power or underground communication cable facilities and any other functionally related facilities incidental or necessary to the use of such project, architectural, engineering, supervising, accounting, inspection, legal, and financing fees, and costs, and other costs, fees, and expenses incidental to the issuance of the revenue bonds, costs and expenses in connection with the preparation of feasibility studies and reports, interest on revenue bonds and notes during construction and for a reasonable period thereafter, establishment of reserves to secure the bonds and notes and other expenditures incidental and necessary therefor.
(10) "Revenue bonds" means any revenue bonds, notes, or other evidences of indebtedness authorized to be issued pursuant to the provisions of this Section.
B. Without reference to any other provisions to the contrary of the laws of Louisiana, including specifically Section 4702 of this Chapter, and as a grant of power in addition to the authority contained in said Section 4702 or elsewhere in the laws of Louisiana, the district is empowered and authorized to create, develop, and finance, or assist in the creation, development, and financing of industrial park projects, as more specifically hereinafter provided, in order to promote industrial development in the city.
C. To carry out and implement the aforesaid authority granted it, the district is authorized to enter into financing agreements with developers, pursuant to which developers agree to develop, within the district, land for industrial parks and to provide water, sewer, drainage, street and similar facilities, and transportation, power and communication facilities and other facilities incidental to the use of such land as industrial sites, or any one or more of the foregoing; and the district in consideration thereof undertakes to issue revenue bonds as hereinafter provided payable solely from payments to be made by such developers and to make the proceeds of such bonds available to reimburse the developers for the project costs. The financing agreements shall contain such terms and conditions as may be deemed advisable by the board to carry out the purposes contemplated by this Section. If pursuant to a financing agreement, a developer agrees to construct, or cause to be constructed, water, sewerage, drainage, street and similar facilities, or transportation, power or underground communication cable facilities or any other functionally related facilities, or any one or more of the foregoing, and to use to pay the costs thereof, his own resources or funds and/or the proceeds of revenue bonds to be made available to the developer, the payment of the principal and interest which he is obligated to pay pursuant to the financing agreement or a separate guaranty agreement, then the provisions of Part II of Chapter 10 of Title 38 of the Louisiana Revised Statutes of 1950 shall not be applicable.
D. The district is authorized, subject to the approval of the State Bond Commission, to issue negotiable revenue bonds, notes, or other evidences of indebtedness to finance industrial park projects and to pledge for the payment of the principal of, premium, if any, and interest of such bonds the income and revenues derived or to be derived by the district from financing agreements. The district is further authorized, subject to the approval of the State Bond Commission, to issue revenue bonds to refund revenue bonds and to issue revenue bonds to partly refund revenue bonds then outstanding and partly for any other purpose authorized by this Section.
E. Such revenue bonds shall be authorized by resolution of the board and shall be of such series, bear such date or dates, mature at such time or times, bear interest at such rate or rates per annum including variable or floating rates, payable at such time or times, be in such denomination, be in such form, carry such registration or exchangeability privilege, be payable in such medium of payment and at such place or such places, and be subject to such terms of redemption as such resolution may provide.
F. Any revenue bonds issued pursuant to this Section may be secured by a mortgage on property except property the title to which is vested in the public and also may be secured by a trust agreement or indenture, hereinafter referred to as the trust agreement, by and between the district and one or more corporate trustees or fiscal agents, which may be any trust company or bank having the powers of a trust company within or without this state. Any resolution authorizing the issuance of revenue bonds, hereinafter referred to as the bond resolution, shall be published one time in the official journal of the city; however, it shall not be necessary to publish any exhibits to such resolution if the same are available for public inspection and such fact is stated in the publication. For thirty days after the date of publication, any person in interest may contest the legality of the resolution, any provision of the revenue bonds to be issued pursuant to it, the provisions therein made for the security and payment of the revenue bonds, and the validity of all other provisions and proceedings relating to the authorization and issuance of such bonds. After that time, no person may contest the regularity, formality, legality, or effectiveness of the resolution, any provisions of the revenue bonds to be issued pursuant to it, the provisions for the security and payment of the revenue bonds, and the validity of all other provisions and proceedings relating to their authorization and issuance, for any cause whatever. Thereafter, it shall be conclusively presumed that the revenue bonds are legal and that every legal requirement for the issuance of the revenue bonds has been complied with. No court shall have authority to inquire into any of these matters after said thirty days.
G. The bond resolution or the trust agreement shall authorize the industrial park project to be financed and, in addition, may contain provisions which shall be a part of the contract with the holders of such issue of revenue bonds as to the following:
(1) Pledging all or any part of income and revenues received or to be received from financing agreements to secure the payment of such issue of revenue bonds.
(2) The mortgaging of lands, buildings, machinery, and equipment the title to which is not vested in the public to provide additional security for such revenue bonds.
(3) The setting aside of reserves of retirement funds and the regulation and disposition thereof.
(4) The custody, collection, securing, investment, and payment of any moneys held in trust or otherwise for the payment of revenue bonds or in any way to secure the payment of revenue bonds, including the establishment and maintenance of loan, construction, revenue, reserve, or other funds as trust funds.
(5) Limitations or restrictions on the purposes to which the proceeds of sale or any revenue bonds may be applied.
(6) Limitations or restrictions on the issuance of additional revenue bonds, the terms upon which additional revenue bonds may be issued and secured and/or the refunding of outstanding or other revenue bonds.
(7) Vesting in one or more trustees or fiscal agents such property, rights, powers, and duties in trust as the district may determine.
(8) The acquisition and disposition of property for industrial park projects.
(9) The rights and remedies available to the bondholders in the event of default.
(10) Provisions for insurance and for accounting reports and the inspection and audit thereof.
(11) The replacement of mutilated, destroyed, stolen, or lost revenue bonds.
(12) Any other matters which in any way affect the security or protection of the revenue bonds.
H. All revenue bonds issued pursuant to a bond resolution or a trust agreement hereunder shall be equally and ratably secured by a pledge, charge, and lien upon revenues provided for in the bond resolution or trust agreement, without priority by reason of number, or of dates of bonds, execution, or delivery, except that the authority may provide in the bond resolution or trust agreement that revenue bonds issued pursuant thereto shall, to the extent and in the manner prescribed in such bond resolution or trust agreement, be subordinate and junior in standing, with respect to the payment of principal and interest and the security thereof, to any other revenue bonds.
Any pledge made by the district pursuant to this Section shall be valid and binding from the time when the pledge is made. The revenues, securities, and other moneys so pledged and then held or thereafter received by the district or any fiduciary shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding against all parties having claims of any kind in tort, contract, or otherwise against the district, whether or not such parties have notice thereof. Neither the bond resolution nor any trust agreement by which a pledge is created need be filed or recorded except in the official minutes of the district, the council, and the state bond commission.
I. The revenue bonds shall be sold in such manner, at such times, and at such prices as the district may determine.
J. The revenue bonds and coupons, if any, attached thereto 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 bond resolution or the trust agreement authorizing their issuance. If any officer whose manual or facsimile signature appears on any revenue bond or coupon 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 bond resolution or trust agreement may provide for authentication of the bonds by the trustee or fiscal agent thereunder.
K. Pending the preparation of definitive revenue bonds, the district may issue interim receipts or temporary revenue bonds, with or without coupons, exchangeable for definitive revenue bonds when such bonds have been executed and are available for delivery.
L. No officer or member of the board, the district, the council, or the state bond commission or any person executing such revenue bonds shall be liable personally on such bonds.
M. The district shall have power to purchase its revenue bonds out of any funds available therefor under the bond resolution or the trust agreement authorizing or securing such bonds.
N. All revenue bonds and interest coupons, if any, appertaining thereto issued pursuant to this Section shall be and are hereby made negotiable instruments within the meaning of and for all the purposes of the laws of this state governing negotiable instruments, subject only to the provisions of the revenue bonds for registration as to principal and interest or as to principal only.
O. All revenue bonds and the income therefrom shall be exempt from all taxation by this state or any political subdivision thereof, except estate or gift taxes and taxes on transfers. The revenue 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, municipality, or other political subdivision of the state of Louisiana, in any case where, by present or future laws, deposit or security is required.
P. The holders of any revenue bonds issued hereunder shall have such rights and remedies as may be provided in the bond resolution or the trust agreement authorizing the issuance of the revenue bonds, including, but not by way of limitation, acceleration of payment, appointment of a trustee for bondholders, appointment of a receiver for the revenue bond project financed with the proceeds of the revenue bonds and/or the revenues from such project, and any available civil action to compel compliance with the terms and provisions of the revenue bonds and the bond resolution or trust agreement.
Q. The revenue bonds shall be limited obligations of the district. The principal of and interest on the revenue bonds shall not be payable from the general funds of the district, nor shall they constitute a pledge, charge, lien, or encumbrance upon any of its property or upon any of its income, receipts, or revenues except the revenues, agreements, and funds or property pledged or mortgaged under the bond resolution or the trust agreement authorizing such bonds. Neither the credit nor the taxing power of the district or the city shall be pledged for the payment of such principal or interest, and no holder of revenue bonds shall have the right to compel the exercise of the taxing power by the district, the city or the state or the forfeiture of its property in connection with any default thereon. Every revenue bond shall recite in substance that the principal of and interest on such bond is payable solely from the revenues pledged to its payment and that the district is not obligated to pay such principal or interest except from such revenues.
The revenue bonds issued under the provisions of this Section shall not constitute a debt of the city or of the district, within the meaning of the constitution and statutes of the state.
R. Subject to agreements with the holders of revenue bonds, all proceeds of revenue bonds and all revenue pledged under a bond resolution or trust agreement authorizing or securing such bonds may be set aside as received and deposited and held in trust by a trustee appointed by the district in a fund or funds separate and apart from all other funds of the district. Subject to the bond resolution or trust agreement, the trustee shall hold the same for the benefit of the holders of the bonds for the application and disposition thereof solely to the respective uses and purposes provided in such bond resolution or trust agreement.
S. The powers and rights conferred by this Section shall be in addition and supplemental to the powers and rights conferred by any other general or special law. This Section shall be construed to provide a complete and additional method for the doing of the things authorized hereby. Neither the making of contracts nor the issuance of revenue bonds or other obligations pursuant to the provisions of this Section need comply with the requirements of any other state law applicable to the making of contracts and the issuance of the revenue bonds or other obligations for the financing of any revenue bond project or projects undertaken pursuant to this Section, except as herein provided. No proceedings, notice, or approval shall be required for the issuance of any revenue bonds or any instrument as security therefor, except as provided in this Section. The provisions of this Section shall be liberally construed for the accomplishment of its purposes.

Legislative History

Added by Acts 1981, No. 529, §1, eff. July 19, 1981; Acts 1995, No. 900, §1; Acts 2004, No. 917, §1, eff. July 12, 2004.