§ 33:9035 — Items which are included in the costs of an economic development project

Louisiana § 33:9035

• Jurisdiction: Louisiana
• Title 33: Municipalities and Parishes

Text

The costs of an economic development project incurred by the local governmental subdivisions in accordance with R.S. 38:2181 et seq. pertaining to the letting of public contracts may include the sum total of all reasonable or necessary costs incurred incidental to or in furtherance of an economic development project, including but not limited to the following, providing that any such costs are reasonably related or attributable to an approved economic development plan:
(1) Costs of studies, surveys, development of plans and specifications, preparation, implementation and administration of an economic development plan, personnel and professional service costs for architectural, engineering, legal, marketing, financial, planning, police, fire, public works or other services, incurred by a local governmental subdivision directly or on behalf of the local governmental subdivision but only from and after the effective date of and in accordance with a written agreement with the local governmental subdivision providing for a cooperative endeavor as defined in this Chapter, provided further that no charges for professional services may be based on a percentage of incremental tax revenues.
(2) Property acquisition and assembly costs within an economic development area, including but not limited to acquisition of land and other real or personal property or rights or interests therein, provided only to the extent such costs are incurred by the local governmental subdivision directly, or on behalf of the local governmental subdivision but only from and after the effective date of and in accordance with a written agreement with the local governmental subdivision providing for a cooperative endeavor as defined in this Chapter.
(3) On- and off-site preparation costs, including but not limited to clearance of any area within or about an economic development area by demolition or removal of any existing buildings, structures, fixtures, utilities and improvements and clearing and grading and including without limitation installation, repair, construction, reconstruction, or relocation of public streets, public utilities, and other public improvements within or without an economic development area which are essential to the preparation of an economic development area for use in accordance with an economic development plan, provided only to the extent such on- and off-site preparation costs are incurred by the local governmental subdivision directly, or on behalf of the local governmental subdivision but only from and after the effective date of and in accordance with a written agreement with the local governmental subdivision providing for a cooperative endeavor as defined in this Chapter.
(4) Costs of renovation, rehabilitation, relocation, repair, or remodeling of any existing buildings, improvements, and fixtures within an economic development area, but only from and after the effective date of and in accordance with a written agreement with the local governmental subdivision providing for a cooperative endeavor as defined in this Chapter.
(5) Costs of construction within or about an economic development area of public improvements, including but not limited to buildings, structures, works, utilities, or fixtures, provided only to the extent such costs are incurred by the local governmental subdivision directly, or on behalf of the local governmental subdivision providing for a cooperative endeavor as defined in this Chapter.
(6) Financing costs of the local governmental subdivision, including but not limited to all necessary and incidental expenses related to the issuance of obligations, payment of any interest on any obligations issued hereunder which accrues during the estimated period of construction of any economic development project for which such obligations are issued and thereafter, and any reasonable reserves related to the issuance of such obligations.
(7)(a) All or a portion of a local governmental subdivision's capital costs resulting from an economic development project necessarily incurred or estimated to be incurred incidental to or in the furtherance of the objectives of an economic development project, but only to the extent that the local governmental subdivision by written agreement accepts and approves such costs.
(b) Should a local governmental subdivision agree to reimburse costs of an economic development project pursuant to a written agreement between such local governmental subdivision and the party incurring such costs, as authorized by this Section, such costs may be reimbursed only after receipt of monthly progress reports from such party to be reimbursed no later than the last business day of each month during the period in which authorized costs of an economic development project are being incurred. Such monthly progress reports shall include, at a minimum, information regarding the percentage of the total reimbursable project that has been completed and the total amount of costs incurred to date on behalf of the local governmental subdivision. Only upon good cause shown and approval of a majority of the members of the governing body of the local governmental subdivision may reimbursable costs reflected in the final month's report exceed the average of the monthly reimbursable costs incurred prior to such final month. The written agreement may provide for the use to which the local governmental subdivision shall put the monthly progress reports.

Legislative History

Acts 1990, No. 1082, §1; Acts 2002, No. 78, §2, eff. June 25, 2002.