§ 45:844.53 — General operating limitations

Louisiana § 45:844.53

• Jurisdiction: Louisiana
• Title 45: Public Utilities and Carriers

Text

§844.53. General operating limitations
(1) A local government that provides a covered service under this Chapter is subject
to all applicable provisions of local, state and federal law, including applicable rules of the
Louisiana Public Service Commission.
(2) A local government may not cross-subsidize its covered services with tax dollars,
income from other local government or utility services, below-market rate loans from the
local government or any other means.
(3)(a) A local government may not make or grant any undue or unreasonable
preference or advantage to itself or to any private provider of covered services.
(b) A local government shall apply without discrimination as to itself and to any
private provider the local government's ordinances, rules, and policies, including those
relating to obligation to serve, access to public rights of way, permitting, performance
bonding, reporting, and quality of service.
(4) In calculating the rates charged by a local government for a covered service, the
local government:
(a) Shall include within its rates an amount equal to all taxes, fees, and other
assessments that would be applicable to a similarly situated private provider of the same
services, including:
(i) Federal, state, and local taxes; provided that, for income taxes, the imputed rate
shall be the lowest rate that any private provider of covered service actually pays for the year
prior to the year at issue, as the Louisiana Public Service Commission determines from data
available to it, or zero percent, whichever is higher.
(ii) Franchise fees.
(iii) Permit fees.
(iv) Pole attachment fees.
(v) Fees similar to those described in this Subparagraph.
(b) Shall receive a credit for all payments in lieu of taxes that it pays to the local
government on revenues from the provision of the covered services.
(c) May bundle one or more covered services and offer promotional discounts or
engage in other business practices on the same terms and conditions as federal and state law,
including applicable rules of the Louisiana Public Service Commission, permit similarly
situated private providers to bundle covered services; provided, however, that the local
government shall establish its prices for covered services at levels that will, in the aggregate,
over the useful life of the facilities used to provide such services, recover the sum of:
(i) The actual direct costs of providing the service.
(ii) The actual indirect costs of providing the service.
(iii) The amount determined under Subparagraph (4)(a); provided further that the
local government's useful life of the facilities shall be substantially similar to the average life
of the facilities used by private providers to provide covered services. Nothing in this
Subparagraph shall authorize local governments to engage in cross-subsidizations prohibited
by this Chapter or other pricing in violation of federal or state law, including rules of the
Louisiana Public Service Commission.
(5) A local government that provides covered services shall keep separate and
accurate books and records of the local government's covered services, and they shall be
made available for audits of such books and records as set forth in R.S. 45:844.55(D).

Legislative History

Acts 2004, No. 736, §1, eff. July 6, 2004.