§2399.2. Definitions
The following words or terms as used in this Chapter shall have the following
meaning, unless a different meaning appears from the context:
(1)"Department" means Louisiana Economic Development.
(2)(a) "Employer" means a legal person who is engaged in a lawful enterprise not
excluded by this Chapter that executes a contract with the department pursuant to the
provisions of this Chapter and meets the following elements or elements substantially
equivalent thereto:
(b)To qualify for a contract pursuant to this Chapter, employers must be a
manufacturer, as defined by North American Industry Classification System (NAICS) codes
113310, 211, 213111, 541360, 311-339, 511-512, and 54171, as the employer's primary
function.
(c)The following employers or persons engaged in the
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§2399.2. Definitions
The following words or terms as used in this Chapter shall have the following
meaning, unless a different meaning appears from the context:
(1) "Department" means Louisiana Economic Development.
(2)(a) "Employer" means a legal person who is engaged in a lawful enterprise not
excluded by this Chapter that executes a contract with the department pursuant to the
provisions of this Chapter and meets the following elements or elements substantially
equivalent thereto:
(b) To qualify for a contract pursuant to this Chapter, employers must be a
manufacturer, as defined by North American Industry Classification System (NAICS) codes
113310, 211, 213111, 541360, 311-339, 511-512, and 54171, as the employer's primary
function.
(c) The following employers or persons engaged in the following professions or
service industries shall not be eligible for any credit under this Chapter:
(i) Retail employers as identified by the North American Industry Classification
System code sections 44 and 45.
(ii) Business associations and professional organizations as defined in North
American Industry Classification System (NAICS) code 8139.
(iii) State and local government enterprises.
(iv) Real estate agents, operators, and lessors.
(v) Automotive rental and leasing.
(vi) Local solid waste disposal, local sewage systems, and local water systems
businesses.
(vii) Nonprofit organizations.
(viii) Employers engaged in the gaming industry as identified by the North American
Industrial Classification System code sections 713210 and 721120.
(ix) Attorneys.
(d) The department may promulgate rules annually listing other employers,
professions, or service industries which are eligible and not eligible for any credit pursuant
to this Chapter, and such rules shall not take effect unless presented to the Louisiana
Economic Development Council and approved by both the House Committee on Ways and
Means and the Senate Committee on Revenue and Fiscal Affairs in a public meeting held for
such purpose.
(3) "Modernization" means capitalized investment by an employer in technology,
machinery, building and/or equipment that meets one of the following provisions:
(a) An increase in the increase of maximum capacity or efficiency of the facility of
greater than ten percent. The modernization must result in the facility adopting "best
practices" technology for its industry and the company shall establish that without the
investment that the facility would be a high risk for closure in the foreseeable future.
Modernization does not include the replacing of existing technology with the same or similar
technology.
(b) An approved investment from a company with multi-state operations with an
established competitive capital project program.
(4) "Project" includes the design, development, installation and construction of a
technology, machinery, building and equipment that results in a modernization of an
employer's product line, unit, or entire operations that requires at least five million dollars
of investment.
(5) "Qualified expenditures" means amounts classified as capital expenditures for
federal income tax purposes plus exclusions from capitalization provided for in Internal
Revenue Code Section 263(a)(1)(A) through (L), minus the capitalized cost of land,
capitalized leases of land, capitalized interest, and the capitalized cost for the purchase of an
existing building. When an employer purchases an existing building and capital expenditures
are used to rehabilitate the building, only the costs of the rehabilitation shall be considered
qualified expenditures. Additionally, an employer shall be allowed to increase his qualified
expenditures to the extent an employer's capitalized basis is properly reduced by claiming
a federal credit.