LA Rev Stat § 33:2740.37 (2021)
2021 Louisiana Laws|Revised Statutes|Title 33 - Municipalities and Parishes|§2740.37. Educational facilities improvement districts

RS 2740.37 - Educational facilities improvement districts  A.(1)(a) The legislature finds and determines that a state of emergency exists in many of the public elementary and secondary schools of the respective parish and municipal school systems in the state with respect to the condition of school buildings and school-related facilities, that the technology capabilities in such public elementary and secondary schools are insufficient for the education of the children of this state, and that these and other conditions and factors are detrimental to the learning environment of the children of this state and, in certain instances, may be detrimental to their welfare and safety.  (b) The legislature further finds that these conditions are in urgent need of being addressed and remedied and that additional local funding is desirable and essential to these ends if the children of this state are to be competitive in the work force of the twenty-first century and in the development of sustainable economic activity in this state.  (c) The legislature further finds that the scope of these problems and other problems facing such parish and municipal school boards may exceed the present means available to such parish and municipal school boards.  (2) As a result of the foregoing, the legislature determines it essential and necessary to create special taxing districts to be known as educational facilities improvement districts and authorize them:  (a) To provide a source of revenue to enable the districts to engage in cooperative endeavors with parish and municipal school boards within their territorial boundaries for the purpose of assisting such parish and municipal school boards: in purchasing, constructing, or improving school buildings and other school-related facilities, including construction of necessary sidewalks and streets adjacent thereto; in acquiring necessary or desirable equipment and furnishings therefor, inclusive of technology and computer equipment and software; in repairing, maintaining, and rehabilitating existing school-related facilities, including the mitigation or prevention of hazardous conditions therein or demolition thereof; in acquiring or improving lands for building sites, playgrounds, and other school-related areas, title to which shall be vested in the public; and in maintaining such facilities.  (b) To provide funding for other matters for which school boards are authorized by law to expend funds.  (c) Generally to assist such school boards experiencing financial difficulties regarding capital facilities or other needs.  B.(1) There is hereby created in each school district a political subdivision to be known as an educational facilities improvement district, hereinafter sometimes referred to as a "district". Each district shall have boundaries coterminous with the respective school district.  (2) Such districts are created for the purposes of assisting the school boards of the respective school districts to:  (a)(i) Purchase, construct, or improve school buildings and other school-related facilities, including construction of necessary sidewalks and streets adjacent thereto.  (ii) Acquire necessary or desirable equipment and furnishings therefor, including but not limited to technology and computer equipment and software.  (iii) Repair, maintain, and rehabilitate existing school-related facilities, including the mitigation or prevention of hazardous conditions therein or demolition thereof.  (iv) Acquire or improve lands for building sites, playgrounds, and other school-related areas, title to which shall be vested in the public.  (v) Maintain such facilities.  (b) Provide funding for other matters for which school boards are authorized by law to expend funds.  (c) Generally assist such school boards experiencing financial difficulties regarding capital facilities or other needs.  (3) The creation of the districts and the carrying out of their respective public purposes are in all respects public and governmental purposes for the improvement of the health, safety, welfare, comfort, and security of the people of the respective districts, for whom the districts will be performing a public obligation in the exercise of the powers conferred upon them by this Section.  C.(1) Each district shall be administered and governed by a board of directors, hereinafter sometimes referred to as a "board", comprised of such number of members as determined by the respective school board, not to be less than five, appointed by the respective school board. Directors shall be selected based on their experience in financial matters and their ability to act effectively for the best interest of the school system.  (2) Each director shall be appointed for a term of six years.  (3) The board shall designate its chairman, vice chairman, secretary, and treasurer.  (4) A majority of the directors shall constitute a quorum and a majority vote of the directors constituting the quorum shall be necessary for any action taken by the district. No vacancy on the board shall impair the right of a quorum to exercise all of the rights and perform all of the duties of the district.  (5) The board shall adopt bylaws and prescribe rules to govern its meetings and shall fix the place or places at which meetings shall be held, which place or places shall be within the district.  (6) Each district established in a parish school district shall select a domicile in the parish seat. Each district in a municipal school district shall select a domicile in the municipality.  (7) The members of the board shall not receive salary or per diem. Members may be reimbursed for actual and necessary expenses incurred in the performance of official duties. However, this Paragraph shall not authorize any member authorized by some other provision of law to receive reimbursement to receive additional reimbursement. The rate of reimbursement shall not exceed that allowed to state employees.  (8) Notwithstanding any other elected or appointed office or employment position held by a director of an educational facilities improvement district, service as a director of such a district shall not constitute a violation of the dual officeholding laws of this state or any political subdivision thereof. Notwithstanding the Code of Governmental Ethics or any other law to the contrary, a member, superintendent, or employee of a school board may serve as a director of a district.  D. Each district shall have all of the rights and powers necessary to carry out and effectuate the purposes and provisions of this Section including the rights and powers set forth in R.S. 13:5121 et seq. Each district, as a body corporate and politic and as a political subdivision of the state with full corporate powers, shall have the following rights and powers:  (1) To adopt bylaws for the regulation of its affairs and the conduct of its business.  (2) To adopt an official seal and alter the seal at its pleasure.  (3) To maintain an office at such place as it may designate and to occupy space for such purposes as may be made available by a school board.  (4) To sue and be sued.  (5) To receive, administer, and comply with the conditions and requirements respecting any gift, grant, guarantee, subsidy, or donation of any property or money.  (6) To borrow money and issue bonds or obligations of the district in the manner provided by this Section and to refund the same.  (7) To apply and contract for assistance from the United States or other public or private sources, whether in the form of a grant, guarantee, loan, or otherwise, or to serve and act in such capacities on behalf of a school board when necessary or desirable to apply for and accept such grants, guarantees, subsidies, loans, or other assistance.  (8) To make and execute contracts and other instruments necessary in the exercise of the powers and functions of the district under this Section, including contracts with persons, firms, corporations, and others.  (9) To pledge or assign any monies, fees, charges, or other revenues and any proceeds derived by the district from the sale of bonds and other contracts or rights of the district.  (10) To employ such employees, to make use of such persons as a school board may make available to the board for its use, and to employ or otherwise retain the services of accountants, financial advisors, underwriters, attorneys, and such other consultants as may be required in the judgment of the board and to fix and pay their compensation from funds available to the district therefor.  (11) To research, study, and develop plans and programs designed to assist the respective school boards and to review such plans and services as a respective school board may determine to accomplish any of the purposes or address any of the objectives or findings in this Section.  (12) To enter into a cooperative endeavor agreement with the respective school board to transfer all or any portion of the proceeds derived by a district from collections of the tax and the sale of bonds to the respective school board, to make grants and donations to, and to purchase any obligation of, the respective school board or enter into a cooperative endeavor agreement with any political subdivision of the state to accomplish any of the purposes, objectives, or findings in this Section.  (13) As security for the payment of any bonds issued hereunder and any agreements made in connection therewith, to pledge or mortgage all or any part of its revenues or properties as provided in the resolution or trust agreement authorizing such bonds.  (14) To accept the mortgage, pledge, hypothecation, assignment, grant, or donation of any properties of the school board.  (15) To exercise any and all other powers necessary to accomplish the purposes set forth herein.  (16) To invest its monies in accordance with law.  E.(1) A district may, in accordance with this Subsection, levy and collect a sales and use tax not to exceed one percent within the district. The sales and use tax authorized by this Subsection shall be imposed by ordinance of the district and shall be levied upon the sale at retail, the use, lease or rental, consumption and the storage for use or consumption of tangible personal property, and on sales of services, all as defined in Chapter 2 of Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950 in the district except that the sale at retail, the use, the consumption, the distribution, and the storage for use or consumption of food and prescription drugs is hereby specifically exempted from the tax in accordance with the requirements of R.S. 47:305. However, the ordinance imposing said tax shall be adopted by the district only after the question of the imposition of the tax has been submitted to the qualified electors of the district at an election to be conducted in accordance with the election laws of the state of Louisiana, and the majority of those voting in the election have voted in favor of the imposition of the tax. This tax shall be in addition to all other authorized sales and use taxes and shall be collected at the same time and in the same manner as set forth in Chapter 2 of Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950. Any sales and use tax levied by an educational facilities improvement district shall be excluded from the calculation of total sales and use taxes levied within an area for the purposes of R.S. 47:338.54.  (2) A tax levied pursuant to Paragraph (1) of this Subsection shall be levied for a term as provided in the proposition authorizing the levy not to exceed twenty years. Such a tax may be renewed, subject to the approval of the qualified electors of the district as provided by Paragraph (1) of this Subsection, for a term as provided in the proposition authorizing the renewal not to exceed twenty years.  F. The district may incur debt and fund sales tax revenues into bonds in the manner provided in R.S. 39:523. No proceeding, hearing, notice, or approval shall be required for the issuance of any bonds or any instrument as security therefor, except as provided by this Section or by the Constitution of Louisiana.  G. The powers and rights conferred by this Section shall be deemed to provide an additional and alternative method for the doing of the things authorized thereby and shall be regarded as supplemental and additional to powers conferred by other general laws and shall not be regarded as in derogation of any powers now existing. The provisions of this Section shall be liberally construed for the accomplishment of its purposes.  Acts 1997, No. 1460, §1, eff. July 15, 1997; Acts 1999, No. 3, §1, eff. April 26, 1999; Acts 2011, 1st Ex. Sess., No. 20, §1, eff. June 12, 2011; Acts 2019, No. 422, §1.