Louisiana Administrative Code › Title 13 - ECONOMIC DEVELOPMENT › Part III - Financial Assistance Programs › Chapter 1 - Economic Development Award Program (EDAP), Economic Development Loan Program (EDLOP) and Economic Development Site Readiness Program (EDRED) › Subchapter A - Economic Development Award Program (EDAP) › Section III-103 - Definitions

Current through Register Vol. 50, No. 6, June 20, 2024
Applicants
-the company or business
					 enterprise and (if a Sponsored Project) the public entity, collectively,
					 requesting or seeking financial assistance from LED and LEDC under this
					 program.
Award
-the funding of financial assistance
					 and/or appropriations, including performance-based grants or loans approved
					 under this program for eligible applicants, which will promote economic
					 development in this state, and will serve as an incentive to influence a
					 company's decision to locate or relocate its business operations in Louisiana,
					 maintain, rebuild and/or expand its Louisiana operations, and/or increase its
					 capital investment in Louisiana.
Award Agreement
-that agreement or contract
					 hereinafter referred to between the company, LED and LEDC, and (if a sponsored
					 project) the public entity, through which, by cooperative endeavor agreement or
					 otherwise, the parties set forth the amount of the award, the terms, conditions
					 and performance objectives or obligations of the award provided pursuant to the
					 rules of this program.
Awardee
-an applicant, company or business
					 enterprise, and (if a sponsored project) the public entity receiving an award
					 under this program.
Borrower
-the awardee receiving and
					 accepting a loan award under this program.
Company
-the business enterprise, being a
					 legal entity duly authorized to do and doing business in the State of
					 Louisiana, in need of funding for a project pursuant to these rules, which is
					 undertaking the project or for which the project is being undertaken, and which
					 is seeking and/or receiving the benefit of the award under this program.
Default
-the failure to perform a task, to
					 fulfill an obligation, or to do what is required; the failure to create new
					 jobs or the number of new jobs as agreed, or to employ, to retain, or to
					 maintain the employment of the number of employees as agreed; the failure to
					 achieve and/or to maintain the employee compensation or payroll levels as
					 agreed; the failure to pay or to repay any loan or interest due thereon as
					 agreed; or the failure to meet a financial obligation.
EDAP
-the Economic Development Award
					 Program.
Employee
-a Louisiana resident hired by a
					 company for permanent full-time employment.
Financed Lease
-a lease entered into that
					 satisfies the criteria of a lease intended as a security device in which a
					 security interest may be reserved in favor of LED or LEDC, for the payment or
					 repayment of an award, a debt, a loan or some other obligation; in which case
					 LED or LEDC, as the creditor or lender, shall be the lessor, the awardee, as
					 the debtor or borrower, shall be the lessee, and the installment payments of
					 the award, loan or other obligation shall be the lease or rental
					 payments.
Grant or Grant Award
-funding of financial
					 assistance approved under this program for eligible applicants, provided the
					 awardee achieves and maintains the performance obligations as required in the
					 award agreement. This type of award is not ordinarily intended to be repaid in
					 cash payments except in the event of a default by the awardee in the
					 performance of its obligations under the award agreement. In the event of a
					 default, the full repayment by the awardee of the award may be required, or
					 repayment of the unpaid or uncredited balance may be required of the awardee
					 after appropriate
performance credits
, have been applied
					 against the repayment obligation.
Guaranty
-an agreement, promise or
					 undertaking by a second party to make the payment of a debt or loan or to
					 perform an obligation in the event the party liable in the first instance fails
					 to make payment or to perform an obligation.
Infrastructure
-considered to be basic hard
					 assets, permanent type assets, such as land, buildings, structures,
					 substantial, installed or permanently attached machinery and/or equipment,
					 streets, roads, highways, rights-of-way or servitudes, including paving or
					 other hard surfacing, piping, drainage and/or sewage facilities, utility lines,
					 poles and facilities, railroad spurs, tracks, cross ties, and all things
					 similar or appurtenant thereto, and including costs related to the purchase,
					 design, location, construction, and/or installation of such hard assets.
Infrastructure Project
-refers to the
					 undertaking for which an award is granted hereunder for the purchase, or new
					 construction, improvement or expansion of land, roadways, servitudes, parking
					 facilities, equipment, bridges, railroad spurs, utilities, water works,
					 drainage, sewage, buildings, ports and waterways.
LED
-the Louisiana Department of Economic
					 Development.
LEDC
-the Louisiana Economic Development
					 Corporation.
LEDC Board
-the Board of Directors of the
					 Louisiana Economic Development Corporation.
Loan
or
Loan Award
-funding of financial assistance approved under this program for eligible
					 applicants, provided the awardee achieves and maintains the performance
					 obligations as required in the award agreement, which award is to be repaid in
					 cash payments over a period of time by the awardee/borrower. Such financial
					 assistance loans may be repaid either with or without interest (at the
					 discretion of the LEDC Board), and may also be repaid by applying against the
					 unpaid or uncredited balance of the award appropriate
performance
					 credits
earned by the awardee through the performance of its required
					 obligations during the term of the award agreement; and in the event such
					 "credits" are utilized and earned, any interest due may also be waived, all to
					 be determined in its discretion by the LEDC Board, or by the LED or LEDC
					 staff.
Loan Participation
-the sharing by one
					 lender of a part or portion of a loan with another lender or other lenders,
					 whereby the participant or participants may provide a portion of the loan
					 funds, or may purchase a portion of the loan, and which participant or
					 participants would be entitled to share in the proceeds of the loan repayments
					 and any interest income.
Performance Credits
-may include any of the
					 following or any combination of the following credits earned by the awardee
					 through the performance of its required obligations during the term of the
					 award agreement, as determined in its discretion by the LEDC Board, or by the
					 LED or LEDC staff, and as provided in the award agreement:
1.
Jobs Credits
-refers to credits, in an
					 amount determined as provided in the award agreement, earned for the number of
					 new permanent full-time jobs created, filled with employees and maintained
					 within the agreed employment and/or contract term, which credits are applied
					 against an obligation to repay an award or the unpaid or uncredited balance of
					 an award, as provided in the award agreement;
2.
Payroll Credits
-refers to credits, in an
					 amount as provided in the award agreement, earned fordollar amounts of new job
					 annual payroll, for increases to existing job annual payroll, or for total new
					 annual payroll for all new and existing permanent full-time jobs, or any
					 combinations thereof, paid by the company within the agreed employment and/or
					 contract term, which credits are applied against an obligation to repay an
					 award or the unpaid or uncredited balance of an award, as provided in the award
					 agreement; and
3.
Jobs/Payroll Credits
-refers to a
					 combination of "Jobs Credits" and "Payroll Credits" applied against an
					 obligation to repay an award or the unpaid or uncredited balance of an award,
					 as provided in the award agreement.
Permanent Full-Time Jobs or Permanent Full-Time
					 Equivalent Jobs
-refers to direct jobs which are not contract jobs,
					 that are permanent and not temporary in nature, requiring employees to work an
					 average of 30 or more hours per week.
Program
-the Economic Development Award
					 Program (EDAP), which may include sponsored projects or unsponsored projects
					 that are undertaken by a company and a public entity (if a sponsored project),
					 and funded wholly or partially by LED and LEDC through an award pursuant to
					 these rules and the bylaws of LEDC.
Project
-refers to the undertaking related
					 to the location, relocation, maintaining, rebuilding or expansion of a business
					 enterprise or an industrial facility in this state, for which an award is
					 sought and/or is granted under this program which will promote economic
					 development in this state, for which LED and LEDC assistance is requested under
					 this program.
Public Entity or
Sponsoring
					 Entity
-the public or quasi-public entity that is responsible for
					 recommending to LED and LEDC the approval of the financial award for the
					 project, for engaging in the award agreement with the company, and pursuant
					 thereto is responsible with the company for the performance and oversight of
					 the project and for supervising with LED the company's compliance with the
					 terms, conditions and performance objectives and obligations of the award
					 agreement.
Secretary
-the Secretary of the Department
					 of Economic Development, who is also the President of LEDC, or his
					 designee.
Security Interest
-a lien, incumbrance or
					 mortgage affecting movable or immovable property, or a Uniform Commercial Code
					 (UCC-1) Financing Statement, given by an awardee, as debtor or borrower, in
					 favor of LED and/or LEDC, as creditor or lender, to assure the awardee's
					 payment or repayment of all or the unpaid or uncredited balance of an award,
					 loan, debt, or promise to pay an amount of money, or for the fulfillment or
					 performance of an obligation or obligations. A security interest may also be
					 reserved in favor of LED or LEDC, as the creditor or lender, in the form of a
					 lease, commonly called a
financed lease
, as defined
					 above.
AUTHORITY NOTE:
					 Promulgated in accordance with R.S. 36:104, 36:108,
					 51:2302,
					 51:2312,
					 and
					 51:2341
					 et seq.