La. Admin. Code tit. 13 § I-3903

Current through Register Vol. 50, No. 11, November 20, 2024

Section I-3903 - Preliminary Certification

A. Preliminary certification of the project is the initial step in the tax credit process. An application for preliminary certification as a qualifying project must be submitted to LED prior to the start of the project.

B. The application for preliminary certification shall include the following information:

1. a detailed project description;

2. a preliminary budget including the following information:

a. the estimated capital costs; and

b. the estimated Louisiana payroll;

3. the estimated start date and the estimated completion date;

4. an explanation of why the proposed project is a qualifying project;

5. the names of each investing company or the name or names of the investors to become entitled to the tax credit;

6. a copy of the cooperative endeavor agreement between the investing company and the public port in whose geographic jurisdiction the proposed qualifying project is to be located indicating cooperation and support among all of the parties;

7. any additional information required by LED;

8. project plans, specifications, contracts, purchase orders and other appropriate design and/or expenditure documentation; if the foregoing information is not made available to DOTD during preliminary certification, then the project owner/sponsor must provide these items to DOTD prior to project construction.

C. An application fee shall be submitted with the application based on the following:

1. 0.5 percent (.005) times the estimated total incentive rebates (see application fee worksheet to calculate);

2. the minimum application fee is $500 and the maximum application fee is $15,000 for a single project.

D. LED shall review the application and determine whether the project is a qualifying project, taking into consideration, the following factors;

1. the impact of the project on the immediate and long-term objectives of the tax credit provided for such investment;

2. the impact of the project on the employment of Louisiana residents;

3. the impact of the project on the overall economy of the state;

4. the availability of similar infrastructure or facilities within fifty miles of the proposed project;

5. the economic impact of the project on similar, existing private or public projects within 50 miles of the proposed qualifying project;

6. LED may require the investing company to conduct a public meeting, in the project location area to obtain additional information regarding the impact of the proposed project.

E. If LED determines that the project is a qualifying project, LED shall issue a preliminary certification of the qualifying project which shall include.

1. a unique identifying number for each project;

2. the estimated total amount of tax credits that will be issued;

3. the estimated amount of tax credits to be taken at five percent per year;

F. The preliminary certification shall be valid only for a period of thirty months, from the date of approval by the JLCB and SBC, during which time the qualifying project must be completed or the preliminary certification shall expire;

1. if a project is project to take longer than 30 months, the applicant may request an extension of the preliminary certification by providing sufficient justification;

2. an extension of the preliminary certification requested after approval by the JLCB and SBC will require a new certification of sufficient revenue as provided in §3905

G. LED shall send the preliminary certification to the proposing entity, the investing company, the LDR and the COA. LED shall send the preliminary certification and a copy of the application to DOTD.

H. LED shall prepare, and send to the COA with the preliminary certification, an economic analysis of the qualifying project.

La. Admin. Code tit. 13, § I-3903

Promulgated by the Department of Economic Development, Office of the Secretary, LR 36:2544 (November 2010), Amended LR 42223 (2/1/2016).

AUTHORITY NOTE: Promulgated in accordance with R.S. 47:6036.