Act 298 of the 2007 regular session of the louisiana legislature by rep townsend
Download
1 / 24

Act 298 of the 2007 Regular Session of the Louisiana Legislature By Rep Townsend - PowerPoint PPT Presentation

Act 298 of the 2007 Regular Session of the Louisiana Legislature By Rep Townsend. Louisiana Cultural Districts. providing tax exemptions and credits in locally designated districts. Cultural Districts Background. Cultural Economy Initiative 144,000 jobs pre Katrina and Rita in 2005

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha

Download Presentation

Act 298 of the 2007 Regular Session of the Louisiana Legislature By Rep Townsend

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript



Louisiana cultural districts
Louisiana Cultural Districts Legislature

providing tax exemptions and credits in locally designated districts


Cultural districts background
Cultural Districts Background Legislature

  • Cultural Economy Initiative

  • 144,000 jobs pre Katrina and Rita in 2005

  • Search for economic tools to:

    Bring back Louisiana’s creative talent, to promote the growth and development of cultural production within the state, and to support entrepreneurial development within the cultural economy


Mt auburn associates
MT Auburn Associates Legislature

  • Tax incentive research – Feb. 2007

  • Three major categories:

    • artist-based incentives

    • industry-based incentives

    • place-based incentives


Cultural districts

Primary Goal- (modeled after DDD legislation) Legislature

Cultural Districts

revitalize communities by creating locally driven hubs of cultural activity


Cultural district
Cultural District Legislature

  • Geographically contiguous

  • Vital role in cultural life of community

  • Focus on cultural compound, art institution, art/entertainment businesses

  • Where artisan production, promotion, preservation and education occurs contributing to the public good


Hb 359 overview
HB 359 overview: Legislature

  • Allows local communities to designate cultural districts

  • Provides for state and local tax exemption on sales of original art

  • Expands historic preservation tax credits on commercial and owner-occupied properties to historic structures located in cultural districts

  • Increases the cap on state residential historic tax credits

  • Requires local governments who designate such districts to report on impact to their community


Currently for income producing property
Currently - Legislaturefor Income Producing property

  • 25% state income tax credit for costs and expenses of rehabilitation of historic structures that are in a DDD and used for commercial, industrial, or rental residential purposes


Currently for homeowners
Currently - LegislatureFor Homeowners

  • May be eligible for up to 25% of rehab cost as credit against individual state income tax for up to 5 years


New law
New Law Legislature

  • Expands eligibility of existing tax credits to the rehabilitation of commercial and residential structures located in “Cultural Districts”

  • Raises the cap on the residential program from $1 to $10 million per program year


Rule making process
Rule Making Process Legislature

  • The Administrative Procedure Act defines the procedure for promulgation of administrative rules.

  • Minimum time between the date of the first publication of the agency’s “Notice of Intent” (NOI) to promulgate rules and the effective date of the rules is four months


Timeline
Timeline Legislature

November ‘07draft and revise rules

December ‘07publish Notice of Intent

January ‘08public hearing

February ‘08legislative oversight

March ‘08publish final rules


Cultural district rules

Purpose and Authority Legislature

Definitions

Applications

Criteria

Determination & Appeals

Reporting requirements

Sales Tax Exemption

Boundaries

Termination by Local

Termination by State

Cultural District Rules


Definitions
Definitions Legislature

  • Local Governing Authority- the local governing authority of the parish or the municipality in which the cultural district is located, or both if a district is located partially in a municipality.


Application
Application Legislature

  • A local governing authority may submit to the department an application to designate and certify a specified geographic area as a cultural district

  • In accordance with the timetable and in the format provided by department policy

  • Application deficiency must be addressed within 30 days of notification


Criteria

Revitalize a neighborhood or area   Legislature

Stimulate the economy 

Engage residents

Draw tourists 

Provide a sense of community

Serve as a gathering place

Encourage creativity

Strengthen community partnerships 

Promote the arts and support artists

Develop an image

Enhance property values

Capitalize on local cultural, economic and social assets

Criteria


Reporting requirements
Reporting requirements Legislature

  • By January of each year, the local governing authority shall prepare and submit to the department an annual report on the impact of the certified cultural district with regard to the purposes of the creation of a cultural district


Sales tax exemption
Sales Tax Exemption Legislature

  • Sales and use taxes imposed by the state of Louisiana or any of its political subdivisions shall not apply to the sale of original, one-of-a-kind works of art from an established location within the boundaries of a cultural district.


Established location
Established location Legislature

  • An “established location” shall not include transient vendors including those who sell art from booths or other temporary structures as street vendors or participants at fairs, festivals, or other temporary activities; except for ongoing, incorporated events, held at least 6 times a year in the same location


Certifying tax exempt sales
Certifying tax exempt sales Legislature

Vendors shall certify and document each tax-exempt sale of original art: 

  • A description of the work of art including its medium and dimensions, the name of the artist, its date of creation, and the name, contact information, and qualifications of the person vouching for this information

  • A statement by the vendor certifying that the work of art meets the definition of a tax-exempt work of art.


Definition of original art craft
Definition of Original Art/Craft Legislature

  • Art is the creation of a single, unique item, conceived and produced by the artist or under his direction, not intended for multiple or mass production

  • A craft must be a single, unique item made by hand or with the use of necessary and appropriate tools, conceived and produced by the artist or under his direction


Eligible tax exempt art
Eligible tax-exempt art Legislature

  • Examples include drawings created using pencil, charcoal, graphite, pen and ink, or a combination of media, but not a copy, print or reproduction; paintings created using oil, acrylic, or other paint on paper, canvas, or other surface, but not a copy of another painting, a print, or a reproduction.

  • Eligible media include drawing, painting, printmaking, photography, sculpture, clay, metals, fiber, glass, leather, wood, mixed media


Eligible tax exempt crafts
Eligible tax-exempt crafts Legislature

  • Examples of eligible media include clay, glass, fiber, metal, wood, leather, mixed media, and digital installation art

  • Ineligible media & products include manufactured items; crafts made from commercial molds, stencils, patterns or kits; imports; food products; plants; dried flower arranging; simulated stained glass; china painting; items created through mechanized processes

  • All jewelry must be handcrafted by the artist and shall not include stringing of manufactured beads


Act 298 of the 2007 regular session of the louisiana legislature

For more information: Legislature

www.crt.state.la.us/culturaldistricts/

Call – 225-342-8161

Email – ghamilton@crt.state.la.us


ad
  • Login