§3114. Contract administration; rebate

A. Upon approval by the Joint Legislative Committee on the Budget, the secretary shall execute the contract with the business, and provide a copy to the Department of Revenue prior to the payment of any rebate under the contract.

NOTE: Subsection B as amended by Acts 2015, No. 126, §2, eff. through June 30, 2018. See Acts 2016, 1st E.S., No. 28.

B.(1) With respect to projects for which an invitation to apply was extended by the secretary prior to July 1, 2015, the contract shall provide a rebate to the qualified business of twenty-five percent of relocation costs and shall include the following provisions:

(a) The maximum amount of qualifying relocation costs.

(b) The number of headquarters jobs and associated payroll to be created and maintained and any other performance obligations deemed appropriate by the secretary.

(c) The reduction of annual rebate payments if performance obligations are not met.

(2) With respect to projects for which an invitation to apply is extended by the secretary on or after July 1, 2015, the contract shall provide a rebate to the qualified business of twenty percent of relocation costs and shall include the following provisions:

(a) The maximum amount of qualifying relocation costs.

(b) The number of headquarters jobs and associated payroll to be created and maintained and any other performance obligations deemed appropriate by the secretary.

(c) The reduction of annual rebate payments if performance obligations are not met.

NOTE: Subsection B as amended by Acts 2015, No. 126, §3, eff. through June 30, 2018. See Acts 2016, 1st E.S., No. 28.

B. The contract shall provide a rebate to the qualified business of twenty-five percent of relocation costs and shall include the following provisions:

(1) The maximum amount of qualifying relocation costs.

(2) The number of headquarters jobs and associated payroll to be created and maintained and any other performance obligations deemed appropriate by the secretary.

(3) The reduction of annual rebate payments if performance obligations are not met.

C. The qualified business shall submit to the department, at least annually but no more often than monthly, a certified cost report reasonably documenting its relocation costs, including supporting documentation as required by the department. Prior to the approval of rebates under the contract, the department shall verify the business's actual relocation costs as defined in this Chapter.

D.(1) The rebate shall be payable in equal installments over a five-year period, to be paid after the business files an annual certification of performance and the department determines the extent of compliance with contractual obligations. Annual payments shall be reduced and forfeited for failure to meet performance obligations, as provided in the contract. Rebate amounts within the annual limit that are not paid in one year may be carried over and paid in a subsequent year, in addition to that year's limit.

(2) No payment of a rebate shall be made under a specific contract during the fiscal year in which such contract is approved by the Joint Legislative Committee on the Budget.

E. The department may obtain, at the expense of the qualified business, a certified limited scope audit by an independent certified public accountant, in accordance with applicable auditing standards generally accepted in the United States, of all books and records of the business relating to its eligibility and performance obligations under the program.

F. Upon approval of the application for an annual rebate, the department shall send a certification letter to the Department of Revenue for payment of the rebate. The letter shall provide the name of the business and the amount of the rebate. The Department of Revenue may require the business to submit any additional information as may be necessary to effect the payment of the rebate. Payment shall be made from the current collections of the taxes imposed by Title 47 of the Louisiana Revised Statutes of 1950, as amended.

G. A business shall not receive any other incentive administered by the Department of Economic Development for any expenditures for which the business has received a rebate pursuant to this Section.

H. Economic Analysis Verification. Prior to the implementation of the program, an independent third-party economist selected by the Legislative Fiscal Office and the department, and retained by the department after approval of the Joint Legislative Committee on the Budget, shall verify the standard economic impact methodology utilized by the department.

Acts 2012, No. 503, §1, eff. July 1, 2012; Acts 2015, No. 126, §2, eff. July 1, 2015; §3, eff. July 1, 2018; Acts 2016, 1st Ex. Sess., No. 29, §2, eff. April 1, 2016..