For Immediate Release:  April 21, 2015

For Further Information Contact: Matt Young, 491-9176

 

 

TWO BILLS FILED BY SEN. JOHNS RELATED

TO LAKEFRONT DEVELOPMENT

 

Lake Charles, LA—Two measures dealing with development of the Lake Charles lakefront have been filed in the current legislative session on behalf of the City of Lake Charles by Sen. Ronnie Johns, Lake Charles.

Current law allowed the City to call a special election on or before December 31, 2008 to request voter approval to lease and develop the lakefront property for any commercial or residential purposes in accordance with certain design guidelines [R.S. 33:4699.1 (D)]. In May 2007, voters approved such a proposal.

As a result of the May 2007 vote, the City can now construct or improve facilities such as marinas, motels, hotels, restaurants, residential housing, and other related improvements together with roads and utilities to implement the approved development plan.

Senate Bill 211 updates the law to reflect the results of the May 2007 referendum and confirms the authority of the City to develop the property in accordance with the terms and conditions of the plan approved by the voters. Since existing law allows commercial development in approved areas without bid, the bill provides that the process which must be followed in that situation is the same process which currently applies to industrial inducement projects.

In addition, Senate Bill 211 adds the former Harrah's property to the area defined by state law as the “lakefront” and allows that property to be leased or sold for development for any commercial or residential purpose subject to the design guidelines for such development approved by the voters in May of 2007, in accordance with the industrial inducement law.

The Hotel TIF statute, under current law, includes all of the public property along the lakefront except the former Harrah’s property, which was donated to the City by Pinnacle Entertainment, Inc. The district can only use the increase in tax revenues from sales in the district to contribute to the construction of a hotel or related public improvements. A hotel can only be built on the lakefront in an area approved for commercial development under the May 2007 referendum.

Senate Bill 192 amends the Hotel TIF statute to include the former Harrah's property and makes it eligible for TIF financing of a hotel or other related public improvements, as well as requires that the site plan for any proposed hotel at the Civic Center be approved, by ordinance, prior to beginning construction on such a project. The plan must also address parking for both the Hotel and the Civic Center.

Senate Bill 192 defines costs, expenses and public improvements that can be financed with TIF Funds; explains the method of determining the minimum room rates that can be advertised by the hotel; and deletes the reference to Lake Charles Facilities, Inc. as an eligible party to any development agreement. The City of Lake Charles no longer intends to use a nonprofit corporation to assist in the financing of the hotel.

The bill does not change any of the existing rules that apply to TIF elections nor does it affect the results of the May 2007 referendum.

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The City of Lake Charles fully complies with Title VI of the Civil Rights Act of 1964 and related statutes and regulations in all programs and activities.   For more information, or to obtain a Title VI Complaint Form, see the City of Lake Charles website- www.cityoflakecharles.com  or call the Mayor’s Action Line at (337) 491-1346, or contact the appropriate Department Head, or call the Title VI coordinator at (337) 491-1440.