Provides for the transfer of surplus immovable state property in certain circumstances for the development of low-income housing
Provides for the transfer of surplus immovable state property in certain circumstances for the development of low-income housing
House Bill 809 amends Louisiana's surplus state property disposition statutes and creates a new program for transferring surplus immovable state property to affordable housing entities. The bill modifies R.S. 39:13 to redirect the annual inventory report of state property from the natural resources committees to the Louisiana Housing Corporation and conditions the sale of nonproductive property on whether it has been earmarked by the Housing Corporation for affordable housing purposes. It amends R.S. 41:140 to replace the legislative oversight role of the natural resources committees with the Louisiana Housing Corporation as the reviewing entity for land management evaluation reports, requiring the Housing Corporation to decide within ninety days whether to retain nonessential property for affordable housing development under the new program or allow the division to proceed with other disposition methods. Most significantly, the bill enacts R.S. 40:600.112, which establishes a comprehensive program authorizing the Louisiana Housing Corporation to award surplus immovable state property to affordable housing entities for development of low-income housing, with the Housing Corporation maintaining a publicly accessible website inventory of available property and evaluating applications according to statutory criteria at least annually.
The practical effect of this legislation directs surplus state property to affordable housing development rather than public auction or other disposal methods. Affordable housing entities, defined to include nonprofits and governmental entities focused on serving unhoused and very-low to moderate-income households, can now apply for rights to surplus state parcels through a formal proposal process evaluated on a point system. Selected entities may satisfy the property value through in-kind development services rather than monetary payment. The division of administration retains its duty to oversee property transfers through deed or lease, while the Housing Corporation gains substantial gatekeeping authority over nonproductive property that would otherwise be sold. The governor retains the ability to remove properties from the housing program by written explanation on the Housing Corporation's website. State agencies seeking to declare property nonessential, the Housing Corporation as the new reviewing entity, the division of administration, and the Joint Legislative Committee on the Budget all face modified roles and timelines in the disposition process.
This legislation operates within Louisiana's constitutional authority over state property and the Housing Corporation's existing statutory powers. It fundamentally shifts oversight of surplus state property from the legislative natural resources committees to an executive agency, the Louisiana Housing Corporation, reducing direct legislative control and expediting the disposition timeline from an indefinite period of committee review to a definite ninety-day Housing Corporation evaluation period. The cooperative endeavor agreement mechanism utilized for property awards draws express authority from Article VII, Section 14(C) of the Louisiana Constitution. The amendment to R.S. 39:13 preserves the Joint Legislative Committee on the Budget's role in approving nonproductive property designations while ensuring that property earmarked for housing development cannot be sold at public auction without Housing Corporation approval. The statute defines affordability levels by reference to federal Median Family Income estimates established by the Department of Housing and Urban Development, integrating federal housing standards into Louisiana law.
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