Louisiana Revised Statutes 38:2319.5 – Selection of nonprofit lessor; award of lease
Terms Used In Louisiana Revised Statutes 38:2319.5
- Contract: A legal written agreement that becomes binding when signed.
- contract: means any contract awarded by any public entity for the making of any public works or for the purchase of any materials or supplies. See Louisiana Revised Statutes 38:2211
- Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- lessor: means a public corporation or public trust organized pursuant to state law having for its beneficiary the state, organized as a not-for-profit entity, no portion of the net earnings or other assets of which inure to the benefit of any private shareholder or individual, and which shall be authorized under state law to issue obligations for equipment acquisition the interest on which is exempt from calculation of gross income for federal income tax purposes. See Louisiana Revised Statutes 38:2319.2
- Local governmental entity: means municipalities, parishes, school boards, clerks of court, levee districts, law enforcement districts, all special service districts, port commissions, and other political subdivisions of the state of Louisiana. See Louisiana Revised Statutes 38:2319.2
- Selected equipment: means the equipment, as determined by the local governmental entity, which shall be the subject of a lease-purchase contract under the provisions of this Part. See Louisiana Revised Statutes 38:2319.2
A lease-purchase contract with a nonprofit lessor for one or more pieces of selected equipment may be executed between the local governmental entity and a nonprofit lessor through competitive negotiation, provided that a notice stating the estimated principal amount of any proposed lease, the equipment to be leased, the interest rate factor to be computed in the lease payments, and the date, time, and place of the execution of the proposed lease shall be published in the official journal of the local governmental entity at least twice within a fifteen-day period before such execution date with the last publication at least seven days prior to the proposed execution date. Any nonprofit lessor may submit a proposal to be lessor under the lease. The nonprofit lessor submitting the proposal most advantageous to the local governmental entity shall be selected as lessor under the equipment-lease-purchase contract. Publication of the notice shall be the responsibility of the local governmental entity.
Acts 1985, No. 758, §1, eff. July 17, 1985.
{{NOTE: SEE ACTS 1985, NO. 758, §§5 AND 6.}}