Section 51:2453 - DefinitionsThe following words or terms as used in this Chapter shall have the following meaning, unless a different meaning appears from the context:
(1) "Benefit rate" means the following percentages:(a) For new direct jobs created that pay at least eighteen dollars per hour, the benefit rate shall be four percent.(b) For new direct jobs created that pay at least twenty-one dollars and sixty-six cents per hour, the benefit rate shall be six percent.(2) "Employer" shall mean a legal person who executes a contract with the department pursuant to the provisions of this Chapter and who offers, or will offer within ninety days of the effective date of qualifying for the incentive rebates pursuant to the provisions of this Chapter, a basic health benefits plan to the individuals it employs in new direct jobs in this state which shall be determined by the Department of Economic Development to be in compliance with federally mandated healthcare requirements or, if no federally mandated healthcare requirements exist, shall be determined to have a value of at least one dollar and twenty-five cents per hour.(a) The "basic health benefits plan" or the "health insurance coverage" required to be offered or provided by this Paragraph shall also include coverage for basic hospital care, and coverage for physician care, as well as coverage for healthcare, and shall be the same coverage as is provided to employees employed in a bona fide executive, administrative, or professional capacity by the employer who are exempt from the minimum wage and maximum hour requirements of the federal Fair Labor Standards Act, 29 U.S.C. 201 et seq.(b) To qualify for a contract pursuant to this Chapter, employers must meet one of the following provisions: (i) The employer is one of the following industries: biotechnology; biomedical and medical industries serving rural hospitals; micromanufacturing; software, Internet, and telecommunications technologies; clean energy technology; food technologies; and advanced materials.(ii) The employer is a manufacturer, as defined by North American Industry Classification System (NAICS) codes 113310, 211, 213111, 541360, 311-339, 511-512, and 54171, as the employer's primary function.(iii) The employer is an oil and gas field services business as defined in North American Industry Classification System (NAICS) code 213112 which has Louisiana as the national or regional headquarters of a multi-state business whose service territory includes at least Louisiana and the Gulf of Mexico.(iv) The employer has, or will have within one year, sales of at least fifty percent of its total sales to out-of-state customers or buyers, to in-state customers or buyers if the products or service is resold by the purchaser to an out-of-state customer or buyer for ultimate use, or to the federal government. An independent Louisiana-certified public accountant shall annually verify that the contract site meets the out-of-state sales requirement.(v) The employer is located in a parish which is within the lowest twenty-five percent of parishes based on per capita income. An employer that qualifies for a contract under this Item at the time of the initial quality jobs contract executed pursuant to this Chapter shall remain qualified for a contract through and during the renewal period regardless of any change in the per capita income of the parish.(vi) The employer is the corporate headquarters of a multi-state business.(vii) The employer is a business that spends fifty percent or more of its time performing services for its out-of-state parent company. These services include but are not limited to legal, marketing, finance, information technology, order management, distribution center operation, or overall operations support.(viii) The employer is in the business of maintenance, repair, and overhaul operations for commercial transport aircraft.(ix) The employer is a COVID-19-impacted retail business that has no more than fifty employees nationwide including affiliates on the date of the filing of the advance notification and which is assigned a North American Industry Classification Code of 44, 45, 721, or 722 and the COVID-19-impacted retail business files or enters into an advance notification on or after July 1, 2020, and on or before December 31, 2021. However, no COVID-19-impacted retail business employer assigned a North American Industry Classification Code of 44, 45, 721, or 722 shall be eligible to earn benefits pursuant to the provisions of this Chapter after June 30, 2023. For purposes of this Section, "COVID-19-impacted retail business" means a for-profit corporation, a limited liability company, a partnership, or a sole proprietorship that had a physical and active operation in Louisiana on March 13, 2020, and ceased operations due to either one of the governor's public health emergency proclamations or a mayor's proclamation or executive order related to the public health emergency, or a decrease in customer activity or the inability to retain sufficient staff due to the COVID-19 public health emergency.(c) The following employers or persons engaged in the following professions or service industries shall not be eligible for any rebate under this Chapter: (i)(aa) Retail employers as identified by the North American Industry Classification System code sections 44 and 45.(bb) Notwithstanding the provisions of Subitem (aa) of this Item, COVID-19-impacted retail employers identified by the North American Industry Classification Code of 44 and 45 that have no more than fifty employees nationwide including affiliates on the date of the filing of the advance notification shall be eligible to participate in this rebate program if such employers file or enter into an advance notification on or after July 1, 2020, and on or before December 31, 2021. However, no COVID-19-impacted retail business employer assigned a North American Industry Classification Code of 44 and 45 shall be eligible to earn benefits pursuant to the provisions of this Chapter after June 30, 2023.(ii) Business associations and professional organizations as defined in North American Industry Classification System (NAICS) code 8139.(iii) State and local government enterprises.(iv) Real estate agents, operators, and lessors.(v) Automotive rental and leasing.(vi) Local solid waste disposal, local sewage systems, and local water systems businesses.(vii) Nonprofit organizations, unless the Department of Economic Development determines that the new direct jobs created by the organization would have a significant impact on Louisiana.(viii) Employers engaged in the gaming industry as identified by the North American Industrial Classification System code sections 713210 and 721120.(ix) Professional Services firms assigned a North American Industry Classification System (NAICS) code beginning with 54 unless the business can demonstrate that more than fifty percent of its services are provided to out-of-state customers or for the corporate headquarters of a multi-state business or if the employer can demonstrate that the company has or will have within one year sales of at least fifty percent of its total sales to out-of-state customers or buyers, to in-state customers or buyers if the products or service is resold by the purchaser to an out-of-state customer or buyer for ultimate use, or to the federal government.(x) Construction companies, unless the company is the corporate headquarters of a multi-state business or can demonstrate that the company has, or will have within one year, sales of at least fifty percent of its total sales to either out-of-state customers or the federal government.(xi) All businesses assigned a North American Industry Classification System (NAICS) code beginning with 5613.(xii) Medical professionals assigned a North American Industry Classification System (NAICS) code beginning with 62, except for those medical professionals engaged in one of the following:(aa) Biomedical or biotechnology industries.(bb) Servicing rural hospitals.(cc) Providing services, or will be providing services within one year, to a patient base that the medical professionals are able to demonstrate is made up of at least fifty percent of out-of-state patients.(d) The Department of Economic Development may promulgate rules annually listing other employers, professions, or service industries which are eligible and are not eligible for any rebate pursuant to this Chapter and such rules shall not take effect unless presented to and approved by both the House Committee on Ways and Means and the Senate Committee on Revenue and Fiscal Affairs in a public meeting held for such purpose.(3) "Gross payroll" means wages for the new direct jobs as defined herein upon which the particular benefit rate is calculated.(4) "New direct job" means employment in this state of an employee working at least the average hours per week provided for in R.S. 51:2455(E)(2), who earns at least the benefit rate as defined in this Section and, who was not previously on an employer's payroll in Louisiana, nor previously on the payroll of such employer's parent entity, subsidiary, or affiliate in Louisiana, or previously on the payroll of any business whose physical plant and employees are substantially the same as those of the employer in Louisiana. Such job shall be with an employer that has qualified to receive a rebate pursuant to the provisions of this Chapter, which job did not exist in this state prior to the effective date the application was filed by the employer with the Department of Economic Development pursuant to the provisions of R.S. 51:2455 and which job is filled by an individual domiciled in the state of Louisiana. "New direct job" shall not mean any job that is a result of job shifts due to the gain or loss of an in-state contract to supply goods and services. "New direct job" shall not mean any employees who were retained following the acquisition of all or part of an in-state business by an employer.(5) "Wages" means all remuneration for services from whatever source, including commissions and bonuses and the cash value of all remuneration in any medium other than cash, and dismissal payments which the employer is required by law or contract to make. Gratuities customarily received by an individual in the course of his work from persons other than his employer shall be treated as wages received from his employer. The reasonable cash value of remuneration in any medium other than cash and the reasonable amount of gratuities shall be estimated and determined in accordance with the Internal Revenue Code and its rules and regulations. The term "wages" shall not include the following: (a) The amount of any payment with respect to services performed after January 1, 1951, to or on behalf of an individual in its employ under a plan or system established by an employer which makes provision for individuals in its employ generally, or for a class or classes of such individuals, including any amount paid by an employer for insurance or annuities, or into a fund to provide for any such payment, on account of: (ii) Sickness or accident disability.(iii) Medical and hospitalization expenses in connection with sickness or accident disability.(iv) Death, provided the individual in its employ:(aa) Has not the option to receive, instead of provision for such death benefit, any part of such payment or, if such death benefit is insured, any part of the premium or contributions to premiums paid by his employer.(bb) Has not the right, under the provisions of the plan or system or policy of insurance providing for such death benefit, to assign such benefit or to receive cash consideration in lieu of such benefit either upon his withdrawal from the plan or system providing for such benefit or upon the termination of such plan or system or policy of insurance or of his services with such employer.(v) A bona fide thrift or savings fund, providing:(aa) Such payment is conditioned upon a payment of a substantial sum by such individuals in its employ.(bb) Such sum paid by the employer cannot under the provisions of such plan be withdrawn by an individual more frequently than once in any twelve-month period, except upon an individual's separation from that employment.(b) Any payment made to, or on behalf of, an employee or his beneficiary under a cafeteria plan of the type described in 26 U.S.C. 125 and referred to in 26 U.S.C. 3306.(c) Any payment made, or benefit furnished, to or for the benefit of an employee if at the time of such payment or such financing it is reasonable to believe that the employee will be able to exclude such payment or benefit from income under an educational assistance program as described in 26 U.S.C. 127 or a dependent care assistance program as described in 26 U.S.C. 129 and as referred to in 26 U.S.C. 3306.(d) The payment by an employer, without deduction from the remuneration of the individual in its employ, of the tax imposed upon such individual in its employ under Section 3101 of the federal Internal Revenue Code with respect to domestic services in a private home of the employer or for agricultural labor performed after December 31, 1980.(e) Dismissal payments which the employer is not required by law or contract to make.(f) The value of any meals and lodging furnished by or on behalf of an employer to an individual in his employ, provided the meals and lodging are furnished on the business premises of the employer for the convenience of the employer.(6) "Healthcare benefits" means the amount of any payment to or on behalf of an individual in its employ under a plan or system established by an employer which makes provision for individuals in its employ generally, or for a class or classes of such individuals, including any amount paid by an employer for insurance or annuities, or into a fund to provide for any such payment for a basic health benefits plan or the health insurance coverage, or the value of the health benefits plan or health insurance coverage offered by the employer to an individual it employs.Acts 1995, No. 1238, §1, eff. July 1, 1995; Acts 1996, 1st Ex. Sess., No. 39, §1, eff. May 7, 1996; Acts 2002, 1st Ex. Sess., No. 110, §1, eff. July 1, 2002; Acts 2002, 1st Ex. Sess., No. 153, §1, eff. May 1, 2002; Acts 2003, No. 47, §1, eff. May 22, 2003; Acts 2003, No. 847, §1, eff. July 1, 2003; Acts 2003, No. 1240, §1, eff. July 1, 2003; Acts 2004, No. 899, §1; Acts 2005, No. 326, §1; Acts 2007, No. 387, §1, eff. July 10, 2007; Acts 2009, No. 438, §11(A); Acts 2011, No. 353, §1, eff. June 29, 2011; Acts 2017, No. 386, §3, eff. June 23, 2017; Acts 2018, No. 624, §1; Acts 2020 1st Ex. Sess., No. 29, §1, eff. July 1, 2020.Amended by Acts 2020EX1, No. 29,s. 1, eff. 7/1/2020.Amended by Acts 2018, No. 624,s. 1, eff. 8/1/2018.Amended by Acts 2017, No. 386,s. 3, eff. 6/23/2017.Acts 1995, No. 1238, §1, eff. 7/1/1995; Acts 1996, 1st Ex. Sess., No. 39, §1, eff. 5/7/1996; Acts 2002, 1st Ex. Sess., No. 110, §1, eff. 7/1/2002; Acts 2002, 1st Ex. Sess., No. 153, §1, eff. 5/1/2002; Acts 2003, No. 47, §1, eff. 5/22/2003; Acts 2003, No. 847, §1, eff. 7/1/2003; Acts 2003, No. 1240, §1, eff. 7/1/2003; Acts 2004, No. 899, §1; Acts 2005, No. 326, §1; Acts 2007, No. 387, §1, eff. 7/10/2007; Acts 2009, No. 438, §11(A); Acts 2011, No. 353, §1, eff. 6/29/2011.This Section is updated through the 2020 First Extraordinary Session, but is subject to final technical revisions by the Louisiana State Law Institute.