What will the Bayou Fountain Economic Development District do?
· The BFEDD will enable the creation of a premier youth sports and entertainment district in Baton Rouge that provides jobs, promotes economic development, supports business, attracts tourism and improves quality of life for residents.
· Baton Rouge currently lacks a state-of-the-art sports complex capable of accommodating major youth sports events and recreational activities. The BFEDD facilitates significant private investment to develop a tournament-ready multi-court venue and outdoor spaces necessary to compete in sports tourism markets.
· Through a cooperative endeavor agreement (CEA) with the city-parish, the BFEDD will be able to capture taxes and put those to improvements that make this large-scale project possible.
· An independent analysis says that this new complex will:
· Generate an average of $35 million in annual regional economic impact
· Support or create more than 450 jobs
· Attract approximately 240,000 visitors per year, including 130,000 hotel stays
· Produce more than $1 million in new parish sales tax revenue and nearly $800,000 in city hotel tax revenue annually over the first 10 years
What is an economic development district (EDD)?
· An economic development district is a state-authorized tool that enables new tax revenue generated within a district to be captured and put toward economic development projects in that same district.
· EDDs give major projects the boost they require to get them over the line.
· More than a dozen economic development districts in Baton Rouge already exist.
· The BFEDD does not divert taxes intended for other programs to the project.
· The BFEDD increases job opportunities for Baton Rouge residents, offers locals a new place to practice, play and train for sports, and creates a regional attraction that is a magnet for development, tourism and activity.
What is a cooperative endeavor agreement (CEA)?
· A cooperative endeavor agreement is a formal contract by a government body that allows pursuit of projects for a public purpose.
· CEAs are guided by rules established in the Louisiana state constitution.
· CEAs are common tools for public-private partnerships and economic developments.
· The CEA enables the already-established funding mechanism to transfer newly captured tax revenue within the EDD to the governing body. The money must be spent on the project and is expected to return a benefit equivalent to or greater than the amount transferred to the EDD.
Where is the Bayou Fountain Economic Development District?
· The BFEDD is located along the Nicholson-Burbank corridors, an area poised for development with a number of successful restaurants and businesses located near the LSU.
· The establishment of a state-of-the-art sports facility will generate more business in the BFEDD and additional tax revenue for the City of Baton Rouge and East Baton Rouge Parish.
What are the advantages to local athletes and parents?
· Currently, local parents and athletes must travel hours and potentially overnight to participate in major sports tournaments due to the lack of a competitive major athletic facility locally.
· As a result, Baton Rouge misses out on events, jobs and development opportunities, and families are forced to spend their time and money going out of the local area.
· The BFEDD would create a designated district for sports tourism replete with spaces for football, basketball, baseball, volleyball, soccer and other sports – as well as versatile spaces able to accommodate tournaments, camps, clinics and community events year-round.
Does the economic development district include or imply any transfer of land ownership?
· No. The economic development district does not include any vehicle for taking over land.
· BFEDD is a boost to property owners who see increased development and often improved property values with the establishment of an EDD.
Does the economic development district create a new tax on property owners in this district?
· No. There is a modest tax on consumption – sales and hotel occupancy – that will not impact property taxes in the district.
Does the development get a tax cut as part of the economic development district or cooperative endeavor agreement?
· No. Properties in the District pay the same taxes as everyone else.
· The establishment of the economic development district unlocks tens of millions of dollars of private investment that will generate taxable value for the city-parish.
· In 2025, the existing Elite Training Academy facility paid over $140,000 in property taxes alone.
What are other examples of economic development districts?
Baton Rouge:
Louisiana
National
What could the money be spent on?
· EDDs establish a fund for improvements in the district that support public infrastructure and goals of the project.
Money collected goes only to approved projects and improvements within the district.
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