Louisiana § RS 33:4546.20 - Joint ownership of a project

§ RS 33:4546.20. Joint ownership of a project

A.(1)  Any agreement between the authority and a political subdivision with respect to the joint ownership of a project or any undivided interest in a project shall provide that each party to the agreement shall own a percentage of the project or such undivided interest equal to the percentage of the money furnished or the value of property and services supplied by the respective parties for the acquisition and construction thereof and shall own and control a like percentage of the use and capacity thereof.

(2)  Such agreement may further provide that the authority and its participating political subdivisions shall be liable in solido for their acts thereunder and that no monies or other contributions supplied by the authority shall be applied in any way to the account of any other party to the agreement.

(3)  Any such agreement may contain such terms, conditions, and provisions as the authority shall deem to be in the best interest of the authority.  The agreement may include but shall not be limited to provisions for the construction, operation, and maintenance of a project by one of the parties thereto, which party shall be designated in or pursuant to such agreement as agent on behalf of itself and the other parties, or by such other means as may be determined by the parties and provisions for a uniform method of determining and allocating among the parties costs of construction, operation, maintenance, renewals, replacements, and improvements with respect to such project.

(4)  In carrying out its functions and activities as such agent with respect to the construction, operation, and maintenance of such a project, including without limitation the letting of contracts therefor, such agent shall be governed by the laws and regulations applicable to such agent as a separate legal entity and not by any laws or regulations which may be applicable to any of the other parties.

(5)  Notwithstanding the provisions of any other law to the contrary, the authority may delegate its powers and duties with respect to the construction, operation, and maintenance of such project to such agent, and all actions taken by such agent in accordance with the provisions of such agreement shall be binding upon each of such parties without further action or approval by their respective board of directors or governing bodies.  Such agent shall be required to exercise all such powers and perform its duties and functions under the agreement in a manner consistent with prudent utility practice.  Those acts which constitute prudent utility practice may be defined in such agreement.

B.  Notwithstanding any other provision of Louisiana law relative to the right of partition available to owners of property or portions thereof, the right of partition shall not be available to any party with respect to any property acquired or held subject to the terms of the joint ownership agreement authorized by this Section; however, such agreement may provide for the sale, lease, or other disposition of such property on such terms and conditions as may be provided in the agreement.  None of the property or facilities jointly owned, acquired, or held or other property and facilities of a party to the agreement and specifically covered by the agreement shall be subject to expropriation by another party to the agreement.

Acts 1990, No. 666, §1.