PILOT (Payment in Lieu of Taxes)

A Payment in Lieu of Taxes (PILOT) agreement is the parish-level mechanism Louisiana parish councils use to provide ad-valorem tax relief to large industrial investments. Typical structures grant 80–100% ad-valorem relief in years 1–5, stepping toward full taxation over 10–30 years. Each PILOT is approved publicly by the parish council and is therefore discoverable in council minutes.