The bill establishes the University of Louisiana at Lafayette Economic Development District within the city and parish of Lafayette, designed to promote cooperative economic and community development among the university, its affiliates, and local government entities. As a political subdivision of the state, the district is granted various rights and powers, including the ability to levy taxes, engage in debt financing, and implement tax increment financing. The governance structure includes a board of commissioners, with the university president serving as chairman, and outlines specific geographic boundaries while excluding residential areas, except for temporary accommodations.

Additionally, the bill details the procedures for issuing bonds and obligations, allowing for various financial instruments to fund district projects, which will be exempt from state and local taxes. It also provides a mechanism for contesting ordinances related to bond issuance, establishing a 30-day period for challenges after publication. The legislation emphasizes the importance of the district for the welfare of the state and encourages a broad interpretation to fulfill its objectives, ultimately enhancing the university's capacity for development and funding through a structured governance and financial framework.