There are three features that define the Committee of 100—an existing Memorandum Of Understanding with the Louisiana Department of Economic Development (LED); three annual meetings—Washington DC Briefing, Legislative Briefing, and our Fall Member Meeting; and our legislative platform, RESET Louisiana. These three aspects distinguish C100 as a non-partisan non-profit organization promoting public policy that positively impacts business and industry retention and development in Louisiana. C100’s RESET Louisiana initiative with our partners, CABL and PAR, has continued to make gains. As we plan for 2023 which is an election year, we will continue to interact with the Louisiana Legislature to promote tax reform and the wise expenditure of federal stimulus monies, while preparing for an anticipated fiscal shortfall during the next fiscal year.

Our RESET initiative continues to seek to modernize our state finance system to improve Louisiana’s competitiveness. Although lawmakers did not phase out a temporary sales tax increase in 2022, legislative leaders evidenced their commitment to state finance reform by introducing bills that create a centralized sales tax collection system and eliminating our corporate franchise and inventory taxes. The State has been flooded with federal funds (over $3 billion since last year) from federal Covid response programs, affording legislators an opportunity to reduce debt and advance much needed infrastructure projects. These federal dollars will be applied to the Unemployment Trust Fund and major infrastructure projects, such as the I-10 Bridge in Calcasieu Parish, a new Mississippi River Bridge in the Baton Rouge Region, I-49 South, and a passenger rail service in the Capitol Region.

Louisiana’s current budget landscape includes a budget boom, as well as a General Fund decrease. The budget boom breaks out as follows: last year surplus—$699 million; unspent money from this budget year—$1.6 billion; federal Coronavirus Relief Aid—$1.4 billion. The projected General Fund decrease for next year is $45 million. After certain dedications required by law were carved off the top, in 2022 the legislature and administration determined that one-time money should only be used for one-time purposes and not to subsidize annually recurring needs. Adherence to this principle resulted in the successful passage of the bipartisan infrastructure bill, providing hundreds of millions of dollars for underfunded services like water and sewer in addition to roads and bridges.

Education in Louisiana also benefited in this year’s legislative session. Among legislators, there was general agreement to fund early childhood education for $84 million. Teacher pay raises were given along with capital outlay funds being spent in higher education, making up for budgetary cuts made in the last decade. The Committee of 100 congratulates the Louisiana Legislature and Governor Edwards for a job well done in making Louisiana fiscally sound and poised for success in the future. To access the full C100 Legislative Report, please click here: https://www.c100la.org/helpful-links

To download the C100 Year-End Report 2022 please click the image or click here.