A boost to Louisiana’s state income projections will give lawmakers more money to spend over the next 14 months, even as the post-pandemic financial surge continues to taper off and a fiscal downturn edges ever closer.
The state’s forecasting panel, called the Revenue Estimating Conference, increased its predictions for Louisiana’s tax and fee collections for the 2023-24 budget year that ends June 30 and the upcoming budget year that starts July 1.
The adjustments will give the Louisiana Legislature $197 million more in state general fund money for this year and another $89 million in the upcoming 2024-25 year. The general fund contains the flexible, unearmarked dollars that lawmakers can spend on any area they’d like to prioritize.
While those aren’t the kind of huge increases seen last term in the immediate recovery from the COVID-19 outbreak, the brightened financial picture should give lawmakers enough money to avoid backpedaling on education investments and other state priorities.
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With Thursday’s forecasting action, legislators have $920 million in short-term cash they can spend on infrastructure projects, debt payments or other items – or deposit into savings accounts for use in later years. That includes surplus money from last year, previous forecasting adjustments and state general fund dollars that agencies won’t need because they found other funding sources or had fewer expenses than expected.
In addition, dollars available for drawing up next year’s budget have grown larger.
The Public Affairs Research Council of Louisiana hopes senators, who currently have control of the budget bills, prioritize early childhood education and coastal restoration work with some of the money newly available. They also should continue a focus on paying down debts, such as retirement debt, to lessen the fiscal cliff on the horizon when a temporary 0.45% state sales tax expires on July 1, 2025. Anything lawmakers can do now to shrink the shortfall will lessen the pain of next year’s budget negotiations.
The House-crafted version of the budget cut $24 million from a program that provides quality child care and education for children from birth to age 3. House lawmakers used that money to instead pay for an increase in the K-12 public school financing formula sought by the state Board of Elementary and Secondary Education for tutoring, student apprenticeship programs and targeted stipends for teachers in high-need areas.
PAR would like senators to use the extra dollars available for next year’s budget to reverse that House-proposed cut to an early learning program that helps parents stay in the workforce and children become better prepared to enter school.
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Senators also will consider undoing a House reduction to public school teacher and support worker stipends. The Legislature provided $198 million for those stipends in the current school year, but the House proposed shrinking that amount to $166 million next year. That’s an unnecessary cut that could weaken teacher recruitment and retention.
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Meanwhile, Gov. Jeff Landry’s administration is suggesting steering some of the new money available for next year’s budget to the Department of Children and Family Services to combat staffing shortages.
For the short-term money available, PAR would like to see legislators allocate some of the new money to the state’s vital coastal restoration and protection work. A trust fund for those efforts currently has significant sums, with some additional dollars annually flowing into the account. But that money is nowhere near the amount needed to fulfill the state’s coastal master plan.
Lawmakers face a complication if they want to spend all the new money recognized by the Revenue Estimating Conference.
The nonpartisan Legislative Fiscal Office said lawmakers would need a two-thirds vote in the House and Senate to breach a constitutionally set cap limiting annual growth in government spending if they want to spend more than $86 million of the $197 million added to this year’s general fund forecast. Such a vote caused angry debate and legislative infighting last year and nearly kept the budget from being passed in the regular session.
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So far, the Landry administration and legislative leaders are showing little interest in breaching the cap, preferring to stockpile some of the largesse for lawmakers to spend in future years when they face tighter budgets. Following PAR’s recommendation, they could steer dollars to the coastal fund for use in later years without exceeding the spending limit.
If lawmakers decide to set aside money in various accounts for the future, they should only withdraw the cash later to pay for one-time expenses – not to fill gaps in ongoing programs and services. It’s never advisable to pay for recurring expenses with short-term dollars because that simply continues the budget problems rather than fixing them.
The expenditure limit, however, won’t cause problems for using the $89 million in general fund money newly recognized for the budget that begins July 1 because lawmakers have more wiggle room under the cap next year.
The four-member estimating conference increased this year’s forecast because the state is collecting more than expected from corporate, personal income, sales and severance taxes and from interest earnings on sizable sums Louisiana has locked up in savings accounts. Next year’s forecast increase was driven largely by those better-than-expected interest earnings.
The conference bumped up its projections by even larger amounts than the state general fund numbers suggest, but much of the money is earmarked to trust funds and dedications. For example, the $2.3 billion Revenue Stabilization Trust Fund, created to lessen Louisiana’s reliance on volatile tax collections tied to corporate activity and oil and gas drilling, is projected to get another $1.1 billion in deposits over the next 14 months.
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As lawmakers decide how to use all the newly recognized money, PAR urges the House and Senate to keep their focus on priorities that will improve the long-term trajectory of the state while acknowledging the fiscal headwinds they will soon face.
Louisiana burst out to a 20-point halftime lead and then tacked on two late scores to beat Troy 51-30 on Saturday at Cajun Field in Lafayette, La.
The Trojans (3-8, 2-5 Sun Belt Conference) led 14-7 after one quarter but allowed 27 straight points in the second to fall behind 34-14 at halftime. After Troy cut the lead to 37-30 in the fourth quarter, Louisiana (9-2, 6-1) scored the final 14 points of the game to pull away.
“As crazy as this game was and the ride this season has been, I could not be more proud of the way that the team came out in the third quarter to get us back into this football game,” Troy coach Gerad Parker said. “There are so many good things, but there weren’t enough good things early. They got up on us, and then, some self-inflicted things made it so we could not get up on them in the second half.”
Troy’s four possessions in the second quarter ended in two interceptions, a three-and-out/punt and a turnover on downs. Louisiana, meanwhile, scored five straight times — three touchdowns and two field goals — in the quarter.
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Matthew Caldwell threw for 230 yards, four touchdowns and a pair of 2-point conversions for Troy, but was intercepted twice. His 1-yard TD pass to Trae Swartz and 2-point pass to Devonte Ross with 11:31 to play made it a 7-point game, but Robert Williams returned the ensuing kickoff 96 yards for a touchdown to put the Ragin’ Cajuns back up by 14.
Louisiana’s Bill Davis added a 1-yard touchdown run — his third of the game — with 1:09 left to set the final score. Chandler Fields passed for 323 yards and two TDs for the Ragin’ Cajuns, who can clinch the Sun Belt West championship by winning at Louisiana-Monroe next Saturday.
Kenneth Almandares also kicked three field goals for Louisiana, while Fields threw scoring passes of 20 yards to Tavion Smith and 44 yards to Lance LeGendre. Keyon Martin had a pair of interceptions to lead the Ragin’ Cajuns’ defense, which broke up nine Troy passes.
In addition to the 1-yarder to Swartz, Caldwell’s touchdown passes covered 30 yards to Ross, six yards to Brody Dalton and four yards to Jackson Worley. Caldwell also threw two-point passes to Ross and Landon Parker.
Troy finishes the season at home next week vs. Southern Miss, with kickoff set for 1 p.m. at Veterans Memorial Stadium. The game will stream live via ESPN+.
It’s the final home game of the season for the Arkansas Razorbacks as they host the Louisiana Tech Bulldogs in a pivotal matchup at Donald W. Reynolds Razorback Stadium.
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With kickoff set for 4 p.m. ET on ESPN+, the stakes couldn’t be higher for the Razorbacks, who are eyeing bowl eligibility in their final push of the 2024 season.
How to Watch Arkansas vs Louisiana Tech:
Date: Saturday, November 23, 2024
Time: 4:00 PM ET
Channel/Stream: ESPN+
Stream: ESPN+ (watch now)
For Arkansas, this game is about seizing an opportunity to secure bowl eligibility after falling short in two previous attempts. The Razorbacks enter the matchup at 5-5, fresh off a 20-10 loss to Texas where offensive struggles and costly turnovers proved to be their undoing. With only two games left in the regular season, this matchup is a must-win for Arkansas to punch their ticket to the postseason.
On the other side, Louisiana Tech is playing spoiler while clinging to its slim bowl hopes. The Bulldogs are 4-6 but riding high after a gritty 12-7 victory over Western Kentucky last week, where their defense served the Hilltoppers their first conference loss of the year. This will be a battle on Saturday, make sure to tune in.
WATCH: Arkansas vs. Louisiana Tech on ESPN+
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Louisiana voters will decide whether to make it easier to send younger teenagers to adult prisons in a constitutional proposal next spring.
The Louisiana Legislature approved Senate Bill 2 Friday with a 70-25 vote in the House of Representatives and 28-10 vote in the Senate. The measure will be on the March 29 ballot that will also feature a major rewrite of state financial policy.
It would remove constitutional limits on crimes that can get people under age 17 sentenced as adults. Legislators would then have to enact new laws outlining how courts could send those minors to adult facilities.
Republican Gov. Jeff Landry backed the proposal and sat in the Louisiana House of Representatives as legislators debated and voted for the bill Friday. Still, it barely made it through the legislative process. The proposal only received 70 votes in the House, the exact number it needed to advance to voters.
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Ahead of the narrow victory, Republican leaders appeared anxious to get through the House vote quickly and moved to cut off debate and questioning early. House Speaker Phillip DeVillier, R-Eunice, also told Rep. Denise Marcelle, D-Baton Rouge, she had missed a deadline to amend the legislation and refused to let her bring up her proposed change for debate or a vote.
One of the sponsors of the legislation, Rep. Debbie Villio, R-Kenner, also made a last-minute change to the bill to limit the offenses for which youth could be moved to adult prisons to just felonies, in part to address reservations lawmakers had about moving more young people into adult facilities. Prior to that change, the amendment would have allowed the Legislature to draft new laws to move minors to adult prisons for “any crime.”
Fifteen- and 16-year-olds, and in more restricted circumstances 14-year-olds, already face adult prison sentences for limited crimes without the constitutional amendment. Those offenses include murder, attempted murder, manslaughter, rape, armed robbery, kidnapping, aggravated battery, a second or subsequent burglary of an inhabited dwelling and a second or subsequent violation of some drug crimes.
Youth advocates have said the broadening of that list to new offenses would do lasting harm to young teens caught up in the criminal justice system.
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Teenagers transferred into adult prisons are at much higher risk for sexual abuse from other inmates and don’t receive the same counseling and educational services available in the juvenile system. Adult sentences are also often years or even decades longer than what youth in juvenile facilities serve, advocates said.
Supporters of the constitutional amendment, which include the Louisiana District Attorneys Association and Louisiana Sheriffs’ Association, have said prosecutors need a larger list of crimes in order to hold younger teens accountable.
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Villio and Sen. Heather Cloud, R-Turkey Creek, the sponsors of the legislation, mentioned a few crimes they think should be added to the list. Cloud said she would like to make the law applicable to carjacking, drive-by shootings and human trafficking. Villio said she was interested in adding fentanyl offenses.
Attorneys who represent youth in criminal matters said many of those offenses can be used to transfer teenagers to adult prison under current law.
They also questioned why human trafficking was being brought up as a concern because prosecutors rarely charge adults with that crime. Any teens accused of the offense are also likely being trafficked themselves, advocates said.
In an interview Friday, Villio said her intention is to get more crimes that “involve serious bodily injury” added to the list. Youth in the juvenile justice system who attack security guards and other workers at those facilities should receive harsher punishment, she added. Villio’s proposal comes on the heels of another law that greatly expands the transfer of teens to adult facilities. Earlier this year, Landry and lawmakers passed legislation that treats all 17-year-olds as adults in the criminal justice system. The measure took away discretion from district attorneys to put accused 17-year-olds through the juvenile justice system instead of adult courts.