Louisiana
Governor’s Tax Package Seeks To Make Louisiana More Competitive
Louisiana State Capital in Baton Rouge
The first half of the 2020s has been marked by two dominant policy and political trends in state capitals: the expansion of school choice, coupled with the lowering and flattening of personal income tax rates. While these trends are poised to persist in the coming year, most lawmakers and governors will have to wait until 2025 to advance the next round of reforms. In Louisiana, however, lawmakers aren’t going to wait until the new year to overhaul their tax code in a way that will reduce income tax rates for individuals and employers.
On the first day of October, Governor Jeff Landry (R-La.) announced that he’s convening a special session of the Louisiana Legislature next month for the purpose of reforming the state tax code in a way that will lower income tax rates and broaden the sales tax base. Governor Landry is asking state legislators to approve ten bills comprising his tax reform package when they return to Baton Rouge for the November special session.
The current tax system in Louisiana assesses a 1.85% tax on the first $12,500 in earnings, while income between $12,500 and $50,000 is taxed at a 3.5% rate. Income above $50,000 is then taxed at a 4.25% rate. If Gov. Landry’s proposal is enacted, Louisiana would tax all income beyond $12,500 at a 3% rate. With the standard deduction raised to $12,500 under Landry’s proposal, income below that level would be free from taxation moving forward.
“This plan will provide an immediate increase in take-home pay for every Louisiana taxpayer,” Gov. Landry said of his proposal during the Oct. 1 press conference. Landry described his tax package as “moving from taxing your labor to your choices.”
Beyond the initial restructuring of state income tax brackets and rates, Governor Landry says his plan could put Louisiana on the path to completely phase out its personal income tax by 2030. “I hate income tax,” Landry said at the October 1 press conference, adding that “a man and woman’s labor should never be owned by the government.”
The goal of income tax elimination is appealing to many Louisianans who see the neighboring state of Texas, along with nearby Florida and Tennessee, thriving without any state income tax. In fact, those states have been experiencing some of the nation’s largest population gains in recent years.
Landry is not the only governor in the region working toward a phaseout of his state’s income tax. Arkansas Governor Sarah Sanders (R) and Mississippi Governor Tate Reeves (R) have not only declared their intention to repeal their state income tax, they’ve signed numerous rate-reducing bills making progress toward that goal.
Landry’s tax package would also repeal the corporate franchise tax and move the corporate income tax from a progressive structure with a top rate of 7.5% to a flat rate of 3.5%. Fewer than 20 states levy a corporate franchise tax and many of them have been working to phase those down in recent years.
“Governor Landry’s sweeping tax reform proposal will dramatically improve the state’s economic climate by providing a tax cut for every taxpayer, simplifying business taxes, broadening the tax base, and ending the punishing franchise tax,” says Daniel Erspamer, chief executive officer of the Pelican Institute for Public Policy, a Lousiana-based think tank. “When paired with meaningful restraint of recurring government spending, this plan will act as rocket fuel to the state’s economy and signal to the tens of thousands of our kids and grandkids who’ve left to find opportunity elsewhere – not to mention entrepreneurs and job creators – that Louisiana wants them back.”
Critics of Landry’s tax proposal have attacked it as one that benefits “the rich.” Landry administration officials have responded by pointing out how, under their proposal, upper income taxpayers would actually end up paying a greater share of income tax collections than is now the case.
In remarks to the Louisiana House Ways & Means Committee earlier this month, state Department of Revenue Secretary Richard Nelson testified that under Gov. Landry’s tax package, the richest 10% of Louisiana taxpayers would pay 61% of total income tax collections. Under the current tax system, the top 10% of filers pay approximately 55% of all income taxes.
In addition to legislative approval, Governor Landry’s plan also entails voter approval of a constitutional amendment to repeal local inventory taxes, consolidate funds, and make other changes. The start date for the November session has yet to be announced, but is expected to take place some time after Election Day. Should Landry’s tax package be adopted, Louisiana would head into 2025 with a tax code that is more regionally, nationally, and globally competitive than is currently the case.
Louisiana
DOJ ends another desegregation consent decree in Louisiana
Donald Trump is leading the most openly pro-segregation administration in recent American history, and it advanced that agenda this week when it killed yet another school desegregation agreement with a Louisiana parish.
The Associated Press reported Thursday that the Trump administration got a George W. Bush-appointed judge to lift another decades-old anti-segregation consent decree in the Bayou State.
Per the AP:
A federal judge on Monday approved a joint motion from Louisiana and the U.S. Justice Department to dismiss a 1967 lawsuit in DeSoto Parish schools, a district of about 5,000 students in the state’s northwest. It’s the second such dismissal since the Justice Department began working to overturn desegregation cases it once championed. Louisiana Attorney General Liz Murrill thanked President Donald Trump and Attorney General Pam Bondi on Wednesday for ‘helping us to finally end some of these cases.’
The AP quoted Murrill saying, “DeSoto Parish has its school system back,” and that “for the last 10 years, there have been no disputes among the parties, yet the consent decree remained.”
Of course, the absence of disputes under a consent decree is not exactly proof that the consent decree is no longer needed. To borrow an analogy from the late Justice Ruth Bader Ginsburg in her dissent from Shelby County, to throw out a consent decree because there’s been no resegregation or discrimination “is like throwing away your umbrella in a rainstorm because you are not getting wet.”
This follows the administration in February removing language that banned federal contractors from operating segregated facilities, and its decision last spring to quash a different consent decree with Louisiana’s Plaquemines Parish.
Louisiana
Louisiana task force confronts future of Greek life, pushes new hazing safeguards
BATON ROUGE, La (Louisiana First) — The final meeting for the Caleb Wilson Hazing Prevention Task Force took place Thursday.
The committee, organized by the Louisiana Board of Regents, brought together lawmakers, university leaders, student advisors, and hazing prevention stakeholders to make sure no Louisiana family loses another student to hazing.
State representative Vanessa LaFleur, a leading voice on this task force, said, “We don’t want there to ever be another Max [Gruver], or another Caleb in the state of Louisiana.”
Her statement referenced two high-profile hazing deaths that reshaped the conversation around student organizations in the state. Members echoed the sentiment that this isn’t just an isolated issue; it’s a culture issue.
“There are things that shift culture, things that create culture,” said Winton Anderson. “And what we were doing today was not only dealing with the prevention piece as much as dealing with the accountability piece.”
Task force leaders said Thursday’s meeting was about closing gaps in oversight, enforcement, and advisor responsibility for all Louisiana schools.
“Today, what you saw is closing the gap of our attempt to close the gap on what we believe are going to be the next phase of policies to help us ensure that there’s accountability at every level,” said Anderson.
The policy reform is key, but leaders said education is the foundation.
“The key to this is education,” said LaFleur. “And I think we’ve put in the safeguards for that. Safeguards will be there when the legislation drops. We’ve got to show them why hazing does not create sisterhood, why hazing does not create. But what it does is it destroys.”
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Louisiana
Louisiana races to hire AI workers as majority of pilot projects fail
Demand for more Midwest data centers skyrockets
What are data centers and why are they needed?
Nearly all corporate artificial intelligence pilot projects fail to deliver measurable business value, according to new research — a finding that comes as Louisiana companies accelerate AI hiring faster than the data workforce needed to support it.
A national analysis by data consultancy DoubleTrack found that 95% of generative AI pilot projects fail to produce measurable profits, a rate that researchers attribute largely to weak data infrastructure rather than shortcomings in AI technology itself.
Despite that failure rate, Louisiana employers are hiring AI specialists far faster than data infrastructure workers. The study found Louisiana companies posted 151% more AI and machine-learning jobs than data infrastructure roles, ranking the state among the most imbalanced AI labor markets in the country.
According to the analysis, Louisiana employers advertised 548 AI-related positions compared with 218 data infrastructure jobs, meaning companies are hiring more than two AI specialists for every data engineer or platform specialist; the reverse of what experts recommend.
According to the study, industry consensus suggests that organizations should hire at least two data infrastructure professionals for every AI specialist to ensure that data is reliable, integrated, and usable. Without that foundation, AI systems often stall or are abandoned.
The consequences are already visible nationwide. Research cited in the report shows 42% of companies scrapped most of their AI initiatives in 2025, more than double the abandonment rate from the year before.
The findings carry particular significance for Louisiana as the state courts data centers, advanced manufacturing and digital infrastructure projects, including large-scale developments proposed in Caddo and Bossier parishes. While such projects promise billions in capital investment, they depend on robust data pipelines, power reliability and utility coordination — areas that require deep data infrastructure expertise.
Data centers, in particular, employ relatively few permanent workers but rely heavily on specialized data engineers to manage system redundancy, cybersecurity, data flow and integration with cloud and AI platforms. A shortage of those workers could limit the long-term impact of the projects Louisiana is working to attract.
The report also raises questions for workforce development and higher education. Louisiana universities have expanded AI-related coursework in recent years, but researchers say data engineering, database management and system integration skills are just as critical — and often in shorter supply.
Only 6% of enterprise AI leaders nationwide believe their data systems are ready to support AI projects, and 71% of AI teams spend more than a quarter of their time on basic data preparation and system integration rather than advanced analytics or model development, according to research cited in the study.
Those infrastructure gaps can have ripple effects beyond technology firms. Utilities, energy producers, health systems and logistics companies — all major pillars of Louisiana’s economy — increasingly rely on AI tools that require clean, connected data to function reliably.
DoubleTrack recommends companies adopt a 2-to-1 hiring ratio, with two data infrastructure hires for every AI specialist, to reduce failure rates.
“The businesses most at risk aren’t the ones moving slowly on AI,” said Andy Boettcher, the firm’s chief innovation officer. “They’re the ones who hired aggressively for AI roles without investing in data quality and infrastructure.”
As Louisiana pushes to position itself as a hub for data-driven industries, researchers say closing the gap between AI ambition and data readiness may determine whether those investments succeed — or quietly join the 95% that do not.
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