Louisiana

Louisiana lawmakers search for ways to pay for Landry’s proposed income tax cut • Louisiana Illuminator

Published

1 year ago

November 21, 2024

Louisiana lawmakers search for ways to pay for Landry’s proposed income tax cut • Louisiana Illuminator

Gov. Jeff Landry’s ambitious plan to overhaul Louisiana’s tax structure has largely been pared down to a more modest goal – cutting state income taxes.

Lawmakers are working on a way to make sure the state can pay for that desired tax reduction while not having to make damaging cuts to areas such as health care and higher education.

Options include raising the state sales tax rate higher than it is now, retaining a higher corporate income tax rate than proposed or settling on an income tax cut that is smaller than Landry originally pitched weeks ago.

The governor wanted to move to a flat personal income tax rate of 3% – the highest rate currently is 4.25% – but it will cost the state more than $1 billion annually. Landry’s income tax plan also leaves the state approximately $700 million short of what is needed to cover the costs of government, according to senators.

Through his Revenue Secretary Richard Nelson, the governor had originally crafted a proposal that would exchange a broader base of tax collections for lower personal income and corporate taxes. Nelson said Louisiana would be able to pay for across-the-board personal income and corporate tax rate cuts totaling billions of dollars as long as the state scrapped generous business tax breaks and applied the sales tax to a greater range of products.

The governor has struggled to get lawmakers to fully embrace the trade off, however.

Legislators have eagerly voted for bills to cut corporate and personal income taxes but stalled on proposals to help make up for that lost revenue.

Landry’s tax package started to unravel last week when the Louisiana House of Representatives refused to vote for legislation that would extend the sales tax to more services, such as lawn care, home repair and dog grooming.

“Obviously, the services bill in its original form was a little over $500 million, which would equate to about a half a point on the personal income tax,” House Speaker Phillip Devillier, R-Eunice, said.

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This week, the Senate declined to fully roll back some of the state’s expensive business incentive programs, such as its movie and television tax credits and historic preservation tax breaks that collectively cost the state hundreds of millions of dollars annually.

A plan to eliminate a state inventory tax credit, which covers taxes businesses pay to local governments, has been delayed until 2026, and a proposal to increase a tax on heavy machinery and equipment used by industrial employers has also been scrapped.

If he doesn’t find a way to make up for that money, Landry runs the risk of revisiting the same political problems that plagued former Gov. Bobby Jindal.

Jindal also cut income taxes without replacing the lost revenue or finding a permanent way to cut government spending. His policy led to chronic budget problems for years and made the former governor deeply unpopular when he left office.

Senate leaders appear to be pushing for a higher state sales tax rate to help fill the hole left by the personal income tax cut.

It was scheduled to automatically drop from 4.45% to 4% in July, though Landry had already pitched keeping the extra 0.45% permanently as a way to cover the corporate and personal income tax reductions. Now, lawmakers are considering an even higher rate to cover the state’s expenses; 5% has been floated for a few days.

“This isn’t a tax-lowering session. This is a tax-reorganization session,” Rep. Michael Echols, R-Monroe, said Wednesday.

Louisiana already has one of the highest average sales tax rates in the country, and that levy is a larger burden on poor people who have to pay the same rate as the wealthy. Very low-income households don’t pay income tax and won’t necessarily see benefits from cuts Landry and lawmakers make in that arena.

“As soon as you start to increase the sales tax more, the plan becomes more regressive,” said Rep. Matthew Willard, D-New Orleans, leader of the House Democratic Caucus.

Several Republicans and Democrats in the House also weren’t enthusiastic about the sales tax portion of the original tax plan and might not want to vote for a 5% rate. A bill to keep the state sales tax at 4.4% barely passed the House, with just two votes to spare last week.

“That would be the top number we need for sales,” Sen. Franklin Foil, R-Baton Rouge said Wednesday morning. “We don’t necessarily have the votes to do that yet. We need to get a tally of where things stand.”

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Lafayette Sen. Gerald Boudreaux, head of the Senate Democratic Caucus, said his party doesn’t want a higher sales tax rate, but Democrats also fear government programs they champion, like social services, will be targeted if they don’t support the proposal.

“We want to make sure the things that are important to us will be funded, right?” Boudreaux said Wednesday before he and other Democratic senators headed off to a meeting with Landry.

Rep. Jack McFarland, R-Jonesboro, was bullish on the legislators’ willingness to raise the sales tax to 5%.

“I think it can get there. It’s an easier path for that than it is for broadening the base,” he said.

If lawmakers aren’t willing to raise the sales tax more, legislators could look to retain more of the current corporate income tax rate, but they’ve already pulled back on an original plan to cut that tax dramatically.

Landry initially pitched replacing the graduated corporate tax rate that tops out at 7.5% with a flat 3%. But the senators moved that levy back up to 6% earlier this week to claw back some revenue. A further increase might be unlikely given pressure from business lobbyists.

Corporate taxes are also a notoriously unstable source of tax revenue. In part because sizable tax credits can be applied in any budget cycle, corporate tax collections have ranged from $193 million to $1.6 billion annually over the past 10 years, according to the Public Affairs Research Council of Louisiana.

Legislators could also increase the personal income tax rate from 3% but seem very reluctant to do so. If it does go up, they would try to keep it to a small adjustment, like up to 3.1% or 3.2%.

“My belief is the personal income tax will, probably will, stay at 3(%),” said Foil, who heads the Senate committee that oversees tax policy.

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How a Louisiana budget whiz and small business owner sees Congress’ fight over health care

Published

14 hours ago

November 22, 2025

Press Room

How a Louisiana budget whiz and small business owner sees Congress’ fight over health care

WASHINGTON – When state Rep. Jack McFarland, R-Winnfield, isn’t mulling complex finances as chair of the Louisiana House Appropriations Committee, he runs a logging contractor firm in Winn Parish.

As a small businessman with about 20 employees, McFarland frets about the lack of action on health care. Time is of the essence, and McFarland wants the warring parties in Washington to figure out a solution.

Republicans want to overhaul the Affordable Care Act to lower health care costs and increase consumer choice. Democrats are not opposed to fixes but argue that will take too much time, so first, the enhanced ACA marketplace subsidies need to be continued before expiring.

About 24.3 million working Americans and small businesses — 292,994 in Louisiana — will see their monthly costs double, on average, starting Jan. 1 if the subsidies are not extended. Disagreement on extending the tax credits was at the center of the government shutdown.

An ardent conservative in a parish that gave 88% of its votes to U.S. House Speaker Mike Johnson, R-Benton, McFarland agrees that substantial changes are necessary.

For instance, his employees can’t access the ACA marketplace.

Despite the promise in 2010 that the Affordable Care Act, also known as Obamacare, to lower health insurance premiums, it did not. The policy McFarland provided employees went from about $37,000 annually in 2011 to about $132,000 in 2024.

McFarland said his company had to stop covering premiums for his employees and now just pays a little to help. When some of his workers wanted to lower their costs by shifting to the ACA marketplace, they could not because his company offered health insurance, he said.

“As an employer, I would have to stop offering health insurance to all my employees for them to be eligible for subsidies,” McFarland said, adding that now many of his employees have no insurance.

Like most things that deal with health care and insurance, the Affordable Care Act is complex, with a lot of moving parts.

Obamacare protected people with preexisting conditions and made insurance available for those who couldn’t afford it. But the promise that premiums would decline because more people had insurance didn’t materialize.

Premium costs have risen from an average $177 per month in 2010 for individual policies, like the ones the ACA marketplace sells, to $467 per month in 2024, according to KFF, a Washington-based health analysis organization. Monthly costs for group insurance, like those offered by employers and cover roughly 170 million people, went up from an average $273 per month to $512 per month during the same period.

Senate Republicans are looking at various alternatives that align with President Donald Trump’s demand last week that the ACA subsidies go “directly to the people” rather than insurance companies.

In the House, Majority Leader Steve Scalise, R-Jefferson, told reporters Tuesday that House committee leaders also are looking at various ideas.

“We’re not here to bail out insurance companies,” he said. “We’re here to give families lower premiums and better options.”

But in both chambers, Democrats and Republicans are not talking officially to each other.

The Senate will need 60 votes to pass any GOP measure, which means seven Democrats have to sign on to any package that all the Republicans support — or eight Republicans have to agree with all the Democrats backing one of their ideas.

Right now, neither scenario looks likely when it comes to the key issue of whether to extend the enhanced ACA marketplace tax credits, which will get a vote in mid-December.

Senate Minority Leader Chuck Schumer, D-New York, said Thursday on the Senate floor that Republican ideas are “half-baked.”

“They are deeply flawed and woefully insufficient for our nation’s health care problems,” Schumer said. “When people’s monthly payments spike next year, they’ll know it was Republicans that made it happen.”

On Thursday, Johnson refined his oft-repeated accusation that Democrats only care about “illegal aliens” to point out what California, Illinois and Oregon spent more on health care for “noncitizens” than for police and roads.

Immigrants who slipped into the country without authorization are not legally allowed to take advantage of Obamacare. Legal immigrants who have jobs and children regardless of their status are allowed to buy insurance through ACA marketplaces. The Congressional Budget Office estimates that about 1.4 million immigrants have.

“Everybody’s just went to their corner and they’re just not coming out,” McFarland said. “It’s a broken system that needs to be fixed, not patched, for the people and for small businesses. They need to sit down and figure this out.”

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Louisiana communities brace for federal immigration crackdown amid uncertainty

Published

1 day ago

November 22, 2025

Press Room

Louisiana communities brace for federal immigration crackdown amid uncertainty

NEW ORLEANS (WVUE) – More than 200 federal agents are expected to descend on south Louisiana in the coming days, according to Associated Press sources, in an operation aimed at cracking down on undocumented immigrants in the state.

But a local criminologist says much remains unknown about the operation, which the AP reports is being called “Swamp Sweep.”

“How are you even identifying people who are illegal or un-legal is the primary question,” said Dr. Ashraf Esmail of Dillard University.

Earlier this week, FOX 8 asked U.S. Sen. Bill Cassidy, R-La., where he stands on the anticipated arrival of federal agents in his home state.

MORE: Federal immigration operation targets New Orleans area

“So, I agree with President Trump, we’ve got to crack down on the criminals who are [here] illegally, and I think it’s important to note that this problem dates back to the Biden administration. And I think there is a valid concern that some people being picked up are like not members of Tren de Aragua,” Cassidy said.

This week, NOPD Superintendent Anne Kirkpatrick made it clear that immigration enforcement is not her department’s responsibility.

“I, you know, think the recent actions of the consent decree, etc. I think we’ve developed that trust, and I think if you ask the general public, they’re obviously against what’s going on, and I think we’re going to follow Chief Kirkpatrick in that we don’t want to be involved in this,” Esmail said.

FOX 8 also asked the Orleans Parish Sheriff’s Office if it would assist federal immigration authorities by detaining individuals arrested for being in the country without authorization. A spokesperson said no one was available to speak on the matter.

However, Sheriff-elect Michelle Woodfork, who takes office in January, did respond.

Hispanic churches brace for Border Patrol operation in Louisiana

“As a law enforcement professional, I will always uphold and follow the law. What I can promise is that as sheriff, every person housed at OJC will be treated with dignity, respect, and humanity,” Woodfork said.

The St. Tammany Parish Sheriff’s Office said it “will not comment on an operation conducted by another agency,” according to a prepared statement provided to FOX 8.

FOX 8 did not receive a response from the Jefferson Parish Sheriff’s Office. The U.S. Department of Homeland Security and U.S. Immigration and Customs Enforcement have also not released any details about the operation.

“Yes, they want to keep it private, but I think also again we’re at this time in New Orleans where we’re trying to again develop that trust and safety,” Esmail said.

Massive raids in other cities have led to large protests.

InspireNOLA CEO says schools will not allow immigration raids

“The way this is being conducted in other cities doesn’t seem, you know, people are like this is not the proper way of doing this, where people again are being stopped, arrested, not being charged, let go,” Esmail said.

“Local law enforcement counts on having a relationship with members of communities as part of their law enforcement,” he added.

“Violence is down, the last two or three years heading in a very positive direction, and so you don’t want this to kind of come down where it’s again violence starts, people are chaotic, people are nervous, etc.,” Esmail said.

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What is the best elementary school in Louisiana? These 11 rank at top

Published

2 days ago

November 21, 2025

Press Room

What is the best elementary school in Louisiana? These 11 rank at top

When it comes to primary education, it’s important to choose a school that’s the right fit and offers educational opportunities.

U.S. News & World Report analyzed 103,391 Pre-Kindergarten, elementary and middle schools in order to determine which are the best throughout the U.S.

To do so, U.S. News & World Report assessed schools’ shares of students who were proficient in math and reading scores, and assessed such scores in the context of socioeconomic demographics.

US News & World Report best elementary schools in Louisiana for 2026

U.S. News & World Report analyzed 1,125 elementary schools in Louisiana, and these schools ranked as the 11 best.

1. Metairie Academy for Advanced Studies

Metairie Academy for Advanced Studies in Metairie is ranked as the best elementary school in Louisiana by U.S. News & World Report. This public elementary school serves Pre-Kindergarten to fifth grade, with a student population of 377 and a student-teacher ratio of 14:1. At this school, 98% of students scored at or above the proficient level for math, and 98% scored at or above the proficient level for reading.

2. T. S. Cooley Elementary Magnet School

T. S. Cooley Elementary Magnet School in Lake Charles is ranked as the second best elementary school in Louisiana by U.S. News & World Report. The student population of this schools is 302, and the school serves grades Kindergarten through fifth, with a student-teacher ratio of 19:1. Here, 92% of students scored at or above the proficient level for math, and 98% scored at or above the proficient level for reading.

3. South Highlands Elementary Magnet School

South Highlands Elementary Magnet School in Shreveport is the third best elementary school in Louisiana, according to U.S. News & World Report. This school has a student population of 512 with a student-ration of 16:1, serving grades Pre-Kindergarten through fifth. Ninety-seven percent of students scored at or above the proficient level for math and 92% scored at or above the proficient level in reading.

4. Gretna No. 2 Academy for Advanced Studies

Gretna No. 2 Academy for Advanced Studies in Gretna is a public school that serves Pre-Kindergarten through fifth grade. This school has a student population of 366 and a student-teacher ratio of 18:1. Here, 98% of students scored at or above the proficient level for math and 92% scored at or above the proficient level for reading, according to U.S. News & Word Report.

5. Airline Park Academy for Advanced Studies

Airline Park Academy for Advanced Studies is a public school in Metairie that serves Pre-Kindergarten through fifth grade. This school has a student population of 429 and a student-teacher ratio of 16:1. Ninety-two percent of students scored at or above the proficient level for math, and the same percentage scored at or above the proficient level for reading, according to U.S. News & World Report.

6. Fairfield Magnet School

Fairfield Magnet School is a public school in Shreveport that serves grades Pre-Kindergarten through fifth, with a student-teacher ratio of 15:1. The student population at this school is 528, with 93% scoring at or above the proficient level for math and 91% scoring at or above the proficient level for reading, says U.S. News & World Report.

7. Westdale Heights Academic Magnet School

Westdale Heights Academic Magnet School in Baton Rouge is a public school that serves Pre-Kindergarten through fifth grade. Here, the student population is 468 and the student-teacher ratio is 14:1. At this school, 92% of students scored at or above the proficient level for math and 90% scored at or above the proficient level for reading, says U.S. News & World Report.

8. Mayfair Laboratory School

Mayfair Laboratory School in Baton Rouge is a public school that has a student population of 504 and a student-teacher population of 11:1. This school serves grades Kindergarten through eighth, with 88% of students scoring at or above the proficient level for math and 87% scoring at or above the proficient level for reading, says U.S. News & World Report.

9. Ray St. Pierre Academy for Advanced Studies

Ray St. Pierre Academy for Advanced Studies is a public school in Westwego that serves Pre-Kindergarten through fifth grade. The school has a student population of 359 and a student-teacher ratio of 17:1. Here, 87% of students scored at or above the proficient level for math, and the same percentage scored at or above the proficient level for reading, according to U.S. News & World Report.

10. Phoenix Magnet Elementary School

Phoenix Magnet Elementary School is a public school in Alexandria that serves Pre-Kindergarten through fifth grade. This school has a student population of 319 and a student-teacher ratio of 13:1. Seventy-seven percent of students at this school scored at or above the proficient level for math and 92% scored at or above the proficient level for reading, according to U.S. News & World Report.

11. Eden Gardens Fundamental Elementary School

Eden Gardens Fundamental Elementary School is a public school in Shreveport that serves Kindergarten through fifth grade. The student population of this school is 506 and the student-teacher ratio is 16:1. At this school, 88% of students scored at or above the proficient level for math and 86% scored at or above the proficient level for reading, according to U.S. News & World Report.

Presley Bo Tyler is a reporter for the Louisiana Deep South Connect Team for Gannett/USA Today. Find her on X @PresleyTyler02 and email at PTyler@Gannett.com

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