Louisiana House Bill HB386

Louisiana 2010 Regular Session

• Introduced: 3/29/10
• Refer: 3/29/10
• Report Pass: 4/13/10
• Engrossed: 4/20/10
• Report Pass: 5/26/10
• Enrolled: 6/9/10
• Vetoed: 6/21/10

Caption

Requires the Dept. of Economic Development to report annually certain information on business growth in the state of La.

Impact

The proposed legislation could significantly alter the landscape of economic reporting in Louisiana by requiring the disclosure of proprietary business information previously kept confidential. Critics, including the LED, have expressed concerns that this requirement could deter new businesses from moving to Louisiana, as potential companies may be reluctant to share sensitive financial information publicly. Furthermore, the bill mandates that all LED business prospects be disclosed, which could expose companies to greater scrutiny and potentially harm competitive negotiations.

Summary

House Bill 386 aims to enhance accountability and transparency within the Louisiana Department of Economic Development (LED) by mandating annual reports on business growth information. This includes a detailed account of jobs created, retained, and revenue generated by new businesses. The bill seeks to provide a more comprehensive look at economic development activities in the state, thereby allowing lawmakers and the public to better understand the effectiveness of these initiatives.

Sentiment

The sentiment surrounding HB 386 is mixed. Proponents argue that the transparency initiatives of the bill will provide essential insights into the state's economic activities and enhance accountability among economic development programs. However, opponents contend that the bill's requirements may discourage investment and could be an overreach of legislative authority, impacting the state's ability to attract new businesses effectively.

Contention

Notable contention points primarily revolve around the balance between transparency and confidentiality. Supporters of the bill view it as a necessary step toward promoting open governance, whereas detractors caution against the potential chilling effects on business attraction and retention. The tension between these two perspectives highlights the ongoing debate on the optimal approach to economic development in Louisiana.