Louisiana 2011 Regular Session

Louisiana House Bill HB422

Introduced
4/25/11  

Caption

(Constitutional Amendment) Removes the prohibition related to the imposition of an additional tax or license on gas, authorizes the levy of a tax, fee, permit, or license on natural gas transported in Louisiana, and creates the Fair Share Fund (OR INCREASE SD RV See Note)

Impact

By altering the constitutional framework concerning the taxation of natural resources, HB 422 has significant implications for state law. The authorization of new taxes or fees on natural gas not only allows the state to generate additional revenues but also targets specific areas such as environmental and infrastructural support. The proposed amendments would make it possible for lawmakers to create a stable funding source for various state initiatives, potentially strengthening Louisiana's approach to coastal protection and economic development through enhanced transportation infrastructure.

Summary

House Bill 422 proposes a constitutional amendment to remove the existing prohibition on imposing an additional tax or license on natural gas in Louisiana. It aims to authorize the levy of various forms of tax, fee, permit, or license specifically on natural gas transported within the state. The bill establishes the Fair Share Fund, which will serve as a special fund dedicated to financing coastal restoration efforts, improving transportation systems in Louisiana, and providing stable revenue for public universities conducting research on alternative fuel sources. Furthermore, it will allocate funds to address unfunded liabilities in public retirement systems.

Sentiment

The sentiment around HB 422 appears to be mixed. Proponents argue that the additional revenue generated will address pressing environmental and infrastructural needs, and contend that it represents a progressive step toward sustainable resource management. However, there exists apprehension among some stakeholders regarding the implications of increased taxation on natural gas, which could affect the industry climate in Louisiana. This polarization suggests that while there is recognition of the need for funding in critical areas, there are concerns about the potential economic burden on natural gas producers and associated sectors.

Contention

Notable points of contention regarding HB 422 center on the broader implications of changing tax structures for natural resources. Critics of the bill warn that imposing new taxes on natural gas could deter investment in the sector and increase operational costs. Additionally, there are debates about the effectiveness and transparency of how funds generated from the Fair Share Fund will be utilized, especially in ensuring that they directly contribute to the intended initiatives such as coastal restoration and transportation enhancements. The discussions highlight the balance between fiscal needs and the competitive landscape of the natural gas industry.

Companion Bills

No companion bills found.

Previously Filed As

LA HB70

(Constitutional Amendment) Removes the prohibition related to the imposition of an additional tax or license on gas, authorizes the levy of a tax, fee, permit, or license on natural gas transported in Louisiana, and creates the Fair Share Fund

LA HB55

(Constitutional Amendment) Removes the prohibition related to the imposition of an additional tax or license on gas, authorizes the levy of a tax, fee, permit, or license on natural gas transported in Louisiana, and creates the Fair Share Fund

LA HB436

Levies a tax on the transportation of natural gas through pipelines in La. and provides for the disposition of the revenues (OR INCREASE SD RV See Note)

LA HB483

(Constitutional Amendment) Increases the motor vehicle license tax on private automobiles and establishes the Transportation and Infrastructure Growth of Economy through Roads (TIGER) Fund (OR +$15,730,670 SD RV See Note)

LA HB438

(Constitutional Amendment) Removes the prohibition of the state levying sales and use taxes on gasoline and certain motor fuels (OR +$173,250,000 GF RV See Note)

LA HB54

(Constitutional Amendment) Authorizes the levy of a tax on the use of hydrocarbon processing facilities in Louisiana

LA HB178

(Constitutional Amendment) Removes the prohibition on the levy of taxes on motor fuel by local governments (OR SEE FISC NOTE LF RV)

LA HB493

(Constitutional Amendment) Creates the Bet on Louisiana's Future Fund for the deposit of certain gaming proceeds (OR SEE FISC NOTE GF RV)

LA HB600

Levies a state tax on the net gaming proceeds of fantasy sports contests, and authorizes a fee for issuance of certain licenses or permits (RE2 +$346,500 SD EX See Note)

LA HB84

(Constitutional Amendment) Removes the prohibition against levying a state sales and use tax on the sale of gasoline (Item #36) (EG +$90,800,000 GF RV See Note)

Similar Bills

LA HB756

Provides relative to Grant Anticipation Revenue Vehicles (GARVEE) Bonds (EN SEE FISC NOTE SD EX See Note)

LA HB477

Provides for the dedication of mineral revenues (OR -$463,100,000 GF RV See Note)

LA SB182

Constitutional amendment to require deposit of certain mineral revenue into the Transportation Trust Fund. (2/3 - CA13s1(A))(7/1/17) (OR SEE FISC NOTE GF RV)

LA SB202

Constitutional amendment to rename the Budget Stabilization Fund to the Budget and Transportation Stabilization Trust and to provide for use of monies in the fund. (2/3s CA 13s 1 (A)) (EN SEE FISC NOTE SD RV See Note)

LA HB115

Establishes the Mineral Revenue Fund and provides for dedications into and the uses of monies in the fund (Item #7) (EG -$465,000,000 GF RV See Note)

LA SB259

Provides for the creation of the Budget and Transportation Stabilization Trust from the Budget Stabilization Fund and provides for use of monies in the fund. (See Act) (EN SEE FISC NOTE SD RV See Note)

LA HB603

(Constitutional Amendment) Establishes the Revenue Stabilization Trust Fund (EN SEE FISC NOTE SD RV See Note)

LA HB696

Establishes the Revenue Stabilization Trust Fund (RE1 SEE FISC NOTE SD RV See Note)