Creates a special taxing district to provide a supplemental means of financing higher education (OR +$180,000,000 SD RV See Note)
Impact
The legislation allows the district to levy ad valorem taxes up to a maximum of five mills. These taxes would require majority approval from voters residing in the district and will be collected to support higher education institutions. The funds generated from these taxes will be used strictly for academic program enhancements and cannot be allocated for administrative salaries, sports programs, or facility maintenance. Notably, the bill ensures that this new funding source does not replace any existing state financial support for higher education.
Summary
House Bill 576 aims to create the Higher Education Improvement District in Louisiana as a means to supplement the financing of higher education institutions. This bill establishes the district as a special political subdivision within the state, with boundaries coterminous with those of Louisiana. The primary objective is to provide an additional revenue source that would aid public postsecondary education institutions, including law schools, medical schools, and community colleges, in enhancing their academic programs.
Sentiment
The sentiment surrounding HB 576 appears to be generally positive among proponents who view it as a critical step toward improving the resources available for higher education in Louisiana. Supporters argue that enhancing funding in this manner is essential for the long-term viability and competitiveness of public colleges and universities. However, some critics may raise concerns regarding the effectiveness of taxes as a funding mechanism and express skepticism about the potential administrative complexities surrounding a newly created taxing district.
Contention
A significant point of contention may involve the potential impact of this tax on local residents and how it might be perceived as an additional financial burden. Opponents of new taxes often voice concerns about the long-term sustainability of such funding mechanisms and their implications for taxpayers. The need for statewide voter approval for the tax levy might also fuel debate regarding the level of support from various communities within Louisiana.
Transfers governance and control of state hospitals from LSU to human services districts and authorities of the state and provides for delivery and financing of health services by such districts and authorities (OR INCREASE GF EX See Note)
Authorizes the creation of cooperative economic development districts affiliated with Louisiana public postsecondary education institutions (EG SEE FISC NOTE SD RV See Note)
Constitutional amendment to authorize the governor to appoint persons who reside out-of-state as certain at-large members of public postsecondary education boards of supervisors. (2/3 - CA13s1(A)) (Item #42)
(Constitutional Amendment) Relative to management of postsecondary education, abolishes the Board of Regents and the management boards and transfers their powers, duties, and responsibilities to a newly created La. Postsecondary Education Board of Trustees (RE INCREASE GF EX See Note)
Constitutional Amendment to abolish the Board of Regents and the postsecondary management boards and transfer their powers, duties, and responsibilities to a newly created La. Postsecondary Education Board of Trustees. (2/3 - CA13s1(A)) (OR INCREASE GF EX See Note)
Provides for the "Lod Cook Act" which authorizes the governor to appoint persons who reside out-of-state at certain at-large members of the public postsecondary boards of supervisors. (See Act) (Item #42) (EN INCREASE SG EX See Note)