Requires that a minimum of 15% of nonrecurring funding be dedicated to new highway construction (OR SEE FISC NOTE SD RV)
Impact
The passage of HB 157 would modify current statutes regarding state revenue allocation. Presently, there are various stipulations on how nonrecurring revenue can be appropriated, primarily emphasizing allocations towards the Budget Stabilization Fund and public retirement system liabilities. By specifying a minimum of 15% for highway construction, HB 157 channels more financial resources toward critical infrastructure needs, potentially impacting other budgetary priorities and financial planning of state funds.
Summary
House Bill 157, introduced by Representative Danahay, mandates that at least 15% of funds designated as nonrecurring revenue be allocated specifically for new highway construction projects. This bill aims to ensure that a portion of the state's fluctuating financial resources is consistently directed toward building and improving transportation infrastructure. By doing so, the bill addresses the growing need for better roads and highways while also capitalizing on federal matching funds available for such projects.
Sentiment
The sentiment surrounding HB 157 is generally positive, with supporters arguing that enhancing highway infrastructure is vital for economic growth and public safety. Proponents believe that this allocation will result in improved transport systems, which can subsequently benefit local and state economies. However, there may be concerns from critics regarding the implications of diverting funds from other essential services or projects, raising questions about the long-term fiscal strategies of the state.
Contention
One notable point of contention lies in the prioritization of highway construction over other potential uses for nonrecurring revenue. Critics may argue that this bill could limit financial flexibility for the state in addressing various pressing needs, such as education, healthcare, or environmental projects. The requirement of allocating a set percentage to highways could lead to debates about funding equity and the balanced approach needed to maintain a robust and diversified state budget.
Provides that a minimum of 10% of nonrecurring revenue be applied toward reducing the balance of the unfunded accrued liability of the state retirement systems (EN SEE FISC NOTE SD RV See Note)
(Constitutional Amendment) Provides for a minimum of 10% of nonrecurring revenue be applied toward reducing the balance of the unfunded accrued liability of the state retirement systems (EN SEE FISC NOTE SD RV See Note)
Creates the Better Highways and Higher Education Fund and dedicates a certain portion of state sales and use taxes from out-of-state vendors into the fund (RE SEE FISC NOTE GF RV See Note)
(Constitutional Amendment) Adds tax rebates to La. taxpayers as a purpose for which nonrecurring revenues may be appropriated (OR SEE FISC NOTE SD EX See Note)
Increases the mineral revenue base for the Budget Stabilization Fund and dedicates the additional revenue to higher education and transportation (OR SEE FISC NOTE SD RV)
Imposes a one cent state sales and use tax for ten years dedicated to the construction of highways and bridges constituting major economic development corridors and capitalization of the Louisiana State Transportation Infrastructure Bank (EG +$792,000,000 SD RV See Note)
Dedicates to the Better Highways and Higher Education Fund state sales tax proceeds collected each fiscal year as a result of a federal law requiring vendors located out-of-state to collect sales tax on their Internet and mail order sales. (gov sig) (OR SEE FISC NOTE GF RV See Note)