DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part of the
legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law
or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 619 Original 2015 Regular Session Stokes
Abstract: Dedicates the avails of all state taxes on tobacco, nicotine products, and alcoholic
beverages that are enacted during the 2015 Regular Session for allocation to political
subdivisions which levy a property tax, and establishes the Ad Valorem Tax Abatement
Fund for purposes of the dedication.
Proposed constitutional amendment, beginning November 1, 2015, dedicates a portion of the avails
of those state taxes upon the sale, use, and consumption of tobacco products, nicotine vapor
products, alternative nicotine products, and alcoholic beverages which are first enacted during the
2015 Regular Session of the legislature ("state revenues") for annual allocation and distribution to
political subdivisions which levy an ad valorem tax on property, as of Nov. 1, 2015 ("eligible
political subdivisions").
Present constitution defines "political subdivision" as a parish, municipality, and any other unit of
local government, including a school board, and a special district authorized by law to perform
governmental functions.
Proposed constitutional amendment establishes the Ad Valorem Tax Abatement Fund as a special
treasury fund, hereinafter referred to as "the fund", for administration of the state revenues dedicated
to eligible political subdivisions pursuant to proposed constitutional amendment, as well as any other
monies which may be designated by law for deposit into the fund. Requires the state treasurer, after
satisfying the requirements of the Bond Security and Redemption Fund, to deposit in and credit to
the fund an amount equal to the state revenues. Monies will be distributed from the fund on a
monthly basis in accordance with a formula to be established by law.
Proposed constitutional amendment shall not apply to or affect the allocations of severance tax and
royalties to local governments as provided in present constitution.
Effective Nov. 1, 2015, if and when the proposed amendment of Article VII of the Constitution of
La. contained in the Act which originated as House Bill No. ___ of this 2015 R.S. of the Legislature
is adopted at a statewide election and becomes effective.
Provides for submission of the proposed amendment to the voters at the statewide election to be held
October 24, 2015.
(Adds Art. Sec. VII, Sections 10(F)(4)(h) and 10.15)