Louisiana House Bill HB99

Louisiana 2015 Regular Session

• Introduced: 3/13/15
• Refer: 3/13/15
• Refer: 4/13/15

Caption

Creates an exemption from sales and use tax for construction materials purchased by the Committee for Plaquemines Recovery (OR -$12,000 GF RV See Note)

Impact

The impact of HB 99 primarily revolves around the financial relief it offers for construction projects executed by the Committee for Plaquemines Recovery. By eliminating sales and use taxes on construction materials, the bill potentially reduces costs associated with recovery efforts following disasters. The authorization for local authorities to provide additional exemptions may also promote collaborative efforts between state and local governments in addressing housing needs, potentially expediting the recovery process post-disaster.

Summary

House Bill 99 aims to provide a sales and use tax exemption for construction materials purchased specifically by the Committee for Plaquemines Recovery. This legislation seeks to amend existing tax laws by not only creating exemptions at the state level but also empowering local governing authorities to grant similar tax exemptions. This aligns with previous exemptions that exist for other nonprofit organizations involved in residential construction, thereby reinforcing the state's commitment to facilitating housing recovery efforts.

Sentiment

General sentiment around HB 99 appears to be supportive among stakeholders involved in recovery and construction efforts. Lawmakers and representatives from organizations like the Committee for Plaquemines Recovery likely view this bill favorably as a means to enhance their operational funding and efficiency. However, there may be a spectrum of opinions regarding the potential long-term fiscal implications of such tax exemptions on local and state revenue.

Contention

Notable contention may arise from concerns about the financial impact of enacting tax exemptions on public funding. Critics might argue that while such measures facilitate recovery and provide immediate relief, they can also lead to diminished tax revenues, impacting the overall budget available for public services. Additionally, there may be discussions around the fairness of tax exemptions granted to specific organizations over others, which could provoke debates on equity in tax policy. Furthermore, the extent to which these provisions can be leveraged by local governments remains an area of scrutiny.