HLS 202ES-111 REENGROSSED 2020 Second Extraordinary Session HOUSE BILL NO. 67 BY REPRESENTATIVE CREWS FUNDS/FUNDING: Provides relative to state sales tax dedications for municipalities that defund their police departments (Items #11 and 16) 1 AN ACT 2To provide for certain reductions to sales tax dedications under certain circumstances for 3 Fiscal Year 2020-2021; to provide for the powers, duties, and authority of the Joint 4 Legislative Committee on the Budget; to provide for effectiveness; and to provide 5 for related matters. 6Be it enacted by the Legislature of Louisiana: 7 Section 1. The appropriation to 20-901 SALES TAX DEDICATIONS for the Sales 8Tax Dedications Program contained in Act No. 1 of the 2020 First Extraordinary Session of 9the Legislature is hereby amended and reenacted as follows: 10 On page 146, between lines 42 and 43 insert the following: 11 "Provided, however, that if a municipal police department notifies the Joint 12 Legislative Committee on the Budget in writing that its annual operating budget has 13 been reduced, the committee may request the municipality to appear before the 14 committee and provide a description of the proposed budget reductions and the effect 15 of the reductions on the municipality's ability to provide for public safety. If the 16 committee determines the proposed reductions will have a significant and harmful 17 effect on public safety, the committee may recommend reconsideration of the 18 funding appropriated herein to the municipality or the parish containing the 19 municipality. The provisions of this paragraph shall not apply to any municipality 20 with a population of fewer than twenty thousand persons as determined by the latest 21 federal decennial census. The provisions of this paragraph shall not be applicable 22 to any political subdivision which decreases the annual operating budget for its 23 municipal police department by ten percent or more if the decrease in the operating 24 budget for its municipal police department is the result of an overall decrease in tax 25 collections within the political subdivision." 26 Section 2. This Act shall become effective upon signature by the governor or, if not 27signed by the governor, upon expiration of the time for bills to become law without signature 28by the governor, as provided in Article III, Section 18 of the Constitution of Louisiana. If Page 1 of 2 HLS 202ES-111 REENGROSSED HB NO. 67 1vetoed by the governor and subsequently approved by the legislature, this Act shall become 2effective on the day following such approval. 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 67 Reengrossed 2020 Second Extraordinary Session Crews Abstract: Allows the Joint Legislative Committee on the Budget (JLCB) to recommend reductions of appropriations for FY2021 of sales tax dedications to a municipality, or the parish that contains the municipality, that reduces the annual operating budget of its municipal police department. Proposed law provides that if a municipal police department notifies JLCB that its annual operating budget has been reduced, JLCB may request the municipality to appear before the committee and explain the effect of the reductions on the municipality's ability to provide for public safety. If JLCB determines the reduction will have a significant and harmful effect on public safety, the committee may recommend reconsideration of the appropriation of sales tax dedications to the municipality or the parish containing the municipality. Proposed law provides an exemption for any municipality with a population of less than 20,000 and any political subdivision that decreases the annual operating budget for its municipal police department due to a decrease in tax collections. Effective upon signature of governor or lapse of time for gubernatorial action. Summary of Amendments Adopted by House The Committee Amendments Proposed by House Committee on Appropriations to the original bill: 1. Change the authorization for JLCB from reducing the appropriation of sales tax dedication to recommending reconsideration of the appropriation. The House Floor Amendments to the engrossed bill: 1. Exempt municipalities with a population of less than 20,000 and any political subdivision that decreases the annual operating budget for its municipal police department due to a decrease in tax collections. Page 2 of 2