Urges and requests that any proclamation convening an extraordinary session of the legislature in 2020 include changes to eligibility requirements to participate in the Enterprise Zone incentive
Impact
The impact of HCR79, if acted upon, would be substantial for the hospitality sector in Louisiana. The resolution seeks to amend existing eligibility criteria established in 2015, which currently limit benefits to grocery stores and pharmacies with a minimum workforce. By expanding eligibility to include restaurants and hotels, the resolution would intend to provide much-needed fiscal relief, thus aiding in the swift recovery of these sectors which are critical sources of state and local revenue.
Summary
HCR79 is a House Concurrent Resolution that urges the Louisiana Legislature to include changes to the eligibility requirements for the Enterprise Zone incentive in any proclamation for an extraordinary session convened in 2020. The resolution targets the inclusion of restaurants and hotels in the program, as these sectors faced significant economic hardships resulting from the COVID-19 pandemic. By extending these incentives, the resolution aims to promote recovery and support local businesses that play a vital role in the state's economy.
Sentiment
The sentiment around HCR79 appears to be broadly supportive among those aware of its implications, as it emphasizes the need for governmental support in a time of economic distress. Given the challenges posed by the pandemic, many stakeholders recognize the urgency of adapting policies that facilitate business recovery. However, there may also be concerns surrounding equitable access to these incentives, particularly regarding how they are distributed and the potential administrative burdens on the state in processing new applicants.
Contention
The primary contention surrounding HCR79 rests on the urgency and necessity of such changes in light of the COVID-19 pandemic. While supporters advocate for the resolution to alleviate pressures on affected businesses, opponents may argue about the equity of allocating tax incentives to certain sectors over others. This debate reflects broader discussions about targeted economic support, transparency in process, and the generous application of state resources amidst a public health crisis.
Urges and requests that any proclamation convening an extraordinary session of the legislature in 2020 include an extension of effectiveness and changes to eligibility requirements of the rehabilitation of historic structures tax credit
Urges and requests that any proclamation convening an extraordinary session of the legislature in 2020 include changes to the carryback provisions of the corporate income tax deduction for net operating losses
Creates the Task Force on Structural Changes in Budget and Tax Policy to continue the budget and tax reform evaluations begun in the 2016 First Extraordinary Session and urges and requests the governor to support and implement initiatives for structural change introduced in upcoming sessions that will lead to savings through more efficient and effective state operations
Urges and requests the secretary and staff of the Dept. of Economic Development to advise businesses receiving tax and other financial incentives that the legislature requests that hiring decisions be focused on Louisiana residents