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 693 Engrossed 2021 Regular Session Davis
Abstract: Annually dedicates a percentage of the avails of the .45% state sales and use tax to the
Construction Subfund, specifies the use of the monies, and levies and dedicates the avails
of a .4% states sales and use tax.
Present law levies a .45% state sales and use tax. Further provides the levy will expire June 30,
2025.
Present law provides the collections from the .45% sales and use tax are deposited into the state
general fund.
Proposed law annually dedicates a percentage of the tax levied in present law to the Construction
Subfund of the Transportation Trust Fund (subfund) provided for in present constitution (Art. VII,
Sec. 27(B)(2)), as follows:
(1)For FY 2021-2022, 10% of the avails shall be deposited into the subfund.
(2)For FY 2022-2023, 20% of the avails shall be deposited into the subfund.
(3)For FY 2023-2024, 30% of the avails shall be deposited into the subfund.
(4)For FY 2024-2025, 40% of the avails shall be deposited into the subfund.
Proposed law requires the Dept. of Transportation and Development (DOTD) to utilize the monies
which are deposited into the Construction Subfund pursuant to present law as follows:
(1)80% of the monies to be utilized on highway and bridge preservation projects included in the
Highway Priority Program.
(2)20% of the monies to be utilized on Highway Priority Program projects classified as capacity
projects.
Proposed law, with respect to capacity projects, requires the secretary to prioritize and construct the
following mega projects based on the completion of each project's federally mandated environmental
process and requirements:
(1)Replacement of the I-10 Calcasieu River bridge and I-10 improvements from the I-210 interchange west of the river to the I-210 interchange east of the river.
(2)A new Mississippi River Bridge at Baton Rouge with freeway-level connections from the
interstate west of Baton Rouge to the interstate east of Baton Rouge.
(3)Upgrades to US 90 to interstate standards from the I-10 and I-49 interchange at Lafayette to
New Orleans.
(4)Widening of I-12 to six lanes and associated improvements where this interstate is not yet
upgraded from Baton Rouge to the Mississippi state line.
(5)A new, four lane Jimmie Davis Bridge on LA 511 across the Red River in Shreveport-
Bossier.
(6)Widening to six lanes and associated improvements to I-20 at Monroe from LA 546 to LA
594.
(7)US 90, Port of New Orleans access improvements with improved and maintained interstate
lighting in New Orleans.
(8)Alexandria-Pineville Beltway, Segments E, F, G, H, and I from LA 28 East to LA 28 West.
Proposed law levies a state sales and use tax at a rate of .4% beginning July 1, 2025. Further
provides that the levy will terminate after June 30, 2031.
Proposed law provides that a percentage of the new levy will be dedicated annually to the subfund
as follows:
(1)For FY 2025-2026, 50% of the avails shall be deposited into the subfund.
(2)For FY 2026-2027, 60% of the avails shall be deposited into the subfund.
(3)For FY 2027-2028, 70% of the avails shall be deposited into the subfund.
(4)For FY 2028-2029, 80% of the avails shall be deposited into the subfund.
(5)For FY 2029-2030, 90% of the avails shall be deposited into the subfund.
(6)For FY 2030-2031, 100% of the avails shall be deposited into the subfund.
Effective July 1, 2021, except that levy of new tax is effective July 1, 2025.
(Amends R.S. 47:321.1(D); Adds R.S. 47:331.1)