Louisiana House Bill HB7 Introduced / Bill

                    HLS 243ES-16	ORIGINAL
2024 Third Extraordinary Session
HOUSE BILL NO. 7
BY REPRESENTATIVE EMERSON
FUNDS/FUNDING:  (Constitutional Amendment) Revises Article VII of the Constitution
of La. (Items #1, 2, and 7)
1	A JOINT RESOLUTION
2Proposing to revise Article VII of the Constitution of Louisiana, relative to revenue and
3 finance; to provide with respect to the power of taxation including limitations
4 thereon; to require uniformity with respect to certain local and state tax measures;
5 to provide with respect to assessment of property and other items of taxation; to
6 provide with respect to remittal of some or all of certain tax revenues to local
7 entities; to provide with respect to rates of taxation; to provide with respect to
8 dedication of certain revenue; to provide with respect to bonded indebtedness
9 including limitations thereon; to provide with respect to the Interim Emergency
10 Board; to provide with respect to the State Bond Commission; to provide with
11 respect to deposit of monies received by the state or its instrumentalities; to provide
12 with respect to the Bond Security and Redemption Fund; to provide with respect to
13 expenditure of state revenues; to provide with respect to the Revenue Estimating
14 Conference; to provide with respect to appropriations; to provide with respect to
15 deficits; to provide with respect to budgets; to provide with respect to publication of
16 certain data; to provide with respect to the Budget Stabilization Fund; to provide
17 with respect to the Transportation Trust Fund including subfunds thereof; to provide
18 with respect to the Coastal Protection and Restoration Fund; to provide for
19 establishing certain classes of trusts and funds in the state treasury; to provide with
20 respect to designation of certain trusts and funds in the state treasury as a member
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1 of such classes; to provide with respect to the Louisiana Education Quality Trust
2 Fund including subfunds thereof; to provide with respect to the Mineral Revenue
3 Audit and Settlement Fund; to provide with respect to the Oilfield Site Restoration
4 Fund; to provide with respect to the Oil Spill Contingency Fund; to provide with
5 respect to the Millennium Trust and any funds within it; to provide with respect to
6 the Louisiana Fund; to provide with respect to the Artificial Reef Development Fund;
7 to provide with respect to the legislature's authority to take certain actions; to provide
8 with respect to the Hospital Stabilization Formula and Fund; to provide with respect
9 to the Louisiana Medical Assistance Trust Fund and any accounts therein; to provide
10 with respect to the Revenue Stabilization Trust Fund; to provide with respect to the
11 Conservation Fund; to provide with respect to public access to certain revenue and
12 expenditure information; to provide with respect to investment of certain monies; to
13 provide with respect to things of value; to provide with respect to cooperative
14 endeavors; to provide with respect to prior obligations regarding things of value; to
15 provide with respect to release or extinguishment of certain obligations; to provide
16 with respect to taxes; to require transfer of certain assets to the Teachers' Retirement
17 System of Louisiana; to provide with respect to the authority of the Teachers'
18 Retirement System of Louisiana regarding calculation of system liabilities and
19 required funding; to provide with respect to use by certain political subdivisions of
20 certain revenues to provide a salary increase for certain personnel; to provide with
21 respect to valuation of property for tax purposes; to provide with respect to treatment
22 of certain property, income, or things of value for tax purposes; to provide with
23 respect to tax liability; to provide with respect to reduction or elimination of tax
24 liability in certain circumstances; to provide with respect to certain payments to
25 political subdivisions; to provide with respect to invalidation or impairment of
26 certain taxes or obligations; to provide with respect to millage rates; to provide with
27 respect to tax assessors; to provide with respect to tax sales; to provide with respect
28 to liens and privileges; to provide with respect to the Revenue Sharing Fund; to
29 provide with respect to the Louisiana Unclaimed Property Permanent Trust Fund; to
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1 make technical and conforming changes; to provide for submission of the proposed
2 amendment to the electors; and to provide for related matters.
3 Section 1.  Be it resolved by the Legislature of Louisiana, two-thirds of the members
4elected to each house concurring, that there shall be submitted to the electors of the state of
5Louisiana, for their approval or rejection in the manner provided by law, a proposal to revise
6Article VII of the Constitution of Louisiana, to read as follows:
7	ARTICLE VII.  REVENUE AND FINANCE
8	PART I.  GENERAL PROVISIONS
9 §1.  Power to Tax; Public Purpose
10	Section 1.(A)  Except as otherwise provided by this constitution, the power
11 of taxation shall be vested in the legislature, shall never be surrendered, suspended,
12 or contracted away, and shall be exercised for public purposes only.
13	(B)  The power to tax may shall not be exercised by any court in the state,
14 either by ordering the levy of a tax, an increase in an existing tax, or the repeal of an
15 existing tax exemption or by ordering the legislature or any municipal or parish
16 governing authority or any other political subdivision or governmental entity to do
17 so.
18 §2.  Power to Tax; Limitation 
19	Section 2.  The levy of a new tax, tax; an increase in an existing tax, tax; the
20 enactment of a tax exemption, exclusion, deduction, credit, or rebate or an increase
21 in the amount of a tax deduction, credit, or rebate; or a repeal of an existing tax
22 exemption shall require the enactment of a law by two-thirds of the elected members
23 of each house of the legislature.  
24 §2.1. §3. Fees and Civil Fines; Limitation
25	Section 2.1. Section 3.(A)  Any new fee or civil fine or increase in an existing
26 fee or civil fine imposed or assessed by the state or any board, department, or agency
27 of the state shall require the enactment of a law by a two-thirds vote of the elected
28 members of each house of the legislature.
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1	(B)  The provisions of this Section shall not apply to any department which
2 is constitutionally created and headed by an officer who is elected by majority vote
3 of the electorate of the state.
4 §2.2.  Power to Tax; Sales and Use §4. Tax; Limitation
5	Section 2.2. Section 4.(A)  Effective January 1, 2003, the sales and use tax
6 rate imposed by the state of Louisiana or by a political subdivision whose boundaries
7 are coterminous with those of the state shall not exceed two percent of the price of
8 the following items:
9	(1)  Food for home consumption, as defined in R.S. 47:305(D)(1)(n) through
10 (r) on January 1, 2003.
11	(2)  Natural gas, electricity, and water sold directly to the consumer for
12 residential use.
13	(3)  Prescription drugs.
14	(B)  Effective July 1, 2003, the The sales and use tax imposed by the state of
15 Louisiana or by a political subdivision whose boundaries are coterminous with those
16 of the state shall not apply to sales or purchases of the following items:
17	(1)  Food for home consumption, as defined provided in R.S. 47:305(D)(1)(n)
18 through (r) on January 1, 2003 R.S. 47:305(C) on January 1, 2025.
19	(2)(a)  Natural gas, electricity, and water sold directly to the consumer for
20 residential use.
21	(3)  Prescription drugs.
22	(C) (b)  As used in this Section, Subparagraph, the term "sold directly to the
23 consumer for residential use" includes the furnishing of natural gas, electricity, or
24 water to single private residences, including the separate private units of apartment
25 houses and other multiple dwellings, actually used for residential purposes, which
26 residences are separately metered or measured, regardless of the fact that a person
27 other than the resident is contractually bound to the supplier for the charges, actually
28 pays the charges, or is billed for the charges.  The use of electricity, natural gas, or
29 water in hotel or motel units does not constitute residential use.
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1	B.  The sales and use tax imposed by the state of Louisiana or by a political
2 subdivision shall not apply to sales or purchases of prescription drugs.  No ad
3 valorem tax shall be imposed by the state of Louisiana or by a political subdivision
4 on prescription drugs. 
5	C.  Notwithstanding the provisions of Article VI, Section 29, of this
6 constitution, a political subdivision shall levy a tax upon any sale at retail, use, lease,
7 rental, consumption, or storage of goods, services, and other products as required by
8 law.
9 §2.3. §5.  Power to Tax; Limitation; Sale or Transfer of Immovable Property
10	Limitations
11	Section 2.3. Section 5.(A)  A political subdivision shall not levy a severance
12 tax, income tax, inheritance tax, or tax on motor fuel.
13	(B)  Effective January 1, 2026, no new sales and use tax exemption,
14 exclusion, credit, rebate, or refund shall be enacted unless the proposed exemption,
15 exclusion, credit, rebate, or refund is applicable to both sales and use taxes levied by
16 the state and those levied by political subdivisions. 
17	(C)  No new tax or fee upon the sale or transfer of immovable property,
18 including documentary transaction taxes or fees, or any other tax or fee, shall be
19 levied by the state of Louisiana, by a political subdivision whose boundaries are
20 coterminous with those of the state, or by a political subdivision, as defined in
21 Article VI, Section 44(2) of this constitution after November 30, 2011.  A
22 documentary transaction is any transaction pursuant to any instrument, act, writing,
23 or document which transfers or conveys immovable property.  Fees for the cost of
24 recordation, filing, or maintenance of documents, or records effectuating the sale or
25 transfer of immovable property, impact fees for development of property, annual
26 parcel fees, and ad valorem taxes shall not be considered taxes or fees upon the sale
27 or transfer of immovable property.  
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1 §3. §6.  Collection of Taxes 
2	Section 3. Section 6.(A)  The legislature shall prohibit the issuance of process
3 to restrain the collection of any tax.  It shall provide a complete and adequate remedy
4 for the prompt recovery of an illegal tax paid by a taxpayer.
5	(B)(1)  Notwithstanding any contrary provision of this constitution, sales and
6 use taxes levied by political subdivisions shall be collected by a single collector for
7 each parish.  On or before July 1, 1992, all political subdivisions within each parish
8 which levy a sales and use tax shall agree between and among themselves to provide
9 for the collection of such taxes by a single collector or a central collection
10 commission.  The legislature, by general law, shall provide for the collection of sales
11 and use taxes, levied by political subdivisions, by a central collection commission
12 in those parishes where a single collector or a central collection commission has not
13 been established by July 1, 1992.
14	(2)  The legislature, by local law enacted by two-thirds of the elected
15 members of each house of the legislature, may establish an alternate method of
16 providing for a single collector or a central collection commission in each parish.
17	(3)  Except when authorized by the unanimous agreement of all political
18 subdivisions levying a sales and use tax within a parish, only those political
19 subdivisions levying a sales and use tax shall be authorized to act as the single
20 collector or participate on any commission established for the collection of such
21 taxes.
22	(4)  The legislature shall provide for the prompt remittance to the political
23 subdivisions identified on the taxpayers' returns of funds collected pursuant to the
24 provisions of this Paragraph by a single collector or under any other centralized
25 collection arrangement.
26	(5)  The provisions of this Paragraph shall not apply in those parishes which
27 have a single collector or a centralized collection arrangement as of July 1, 1992.  If
28 the Department of Revenue  or its successor becomes the central, single sales and use
29 tax collector, the revenues it collects on behalf of a taxing authority shall be held in
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1 trust and shall not be commingled with state monies nor be considered state money
2 or state funds for purposes of Section 13 of this Article.  The tax monies collected
3 shall be the property of the taxing authority which imposed the tax.
4 §4. §7.  Income Tax; Severance Tax; Political Subdivisions Tax
5	Section 4.(A)  Income Tax. Section 7.  Equal and uniform taxes may be
6 levied on net incomes, and these taxes may be graduated according to the amount of
7 net income. incomes.  However, the maximum state individual rate shall not exceed
8 four and three-quarters percent for tax years beginning after December 31, 2021. 
9 Federal income taxes paid may be allowed as a deductible item in computing state
10 income taxes for the same period as provided by law.  For tax years beginning after
11 December 31, 2025, a person sixty-five years of age or older shall be entitled to an
12 additional standard deduction equal to the amount applicable for a single individual 
13 provided in R.S. 47:294. 
14 §8.  Severance Tax
15	(B)  Severance Tax.  (1) Section 8.(A)  Taxes may be levied by the state on
16 natural resources severed from the soil or water, to be paid proportionately by the
17 owners thereof at the time of severance.  Natural resources may be classified for the
18 purpose of taxation.  Such taxes may be predicated upon either the quantity or value
19 of the products at the time and place of severance.  No further or additional tax or
20 license shall be levied or imposed upon oil, gas, or sulphur leases or rights.  No
21 additional value shall be added to the assessment of land by reason of the presence
22 of oil, gas, or sulphur therein or their production therefrom.  However, sulphur in
23 place shall be assessed for ad valorem taxation to the person, firm, or corporation
24 having the right to mine or produce the same in the parish where located, at no more
25 than twice the total assessed value of the physical property subject to taxation,
26 excluding the assessed value of sulphur above ground, as is used in sulphur
27 operations in such parish.  Likewise, the severance tax shall be the only tax on
28 timber; however, standing timber shall be liable equally with the land on which it
29 stands for ad valorem taxes levied on the land.
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1	(2)  Notwithstanding the provisions of Subparagraph (1) of this Paragraph,
2 the presence of oil or gas or the production thereof, may be included in the
3 methodology to determine the fair market value of an oil or gas well for ad valorem
4 taxes.
5	(C)  Political Subdivisions; Prohibitions.  A political subdivision of the state
6 shall not levy a severance tax, income tax, inheritance tax, or tax on motor fuel.
7	(D)(1)  Severance Tax Allocation.  (B) One-third of the sulphur severance
8 tax, but not to exceed one hundred thousand dollars; one-third of the lignite
9 severance tax, but not to exceed one hundred thousand dollars; one-fifth of the
10 severance tax on all natural resources, other than sulphur, lignite, or timber, but not
11 to exceed five hundred thousand dollars; and three-fourths of the timber severance
12 tax shall be remitted to the governing authority of the parish in which severance or
13 production occurs.  The allocation provided for in this Paragraph may be subject to
14 limitations as provided by law. 
15	(2)  Effective July 1, 1999, one-third of the sulphur severance tax, but not to
16 exceed one hundred thousand dollars; one-third of the lignite severance tax, but not
17 to exceed one hundred thousand dollars; one-fifth of the severance tax on all natural
18 resources, other than sulphur, lignite, or timber, but not to exceed seven hundred fifty
19 thousand dollars; and three-fourths of the timber severance tax shall be remitted to
20 the governing authority of the parish in which severance or production occurs.
21	(3)  Effective July 1, 2007, one-fifth of the severance tax on all natural
22 resources other than sulphur, lignite, or timber shall be remitted to the governing
23 authority of the parish in which severance or production occurs.  The initial
24 maximum amount remitted to the parish in which severance or production occurs
25 shall not exceed eight hundred fifty thousand dollars.  The maximum amount
26 remitted shall be increased each July first, beginning in 2008, by an amount equal to
27 the average annual increase in the Consumer Price Index for all urban consumers, as
28 published by the United States Department of Labor, for the previous calendar year,
29 as calculated and adopted by the Revenue Estimating Conference.
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1	(4)  Effective April 1, 2012, the provisions of this Subparagraph shall be
2 implemented if and when the last official forecast of revenues adopted for a fiscal
3 year before the start of that fiscal year contains an estimate of severance tax revenues
4 derived from natural resources other than sulphur, lignite, or timber in an amount
5 which exceeds the actual severance tax revenues from such natural resources
6 collected in Fiscal Year 2008-2009.  Upon the adoption of such official forecast, the
7 Revenue Estimating Conference shall certify that the requirements for the
8 implementation of the provisions contained in this Subparagraph have been met.  In
9 such event, the following distributions and allocations of severance tax revenues and
10 other revenues provided in this Subparagraph shall be effective and implemented for
11 the fiscal year for which the official forecast was adopted, and each year thereafter. 
12 The legislature shall provide by law for the administrative procedures necessary to
13 change the severance tax allocation to parishes from a calendar year basis to a fiscal
14 year basis.
15	(a)  Remittance to parishes.
16	(i)  In the first fiscal year of implementation of this Subparagraph, the
17 maximum amount of severance tax on all natural resources other than sulphur,
18 lignite, or timber which is remitted to the parish in which severance or production
19 occurs shall not exceed one million eight hundred fifty thousand dollars.  For all
20 subsequent fiscal years, the maximum amount remitted to a parish shall not exceed
21 two million eight hundred fifty thousand dollars.
22	(ii)  On July first of each year the maximum amount remitted to the parish in
23 which severance or production occurs, as provided in Item (i) of this
24 Subsubparagraph, shall be increased by an amount equal to the average annual
25 increase in the Consumer Price Index for all urban consumers for the previous
26 calendar year, as published by the United States Department of Labor, which amount
27 shall be as calculated and adopted by the Revenue Estimating Conference.
28	(iii)  Of the total amount of severance tax revenues remitted in a fiscal year
29 to a parish governing authority pursuant to the provisions of this Subparagraph, any
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1 portion which is in excess of the amount of such tax revenues remitted to that parish
2 in Fiscal Year 2011-2012 shall be known as "excess severance tax".  At least fifty
3 percent of the excess severance tax received by a parish governing authority in a
4 fiscal year shall be expended within the parish in the same manner and for the same
5 purposes as monies received by the parish from the Parish Transportation Fund.
6	(E) (C)  Royalties Allocation.  One-tenth of the royalties from mineral leases
7 on state-owned land, land and lake and river beds and other water bottoms belonging
8 to the state or the title to which is in the public for mineral development shall be
9 remitted to the governing authority of the parish in which severance or production
10 occurs.  A parish governing authority may fund these royalties into general
11 obligation bonds of the parish in accordance with law.  The provisions of this
12 Paragraph shall not apply to properties comprising the Russell Sage Wildlife and
13 Game Refuge.
14 §4.1.  Cigarette Tax Rates
15	Section 4.1.  To ensure revenue for the dedication provided for in Article VII,
16 Section 10.8(C)(2)(c) of this constitution, the rate of the tax levied pursuant to R.S.
17 47:841(B)(3) shall not be less than the rate set forth in that provision as it exists on
18 January 1, 2012.
19 §5. §9.  Motor Vehicle License Tax 
20	Section 5. Section 9.  The legislature shall impose an annual license tax of not
21 more than one dollar per each one thousand dollars of actual value on automobiles
22 for private use based on the actual value of the vehicle, as provided by law. 
23 However, the annual license tax shall not be less than ten dollars per automobile for
24 private use.  On other motor vehicles, the legislature shall impose an annual license
25 tax based upon carrying capacity, horsepower, value, weight, or any of these.  After
26 satisfying the requirements of Section 9(B) of this Article, and after satisfying
27 pledges respecting that portion of the revenues attributable to the tax rates in effect
28 at the time of such pledges for the payment of obligations for bonds or other
29 evidences of indebtedness and upon the creation of a Transportation Trust Fund
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1 within this constitution, the revenues from the license tax on automobiles for private
2 use shall be deposited therein.  In the event no such trust fund is established in this
3 constitution, the revenues shall be used exclusively and solely as provided by law for
4 the construction, maintenance, and safety of the federal and state system of roads and
5 bridges, for the parish and municipal road systems, for the operations of the office
6 of state police, Department of Public Safety and Corrections or its successor, and for
7 the payment of any obligation for bonds issued or indebtedness incurred in
8 connection with any of the foregoing, which bonds may be issued as revenue bonds
9 under Article VII, Section 6(C) of this constitution, subject to existing pledges only
10 as to that portion of the tax collections attributable to the rates in effect at the time
11 of such pledges for the payment of any obligations for bonds or other evidences of
12 indebtedness outstanding on the effective date of this Section.  No parish or
13 municipality may impose a license fee on motor vehicles.
14 §6. §10.  State Debt; Full Faith and Credit Obligations 
15	Section 6.  Section 10.(A)  Authorization.  Unless otherwise authorized by
16 this constitution, the state shall have no power, directly or indirectly, or through any
17 state board, agency, commission, or otherwise, to incur debt or issue bonds except
18 by law enacted by two-thirds of the elected members of each house of the legislature. 
19 The debt may be incurred or the bonds issued only if the funds are to be used to repel
20 invasion; suppress insurrection; provide relief from natural catastrophes; refund
21 outstanding indebtedness at the same or a lower effective interest rate; or make
22 capital improvements, but only in accordance with a comprehensive capital budget,
23 which the legislature shall adopt. 
24	(B)  Capital Improvements.  (1)  If the purpose is to make capital
25 improvements, the nature and location and, if more than one project, the amount
26 allocated to each and the order of priority shall be stated in the comprehensive
27 capital budget which the legislature adopts. 
28	(2)  The estimated amount of debt service to be paid for capital improvements
29 for the next fiscal year shall be stated as a separate item and by budget unit in the
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1 budget estimate required to be submitted by the governor in accordance with Section
2 11 Section 23 of this Article.
3	(C)  Full Faith and Credit.  The full faith and credit of the state shall be
4 pledged to the repayment of all bonds or other evidences of indebtedness issued by
5 the state directly or through any state board, agency, or commission pursuant to the
6 provisions of Paragraphs (A) and (B) hereof. of this Section.  The full faith and credit
7 of the state is not hereby pledged to the repayment of bonds of a levee district,
8 political subdivision, or local public agency.  In addition, any state board, agency,
9 or commission authorized by law to issue bonds, in the manner so authorized and
10 with the approval of the State Bond Commission or its successor, may issue bonds
11 which are payable from fees, rates, rentals, tolls, charges, grants, or other receipts or
12 income derived by or in connection with an undertaking, facility, project, or any
13 combination thereof, without a pledge of the full faith and credit of the state.  Such
14 revenue bonds may, but are not required to, be issued in accordance with the
15 provisions of Paragraphs (A) and (B) hereof.  of this Section.  If issued other than as
16 provided in Paragraphs (A) and (B), such revenue bonds shall not carry the pledge
17 of the full faith and credit of the state and the issuance of the bonds shall not
18 constitute the incurring of state debt under this constitution.  The rights granted to
19 deep-water port commissions or deep-water port, harbor, and terminal districts under
20 this constitution shall not be impaired by this Section.
21	(D)  Referendum.  The legislature, by law enacted by two-thirds of the
22 elected members of each house, may propose a statewide public referendum to
23 authorize incurrence of debt for any purpose for which the legislature is not herein
24 authorized to incur debt.
25	(E)  Exception.  Nothing in this Section shall apply to any levee district,
26 political subdivision, or local public agency unless the full faith and credit of the
27 state is pledged to the payment of the bonds of the levee district, political
28 subdivision, or local public agency.
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1	(F)  Limitation.  (1)  The legislature shall provide for the determination of a
2 limit to the amount of net state tax supported debt which may be issued by the state
3 in any fiscal year.  Net state tax supported debt shall be defined by law.  When
4 enacted, such definition shall not be changed except by specific legislative
5 instrument which receives a favorable vote of two-thirds of the elected members of
6 each house of the legislature.  The limitation shall be established so that by Fiscal
7 Year 2003-2004 and thereafter the amount necessary to service outstanding net state
8 tax supported debt shall not exceed six percent of the estimate of money to be
9 received by the state general fund and dedicated funds contained in the official
10 forecast adopted by the Revenue Estimating Conference at its first meeting after the
11 beginning of each fiscal year and any other money required to be included in the
12 estimate by this Paragraph.  In making such estimate, the conference shall include
13 all amounts which are to be used to service net state tax supported debt.  For
14 purposes of this Paragraph, servicing outstanding net state tax supported debt
15 includes payments of principal, interest, and sinking fund requirements.  The
16 limitation established pursuant to this Paragraph shall not be construed to prevent the
17 payment of debt service on net state tax supported debt.
18	(2)  The limitation established pursuant to this Paragraph may be changed by
19 passage of a specific legislative instrument by a favorable vote of two-thirds of the
20 elected members of each house of the legislature.  The limitation may be exceeded
21 by passage of a specific legislative instrument for a project or related projects by a
22 favorable vote of two-thirds of the elected members of each house of the legislature,
23 provided that any debt service payment required for such the projects shall, once
24 bonds have been issued in connection therewith, not be impaired in any future year
25 by application of this limitation.  The limitation established pursuant to this
26 Subparagraph shall be deemed to be increased as necessary to accommodate any
27 projects approved to exceed this limit if approved as provided in this Paragraph, but
28 only as long as there are bonds outstanding for the projects.
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1	(3)  Except as provided in Subparagraph (2) of this Paragraph, the State Bond
2 Commission shall not approve the issuance of any net state tax supported debt, the
3 debt service requirement of which would cause the limit herein established to be
4 exceeded.
5 §7. §11.  State Debt; Interim Emergency Board Board; Composition; Powers
6	Section 7.  Section 11.(A)  Composition.  The Interim Emergency Board is
7 created.  It shall be composed of the governor, lieutenant governor, state treasurer,
8 presiding officer of each house of the legislature, chairman of the Senate Finance
9 Committee, and chairman of the House Appropriations Committee, or their
10 designees.
11	(B)  Powers. (1)  Between sessions of the legislature, when the board by
12 majority vote determines that an emergency or impending flood emergency exists,
13 it may appropriate from the state general fund or borrow on the full faith and credit
14 of the state an amount to meet the emergency.  The appropriation may be made or
15 the indebtedness incurred only for a purpose for which the legislature may
16 appropriate funds and then only after the board obtains, as provided by law, the
17 written consent of two-thirds of the elected members of each house of the legislature.
18	(2)  For the purposes of this Paragraph, an emergency is an event or
19 occurrence not reasonably anticipated by the legislature and an impending flood
20 emergency shall be an anticipated situation which endangers an existing flood
21 protection structure.  The appropriation or indebtedness incurred for an impending
22 flood emergency shall not exceed two hundred fifty thousand dollars for any one
23 event or occurrence.  For an impending emergency to qualify for funding it must be
24 determined as such by the United States Army Corp of Engineers or the United
25 States Coast Guard. Total funding for such impending emergencies shall not exceed
26 twenty-five percent of the funds annually available to the Interim Emergency Board.
27	(C)  Limits.  The aggregate of indebtedness outstanding at any one time and
28 the amount appropriated from the state general fund for the current fiscal year under
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1 the authority of this Section shall not exceed one-tenth of one percent of total state
2 revenue receipts for the previous fiscal year.
3	(D)  Allocation.  An amount sufficient to pay indebtedness incurred during
4 the preceding fiscal year under the authority of this Section is allocated, as a first
5 priority, each year from the state general fund.
6 §8. §12.  State Bond Commission 
7	Section 8. Section 12.(A)  Creation.  The State Bond Commission is created. 
8 Its membership and authority shall be determined by law.  
9	(B)  Approval of Bonds.  No bonds or other obligations shall be issued or
10 sold by the state, directly or through any state board, agency, or commission, or by
11 any political subdivision of the state, unless prior written approval of the bond
12 commission is obtained.  
13	(C)  Contesting State Bonds.  Bonds, notes, certificates, or other evidences
14 of indebtedness of the state (hereafter state, hereafter referred to as "bonds") "bonds",
15 shall not be invalid because of any irregularity or defect in the proceedings or in the
16 issuance and sale thereof and shall be incontestable in the hands of a bona fide
17 purchaser or holder.  The issuing agency, after authorizing the issuance of bonds by
18 resolution, shall publish once in the official journal of the state, as provided by law,
19 a notice of intention to issue the bonds.  The notice shall include a description of the
20 bonds and the security therefor.  Within thirty days after the publication, any person
21 in interest may contest the legality of the resolution, any provision of the bonds to
22 be issued pursuant to it, the provisions securing the bonds, and the validity of all
23 other provisions and proceedings relating to the authorization and issuance of the
24 bonds.  If no action or proceeding is instituted within the thirty days, no person may
25 contest the validity of the bonds, the provisions of the resolution pursuant to which
26 the bonds were issued, the security of the bonds, or the validity of any other
27 provisions or proceedings relating to their authorization and issuance, and the bonds
28 shall be presumed conclusively to be legal.  Thereafter no court shall have authority
29 to inquire into such matters.  
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1 §9. §13.  State Funds 
2	Section 9. Section 13.(A)  Deposit in State Treasury.  All money received by
3 the state or by any state board, agency, or commission shall be deposited
4 immediately upon receipt in the state treasury, except that monies received: 
5	(1)  as a result of grants or donations grants, donations, or other forms of
6 assistance when the terms and conditions thereof or of agreements pertaining thereto
7 require otherwise; 
8	(2)  by trade or professional associations; 
9	(3)  by the employment security administration fund or its successor; 
10	(4)  by retirement system funds; 
11	(5)  by state agencies operating under authority of this constitution
12 preponderantly from fees and charges for the shipment of goods in international
13 maritime trade and commerce; and 
14	(6)  by a state board, agency, or commission, but pledged by it in connection
15 with the issuance of revenue bonds as provided in Paragraph (C) of Section 6 10 of
16 this Article, other than any surplus as may be defined in the law authorizing such
17 revenue bonds.  
18	(B)  Bond Security and Redemption Fund.  Subject to contractual obligations
19 existing on the effective date of this constitution, all state money deposited in the
20 state treasury shall be credited to a special fund designated as the Bond Security and
21 Redemption Fund, except money received as the result of grants or donations or
22 other forms of assistance when the terms and conditions thereof or of agreements
23 pertaining thereto require otherwise.  In each fiscal year an amount is allocated from
24 the bond security and redemption fund sufficient to pay all obligations which that are
25 secured by the full faith and credit of the state and which become due and payable
26 within the current fiscal year, including principal, interest, premiums, sinking or
27 reserve fund, and other requirements.  Thereafter, except as otherwise provided by
28 law, money remaining in the fund shall be credited to the state general fund.  
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1	(C)  Exception.  Nothing in this Section shall apply to a levee district or
2 political subdivision unless the full faith and credit of the state is pledged to the
3 payment of the bonds of the levee district or political subdivision.  
4 §10. §14.  Expenditure of State Funds Revenue
5	Section 10. Section 14.(A)  Revenue Estimating Conference.  The Revenue
6 Estimating Conference shall be composed of four members:  the governor, or his
7 designee, the president of the senate, or his designee, the speaker of the house or his
8 designee, and a faculty member of a university or college in Louisiana who has
9 expertise in forecasting revenues.  Changes to the membership beyond the four
10 members shall be made by law enacted by a favorable vote of two-thirds of the
11 elected members of each house of the legislature.
12	(B)  Official Forecast.  The conference shall prepare and publish initial and
13 revised estimates of money to be received by the state general fund and dedicated
14 funds for the current and next fiscal years which are available for appropriation.  In
15 each estimate, the conference shall designate the money in the estimate which is
16 recurring and which is nonrecurring.  All conference decisions to adopt these
17 estimates shall be by unanimous vote of its members.  Changes to the unanimous
18 vote requirement shall be made by law enacted by a favorable vote of two-thirds of
19 the elected members of each house of the legislature.  The most recently adopted
20 estimate of money available for appropriation shall be the official forecast.
21	(C)  Expenditure Limit.  (1)  The legislature shall provide for the
22 determination of an expenditure limit for each fiscal year to be established during the
23 first quarter of the calendar year for the next fiscal year.  However, the expenditure
24 limit for the 1991-1992 Fiscal Year shall be the actual appropriations from the state
25 general fund and dedicated funds for that year except funds allocated by Article VII,
26 Section 4, Paragraphs (D) and (E).  For subsequent fiscal years, the limit shall not
27 exceed the expenditure limit for the current fiscal year plus an amount equal to that
28 limit times a positive growth factor.  The growth factor is the average annual
29 percentage rate of change of personal income for Louisiana as defined and reported
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1 by the United States Department of Commerce for the three calendar years prior to
2 the fiscal year for which the limit is calculated.  There shall be an expenditure limit
3 for each fiscal year.  The legislature by law shall establish a procedure to determine
4 the expenditure limit; however, such procedure shall prohibit an expenditure limit
5 for an ensuing fiscal year from exceeding one hundred and five percent of the
6 preceding year's limit. Once established, any change to the procedure to determine
7 the expenditure limit shall be made by law enacted by two-thirds of the elected
8 members of each house of the legislature.
9	(2)  The expenditure limit may be changed in any fiscal year by a favorable
10 vote of two-thirds of the elected members of each house.  Any such change in the
11 expenditure limit shall be approved by passage of a specific legislative instrument
12 which clearly states the intent to change the limit.
13	(3)  Beginning with the 1995-1996 Fiscal Year, the expenditure limit shall
14 be determined in accordance with the provisions of Paragraph (J) of this Section. 
15 The redetermination of the expenditure limit for each fiscal year from the 1991-1992
16 Fiscal Year through the 1994-1995 Fiscal Year shall only be used in computing the
17 expenditure limit for the 1995-1996 Fiscal Year and shall not affect the expenditure
18 limit already computed in accordance with this Paragraph for such fiscal years.
19	(4)  The provisions of this Paragraph shall not apply to or affect funds
20 allocated by Article VII, Section 4, Paragraphs (D) and (E) Section 8, Paragraphs (B)
21 and (C).
22	(D)  Appropriations.  (1)  Except as otherwise provided by this constitution,
23 money shall be drawn from the state treasury only pursuant to an appropriation made
24 in accordance with law.  Appropriations from the state general fund and dedicated
25 funds except funds allocated by Article VII, Section 4, Paragraphs (D) and (E)
26 Section 8, Paragraphs (B) and (C) shall not exceed the expenditure limit for the fiscal
27 year.
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1	(2)  Except as otherwise provided in this constitution, the appropriation or
2 allocation of any money designated in the official forecast as nonrecurring shall be
3 made only for the following purposes:
4	(a)  Retiring or for the defeasance of bonds in advance or in addition to the
5 existing amortization requirements of the state.
6	(b)(i)  Providing for payments against the unfunded accrued liability of the
7 public retirement systems which are in addition to any payments required for the
8 annual amortization of the unfunded accrued liability of the public retirement
9 systems, as required by Article X, Section 29(E)(2)(c) of this constitution; however,
10 any such payments to the public retirement systems shall not be used, directly or
11 indirectly, to fund cost-of-living increases for such systems.
12	(ii)  For Fiscal Year 2015-2016 through Fiscal Year 2023-2024, the
13 legislature shall appropriate no less than ten percent of any money designated in the
14 official forecast as nonrecurring to the Louisiana State Employees' Retirement
15 System and the Teachers' Retirement System of Louisiana for application to the
16 balance of the unfunded accrued liability of such systems existing as of June 30,
17 1988, in proportion to the balance of such unfunded accrued liability of each such
18 system.  Any such payments to the public retirement systems shall not be used,
19 directly or indirectly, to fund cost-of-living increases for such systems.
20	(iii)  For Fiscal Year 2024-2025 and each fiscal year thereafter, the The
21 legislature shall appropriate no less than twenty-five percent of any money
22 designated in the official forecast as nonrecurring to the state retirement systems for
23 application to their unfunded accrued liability.  Money appropriated pursuant to this
24 Item shall be applied by the receiving system to its outstanding positive amortization
25 bases in the order in which they were created, from oldest to newest.  The legislature
26 may provide by law for a formula to distribute the nonrecurring money between
27 those state retirement systems that have unfunded accrued liability.  If the legislature
28 has not provided by law for a distribution formula, nonrecurring money shall be
29 appropriated pursuant to this Item to each system in the proportion that the system's
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1 total unfunded accrued liability bears to the total of all state system unfunded
2 accrued liability, using the most recent system valuations adopted by the Public
3 Retirement Systems' Actuarial Committee or its successor.  Any payment to a state
4 retirement system made pursuant to the provisions of this Item shall not be used,
5 directly or indirectly, to fund cost-of-living increases for such system.
6	(c)  Providing funding for capital outlay projects in the comprehensive state
7 capital budget.
8	(d)  Providing Unless prohibited by the provisions of Article VII, Section 15
9 of this constitution, providing for allocation or appropriation for deposit into the
10 Budget Stabilization Fund established in Article VII, Section 10.3 15 of this
11 constitution.
12	(e)  Providing for allocation or appropriation for deposit into the Coastal
13 Protection and Restoration Fund established in Article VII, Section 10.2 17 of this
14 constitution.
15	(f)  Providing for new highway construction for which federal matching
16 funds are available, without excluding highway projects otherwise eligible as capital
17 projects under other provisions of this constitution.
18	(3)(a)  The legislature shall provide by law for the payment by the state of
19 supplements to the salaries of full-time local law enforcement and fire protection
20 officers of the state.  No law shall reduce any payments by the state provided as a
21 supplement to the salaries of full-time local law enforcement and fire protection
22 officers of the state.  Beginning with the fiscal year which begins July 1, 2003, the
23 The legislature shall appropriate funds sufficient to fully fund the cost of such state
24 supplement to the salaries of full-time law enforcement and fire protection officers.
25	(b)  For the purposes of this Subparagraph, local law enforcement and fire
26 protection officers shall mean and include the same classes of officers which are
27 eligible for such state salary supplements under the law as of July 1, 2003.
28	(c)  Full funding as required in Subsubparagraph (a) of this Subparagraph
29 shall be equal to the amount which is required to meet the requirements of law.
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1	(d)  Neither the governor nor the legislature may reduce an appropriation
2 made pursuant to this Subparagraph except that the governor may reduce such an
3 appropriation using means provided in the Act containing the appropriation,
4 provided that two-thirds of the elected members of each house of the legislature
5 consent to any such reduction in writing.
6	(E)  Balanced Budget.  Appropriations by the legislature from the state
7 general fund and dedicated funds for any fiscal year except funds allocated by
8 Article VII, Section 4, Paragraphs (D) and (E) Section 8, Paragraphs (B) and (C)
9 shall not exceed the official forecast in effect at the time the appropriations are made.
10	(F)  Projected Deficit.  (1)  The legislature by law shall establish a procedure
11 to determine if appropriations will exceed the official forecast and an adequate
12 method for adjusting appropriations in order to eliminate a projected deficit.  Any
13 law establishing a procedure to determine if appropriations will exceed the official
14 forecast and methods for adjusting appropriations, including any constitutionally
15 protected or mandated allocations or appropriations, once enacted, shall not be
16 changed except by specific legislative instrument which receives a favorable vote of
17 two-thirds of the elected members of each house of the legislature.  Notwithstanding
18 the provisions of Article III, Section 2 of this constitution, such law may be
19 introduced and considered in any regular session of the legislature.
20	(2)(a)  Notwithstanding any other provision of this constitution to the
21 contrary, adjustments to any constitutionally protected or mandated allocations or
22 appropriations, and transfer of monies associated with such adjustments, are
23 authorized when state general fund allocations or appropriations have been reduced
24 in an aggregate amount equal to at least seven-tenths of one percent of the total of
25 such allocations and appropriations for a fiscal year.  Such adjustments may not
26 exceed five percent of the total appropriation or allocation from a fund for the fiscal
27 year.  For purposes of this Subsubparagraph, reductions to expenditures required by
28 Article VIII, Section 13(B) of this constitution shall not exceed one percent and such
29 reductions shall not be applicable to instructional activities included within the
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1 meaning of instruction pursuant to the Minimum Foundation Program formula. 
2 Notwithstanding any other provisions of this constitution to the contrary, monies
3 transferred as a result of such budget adjustments are deemed available for
4 appropriation and expenditure in the year of the transfer from one fund to another,
5 but in no event shall the aggregate amount of any transfers exceed the amount of the
6 deficit.
7	(b)  Notwithstanding any other provision of this constitution to the contrary,
8 for the purposes of the budget estimate and enactment of the budget for the next
9 fiscal year, when the official forecast of recurring revenues for the next fiscal year
10 is at least one percent less than the official forecast for the current fiscal year, the
11 following procedure may be employed to avoid a budget deficit in the next fiscal
12 year.  An amount not to exceed five percent of the total appropriations or allocations
13 for the current fiscal year from any fund established by law or this constitution shall
14 be available for expenditure in the next fiscal year for a purpose other than as
15 specifically provided by law or this constitution.  For the purposes of this
16 Subsubparagraph, an amount not to exceed one percent of the current fiscal year
17 appropriation for expenditures required by Article VIII, Section 13(B) of this
18 constitution shall be available for expenditures for other purposes in the next fiscal
19 year.  Notwithstanding any other provisions of this constitution to the contrary,
20 monies made available as authorized under this Subsubparagraph may be transferred
21 to a fund for which revenues have been forecast to be less than the revenues in the
22 current fiscal year for such fund. Monies transferred as a result of the budget actions
23 authorized by this Subsubparagraph are deemed available for appropriation and
24 expenditure, but in no event shall the aggregate amount of any such transfers exceed
25 the amount of the difference between the official forecast for the current fiscal year
26 and the next fiscal year.
27	(c)  The legislature may provide by law for the implementation of the
28 provisions of this Subparagraph.
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1	(3)  If within thirty days of the determination that appropriations will exceed
2 the official forecast the necessary adjustments in appropriations are not made to
3 eliminate the projected deficit, the governor shall call a special session of the
4 legislature for this purpose unless the legislature is in regular session.  This special
5 session shall commence as soon as possible as allowed by the provisions of this
6 constitution, including but not limited to Article III, Section 2(B).
7	(4)  The provisions of Subparagraphs (1) and (2) of this Paragraph shall not
8 be applicable to, nor affect:
9	(a)  The Bond Security and Redemption Fund or any bonds secured thereby,
10 or any other funds pledged as security for bonds or other evidences of indebtedness.
11	(b)  The allocations provided for by Article VII, Section 4(D) and (E) Section
12 8, Paragraphs (B) and (C) of this constitution.
13	(c)  The contributions made in accordance with Article X, Section 29(E) of
14 this constitution.
15	(d)  The Louisiana Education Quality Trust Fund as defined in Article VII,
16 Section 10.1(A)(1) of this constitution.
17	(e)  The Millennium Trust as provided in Article VII, Section 10.8 20 of this
18 constitution, except for appropriations from the trust.
19	(f) (e)  Any monies not required to be deposited in the state treasury as
20 provided in Article VII, Section 9 13 of this constitution.
21	(g) (f) The Medicaid Trust Fund for the Elderly created under the provisions
22 of R.S. 46:2691 et seq.
23	(h)  The Revenue Stabilization Trust Fund, as provided in Article VII,
24 Section 10.15 of this constitution.
25	(i) (g) The Louisiana Unclaimed Property Permanent Trust Fund, as provided
26 in Article VII, Section 28 40 of this Constitution.
27	(G)  Year End Deficit.  If a deficit exists in any fund at the end of a fiscal
28 year, that deficit shall be eliminated no later than the end of the next fiscal year.
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1	(H)  Publication.  The legislature shall have published a regular statement of
2 receipts and expenditures of all state money at intervals of not more than one year.
3	(I)  Public Purpose.  No appropriation shall be made except for a public
4 purpose.
5	(J)  Definition of Funds.  For the purposes of this Article, the state general
6 fund and dedicated funds shall be all money required to be deposited in the state
7 treasury, except that money the origin of which is:
8	(1)  The federal government.
9	(2)  Self-generated collections by any entity subject to the policy and
10 management authority established by Article VIII, Sections 5 through 7.
11	(3)  A transfer from another state agency, board, or commission.
12	(4)  The provisions of this Paragraph shall not apply to or affect funds
13 allocated by Article VII, Section 4, Paragraphs (D) and (E) Section 8, Paragraphs (B)
14 and (C).
15 §15.  Budget Stabilization Fund
16	Section 15.(A)  There is hereby established in the state treasury a Budget
17 Stabilization Fund, hereafter referred to in this Section as the "fund".  After
18 compliance with the provisions of Article VII, Section 13(B) of this constitution
19 relative to the Bond Security and Redemption Fund, the treasurer shall make deposits
20 into the fund as follows:
21	(1)  All money available for appropriation from the state general fund and
22 dedicated funds in excess of the expenditure limit, except funds allocated by Article
23 VII, Section 8, Paragraphs (B) and (C) of this constitution.
24	(2)(a)  Beginning with Fiscal Year 2025-2026, fifteen percent of the
25 corporation income and franchise tax revenues received in each fiscal year as
26 recognized by the Revenue Estimating Conference and fifteen percent of mineral
27 revenues received each fiscal year by the state as a result of the production of
28 minerals, as provided by law.  If the total amount of deposits required pursuant to
29 this Subparagraph cannot be deposited due to the prohibitions provided for in
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1 Subparagraph (C)(5) of this Section, then the remaining monies shall be deposited
2 into the state general fund and incorporated into the official forecast as nonrecurring
3 revenues for use as provided in Article VII, Section 14(D)(2) of this constitution.
4	(b)  Except as otherwise provided in this Subparagraph, for purposes of this
5 Subparagraph, mineral revenues shall include severance taxes, royalty payments,
6 bonus payments, and rentals.  Mineral revenues shall not include:
7	(i)  Revenues designated as nonrecurring, pursuant to Article VII, Section 14
8 of this constitution.
9	(ii)  Revenues received by the state as a result of grants or donations when
10 the terms or conditions thereof require otherwise. 
11	(iii)  Revenues derived from any tax on the transportation of minerals.
12	(3)  Twenty-five percent of any money designated in the official forecast as
13 nonrecurring as provided in Article VII, Section 14(D)(2) of this constitution.
14	(4)  Any money appropriated or transferred to the fund by the legislature.
15	(5)  An amount equivalent to the money received by the state from the federal
16 government for the reimbursement of costs associated with a federally declared
17 disaster, not to exceed the amount of costs appropriated out of the fund for the same
18 disaster pursuant to Subparagraph (C)(3) of this Section.
19	(B)  Money in the fund shall be invested as provided by law.  Earnings
20 realized in each fiscal year on the investment of monies in the fund shall be
21 deposited to the credit of the fund.  All unexpended and unencumbered monies in the
22 fund at the end of the fiscal year shall remain in the fund.
23	(C)  The money in the fund shall not be available for appropriation or use
24 except under the following conditions:
25	(1)  If the official forecast of recurring money for the next fiscal year is less
26 than the official forecast of recurring money for the current fiscal year, the
27 difference, not to exceed one-third of the fund shall be incorporated into the next
28 year's official forecast only after the consent of two-thirds of the elected members
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1 of each house of the legislature is obtained.  If the legislature is not in session, the
2 two-thirds consent requirement shall be obtained by procedures provided by law.
3	(2)  If a deficit for the current fiscal year is projected due to a decrease in the
4 official forecast, an amount equal to one-third of the fund not to exceed the projected
5 deficit may be appropriated after the consent of two-thirds of the elected members
6 of each house of the legislature is obtained.  If the legislature is not in session, the
7 two-thirds consent requirement shall be obtained by procedures provided by law.
8	(3)  If there is a federally declared disaster in the state, up to one-third of the
9 fund, not to exceed the state costs associated with the disaster, may be appropriated
10 after the consent of two-thirds of the elected members of each house of the
11 legislature is obtained.  If the legislature is not in session, the two-thirds consent
12 requirement shall be obtained by procedures provided by law.
13	(4)  In no event shall the amount included in the official forecast for the next
14 fiscal year pursuant to Subparagraph (1) of this Paragraph, plus the amount
15 appropriated in the current fiscal year pursuant to Subparagraph (2) of this
16 Paragraph, plus the amount appropriated pursuant to Subparagraph (3) of this
17 Paragraph exceed one-third of the fund balance at the beginning of the current fiscal
18 year.
19	(5)  No appropriation or deposit to the fund shall be made if such
20 appropriation or deposit would cause the balance in the fund to exceed seven and
21 one-half percent of total state revenue receipts for the previous fiscal year.
22 §16.  Transportation Trust Fund
23	Section 16. (A) Creation of fund. There shall be established in the state
24 treasury as a special permanent trust fund the Transportation Trust Fund (“the trust
25 fund”) in which shall be deposited the “excess revenues” as defined herein which are
26 a portion of the avails received in each year from all taxes levied on gasoline and
27 motor fuels and on special fuels (said avails referred to as the “revenues”) as
28 provided herein. After satisfying pledges respecting that portion of the revenues
29 attributable to the tax rates in effect at the time of such pledges for the payment of
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1 obligations for bonds or other evidences of indebtedness on January 1, 1990, the
2 treasurer shall allocate such portion of the revenues received in each year as
3 necessary to pay all principal, interest, premium, if any, and other obligations
4 incident to the issuance, security, and payment in respect of bonds as authorized in
5 Paragraph (C) of this Section. Thereafter, the portion of the revenues remaining shall
6 be deposited in the Bond Security and Redemption Fund in the state treasury. After
7 (1) the payment of any obligations for bonds or other evidences of indebtedness in
8 existence on January 1, 1990, which are secured by revenues; (2) payments in
9 respect of bonds authorized in Paragraph (C) of this Section; and (3) credit to the
10 Bond Security and Redemption Fund, the treasurer shall deposit in and credit to the
11 trust fund all of the revenues remaining (the “excess revenues”) from the avails of
12 all taxes levied on gasoline and motor fuels and on special fuels. Purchases of
13 gasoline, diesel fuel, or special fuels which are subject to excise tax under Chapter
14 7 of Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950 shall be exempt
15 from the state sales tax and any sales tax levied by a political subdivision as defined
16 by Article VI, Section 44(2). All monies appropriated by the Federal Highway
17 Administration and the Federal Aviation Administration, or their successors, either
18 reimbursed or paid directly, shall be paid directly or deposited in and credited to the
19 trust fund.
20	(B)(1) Except as provided for in Subparagraph (2) of this Paragraph, the
21 monies in the trust fund shall be appropriated or dedicated solely and exclusively for
22 the costs for and associated with construction and maintenance of the roads and
23 bridges of the state and federal highway systems, the Statewide Flood-Control
24 Program or its successor, ports, airports, transit, and the Parish Transportation Fund
25 or its successor and for the payment of all principal, interest, premium, if any, and
26 other obligations incident to the issuance, security, and payment in respect of bonds
27 or other obligations payable from the trust fund as authorized in Paragraph (D) of
28 this Section. Unless pledged to the repayment of bonds authorized in Paragraphs (C)
29 or (D) of this Section, the monies in the trust fund allocated to ports, airports, flood
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1 control, parish transportation, and state highway construction shall be appropriated
2 annually by the legislature only pursuant to programs established by law which
3 establish a system of priorities for the expenditure of such monies, except that the
4 Transportation Infrastructure Model for Economic Development, which shall include
5 only those projects enumerated in House Bill 17 of the 1989 First Extraordinary
6 Session of the Legislature and US Highway 61 from Thompson Creek to the
7 Mississippi Line, in lieu of “US 61-Bains to Mississippi Line”, and US Highway 165
8 from I-10 to Alexandria to Monroe to Bastrop and thence on US Highway 425 from
9 Bastrop to the Arkansas Line, in lieu of “US 165-I-10 Alexandria-Monroe-Bastrop-
10 Arkansas Line” and LA 15-Natchez, Mississippi to Chase in lieu of “LA 15-Natchez,
11 Mississippi to Monroe”, shall be funded as provided by law. The state-generated tax
12 monies appropriated for ports, Parish Transportation Fund, or its successor, and the
13 Statewide Flood-Control Program, or its successor shall not exceed twenty percent
14 annually of the state-generated tax revenues in the trust fund; provided, however, that
15 no less than the avails of one cent of the excise tax on gasoline and special fuels shall
16 be appropriated each year to the Parish Transportation Fund, or its successor.
17 Beginning with the appropriation for Fiscal Year 2025-2026, the annual
18 appropriation for airports shall be a sum equal to, but not greater than, the annual
19 estimated revenue to be derived from the state taxes collected and received on
20 aviation fuel in the immediately preceding year. Unencumbered and unexpended
21 balances at the end of each fiscal year shall remain in the trust fund. The earnings
22 realized in each fiscal year on the investment of monies in the trust fund shall be
23 deposited in and credited to the trust fund.
24	(2) There is hereby established in the Transportation Trust Fund a special
25 subfund to be known as the “Construction Subfund”, hereinafter referred to as “the
26 subfund”. The monies in the subfund shall be appropriated and dedicated solely for
27 the direct costs associated with actual project delivery, construction, and
28 maintenance of transportation and capital transit infrastructure projects of the state
29 and local government. The monies in the subfund that are appropriated by the
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1 legislature to the Department of Transportation and Development, or its successor,
2 shall not be utilized by the department for the payment of employee wages and
3 related benefits or employee retirement benefits.
4	(C) The State Bond Commission or its successor, may issue and sell bonds,
5 notes, or other obligations (“Bonds”) secured by a pledge of a portion of the
6 revenues not to exceed the avails of four cents per gallon of the taxes on gasoline and
7 motor fuels and on special fuels received by the state treasurer. Bonds so issued may
8 also be secured by a pledge of all or a portion of excess revenues as additional
9 security therefor, and if so pledged any portion thereof needed to pay principal,
10 interest, or premium, if any, and other obligations incident to the issuance, security,
11 and payment in respect to Bonds may be expended by the treasurer without the need
12 for legislative appropriation. The Bonds may be issued in the manner set forth in this
13 Section to provide for the costs for and associated with construction and maintenance
14 of the roads and bridges of the state and federal highway systems, Statewide Flood-
15 Control Program, ports, airports, and for any other purpose for which monies in the
16 trust fund may be expended as provided by law. Such Bonds shall not be considered
17 to be debt under Article VII, Section 10 of this constitution, unless the provisions of
18 Article VII, Section 10, relative to incurring debt by the state are met, in which case
19 the full faith and credit of the state may also be pledged in addition to the revenues
20 received by the treasurer.
21	(D) The State Bond Commission or its successor may also issue and sell
22 bonds, notes, or other obligations secured by a pledge of the excess revenues
23 deposited in the trust fund, which shall otherwise be issued in the manner and for the
24 purposes provided for in this Section, and if so pledged any portion thereof needed
25 to pay principal, interest, or premium, if any, and other obligations incident to the
26 issuance, security, and payment in respect thereof may be expended by the treasurer
27 without the need for legislative appropriation.
28	(E) Bonds, notes, or other obligations issued pursuant to the provisions of
29 Paragraphs (C) or (D) of this Section may be issued in the manner provided by
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1 resolution of the State Bond Commission or its successor under the authority of said
2 Paragraphs without compliance with any other requirement of this constitution or
3 law. Paragraphs (C) and (D) of this Section shall be deemed self-operative.
4 §17.  Coastal Protection and Restoration Fund
5	Section 17.(A) There shall be established in the state treasury the Coastal
6 Protection and Restoration Fund to provide a dedicated, recurring source of revenues
7 for the development and implementation of a program to protect and restore
8 Louisiana’s coastal area.
9	(B) The money in the fund shall be invested as provided by law and any
10 earnings realized on investment of money in the fund shall be deposited in and
11 credited to the fund. Money from donations, transfers, appropriations, or dedications,
12 may be deposited in and credited to the fund. Any unexpended money remaining in
13 the fund at the end of the fiscal year shall be retained in the fund.
14	(C) The money in the fund may be appropriated for purposes consistent with
15 the Coastal Protection Plan developed by the Coastal Protection and Restoration
16 Authority or its successor. No appropriation shall be made from the fund inconsistent
17 with the purposes of the plan.
18	(D)(1) Subject to Article VII, Section 13(B) of this constitution, in each fiscal
19 year the federal revenues that are received by the state generated from Outer
20 Continental Shelf oil and gas activity and eligible, as provided by federal law, to be
21 used for the purposes of this Paragraph shall be deposited and credited by the
22 treasurer to the Coastal Protection and Restoration Fund.
23	(2) Federal revenues credited to the Coastal Protection and Restoration Fund
24 pursuant to this Paragraph shall be used only for the purposes of coastal protection,
25 including conservation, coastal restoration, hurricane protection, and infrastructure
26 directly impacted by coastal wetland losses.
27 §18.  Permanent Trust Funds
28	Section 18. (A) Funds created by the legislature and designated as permanent
29 trust funds shall be subject to the following restrictions:
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1	(1) Except as otherwise provided in this Section and in Article VII, Section
2 20 of this constitution, funds deposited into a permanent trust fund shall constitute
3 its principal and shall be held in trust permanently and invested by the state treasurer
4 as provided by law.
5	(2) Except as authorized in this constitution, no portion of the principle of a
6 permanent trust fund, except for investment purposes as authorized by law may be
7 removed.
8	(3) Interest and investment earnings from monies held in a permanent trust
9 shall not constitute any portion of the principle and may be dedicated as provided by
10 law.  Once enacted, any such dedication shall not be changed except  by a specific
11 legislative instrument passed by the favorable vote of two-thirds of the elected
12 members of each house of the legislature.
13	(B)  Each of the following shall be permanent trust funds:
14	(1)  The Millennium Trust.
15	(2)  The Louisiana Unclaimed Property Permanent Trust Fund.
16	(3)  Any other trust designated by law as a permanent trust fund.
17 §19. Program Funds
18	Section 19. (A)  The legislature may create and designate funds as program
19 funds.  Any amendment to or elimination of the revenues dedicated to the fund, the
20 purpose of the fund, or a directive to appropriate from the fund, once enacted, shall
21 be by a specific legislative instrument passed by the favorable vote of two-thirds of
22 the elected members of each house of the legislature.
23	(B) Each of the following funds shall be a program fund:
24	(1)  The Conservation Fund.
25	(2)  The Artificial Reef Development Fund.
26	(3)  The Oil Spill Contingency Fund.
27	(4)  The Oilfield Site Restoration Fund.
28	(5)  Any other fund designated by law as a program fund.
29 §10.1.  Quality Trust Fund; Education
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1	Section 10.1.(A)  Louisiana Education Quality Trust Fund.  (1) Effective
2 January 1, 1987, there shall be established in the state treasury as a special permanent
3 trust fund the Louisiana Education Quality Trust Fund, hereinafter referred to as the
4 "Permanent Trust Fund."  After allocation of money to the Bond Security and
5 Redemption Fund as provided in Article VII, Section 9(B) of this constitution, and
6 notwithstanding Article XIV, Section 10 of this constitution, the treasurer shall
7 deposit in and credit to the Permanent Trust Fund all money which is received after
8 the first one hundred million dollars from the federal government under Section
9 1337(g) of Title 43 of the United States Code which is attributable to mineral
10 production activity or leasing activity on the Outer Continental Shelf which has been
11 held in escrow pending a settlement between the United States and the state of
12 Louisiana; twenty-five percent of the recurring revenues received under Section
13 1337(g) of Title 43 of the United States Code which are attributable to mineral
14 production activity or leasing activity on the Outer Continental Shelf; twenty-five
15 percent of the interest income earned on investment of monies in the Permanent
16 Trust Fund; seventy-five percent of the realized capital gains on investment of the
17 Permanent Trust Fund, unless such percentage is changed by law enacted by two-
18 thirds of the elected members of each house of the legislature; and twenty-five
19 percent of the dividend income earned on investment of the Permanent Trust Fund. 
20 No appropriation shall be made from the Permanent Trust Fund.  If any such money
21 has been received prior to the effective date of this Section, the treasurer shall
22 transfer from the state general fund to the Permanent Trust Fund on the effective date
23 of this Section an amount of money which shall make the Permanent Trust Fund
24 balance equal to the amount of such money previously received, except for the first
25 one hundred million dollars.  After six hundred million dollars has been credited to
26 the Permanent Trust Fund, the sum of fifty million dollars shall be credited to the
27 Coastal Environment Protection Trust Fund, as established in R.S. 30:313, from
28 those monies received from the federal government under Section 1337(g) of Title
29 43 of the United States Code which is attributable to mineral production activity or
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1 leasing activity on the Outer Continental Shelf and which has been held in escrow
2 pending a settlement between the United States and the state of Louisiana; all funds
3 in excess of seven hundred fifty million dollars shall be credited to the Permanent
4 Trust Fund.
5	(2)  After allocation of money to the Bond Security and Redemption Fund as
6 provided in Article VII, Section 9(B) of the constitution, and notwithstanding Article
7 XIV, Section 10 of the constitution, seventy-five percent of the recurring revenues
8 received under Section 1337(g) of Title 43 of the United States Code which are
9 attributable to mineral production activity or leasing activity, and the percent
10 remaining of the realized capital gains and interest income and dividend income
11 earned on investment of the Permanent Trust Fund after the deposit required to the
12 Permanent Trust Fund in Paragraph A(1) of this Section shall be deposited and
13 credited to a special fund which is hereby created in the state treasury and which
14 shall be known as the Louisiana Quality Education Support Fund, hereinafter
15 referred to as the "Support Fund".
16	(3)  All recurring revenues and interest earnings shall be credited to the
17 respective funds as provided in Subparagraphs (1) and (2) above until the balance in
18 the Permanent Trust Fund equals two billion dollars.  After the Permanent Trust
19 Fund reaches a balance of two billion dollars, all interest earnings on the Permanent
20 Trust Fund shall be credited to the Support Fund and all recurring revenues shall be
21 credited to the State General Fund.
22	(B)  Investment.  The money credited to the Permanent Trust Fund pursuant
23 to Paragraph (A) of this Section shall be permanently credited to the Permanent Trust
24 Fund and shall be invested by the treasurer.  Notwithstanding any provision of this
25 constitution or other law to the contrary, a portion of money in the Permanent Trust
26 Fund, not to exceed thirty-five percent, may be invested in stock.  The legislature
27 shall provide for procedures for the investment of such monies by law.  The treasurer
28 shall contract, subject to the approval of the State Bond Commission, for the
29 management of such investments.  The amounts in the Support Fund shall be
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1 available for appropriation to pay expenses incurred in the investment and
2 management of the Permanent Trust Fund and for educational purposes only as
3 provided in Paragraphs (C) and (D) of this Section.
4	(C)  Reports; Allocation.  (1) The State Board of Elementary and Secondary
5 Education and the Board of Regents shall annually submit to the legislature and the
6 governor not less than sixty days prior to the beginning of each regular session of the
7 legislature a proposed program and budget for the expenditure of the monies in the
8 Support Fund.  Proposals for such expenditures shall be designed to improve the
9 quality of education and shall specifically designate those monies to be used for
10 administrative costs, as defined and authorized by law.
11	(2)  Except for appropriations to pay expenses incurred in the investment and
12 management of the Permanent Trust Fund, the legislature shall appropriate from the
13 Support Fund only for educational purposes provided in Paragraph (D) of this
14 Section and shall appropriate fifty percent of the available funds for higher
15 educational purposes and fifty percent for elementary and secondary educational
16 purposes.  Those monies to be used for administrative costs shall be expended for
17 such purposes only if so approved and appropriated by the legislature.
18	(3)  The legislature shall appropriate the total amount intended for higher
19 educational purposes to the Board of Regents and the total amount intended for
20 elementary and secondary educational purposes to the State Board of Elementary and
21 Secondary Education which boards shall allocate the monies so appropriated to the
22 programs as previously approved by the legislature.
23	(4)  The monies appropriated by the legislature and disbursed from the
24 Support Fund shall not displace, replace, or supplant appropriations from the general
25 fund for elementary and secondary education, including implementing the Minimum
26 Foundation Program, or displace, replace, or supplant funding for higher education. 
27 For elementary and secondary education and for higher education, this Paragraph
28 shall mean that no appropriation for any fiscal year from the Support Fund shall be
29 made for any purpose for which a general fund appropriation was made in the
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1 previous year unless the total appropriations for that fiscal year from the state general
2 fund for such purpose exceed general fund appropriations for the previous year.  This
3 Paragraph shall in no way limit general fund appropriations in excess of the
4 minimum amounts herein established.
5	(D)  Disbursement; Higher Education and Elementary and Secondary
6 Education.
7	(1)  The treasurer shall disburse not more than fifty percent of the monies in
8 the Support Fund as that money is appropriated by the legislature and allocated by
9 the Board of Regents for any or all of the following higher educational purposes to
10 enhance economic development:
11	(a)  The carefully defined research efforts of public and private universities
12 in Louisiana.
13	(b)  The endowment of chairs for eminent scholars.
14	(c)  The enhancement of the quality of academic, research, or agricultural
15 departments or units within a community college, college, or university.  These funds
16 shall not be used for athletic purposes or programs.
17	(d)  The recruitment of superior graduate students.
18	(2)  The treasurer shall disburse not more than fifty percent of the monies in
19 the Support Fund as that money is appropriated by the legislature and allocated by
20 the State Board of Elementary and Secondary Education for any or all of the
21 following elementary and secondary educational purposes:
22	(a)  To provide compensation to city or parish school board professional
23 instructional employees.
24	(b)  To insure an adequate supply of superior textbooks, library books,
25 equipment, and other instructional materials.
26	(c)  To fund exemplary programs in elementary and secondary schools
27 designed to improve elementary or secondary student academic achievement or
28 vocational-technical skill.
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1	(d)  To fund carefully defined research efforts, including pilot programs,
2 designed to improve elementary and secondary student academic achievement.
3	(e)  To fund school remediation programs and preschool programs.
4	(f)  To fund the teaching of foreign languages in elementary and secondary
5 schools.
6	(g)  To fund an adequate supply of teachers by providing scholarships or
7 stipends to prospective teachers in academic or vocational-technical areas where
8 there is a critical teacher shortage.
9 §10.2.  Coastal Protection and Restoration Fund
10	Section 10.2(A)  There shall be established in the state treasury the Coastal
11 Protection and Restoration Fund to provide a dedicated, recurring source of revenues
12 for the development and implementation of a program to protect and restore
13 Louisiana's coastal area.
14	Of revenues received in each fiscal year by the state as a result of the
15 production of or exploration for minerals, hereinafter referred to as mineral revenues
16 from severance taxes, royalty payments, bonus payments, or rentals, and excluding
17 such revenues received by the state as a result of grants or donations when the terms
18 or conditions thereof require otherwise, the treasurer shall make the following
19 allocations:
20	(1)  To the Bond Security and Redemption Fund as provided in Article VII,
21 Section 9(B) of this constitution.
22	(2)  To the political subdivisions of the state as provided in Article VII,
23 Sections 4(D) and (E) of this constitution.
24	(3)  As provided by the requirements of Article VII, Sections 10-A and 10.1
25 of this constitution.
26	(B)(1)  After making the allocations provided for in Paragraph (A), the
27 treasurer shall then deposit in and credit to the Coastal Protection and Restoration
28 Fund any amount of mineral revenues that may be necessary to insure that a total of
29 five million dollars is deposited into such fund for the fiscal year from this source;
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1 provided that the balance of the fund which consists of mineral revenues from
2 severance taxes, royalty payments, bonus payments, or rentals shall not exceed an
3 amount provided by law, but in no event shall the amount provided by law be less
4 than five hundred million dollars.
5	(2)  After making the allocations and deposits provided for in Paragraphs (A)
6 and (B)(1) of this Section, the treasurer shall deposit in and credit to the Coastal
7 Protection and Restoration Fund as follows:
8	(a)  Ten million dollars of the mineral revenues in excess of six hundred
9 million dollars which remain after the allocations provided for in Paragraph (A) are
10 made by the treasurer.
11	(b)  Ten million dollars of the mineral revenues in excess of six hundred fifty
12 million dollars which remain after the allocations provided in Paragraph (A) are
13 made by the treasurer.
14	However, the balance of the fund which consists of mineral revenues from
15 severance taxes, royalty payments, bonus payments, or rentals shall not exceed an
16 amount provided by law, but in no event shall the amount provided by law be less
17 than five hundred million dollars.
18	(C)  The money in the fund shall be invested as provided by law and any
19 earnings realized on investment of money in the fund shall be deposited in and
20 credited to the fund. Money from other sources, such as donations, appropriations,
21 or dedications, may be deposited in and credited to the fund; however, the balance
22 of the fund which consists of mineral revenues from severance taxes, royalty
23 payments, bonus payments, or rentals shall not exceed an amount provided by law,
24 but in no event shall the amount provided by law be less than five hundred million
25 dollars. Any unexpended money remaining in the fund at the end of the fiscal year
26 shall be retained in the fund.
27	(D)  The money in the fund may be appropriated for purposes consistent with
28 the Coastal Protection Plan developed by the Coastal Protection and Restoration
29 Authority, or its successor.
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1	No appropriation shall be made from the fund inconsistent with the purposes
2 of the plan.
3	(E)(1)  Subject to Article VII, Sections 9(B) and 10.1 of this Constitution, in
4 each fiscal year, the federal revenues that are received by the state generated from
5 Outer Continental Shelf oil and gas activity and eligible, as provided by federal law,
6 to be used for the purposes of this Paragraph shall be deposited and credited by the
7 treasurer to the Coastal Protection and Restoration Fund.
8	(2)  Federal revenues credited to the Coastal Protection and Restoration Fund
9 pursuant to this Paragraph shall be used only for the purposes of coastal protection,
10 including conservation, coastal restoration, hurricane protection, and infrastructure
11 directly impacted by coastal wetland losses.
12	(3)  The fund balance limitations provided for in Paragraph (B) of this
13 Section relative to the mineral revenues deposited to this fund shall not apply to
14 revenues deposited pursuant to the provisions of this Paragraph.
15	(F)(1)  Notwithstanding the provisions of Article VII, Section 10, Article VII,
16 Section 10.3, Article VII, Section 10.8, or any other provision of this constitution to
17 the contrary, if, after July 1, 2006, the state securitizes any portion of the revenues
18 received from the Master Settlement Agreement executed November 23, 1998, and
19 approved by Consent Decree and Final Judgment entered in the case "Richard P.
20 Ieyoub, Attorney General, ex rel. State of Louisiana v. Philip Morris, Incorporated,
21 et al.," bearing Number 98-6473 on the docket of the Fourteenth Judicial District for
22 the parish of Calcasieu, state of Louisiana, the treasurer shall transfer to the fund
23 established in Paragraph A of this Section twenty percent in the aggregate of the
24 revenues received as a result of the securitization occurring after July 1, 2006.
25	(2)  The legislature may appropriate up to twenty percent of the funds
26 deposited into the fund pursuant to Subparagraph (1) of this Paragraph to the Barrier
27 Island Stabilization and Preservation Fund to be used for purposes of the Louisiana
28 Coastal Wetlands Conservation and Restoration Program.
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1	(3)  The fund balance limitations provided for in Paragraph (B) of this
2 Section relative to the mineral revenues deposited to this fund shall not apply to
3 revenues deposited pursuant to the provisions of this Paragraph.
4 §10.3.  Budget Stabilization Fund
5	Section 10.3.(A) There is hereby established in the state treasury a Budget
6 Stabilization Fund hereinafter referred to as the fund. Money shall be deposited in
7 the fund as follows:
8	(1)  All money available for appropriation from the state general fund and
9 dedicated funds in excess of the expenditure limit, except funds allocated by Article
10 VII, Section 4, Paragraphs (D) and (E), shall be deposited in the fund.
11	(2)(a)  All revenues received in each fiscal year by the state in excess of
12 seven hundred fifty million dollars, hereinafter referred to as the base, as a result of
13 the production of or exploration for minerals, hereinafter referred to as mineral
14 revenues, including severance taxes, royalty payments, bonus payments, or rentals,
15 and excluding such revenues designated as nonrecurring pursuant to Article VII,
16 Section 10(B) of the constitution, any such revenues received by the state as a result
17 of grants or donations when the terms or conditions thereof require otherwise, and
18 revenues derived from any tax on the transportation of minerals, shall be deposited
19 in the fund after the following allocations of said mineral revenues have been made:
20	(i)  To the Bond Security and Redemption Fund as provided by Article VII,
21 Section 9 (B) of this constitution.
22	(ii)  To the political subdivisions of the state as provided in Article VII,
23 Sections 4 (D) and (E) of this constitution.
24	(iii)  As provided by the requirements of Article VII, Section 10-A and 10.1
25 of this constitution.
26	(b)  The base may be increased every ten years beginning in the year 2000
27 by a law enacted by two-thirds of the elected members of each house of the
28 legislature. Any such increase shall not exceed fifty percent in the aggregate of the
29 increase in the consumer price index for the immediately preceding ten years.
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1	(3)  Twenty-five percent of any money designated in the official forecast as
2 nonrecurring as provided in Article VII, Section 10(D)(2) of this constitution shall
3 be deposited in and credited to the fund.
4	(4)  Any money appropriated to the fund by the legislature including any
5 appropriation to the fund from money designated in the official forecast as provided
6 in Article VII, Section 10(D)(2) of this constitution shall be deposited in the fund.
7	(5)  An amount equivalent to the money received by the state from the federal
8 government for the reimbursement of costs associated with a federally declared
9 disaster, not to exceed the amount of costs appropriated out of the fund for the same
10 disaster pursuant to Subparagraph (C)(3) of this Section.
11	(B)  Money in the fund shall be invested as provided by law.  Earnings
12 realized in each fiscal year on the investment of monies in the fund shall be
13 deposited to the credit of the fund.  All unexpended and unencumbered monies in the
14 fund at the end of the fiscal year shall remain in the fund.
15	(C)  The money in the fund shall not be available for appropriation or use
16 except under the following conditions:
17	(1)  If the official forecast of recurring money for the next fiscal year is less
18 than the official forecast of recurring money for the current fiscal year, the
19 difference, not to exceed one-third of the fund shall be incorporated into the next
20 year's official forecast only after the consent of two-thirds of the elected members
21 of each house of the legislature.  If the legislature is not in session, the two-thirds
22 requirement may be satisfied upon obtaining the written consent of two-thirds of the
23 elected members of each house of the legislature in a manner provided by law.
24	(2)  If a deficit for the current fiscal year is projected due to a decrease in the
25 official forecast, an amount equal to one-third of the fund not to exceed the projected
26 deficit may be appropriated after the consent of two-thirds of the elected members
27 of each house of the legislature.  Between sessions of the legislature the
28 appropriation may be made only after the written consent of two-thirds of the elected
29 members of each house of the legislature.
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1	(3)  If there is a federally declared disaster in the state, up to one-third of the
2 fund, not to exceed the state costs associated with the disaster, may be appropriated
3 after the consent of two-thirds of the elected members of each house of the
4 legislature.  Between sessions of the legislature, the appropriation may be made only
5 with written consent of two-thirds of the elected members of each house of the
6 legislature.
7	(4)  In no event shall the amount included in the official forecast for the next
8 fiscal year pursuant to Subparagraph (1) of this Paragraph, plus the amount
9 appropriated in the current fiscal year pursuant to Subparagraph (2) of this
10 Paragraph, plus the amount appropriated pursuant to Subparagraph (3) of this
11 Paragraph exceed one-third of the fund balance at the beginning of the current fiscal
12 year.
13	(5)  No appropriation or deposit to the fund shall be made if such
14 appropriation or deposit would cause the balance in the fund to exceed four percent
15 of total state revenue receipts for the previous fiscal year.
16 §10.5.  Mineral Revenue Audit and Settlement Fund
17	Section 10.5.(A)  There shall be established in the state treasury the Mineral
18 Revenue Audit and Settlement Fund, hereinafter referred to as the "fund".  Of
19 revenues received in each fiscal year by the state through settlements or judgments
20 which equal, in both principal and interest, five million dollars or more for each such
21 settlement or judgment, resulting from underpayment to the state of severance taxes,
22 royalty payments, bonus payments, or rentals, the treasurer shall make the following
23 allocations as required:
24	(1)  To the Bond Security and Redemption Fund as provided in Article VII,
25 Section 9(B) of this constitution.
26	(2)  To the political subdivisions of the state as provided in Article VII,
27 Section 4(D) and (E) of this constitution.
28	(3)  As provided by the requirements of Article VII, Sections 10-A, 10.1,
29 10.2, and 10.3 of this constitution.
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1	(B)  After making the allocations provided for in Paragraph (A), the treasurer
2 shall then deposit in and credit to the Mineral Revenue Audit and Settlement Fund
3 any such remaining revenues.  Any revenues deposited in and credited to the fund
4 shall be considered mineral revenues from severance taxes, royalty payments, bonus
5 payments, or rentals for purposes of determining deposits and credits to be made in
6 and to the Coastal Protection and Restoration Fund as provided in Article VII,
7 Section 10.2 of this constitution.  Any revenues deposited in and credited to the fund
8 shall not be considered mineral revenues for purposes of the Budget Stabilization
9 Fund as provided in Article VII, Section 10.3 of this constitution. Money in the fund
10 shall be invested as provided by law.  The earnings realized in each fiscal year on the
11 investment of monies in the Mineral Revenue Audit and Settlement Fund shall be
12 deposited in and credited to the Mineral Revenue Audit and Settlement Fund.
13	(C)  After making the allocations provided for in Paragraph (A), the treasurer
14 shall credit thirty-five million dollars to the Coastal Protection and Restoration Fund,
15 and thereafter any monies credited to the fund in any fiscal year may be annually
16 appropriated by the legislature only for the purposes of retirement in advance of
17 maturity through redemption, purchase, or repayment of debt of the state, pursuant
18 to a plan proposed by the State Bond Commission to maximize the savings to the
19 state; for payments against the unfunded accrued liability of the public retirement
20 systems which are in addition to any payments required for the annual amortization
21 of the unfunded accrued liability of the public retirement systems, required by
22 Article X, Section 29 of this constitution; however, any such payment to the public
23 retirement systems shall not be used, directly or indirectly, to fund cost-of-living
24 increases for such systems; and for deposit in the Coastal Protection and Restoration
25 Fund.
26 §10.6.  Oilfield Site Restoration Fund
27	Section 10.6.(A)  Oilfield Site Restoration Fund.  Effective January 4, 1996,
28 there shall be established in the state treasury, as a special fund, the Oilfield Site
29 Restoration Fund, hereinafter referred to as the restoration fund.  Out of the funds
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1 remaining in the Bond Security and Redemption Fund after a sufficient amount is
2 allocated from that fund to pay all obligations secured by the full faith and credit of
3 the state which become due and payable within any fiscal year as required by Article
4 VII, Section 9(B) of this constitution, the treasurer shall pay into the restoration fund
5 all of the following:
6	(1)  All revenue from the types and classes of fees, penalties, other revenues,
7 or judgments associated with site cleanup activities paid into the restoration fund as
8 provided by law on the effective date of this Section.  Such revenue shall be
9 deposited in the restoration fund even if the names of such fees, other revenues, or
10 penalties are changed.
11	Any increase in the amount charged for such fees, penalties, other revenues,
12 or judgments associated with site cleanup activities enacted by the legislature after
13 the effective date of this Section, for the purpose of orphaned oilfield site restoration
14 shall be irrevocably dedicated and deposited in the restoration fund.
15	(2)  The balance remaining on January 4, 1996 in the Oilfield Site Restoration
16 Fund established by law.
17	(3)  All funds or revenues which may be donated expressly to the restoration
18 fund.
19	(4)  All site-specific trust account funds established by law.
20	(B)  The monies in the restoration fund shall be appropriated by the
21 legislature to the Department of Natural Resources, or its successor, and shall be
22 used solely for the programs and purposes of oilfield site restoration as required by
23 law.
24	(C)  All unexpended and unencumbered monies in the restoration fund at the
25 end of the fiscal year shall remain in the fund.  The monies in the fund shall be
26 invested by the treasurer in the manner provided by law.  All interest earned on
27 monies invested by the treasurer shall be deposited in the fund.  The treasurer shall
28 prepare and submit to the department on a quarterly basis a printed report showing
29 the amount of money contained in the fund from all sources.
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1	(D)  The provisions of this Section shall not apply to or affect funds allocated
2 by Article VII, Section 4, Paragraphs (D) and (E).
3 §10.7.  Oil Spill Contingency Fund
4	Section 10.7.(A)  Oil Spill Contingency Fund.  Effective January 4, 1996,
5 there shall be established in the state treasury, as a special fund, the Oil Spill
6 Contingency Fund, hereinafter referred to as the contingency fund.  Out of the funds
7 remaining in the Bond Security and Redemption Fund after a sufficient amount is
8 allocated from that fund to pay all obligations secured by the full faith and credit of
9 the state which become due and payable within any fiscal year as required by Article
10 VII, Section 9(B) of this constitution, the treasurer shall pay into the contingency
11 fund all of the following, on the effective date of this Section:
12	(1)  All revenue from the types and classes of fees, taxes, penalties,
13 judgments, reimbursements, charges, and federal funds collected or other revenue
14 paid into the contingency fund as provided by law on the effective date of this
15 Section.  Such revenue shall be deposited in the contingency fund even if the names
16 of such fees, taxes, penalties, judgments, reimbursements, charges, and federal funds
17 collected or other revenues are changed.
18	Any increase in the amount charged for such fees,  taxes, penalties,
19 judgments, reimbursements, charges, and federal funds collected  or other revenue, 
20 or any new fees,  taxes, penalties, judgments, reimbursements, charges, and federal
21 funds collected  or other revenue enacted by the legislature for the purposes of
22 abatement and containment of actual or threatened unauthorized discharges of oil
23 after the effective date of this Section, shall be irrevocably dedicated and deposited
24 in the contingency fund.
25	(2)  The balance remaining on January 4, 1996 in the Oil Spill Contingency
26 Fund established by law.
27	(3)  All funds or revenues which may be donated expressly to the
28 contingency fund.
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1	(B)  The monies in the contingency fund shall be appropriated by the
2 legislature to be used solely for the programs and purposes of abatement and
3 containment of actual or threatened unauthorized discharges of oil as provided by
4 law; and for administrative expenses associated with such programs and purposes as
5 provided by law.
6	(C)  All unexpended and unencumbered monies in the contingency fund at
7 the end of the fiscal year shall remain in the fund.  The monies in the fund shall be
8 invested by the treasurer in the manner provided by law.  All interest earned on
9 monies invested by the treasurer shall be deposited in the fund. The balance of the
10 fund shall not exceed thirty million dollars or otherwise as provided by law.
11	(D)  The provisions of this Section shall not apply to or affect funds allocated
12 by Article VII, Section 4, Paragraphs (D) and (E).
13 §10.8. Section 20.  Millennium Trust
14	Section 10.8. §20.  Millennium Trust
15	(A)  Creation
16	(1)  There shall be established in the state treasury as a special permanent
17 trust known as the "Millennium Trust".  After allocation of money to the Bond
18 Security and Redemption Fund as provided in Article VII, Section 9(B) Section
19 13(B) of this constitution, the treasurer shall deposit in and credit to the Millennium
20 Trust certain monies received as a result of the Master Settlement Agreement,
21 hereinafter the "Settlement Agreement", executed November 23, 1998, and approved
22 by Consent Decree and Final Judgment entered in the case "Richard P. Ieyoub,
23 Attorney General, ex rel. State of Louisiana v. Philip Morris, Incorporated, et al.",
24 bearing Number 98-6473 on the docket of the Fourteenth Judicial District for the
25 parish of Calcasieu, state of Louisiana; and all dividend and interest income and all
26 realized capital gains on investment of the monies in the Millennium Trust.
27 Louisiana. The treasurer shall deposit in and credit to the Millennium Trust the
28 following amounts of monies received as a result of the Settlement Agreement:
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1	(a)  Fiscal Year 2000-2001, forty-five percent of the total monies received
2 that year.
3	(b)  Fiscal Year 2001-2002, sixty percent of the total monies received that
4 year.
5	(c)  Fiscal Year 2002-2003 and each fiscal year thereafter, seventy-five
6 percent of the total monies received that year. each fiscal year  However, beginning
7 in Fiscal Year 2011-2012 after the balance in the Millennium Trust reaches a total
8 of one billion three hundred eighty million dollars, the monies deposited in and
9 credited to the Millennium Trust, received as a result of the Settlement Agreement,
10 which shall be allocated to the various funds TOPS Fund within the Millennium
11 Trust as provided in Subsubparagraphs (2)(b), (3)(b), and (4)(b) and (c) of this
12 Paragraph. Trust.
13	(d)  For Fiscal Year 2000-2001, Fiscal Year 2001-2002, and Fiscal Year
14 2002-2003, ten percent of the total monies received in each of those years for credit
15 to the Education Excellence Fund which, notwithstanding the provisions of
16 Subparagraph (C)(1) of this Section, shall be appropriated for the purposes provided
17 in Subsubparagraph (d) of Subparagraph (3) of Paragraph (C) of this Section.
18	(2)(a)  The Health Excellence Fund shall be established as a special fund
19 within the Millennium Trust. Funding for the Health Excellence Fund shall be
20 provided by law.  The treasurer shall credit to the Health Excellence Fund one-third
21 of the Settlement Agreement proceeds deposited each year into the Millennium
22 Trust, and one-third of all investment earnings on the investment of the Millennium
23 Trust. The treasurer shall report annually to the legislature as to the amount of
24 Millennium Trust investment earnings credited to the Health Excellence Fund.
25	(b)  Beginning Fiscal Year 2011-2012, and each fiscal year thereafter, the
26 treasurer shall credit to the Health Excellence Fund one-third of all investment
27 earnings on the investment of the Millennium Trust. The treasurer shall report
28 annually to the legislature as to the amount of Millennium Trust investment earnings
29 credited to the Health Excellence Fund.
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1	(c)  Beginning on July 1, 2012, after allocation of money to the Bond
2 Security and Redemption Fund as provided in Article VII, Section 9(B) of this
3 constitution, the state treasurer shall deposit in and credit to the Health Excellence
4 Fund an amount equal to the revenues derived from the tax levied pursuant to R.S.
5 47:841(B)(3).
6	(3)(a)  The Education Excellence Fund shall be established as a special fund
7 within the Millennium Trust. The treasurer shall credit to the Education Excellence
8 Fund one-third of the Settlement Agreement proceeds deposited each year into the
9 Millennium Trust, and one-third of all investment earnings on the investment of the
10 Millennium Trust. The treasurer shall report annually to the legislature and the state
11 superintendent of education as to the amount of Millennium Trust investment
12 earnings credited to the Education Excellence Fund.
13	(b)  Beginning Fiscal Year 2011-2012, and each fiscal year thereafter, the
14 treasurer shall credit to the Education Excellence Fund one-third of all investment
15 earnings on the investment of the Millennium Trust. The treasurer shall report
16 annually to the legislature and the state superintendent of education as to the amount
17 of Millennium Trust investment earnings credited to the Education Excellence Fund.
18	(4)(a)  The TOPS Fund shall be established as a special fund within the
19 Millennium Trust.  In addition to the deposits required pursuant to the provisions of
20 Subparagraph (A)(1) of this Section, additional amounts may be deposited into the
21 fund as provided by law.  Settlement Agreement proceeds allocated to the TOPS
22 Fund each year shall not constitute trust principle for purposes of Section 18 of this
23 Article and may be appropriated as provided by law.  The treasurer shall deposit in
24 and credit to the TOPS Fund one-third of the Settlement Agreement proceeds
25 deposited into the Millennium Trust, and one-third of all investment earnings on the
26 investment of the Millennium Trust. The treasurer shall report annually to the
27 legislature as to the amount of Millennium Trust investment earnings credited to the
28 TOPS Fund.
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1	(b)  Beginning Fiscal Year 2011-2012, and each fiscal year thereafter, the 
2 treasurer shall credit to the TOPS Fund one hundred percent of the Settlement
3 Agreement proceeds deposited into the Millennium Trust, and one-third of all
4 investment earnings on the investment of the Millennium Trust.  The treasurer shall
5 report annually to the legislature as to the amount of Millennium Trust Settlement
6 Agreement proceeds and investment earnings credited to the TOPS Fund.
7	(c)  Upon the effective date of this Subsubparagraph, the state treasurer shall
8 deposit, transfer, or otherwise credit funds in an amount equal to such Settlement
9 Agreement proceeds deposited in and credited to the Millennium Trust received by
10 the state between April 1, 2011 and the effective date of this Subsubparagraph to the
11 TOPS Fund.
12	(5) (4)  The amount of Settlement Agreement revenues deposited in the
13 Millennium Trust and credited to the respective funds may be increased and the
14 amount of such revenues deposited into the Louisiana Fund may be decreased by a
15 specific legislative instrument which receives a favorable vote of two-thirds of the
16 elected members of each house of the legislature.
17	(B)  Investment.  Monies credited to the Millennium Trust pursuant to
18 Paragraph (A) of this Section shall be invested by the treasurer with the same
19 authority and subject to the same restrictions as the Louisiana Education Quality
20 Trust Fund.  However, the portion of  monies in the Millennium Trust which may be
21 invested in stock may be increased to no more than fifty percent by a specific
22 legislative instrument which receives a favorable vote of two-thirds of the elected
23 members of each house of the legislature.  The legislature shall provide for
24 procedures for the investment of such monies by law.  The treasurer may contract,
25 subject to the approval of the State Bond Commission, for the management of such
26 investments and, if a contract is entered into, amounts necessary to pay the costs of
27 the contract shall be appropriated from the Millennium Trust.
28	(C) Appropriations. (1)(a) Appropriations from the Education Excellence
29 Fund shall be limited to an annual amount not to exceed the estimated aggregate
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1 annual earnings from interest, dividends, and realized capital gains on investment of
2 the trust allocated as provided by Paragraph (A) of this Section and as recognized by
3 the Revenue Estimating Conference. Amounts determined to be available for
4 appropriation shall be those aggregate investment earnings which are in excess of an
5 inflation factor as determined by the Revenue Estimating Conference. The amount
6 of realized capital gains on investment which may be included in the aggregate
7 earnings available for appropriation in any year shall not exceed the aggregate of
8 earnings from interest and dividends for that year.
9	(b)(i)  For Fiscal Year 2011-2012, appropriations from the Health Excellence
10 Fund shall be limited to an annual amount not to exceed the estimated aggregate
11 annual earnings from interest, dividends, and realized capital gains on investment of
12 the trust and credited to the Health Excellence Fund as provided by Subsubparagraph
13 (A)(2)(b) of this Section and as recognized by the Revenue Estimating Conference.
14	(ii)  For Fiscal Year 2012-2013, and each fiscal year thereafter,
15 appropriations from the Health Excellence Fund shall be limited to an annual amount
16 not to exceed the estimated aggregate annual earnings from interest, dividends, and
17 realized capital gains on investment of the trust and credited to the Health Excellence
18 Fund as provided by Subsubparagraph (A)(2)(b) of this Section and as recognized
19 by the Revenue Estimating Conference and the amount of proceeds credited to and
20 deposited into the Health Excellence Fund as provided by Subsubparagraph (A)(2)(c)
21 of this Section.
22	(c)(i)  For Fiscal Year 2011-2012, appropriations from the TOPS Fund shall
23 be limited to the amount of Settlement Agreement proceeds credited to and deposited
24 into the TOPS Fund as provided by Subsubparagraphs (A)(4)(b) and (c) of this
25 Section, and an annual amount not to exceed the estimated aggregate annual earnings
26 from interest, dividends, and realized capital gains on investment of the trust and
27 credited to the TOPS Fund as provided by Subsubparagraph (A)(4)(b) of this Section
28 and as recognized by the Revenue Estimating Conference.
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1	(ii)  For Fiscal Year 2012-2013, and each fiscal year thereafter,
2 appropriations from the TOPS Fund shall be limited to the amount of annual
3 Settlement Agreement proceeds credited to and deposited into the TOPS Fund as
4 provided in Subsubparagraph (A)(4)(b) of this Section, and an annual amount not to
5 exceed the estimated aggregate annual earnings from interest, dividends, and realized
6 capital gains on investment of the trust and credited to the TOPS Fund as provided
7 in Subsubparagraph (A)(4)(b) of this Section and as recognized by the Revenue
8 Estimating Conference.
9	(iii)  Further, for Fiscal Year 2011-2012, and each fiscal year thereafter,
10 amounts determined to be available for appropriation from the TOPS Fund from
11 interest earnings shall be those aggregate investment earnings which are in excess
12 of an inflation factor as determined by the Revenue Estimating Conference. The
13 amount of realized capital gains on investment which may be included in the
14 aggregate earnings available for appropriation in any year shall not exceed the
15 aggregate of earnings from interest and dividends for that year.
16	(2) Appropriations from the Health Excellence Fund shall be restricted to the
17 following purposes:
18	(a)  Initiatives to ensure the optimal development of Louisiana's children
19 through the provision of appropriate health care, including children's health
20 insurance, services provided by school-based health clinics, rural health clinics, and
21 primary care clinics, and early childhood intervention programs targeting children
22 from birth through age four including programs to reduce infant mortality.
23	(b)  Initiatives to benefit the citizens of Louisiana with respect to health care
24 through pursuit of innovation in advanced health care sciences, and the provision of
25 comprehensive chronic disease management services.
26	(c)  Each appropriation from the Health Excellence Fund shall include
27 performance expectations to ensure accountability in the expenditure of such monies.
28	(3)  Appropriations from the Education Excellence Fund shall be limited as
29 follows:
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1	(a)  Fifteen percent of monies available for appropriation in any fiscal year
2 from the Education Excellence Fund shall be appropriated to the state superintendent
3 of education for distribution on behalf of all children attending private elementary
4 and secondary schools that have been approved by the State Board of Elementary
5 and Secondary Education, both academically and as required for such school to
6 receive money from the state.
7	(b)  Appropriations shall be made each year to the Louisiana Educational
8 Television Authority in the amount of seventy-five thousand dollars and to the
9 Louisiana School for the Deaf, the Louisiana School for the Visually Impaired, the
10 Louisiana Special Education Center in Alexandria, the Jimmy D. Long, Sr. Louisiana
11 School for Math, Science, and the Arts, the New Orleans Center for Creative Arts,
12 the Louis Armstrong High School for the Arts, and Thrive Academy, after such
13 schools are operational, to provide for a payment to each school of seventy-five
14 thousand dollars plus an allocation for each pupil equal to the average statewide per
15 pupil amount provided each city, parish, and local school system pursuant to 
16 Subsubparagraph (e) of this Subparagraph.
17	(c)  Appropriations may be made for independent public schools approved
18 by the State Board of Elementary and Secondary Education or any city, parish, or
19 other local school system, laboratory schools approved by the State Board of
20 Elementary and Secondary Education and operated by a public postsecondary
21 education institution, and for alternative schools and programs which are authorized
22 and approved by the State Board of Elementary and Secondary Education but are not
23 subject to the jurisdiction and management of any city, parish, or local school system
24 to provide for an allocation for each pupil, which shall be the average statewide per
25 pupil amount provided in each city, parish, or local school system pursuant to
26 Subsubparagraph (e) of this Subparagraph.
27	(e)  Beginning Fiscal Year 2007-2008 and for each fiscal year thereafter, of
28 the monies available for appropriation after providing for the purposes enumerated
29 in Subsubparagraphs (a), (b), and (c) of this Subparagraph, one hundred percent of
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1 the monies available for appropriation in any fiscal year shall be appropriated for
2 each city, parish, and other local school system on a pro rata basis which is based on
3 the ratio of the student population of that school or school system to that of the total
4 state student population as contained in the most recent Minimum Foundation
5 Program.
6	(f)  Monies appropriated pursuant to this Subparagraph shall be restricted to
7 expenditure for pre-kindergarten through twelfth grade instructional enhancement
8 for students, including early childhood education programs focused on enhancing the
9 preparation of at-risk children for school, remedial instruction, and assistance to
10 children who fail to achieve the required scores on any tests passage of which are
11 required pursuant to state law or rule for advancement to a succeeding grade or other
12 educational programs approved by the legislature.  Expenditures for maintenance or
13 renovation of buildings, capital improvements, and increases in employee salaries
14 are prohibited.  The state superintendent of education shall be responsible for
15 allocating all money due private schools.
16	(g)  Each recipient entity shall annually prepare and submit to the state
17 Department of Education, hereinafter the "department", a prioritized plan for
18 expenditure of funds it expects to receive in the coming year from the Education
19 Excellence Fund.  The plan shall include performance expectations to ensure
20 accountability in the expenditure of such monies.  The department shall review such
21 plans for compliance with the requirements of this Subparagraph and to assure that
22 the expenditure plans will support excellence in educational practice.   No funds may
23 be distributed to a recipient entity until its plan has received both legislative and
24 departmental approval as provided by law.
25	(h)  No amount appropriated as required in this Paragraph shall displace,
26 replace, or supplant appropriations from the general fund for elementary and
27 secondary education, including implementing the Minimum Foundation Program. 
28 This Subsubparagraph shall mean that no appropriation for any fiscal year from the
29 Education Excellence Fund shall be made for any purpose for which a general fund
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1 appropriation was made in the previous year unless the total appropriations for the
2 fiscal year from the state general fund for such purpose exceed general fund
3 appropriations of the previous year.  Nor shall any money allocated to a city or parish
4 school board pursuant to this Paragraph displace, replace, or supplant locally
5 generated revenue, which means that no allocation to any city or parish school board
6 from the investment earnings attributable to the Education Excellence Fund shall be
7 expended for any purpose for which a local revenue source was expended for that
8 purpose for the previous year unless the total of the local revenue amount expended
9 that fiscal year exceeds the total of such local revenue amounts for the previous
10 fiscal year.
11	(i)  The treasurer shall maintain within the state treasury a record of the
12 amounts appropriated and credited for each entity through appropriations authorized
13 in this Subparagraph and which remain in the state treasury.  Notwithstanding any
14 other provisions of this constitution to the contrary, such amounts, and investment
15 earnings attributable to such amounts, shall remain to the credit of each recipient
16 entity at the close of each fiscal year.
17	(4) (2)  Appropriations from the TOPS Fund shall be restricted to support of
18 state programs for financial assistance for students attending Louisiana institutions
19 of postsecondary education.
20 §10.9.  Louisiana Fund
21	Section 10.9.  Louisiana Fund
22	(A)  The Louisiana Fund is established in the state treasury as a special fund. 
23 After allocation of money to the Bond Security and Redemption Fund as provided
24 in Article VII, Section 9(B) of this constitution, the treasurer shall deposit in and
25 credit to the Louisiana Fund all remaining monies received as a result of the
26 Settlement Agreement after deposits into the Millennium Trust as provided in
27 Section 10.8 of this Article, and all interest income on the investment of monies in
28 the Louisiana Fund.  Monies in the Louisiana Fund shall be invested by the treasurer
29 in the same manner as the state general fund.
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1	(B)  Appropriations from the Louisiana Fund shall be restricted to the
2 following purposes:
3	(1)  Initiatives to ensure the optimal development of Louisiana's children
4 through enhancement of educational opportunities and the provision of appropriate
5 health care, which shall include but not be limited to:
6	(a)  Early childhood intervention programs targeting children from birth
7 through age four, including programs to reduce infant mortality.
8	(b)  Support of state programs for children's health insurance.
9	(c)  School-based health clinics, rural health clinics, and primary care clinics.
10	(2)  Initiatives to benefit the citizens of Louisiana with respect to health care
11 through pursuit of innovation in advanced health care sciences, provision of
12 comprehensive chronic disease management services, and expenditures for capital
13 improvements for state health care facilities.
14	(3)  Provision of direct health care services for tobacco-related illnesses.
15	(4)  Initiatives to diminish tobacco-related injury and death to Louisiana's
16 citizens through educational efforts, cessation assistance services, promotion of a
17 tobacco-free lifestyle, and enforcement of the requirements of the Settlement
18 Agreement by the attorney general.
19	(C)  Each appropriation from the Louisiana Fund shall include performance
20 expectations to ensure accountability in the expenditure of such monies.  Any
21 unexpended and unencumbered monies in each fund at the end of a fiscal year shall
22 remain in the respective fund.
23 §10.11.  Artificial Reef Development Fund
24	(A)  Artificial Reef Development Fund. There shall be established in the state
25 treasury, as a special fund, the Artificial Reef Development Fund. Out of the funds
26 remaining in the Bond Security and Redemption Fund after a sufficient amount is
27 allocated from that fund to pay all obligations secured by the full faith and credit of
28 the state that become due and payable within any fiscal year as required by Article
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1 VII, Section 9(B) of this constitution, the treasurer shall pay into the Artificial Reef
2 Development Fund the monies received as provided in Paragraph (B) of this Section.
3	(B)  The secretary of the Department of Wildlife and Fisheries is authorized
4 to accept and receive grants, donations of monies, and other forms of assistance from
5 private and public sources that are provided to the state for the purpose of siting,
6 designing, constructing, permitting, monitoring, and otherwise managing an artificial
7 reef system.
8	(C)  The monies in the Artificial Reef Development Fund shall be
9 appropriated by the legislature to the Department of Wildlife and Fisheries, or its
10 successor, and shall be allocated solely for the following:
11	(1)  For the programs and purposes of siting, designing, constructing,
12 permitting, monitoring, and otherwise managing an artificial reef system.
13	(2)  For the salaries of personnel assigned to the Artificial Reef Development
14 Program and for related operating expenses.
15	(3)  An amount not to exceed ten percent of the monies deposited to the fund
16 each year and ten percent of the interest income credited to the fund each year may
17 be used by the department to provide funding in association with the wild seafood
18 certification program, particularly in support of wild-caught shrimp, established by
19 the department. Such funding may be used for a subsidy granted to seafood
20 harvesters or processors to assist in their efforts to comply with the certification
21 program requirements and may be used for administration of the program.
22	(4)  An amount not to exceed ten percent of the funds deposited to the fund
23 each year and ten percent of the interest income credited to the fund each year may
24 be used by the department to provide funding for inshore fisheries habitat
25 enhancement projects, particularly in support of the Artificial Reef Development
26 Program established by the department. Such funding may be used for grants to
27 nonprofit conservation organizations working in cooperation with the department.
28	(D)  All unexpended and unencumbered monies in the Artificial Reef
29 Development Fund at the end of the fiscal year shall remain in the fund. The monies
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1 in the fund shall be invested by the treasurer in the manner provided by law. All
2 interest earned on monies invested by the treasurer shall be deposited in the fund.
3 The treasurer shall prepare and submit to the department on a quarterly basis a
4 written report showing the amount of money contained in the fund from all sources.
5 §10.12.  Farmers and fishermen assistance programs; Agricultural and Seafood
6	Products Support Fund
7	(A)  The legislature is authorized to provide by law for programs to assist
8 Louisiana farmers and fishermen with support and expansion of their industries.
9 §10.13. §21.  Hospital stabilization formula and assessment; Hospital Stabilization
10	Fund
11	(A)  Hospital Stabilization Formula.  (1)  The legislature may annually adopt
12 a Hospital Stabilization Formula, hereafter referred to in this Section as "the
13 formula", by concurrent resolution by a favorable vote of a majority of the elected
14 members of each house.  Such resolution shall be referred to the standing committees
15 of the legislature that hear the general appropriation bill.  The formula shall, to the
16 maximum extent possible, enhance the economic viability of Louisiana hospitals and
17 reduce shifting the cost of caring for Louisiana's needy residents to the state's insured
18 residents.
19	(2)(a)  The first formula established pursuant to Subparagraph (1) of this
20 Paragraph, which shall require a favorable vote of two-thirds of the elected members
21 of each house for adoption, shall define and establish as the base reimbursement
22 level under the Louisiana medical assistance program provided for in Title XIX of
23 the Social Security Act, hereafter referred to as the "Medicaid Program", to hospitals
24 for inpatient and outpatient services in Fiscal Year 2012-2013.  The formula shall
25 also provide for the preservation and protection of rural hospitals as provided for by
26 law.  Each formula established thereafter may apply a rate of inflation, which shall
27 not be a negative rate, to the base reimbursement level from the previous formula
28 adopted by the legislature.
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1	(b)  Each formula shall also include and establish assessments to be paid by
2 hospitals and the basis on which such assessments shall be calculated, provided the
3 amount of the assessments does not exceed the nonfederal share of the
4 reimbursement enhancements.
5	(c)  Each formula shall also establish reimbursement enhancements under the
6 Medicaid Program, or its successor, achieving the maximum reimbursement by
7 federal law and resulting in distributing such reimbursement enhancements
8 exclusively among hospitals for hospital services.  Reimbursement enhancements
9 may also be distributed for uninsured services delivered.
10	(d)  Each formula shall also include any additional provisions necessary to
11 the implementation of the formula.  Neither the assessments nor the reimbursement
12 enhancements established in the formula adopted by the legislature shall be
13 implemented until each has been approved by the federal authority which
14 administers the Medicaid Program.
15	(3)  The base reimbursement level resulting from the formula shall not be
16 paid from the Hospital Stabilization Fund.
17	(4)  No additional assessment shall be collected and any assessment shall be
18 terminated for the remainder of the fiscal year from the date on which any of the
19 following occur:
20	(a)  The legislature fails to adopt a formula for the subsequent fiscal year.
21	(b)  The Louisiana Department of Health, or its successor or contractors,
22 reduces or does not pay reimbursement enhancements established in the current
23 formula as adopted by the legislature.
24	(c)  The appropriations provided for in Subparagraph (B)(2) of this Section
25 are reduced.
26	(5)  The treasurer shall return any monies collected after the date of
27 termination of an assessment to the hospital from which it was collected.
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1	(B)  Appropriation.  (1) The legislature shall annually appropriate an amount
2 necessary to fund the base reimbursement level for hospitals established in the most
3 recent formula adopted by the legislature.
4	(2)  The legislature shall annually appropriate the balance of the Hospital
5 Stabilization Fund solely to fund the reimbursement enhancements as provided in the
6 most recent formula adopted by the legislature.
7	(3)  Notwithstanding Article VII, Section 10(F) 14(F) of this constitution,
8 neither the governor nor the legislature may reduce the appropriation funding the
9 base reimbursement level or the reimbursement enhancements to satisfy a budget
10 deficit,  except the governor may reduce the appropriation to the base reimbursement
11 level if the following occur:
12	(a)  Such reduction does not exceed the average reduction of those made to
13 the appropriations and reimbursement for other providers under the Medicaid
14 Program, or its successor; and
15	(b)(i)  If the legislature is in session, the reduction is consented to in writing
16 by two-thirds of the elected members of each house in a manner provided by law; or
17	(ii)  If the legislature is not in session, the reduction is approved by two-thirds
18 of the members of the Joint Legislative Committee on the Budget, or its successor.
19	(C)  Hospital Stabilization Fund.  There is hereby established as a special
20 fund in the state treasury the Hospital Stabilization Fund, hereafter referred to as "the
21 fund".  After compliance with the requirements of Article VII, Section 9(B) 13(B)
22 of this constitution relative to the Bond Security and Redemption Fund,  the treasurer
23 shall deposit all proceeds from the assessment collected pursuant to the Hospital
24 Stabilization Formula provided for in this Section.  The monies in the fund shall be
25 invested in the same manner as monies in the state general fund, and all interest
26 earned on the investment of the fund shall be deposited in and credited to the fund. 
27 Appropriations from the fund shall be restricted to funding the reimbursement
28 enhancements established in the Hospital Stabilization Formula adopted by the
29 legislature for the fiscal year in which the assessment is collected.
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1 §10.14. §22.  Louisiana Medical Assistance Trust Fund
2	(A)  There is hereby established as a special fund in the state treasury the
3 Louisiana Medical Assistance Trust Fund, hereinafter referred to as "the fund",
4 which shall consist of monies generated by fees as provided for in law.  Subject to
5 the exceptions contained in Article VII, Section 9(A) 13(A) of this constitution, and
6 after compliance with the requirements of Article VII, Section 9(B) 13(B) of this
7 constitution relative to the Bond Security and Redemption Fund,  the treasurer shall
8 deposit all proceeds from the fees collected as provided for in laws relative to the
9 Louisiana Medical Assistance Trust Fund into the fund.  The monies in the fund shall
10 be invested by the state treasurer in the same manner as monies in the state general
11 fund.  All interest earned from the investment of monies in the fund shall be
12 deposited in and remain to the credit of the fund.  All unexpended and unencumbered
13 monies remaining in the fund at the close of each fiscal year shall remain in the fund.
14	(B)  The treasurer is hereby authorized to establish a separate account within
15 the  fund for each health care provider group in which fees are collected according
16 to law.  Monies collected from each provider group, and the interest earned on those
17 monies, shall be deposited into the account created for that provider group.  Any
18 monies deposited into the fund from sources not required by law, and the interest
19 earned on those monies, shall be deposited into a separate account within the fund,
20 hereafter referred to as "the general account".
21	(C)  The legislature is authorized to appropriate monies from the fund only
22 if the appropriation is eligible for federal financial participation under Title XIX of
23 the Social Security Act, or its successor. The balance of each account shall be
24 appropriated for reimbursement of services to the provider group which paid the fee
25 into the account in any fiscal year, except monies deposited into the general account
26 may be appropriated for any Medicaid Program expenditure.
27	(D)  The monies appropriated from the provider accounts in the fund shall not
28 be used to displace, replace, or supplant appropriations from the state general fund
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1 for the Medicaid Program below the amount of state general fund appropriations to
2 the Medicaid Program for Fiscal Year 2013-2014.
3	(E)(1)  The legislature shall annually appropriate the funds necessary to
4 provide for Medicaid Program rates for each provider group which pays fees into the
5 fund that is no less than the average Medicaid Program rates established for Fiscal
6 Year 2013-2014 and which may be adjusted annually by establishing the rates of
7 inflation, or rebasing if applicable, which rates shall not be negative, to be applied
8 to the base rates to establish the new base rates for the next fiscal year as authorized
9 by law.  For the purpose of this Section, "Medicaid Program" shall refer to the
10 Louisiana medical assistance program provided for in Title XIX of the Social
11 Security Act, or its successor.
12	(2)  Notwithstanding Article VII, Section 10(F) 14(F) of this constitution,
13 neither the governor nor the legislature may reduce the base rate as provided for in
14 this Paragraph to satisfy a budget deficit, except the governor may reduce the
15 appropriation for the base rate if the following occur:
16	(a)  Such reduction does not exceed the average reduction of those made to
17 the appropriations and reimbursement for other providers under the Medicaid
18 Program, or its successor; and
19	(b)(i)  If the legislature is in session, the reduction is consented to in writing
20 by two-thirds of the elected members of each house in a manner provided by law; or
21	(ii)  If the legislature is not in session, the reduction is approved by two-thirds
22 of the members of the Joint Legislative Committee on the Budget, or its successor.
23 §10.15.  Revenue Stabilization Trust Fund
24	Section 10.15.  Revenue Stabilization Trust Fund.  (A) The Revenue
25 Stabilization Trust Fund is hereby established in the state treasury as a special trust
26 fund, hereinafter referred to as the "fund".
27	(B)  After allocation of money to the Bond Redemption and Security Fund
28 as provided in Article VII, Section 9(B) of the Constitution of Louisiana, the
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1 treasurer shall deposit in and credit to the fund the revenues as provided for in
2 Paragraphs (C) and (D) of this Section.
3	(C)  The treasurer shall deposit into the fund the amount of mineral revenues
4 as provided in Section 10.16 of this constitution.
5	(D)  The treasurer shall deposit into the fund the amount of revenues in
6 excess of six hundred million dollars received each fiscal year from corporate
7 franchise and income taxes as recognized by the Revenue Estimating Conference.
8	(E)(1) Except as provided for in Paragraph (F) of this Section, monies
9 deposited into the Revenue Stabilization Trust Fund shall be permanently credited
10 to the trust fund and shall be invested by the treasurer in a manner provided for by
11 law.
12	(2)  The treasurer shall deposit all interest or other income from investment
13 generated from the fund into the state general fund.
14	(F)(1) Except as provided in Subparagraphs (2) and (3) of this Paragraph, no
15 appropriations shall be made from the Revenue Stabilization Trust Fund.
16	(2)(a) In any fiscal year in which the balance of the fund at the beginning of
17 the year is in excess of five billion dollars, hereinafter referred to as the minimum
18 fund balance, the legislature may appropriate an amount not to exceed ten percent
19 of the fund balance, hereinafter referred to as the allowable percentage, for the
20 following:
21	(i) Capital outlay projects in the comprehensive state capital budget.
22	(ii) Transportation infrastructure.
23	(b) The minimum fund balance or the allowable percentage may be changed
24 by a law enacted by two-thirds of the elected members of each house of the
25 legislature.
26	(3) In order to ensure the money in the fund is available for appropriation in
27 an emergency, the legislature may authorize an appropriation from the fund at any
28 time for any purpose only after the consent of two-thirds of the elected members of
29 each house of the legislature. If the legislature is not in session, the two-thirds
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1 requirement may be satisfied upon obtaining the written consent of two-thirds of the
2 elected members of each house of the legislature in a manner provided by law.
3 §10.16.  Dedications of Mineral Revenues
4	Section 10.16.(A)  All mineral revenues as defined in Paragraph (D) of this
5 Section received in each fiscal year by the state as a result of the production of or
6 exploration for minerals, hereinafter referred to as "mineral revenues", shall be
7 allocated as provided in this Section after the following allocations and deposits of
8 mineral revenues have been made:
9	(1)  To the Bond Security and Redemption Fund as provided in Article VII,
10 Section 9 (B) of this constitution.
11	(2)  To the political subdivisions of the state as provided in Article VII,
12 Sections 4 (D) and (E) of this constitution.
13	(3)  To the Louisiana Wildlife and Fisheries Conservation Fund as provided
14 by the requirements of Article VII, Section 10-A of this constitution and as provided
15 by law.
16	(4)  To the Louisiana Wildlife and Fisheries Conservation Fund and the Oil
17 and Gas Regulatory Fund as provided by law.
18	(5)  To the Rockefeller Wildlife Refuge and Game Preserve Fund as provided
19 by law.
20	(6)  To the Marsh Island Operating Fund and the Russell Sage or Marsh
21 Island Refuge Fund as provided by law.
22	(7)  To the MC Davis Conservation Fund as provided by law.
23	(8)  To the White Lake Property Fund as provided by law.
24	(9)  To the Louisiana Education Quality Trust Fund and Louisiana Quality
25 Education Support Fund as provided in Article VII, Section 10.1 of this constitution.
26	(10)  To the Coastal Protection and Restoration Fund as provided in Article
27 VII, Section 10.2 of this constitution and as provided by law.
28	(11)  To the Mineral Revenue and Audit Settlement Fund as provided in
29 Article VII, Section 10.5 of this constitution and as provided by law.
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1	(12)  To the Budget Stabilization Fund as provided in Article VII, Section
2 10.3 of this constitution and as provided by law.
3	(13)  An amount equal to the state general fund deposited into the
4 Transportation Trust Fund and the Louisiana State Transportation Infrastructure
5 Fund as provided by law.
6	(B)  Allocation of Mineral Revenues.  After the allocations and deposits
7 provided in Paragraph (A) of this Section, the mineral revenues received in each year
8 in excess of six hundred sixty million dollars and less than nine hundred fifty million
9 dollars shall be allocated as follows:
10	(1)  Thirty percent shall be appropriated to the Louisiana State Employees'
11 Retirement System and the Teachers' Retirement System of Louisiana for application
12 to the balance of the unfunded accrued liability of such systems existing as of June
13 30, 1988, in proportion to the balance of such unfunded accrued liability of each such
14 system, until such unfunded accrued liability has been eliminated.  Any such
15 payments to the public retirement systems shall not be used, directly or indirectly,
16 to fund cost-of-living increases for such systems.
17	(2)  The remainder shall be deposited into the Revenue Stabilization Trust
18 Fund.
19	(C)  Mineral revenues in excess of the base which would otherwise be
20 deposited into the Budget Stabilization Fund under Subparagraph (A)(2) of Section
21 10.3 of this constitution, but are prohibited from being deposited into the fund under
22 Subparagraph (C)(4) of Section 10.3 of this constitution, shall be distributed as
23 follows:
24	(1)  Thirty percent shall be appropriated to the Louisiana State Employees'
25 Retirement System and the Teachers' Retirement System of Louisiana for application
26 to the balance of the unfunded accrued liability of such systems existing as of June
27 30, 1988, in proportion to the balance of such unfunded accrued liability of each such
28 system, until such unfunded accrued liability has been eliminated.  Any such
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1 payments to the public retirement systems shall not be used, directly or indirectly,
2 to fund cost-of-living increases for such systems.
3	(2)  The remainder shall be deposited into the Revenue Stabilization Trust
4 Fund.
5	(D)  For purposes of this Section, "mineral revenues" shall include severance
6 taxes, royalty payments, bonus payments, or rentals, with the following exceptions:
7	(1)  Revenues designated as nonrecurring, pursuant to Article VII, Section
8 10(B) of this constitution.
9	(2)  Revenues received by the state as a result of grants or donations when the
10 terms or conditions thereof require otherwise.
11	(3)  Revenues derived from any tax on the transportation of minerals.
12 §10-A.  Wildlife and Fisheries; Conservation Fund 
13	Section 10-A. (A)  Conservation Fund.  Effective July 1, 1988, there shall be
14 established in the state treasury, as a special fund, the Louisiana Wildlife and
15 Fisheries Conservation Fund, hereinafter referred to as the Conservation Fund.  Out
16 of the funds remaining in the Bond Security and Redemption Fund after a sufficient
17 amount is allocated from that fund to pay all obligations secured by the full faith and
18 credit of the state which become due and payable within any fiscal year as required
19 by Article VII, Section 9(B) of this constitution, the treasurer shall pay into the
20 Conservation Fund all of the following, except as provided in Article VII, Section
21 9(A), and except for the amount provided in R.S. 56:10(B)(1)(a) as that provision
22 existed on the effective date of this Section: 
23	(1)  All revenue from the types and classes of fees, licenses, permits,
24 royalties, or other revenue paid into the Conservation Fund as provided by law on
25 the effective date of this Section.  Such revenue shall be deposited in the
26 Conservation Fund even if the names of such fees, licenses, permits, or other
27 revenues are changed.
28	Any increase in the amount charged for such fees, licenses, permits, royalties,
29 and other revenue, or any new fee, license, permit, royalty, or other revenue, enacted
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1 by the legislature after the effective date of this Section, shall be irrevocably
2 dedicated and deposited in the Conservation Fund unless the legislature enacts a law
3 specifically appropriating or dedicating such revenue to another fund or purpose.
4	(2)  The balance remaining on June 30, 1988 in the Conservation Fund
5 established pursuant to R.S. 56:10.
6	(3)  All funds or revenues which may be donated expressly to the
7 Conservation Fund.
8	(B)  The monies in the Conservation Fund shall be appropriated by the
9 legislature to the Department of Wildlife and Fisheries, or its successor, and shall be
10 used solely for the programs and purposes of conservation, protection, preservation,
11 management, and replenishment of the state's natural resources and wildlife,
12 including use for land acquisition or for federal matching fund programs which
13 promote such purposes, and for the operation and administration of the Department
14 and the Wildlife and Fisheries Commission, or their successors.
15	(C)  All unexpended and unencumbered monies in the Conservation Fund at
16 the end of the fiscal year shall remain in the fund.  The monies in the fund shall be
17 invested by the treasurer in the manner provided by law.  All interest earned on
18 monies invested by the treasurer shall be deposited in the fund.  The treasurer shall
19 prepare and submit to the department on a quarterly basis a printed report showing
20 the amount of money contained in the fund from all sources.
21 §11. §23.  Budgets 
22	Section 11. Section 23.(A)  Budget Estimate.  The governor shall submit to
23 the legislature, at the time and in the form fixed by law, a budget estimate for the
24 next fiscal year setting forth all proposed state expenditures.  This budget shall
25 include a recommendation for appropriations from the state general fund and from
26 dedicated funds, except funds allocated by Article VII, Section 4, Paragraphs (D) and
27 (E), Section 8, Paragraphs (B) and (C), which shall not exceed the official forecast
28 of the Revenue Estimating Conference and the expenditure limit for the fiscal year. 
29 The recommendation shall also comply with the provisions of Article VII, Section
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1 10(D). Section 14(D). This budget shall include a recommendation for funding of
2 state salary supplements for full-time law enforcement and fire protection officers
3 of the state, as provided in Article VII, Section 10(D)(3) Section 14(D)(3) of this
4 constitution.
5	(B)  Operating Budget.  The governor shall cause to be submitted a general
6 appropriation bill for proposed ordinary operating expenditures which shall be in
7 conformity with the recommendations for appropriations contained in the budget
8 estimate.  The governor may cause to be submitted a bill or bills to raise additional
9 revenues with proposals for the use of these revenues.
10	(C)  Capital Budget.  The governor shall submit to the legislature, at each
11 regular session, a proposed five-year capital outlay program and request
12 implementation of the first year of the program.  Prior to inclusion in the
13 comprehensive capital budget which the legislature adopts, each capital improvement
14 project shall be evaluated through a feasibility study, as defined by the legislature,
15 which shall include an analysis of need and estimates of construction and operating
16 costs.  The legislature shall provide by law for procedures, standards, and criteria for
17 the evaluation of such feasibility studies and shall set the schedule of submission of
18 such feasibility studies which shall take effect not later than December thirty-first
19 following the first regular session convening after this Paragraph takes effect.
20 studies. These procedures, standards, and criteria for evaluation of such feasibility
21 studies cannot be changed or altered except by a separate legislative instrument
22 approved by a favorable vote of two-thirds of the elected members of each house of
23 the legislature.  For those projects not eligible for funding under the provisions of
24 Article VII, Section 27 Section 16 of this constitution, the request for
25 implementation of the first year of the program shall include a list of the proposed
26 projects in priority order based on the evaluation of the feasibility studies submitted. 
27 Capital outlay projects approved by the legislature shall be made a part of the
28 comprehensive state capital budget, which shall be adopted by the legislature.
29 §12. §24.  Reports and Records 
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1	Section 12. Section 24.  Reports and records of the collection, expenditure,
2 investment, and use of state money and those relating to state obligations shall be
3 matters of public record, except returns of taxpayers and matters pertaining to those
4 returns.  
5 §13. §25.  Investment of State Funds 
6	Section 13. Section 25.  All money in the custody of the state treasurer which
7 is available for investment shall be invested as provided by law.  
8 §14. §26.  Donation, Loan, or Pledge of Public Credit
9	Section 14. Section 26.(A)  Prohibited Uses.  Except as otherwise provided
10 by this constitution, the funds, credit, property, or things of value of the state or of
11 any political subdivision shall not be loaned, pledged, or donated to or for any
12 person, association, or corporation, public or private.  Except as otherwise provided
13 in this Section, neither the state nor a political subdivision shall subscribe to or
14 purchase the stock of a corporation or association or for any private enterprise.
15	(B)  Authorized Uses.  Nothing in this Section shall prevent (1) the use of
16 public funds for programs of social welfare for the aid and support of the needy; (2)
17 contributions of public funds to pension and insurance programs for the benefit of
18 public employees; (3) the pledge of public funds, credit, property, or things of value
19 for public purposes with respect to the issuance of bonds or other evidences of
20 indebtedness to meet public obligations as provided by law; (4) the return of
21 property, including mineral rights, to a former owner from whom the property had
22 previously been expropriated, or purchased under threat of expropriation, when the
23 legislature by law declares that the public and necessary purpose which originally
24 supported the expropriation has ceased to exist and orders the return of the property
25 to the former owner under such terms and conditions as specified by the legislature;
26 (5) acquisition of stock by any institution of higher education in exchange for any
27 intellectual property; (6) the donation of abandoned or blighted housing property by
28 the governing authority of a municipality or a parish to a nonprofit organization
29 which is recognized by the Internal Revenue Service as a 501(c)(3) or 501(c)(4)
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1 nonprofit organization and which agrees to renovate and maintain such property until
2 conveyance of the property by such organization; (7) the deduction of any tax,
3 interest, penalty, or other charges forming the basis of tax liens on blighted property
4 so that they may be subordinated and waived in favor of any purchaser who is not
5 a member of the immediate family of the blighted property owner or which is not
6 any entity in which the owner has a substantial economic interest, but only in
7 connection with a property renovation plan approved by an administrative hearing
8 officer appointed by the parish or municipal government where the property is
9 located; (8) the deduction of past due taxes, interest, and penalties in favor of an
10 owner of a blighted property, but only when the owner sells the property at less than
11 the appraised value to facilitate the blighted property renovation plan approved by
12 the parish or municipal government and only after the renovation is completed such
13 deduction being canceled, null and void, and to no effect in the event ownership of
14 the property in the future reverts back to the owner or any member of his immediate
15 family; (9) the donation by the state of asphalt which has been removed from state
16 roads and highways to the governing authority of the parish or municipality where
17 the asphalt was removed, or if not needed by such governing authority, then to any
18 other parish or municipal governing authority, but only pursuant to a cooperative
19 endeavor agreement between the state and the governing authority receiving the
20 donated property; (10) the investment in stocks of a portion of the Rockefeller
21 Wildlife Refuge Trust and Protection Fund, created under the provisions of R.S.
22 56:797, Fund and the Russell Sage or Marsh Island Refuge Fund, created under the
23 provisions of R.S. 56:798, such portion not to exceed thirty-five percent of each
24 fund; (11) the investment in stocks of a portion of the state-funded permanently
25 endowed funds of a public or private college or university, not to exceed thirty-five
26 percent of the public funds endowed; (12) the investment in equities of a portion of
27 the Medicaid Trust Fund for the Elderly created under the provisions of R.S. 46:2691
28 et seq., such portion not to exceed thirty-five percent of the fund; (13) the investment
29 of public funds to capitalize a state infrastructure bank and the loan, pledge, or
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1 guarantee of public funds by a state infrastructure bank solely for transportation
2 projects; (14) pursuant to a written agreement, the donation of the use of public
3 equipment and personnel by a political subdivision upon request to another political
4 subdivision for an activity or function the requesting political subdivision is
5 authorized to exercise; or (15) a political subdivision from waiving charges for water
6 if the charges are the result of water lost due to damage to the water delivery
7 infrastructure and that damage is not the result of any act or failure to act by the
8 customer being charged for the water.
9	(C)  Cooperative Endeavors.  For a public purpose, the state and its political
10 subdivisions or political corporations may engage in cooperative endeavors with
11 each other, with the United States or its agencies, or with any public or private
12 association, corporation, or individual.
13	(D)  Prior Obligations.  Funds, credit, property, or things of value of the state
14 or of a political subdivision heretofore loaned, pledged, dedicated, or granted by
15 prior state law or authorized to be loaned, pledged, dedicated, or granted by the prior
16 laws and constitution of this state shall so remain for the full term as provided by the
17 such prior laws and constitution and for the full term as provided by any contract,
18 unless the authorization is revoked by law enacted by two-thirds of the elected
19 members of each house of the legislature prior to the vesting of any contractual
20 rights pursuant to this Section.
21	(E)  Surplus Property.  Nothing in this Section shall prevent the donation or
22 exchange of movable surplus property between or among political subdivisions
23 whose functions include public safety.
24 §15. §27.  Release of Obligations to State, Parish, or Municipality
25	Section 15. Section 27.  The legislature shall have no power to release,
26 extinguish, or authorize the releasing or extinguishing of any indebtedness, liability,
27 or obligation of a corporation or individual to the state, a parish, or a municipality. 
28 However, the legislature, by law, may establish a system under which claims by the
29 state or a political subdivision may be compromised, and may provide for the release
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1 of heirs to confiscated property from taxes due thereon on such property at the date
2 of its reversion to them.  
3 §16. §28.  Taxes; Prescription 
4	Section 16. Section 28.  Taxes, except real property taxes, and licenses shall
5 prescribe in three years after the thirty-first day of December in the year in which
6 they are due, but due; however, prescription may be interrupted or suspended as
7 provided by law.  
8 §17. §29.  Legislation to Obtain Federal Aid 
9	Section 17. Section 28.  The legislature may enact laws to enable the state,
10 its agencies, boards, commissions, and political subdivisions and their agencies to
11 comply with federal laws and regulations in order to secure federal participation in
12 funding capital improvement projects.  
13 § 30. Funding; Teacher Salaries
14	Section 30. (A)(1)  Notwithstanding any other provision of this constitution
15 to the contrary, upon the effective date of this Section the state treasurer is authorized
16 and directed to transfer to the Teachers' Retirement System of Louisiana the balance
17 of each of the following:
18	(a)  The Education Excellence Fund.
19	(b)  The Louisiana Education Quality Trust Fund.
20	(c)  The Louisiana Quality Education Support Fund.
21	(2)  The Teachers' Retirement System of Louisiana shall apply monies
22 received pursuant to Subparagraph (1) of this Paragraph to its oldest outstanding
23 positive amortization base.  After liquidation of such base, any remaining monies
24 shall be applied to the next-oldest outstanding positive amortization base, until all
25 such monies have been applied.  If application of monies pursuant to the provisions
26 of this Subparagraph are insufficient to fully liquidate an amortization base, after
27 application of such monies the net remaining liability of such amortization base shall
28 be reamortized with annual level-dollar payments calculated in the same manner as
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1 other system amortization payments and over the remainder of the amortization
2 period originally established for that base.
3	(B)  As provided by law, participating employers in the Teachers' Retirement
4 System of Louisiana shall provide a permanent salary increase to eligible personnel. 
5 Such increase shall be funded using the employer's net savings attributable to the
6 payments made pursuant to Paragraph (A) of this Section.
7	PART II.  PROPERTY TAXATION
8 §18. §31.  Ad Valorem Taxes
9	Section 18. Section 31.(A)  Assessments.  Property subject to ad valorem
10 taxation shall be listed on the assessment rolls at its assessed valuation, which,
11 except as provided in Paragraphs (C), (F), and (G), (C) or (F) of this constitution or
12 in exceptions provided by law for special assessment levels, shall be a percentage of
13 its fair market value.  The percentage of fair market value shall be uniform
14 throughout the state upon the same class of property.
15	(B)  Classification.  The classifications of property subject to ad valorem
16 taxation and the percentage of fair market value applicable to each classification for
17 the purpose of determining assessed valuation are as follows:
18	Classifications	Percentages
19 1.Land	10%
20 2.Improvements for residential purposes 10%
21 3.Electric cooperative properties, excluding land15%
22 4.Public service properties, excluding land 25%
23 5.Public service property owed by a rail
24 road company	15%
25 6. Other property	15%
26	The legislature may enact laws defining electric cooperative properties and
27 public service properties.
28	(C)  Use Value.  Bona fide agricultural, horticultural, marsh, and timber
29 lands, as defined by general law, shall be assessed for tax purposes at ten percent of
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1 use value rather than fair market value.  The legislature may provide by law similarly
2 for buildings of historic architectural importance.
3	(D)  Valuation.  Each assessor shall determine the fair market value of all
4 property subject to taxation within his respective parish or district except public
5 service properties, which shall be valued at fair market value by the Louisiana Tax
6 Commission or its successor.  Each assessor shall determine the use value of
7 property which is to be so assessed under the provisions of Paragraph (C).  Fair
8 market value and use value of property shall be determined in accordance with
9 criteria which shall be established by law and which shall apply uniformly
10 throughout the state.
11	(E)  Review.  The correctness of assessments by the assessor shall be subject
12 to review first by the parish governing authority, then by the Louisiana Tax
13 Commission or its successor, and finally by the courts, all in accordance with
14 procedures established by law.
15	(F)  Reappraisal.  (1)  All property subject to taxation shall be reappraised
16 and valued in accordance with this Section, at intervals of not more than four years.
17	(2)(a)  In the year of implementation of a reappraisal as required in
18 Subparagraph (1) of this Paragraph, solely for purposes of determining the ad
19 valorem tax imposed on residential property subject to the homestead exemption as
20 provided in Section 20 33 of this Article, if the assessed value of immovable
21 property increases by an amount which is greater than fifty percent of the property's
22 assessed value in the previous year, the collector shall phase-in the additional tax
23 liability resulting from the increase in the property's assessed value over a four-year
24 period as follows:
25	(i)  For purposes of calculating the ad valorem taxes on the property in the
26 first levy following reappraisal, the collector shall use the property's assessed value
27 from the previous year, which shall be called the base amount as used in this
28 Subparagraph, and shall increase the portion of the assessed value of the property
29 used to calculate ad valorem taxes by adding an amount which is equal to one-fourth
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1 of the amount of the increase in the property's assessed value as a result of the
2 reappraisal to the base amount.  This resulting amount shall constitute the property's
3 taxable value and shall be used solely for purposes of calculating ad valorem taxes
4 for that taxable year.
5	(ii)  For purposes of calculating the ad valorem taxes on the property in the
6 second levy following reappraisal, the collector shall increase the portion of the
7 assessed value of the property used to calculate ad valorem taxes by adding an
8 amount which is equal to one-half of the amount of the increase in the property's
9 assessed value as a result of the reappraisal to the base amount.  This resulting
10 amount shall constitute the property's taxable value and shall be used solely for
11 purposes of calculating ad valorem taxes for that taxable year.
12	(iii)  For purposes of calculating the ad valorem taxes on the property in the
13 third levy following reappraisal, the collector shall increase the portion of the
14 assessed value of the property used to calculate ad valorem taxes by adding an
15 amount which is equal to three-quarters of the amount of the increase in the
16 property's assessed value as a result of the reappraisal to the base amount.  This
17 resulting amount shall constitute the property's taxable value and shall be used solely
18 for purposes of calculating ad valorem taxes for that taxable year.
19	(iv)  In the fourth levy following reappraisal, the collector shall calculate ad
20 valorem taxes based on the property's full assessed value.
21	(b)  The provisions of this Subparagraph providing for a phase-in of
22 additional ad valorem tax liability following reappraisal shall cease to apply upon the
23 transfer or conveyance of ownership of the property.  Following a transfer or
24 conveyance, the collector shall calculate ad valorem taxes based on the property's
25 full assessed value.
26	(c)  Property subject to the provisions of this Subparagraph shall not be
27 subject to reappraisal by an assessor until after the four-year phase-in of the amount
28 of the increase in the property's assessed value is complete.
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1	(d)  Notwithstanding any provision of this constitution to the contrary, the
2 increase in assessed valuation of property phased-in under this Subparagraph shall
3 be included as taxable property for purposes of any subsequent reappraisals and
4 valuation for millage adjustment purposes under Article VII, Section 23(B) of this
5 constitution. as provided by law.  The decrease in the total amount of ad valorem tax
6 collected by a taxing authority as a result of this phase-in of assessed valuation shall
7 be absorbed by the taxing authority and shall not create any additional tax liability
8 for other taxpayers in the taxing district as a result of any subsequent reappraisal and
9 valuation or millage adjustment. Implementation of this phase-in of increase in
10 assessed valuation authorized in this Subparagraph shall neither trigger nor be cause
11 for a reappraisal of property or an adjustment of millages pursuant to the provisions
12 of Article VII, Section 23(B) of this constitution. any law that provides for
13 adjustment of ad valorem tax millages.
14	(e)  The provisions of this Subparagraph shall not apply to the extent the
15 increase was attributable to construction on or improvements to the property.
16	(G)  Special Assessment Level.
17	(1)(a)(i)  The assessment of residential property receiving the homestead
18 exemption which is owned and occupied by any of the following and who meet all
19 of the other requirements of this Section shall not be increased above the total
20 assessment of that property for the first year that the owner qualifies for and receives
21 the special assessment level, provided that such person or persons remain qualified
22 for and receive the special assessment level:
23	(aa)  People who are sixty-five years of age or older.
24	(bb)  People who have a service-connected disability rating of fifty percent
25 or more by the United States Department of Veterans Affairs.
26	(cc)  Members of the armed forces of the United States or the Louisiana
27 National Guard who owned and last occupied such property who are killed in action,
28 or who are missing in action or are a prisoner of war for a period exceeding ninety
29 days.
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1	(dd)  Any person or persons permanently totally disabled as determined by
2 a final non-appealable judgment of a court or as certified by a state or federal
3 administrative agency charged with the responsibility for making determinations
4 regarding disability.
5	(ii)  Any person or persons shall be prohibited from receiving the special
6 assessment as provided in this Section if such person's or persons' adjusted gross
7 income, as reported in the federal tax return for the year prior to the application for
8 the special assessment, exceeds one hundred thousand dollars.  For persons applying
9 for the special assessment whose filing status is married filing separately, the
10 adjusted gross income for purposes of this Section shall be determined by combining
11 the adjusted gross income on both federal tax returns.  Beginning for the tax year
12 2026, and for each tax year thereafter, the one hundred thousand dollar limit shall be
13 adjusted annually by the Consumer Price Index as reported by the United States
14 Government.
15	(iii)  An eligible owner or the owner's spouse or other legally qualified
16 representative shall apply for the special assessment level by filing a signed
17 application establishing that the owner qualifies for the special assessment level with
18 the assessor of the parish or, in the parish of Orleans, the assessor of the district
19 where the property is located.
20	(iv)  An owner who is below the age of sixty-five and who has applied for
21 and received the special assessment level may qualify for and receive the special
22 assessment level in the subsequent year by certifying to the assessor of the parish
23 that such person or persons' adjusted gross income in the prior tax year satisfied the
24 income requirement of this Section.  The provisions of this Item shall not apply to
25 an owner who has qualified for and received the special assessment level for persons
26 sixty-five years of age or older or to such owner's surviving spouse as described in
27 Item (2)(a)(i) of this Paragraph or for an owner who is permanently totally disabled
28 as provided for in Subitem (i)(dd) of this Subsubparagraph.
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1	(b)  Any millage rate applied to the special assessment level shall not be
2 subject to a limitation.
3	(2)  Provided such owner is qualified for and receives the special assessment
4 level, the special assessment level shall remain on the property as long as:
5	(a)(i)  The owner who is sixty-five years of age or older, or that owner's
6 surviving spouse who is fifty-five years of age or older or who has minor children,
7 remains the owner of the property.
8	(ii)  The owner who has a service-connected disability of fifty percent or
9 more, or that owner's surviving spouse who is forty-five years of age or older or who
10 has minor children, remains the owner of the property.
11	(iii)  The spouse of the owner who is killed in action remains the owner of the
12 property.
13	(iv)  The first day of the tax year following the tax year in which an owner
14 who was missing in action or was a prisoner of war for a period exceeding ninety
15 days is no longer missing in action or a prisoner of war.
16	(v)  Even if the ownership interest of any surviving spouse or spouse of an
17 owner who is missing in action as provided for in this Subparagraph is an interest in
18 usufruct.
19	(b)  The value of the property does not increase more than twenty-five
20 percent because of construction or reconstruction.
21	(3)  A new or subsequent owner of the property may claim a special
22 assessment level when eligible under this Section.  The new owner is not necessarily
23 entitled to the same special assessment level on the property as when that property
24 was owned by the previous owner.
25	(4)(a)  The special assessment level on property that is sold shall
26 automatically expire on the last day of December in the year prior to the year that the
27 property is sold.  The property shall be immediately revalued at fair market value by
28 the assessor and shall be assessed by the assessor on the assessment rolls in the year
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1 it was sold at the assessment level provided for in Article VII, Section 18 of the
2 Constitution of Louisiana.
3	(b)  This new assessment level shall remain in effect until changed as
4 provided by this Section or this Constitution.
5	(5)(a) Any owner entitled to the special assessment level set forth in this
6 Paragraph who is unable to occupy the homestead on or before December thirty-first
7 of a future calendar year due to damage or destruction of the homestead caused by
8 a disaster or emergency declared by the governor shall be entitled to keep the special
9 assessment level of the homestead prior to its damage or destruction on the repaired
10 or rebuilt homestead provided the repaired or rebuilt homestead is reoccupied by the
11 owner within five years from December thirty-first of the year following the disaster.
12 The assessed value of the land and buildings on which the homestead was located
13 prior to its damage shall not be increased above its assessed value immediately prior
14 to the damage or destruction described in this Subsubparagraph. If the property
15 owner receives a homestead exemption on another homestead during the same five-
16 year period, the damaged or destroyed property shall not be entitled to keep the
17 special assessment level, and the land and buildings shall be assessed in that year at
18 the percentage of fair market value set forth in this constitution. In addition, the
19 owner shall also maintain the homestead exemption set forth in Article VII, Section
20 20(A)(10) to qualify for the special assessment level in this Subsubparagraph.
21	(b)  Any owner entitled to the special assessment level set forth in
22 Subsubparagraph (a) of this Subparagraph who is unable to reoccupy his homestead
23 within five years from December thirty-first of the year following the disaster shall
24 be eligible for an extension of the special assessment level on the homestead for a
25 period not to exceed two years.  A homeowner shall be eligible for this extension
26 only if the homeowner's damage claim is filed and pending in a formal appeal
27 process with any federal, state, or local government agency or program offering
28 grants or assistance for repairing or rebuilding damaged or destroyed homes as a
29 result of the disaster, or if a homeowner has a damage claim filed and pending
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1 against the insurer of the property.  The homeowner shall apply for this extension of
2 the special assessment level with the assessor of the parish in which the homestead
3 is located.  The assessor shall require the homeowner to provide official
4 documentation from the government agency or program evidencing the homeowner's
5 participation in the formal appeal process or official documentation evidencing the
6 homeowner has a damage claim filed and pending against the insurer of the damaged
7 property, as provided by law.
8	(c)  After expiration of the extension authorized in Subsubparagraph (b) of
9 this Subparagraph, an assessor shall have the authority to grant on a case-by-case
10 basis up to three additional one-year extensions of the special assessment level as
11 prescribed by law.
12	(6)(a)  A trust shall be eligible for the special assessment level as provided
13 by law.
14	(b)  If a trust would have been eligible for the special assessment level
15 pursuant to this Subparagraph prior to the most recent reappraisal, the total
16 assessment of the property held in trust shall be the assessed value on the last
17 appraisal before the reappraisal.
18 §19. §32.  State Property Taxation; Rate Limitation 
19	Section 19. Section 32.  State taxation on property for all purposes shall not
20 exceed an annual rate of five and three-quarter mills on the dollar of assessed
21 valuation.
22 §20. Section 33.  Homestead Exemption
23	Section 20. §33.(A)  Homeowners.
24	(1)  The bona fide homestead, consisting of a tract of land or two or more
25 tracts of land even if the land is classified and assessed at use value pursuant to
26 Article VII, Section 18(C) 31(C) of this constitution, with a residence on one tract
27 and a field with or without timber on it, pasture, or garden on the other tract or tracts,
28 not exceeding one hundred sixty acres, buildings and appurtenances, whether rural
29 or urban, owned and occupied by any person or persons owning the property in
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1 indivision, shall be exempt from state, parish, and special ad valorem taxes to the
2 extent of seven thousand five hundred dollars of the assessed valuation.  The same
3 homestead exemption shall also fully apply to the primary residence, including a
4 mobile home, which serves as a bona fide home and which is owned and occupied
5 by any person or persons owning the property in indivision, regardless of whether
6 the homeowner owns the land upon which the home or mobile home is sited;
7 however, this homestead exemption shall not apply to the land upon which such
8 primary residence is sited if the homeowner does not own the land.
9	(2)  The homestead exemption shall extend and apply fully to the surviving
10 spouse or a former spouse when the homestead is occupied by the surviving spouse
11 or a former spouse and title to it is in the name of (a) the surviving spouse as owner
12 of any interest or either or both of the former spouses, (b) the surviving spouse as
13 usufructuary, or (c) a testamentary trust established for the benefit of the surviving
14 spouse and the descendants of the deceased spouse or surviving spouse, but not to
15 more than one homestead owned by either the husband or wife, spouse, or both.
16	(3)  The homestead exemption shall extend to property owned by a trust
17 when the principal beneficiary or beneficiaries of the trust are the settlor or settlors
18 of the trust and were the immediate prior owners of the homestead, and the
19 homestead is occupied as such by a principal beneficiary.  The provisions of this
20 Subparagraph shall apply only to property which qualified for the homestead
21 exemption immediately prior to transfer, conveyance, or donation in trust or which
22 would have qualified for the homestead exemption if such property were not owned
23 in trust.
24	(4)  The homestead exemption shall extend to property where the usufruct of
25 the property has been granted to no more than two usufructuaries who were the
26 immediate prior owners of the homestead and the homestead is occupied as such by
27 a usufructuary.  The provisions of this Subparagraph shall apply only to property
28 which qualified for the homestead exemption immediately prior to the granting of
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1 such usufruct, or which would have qualified for the homestead exemption if such
2 usufruct had not been granted.
3	(5)  The homestead exemption shall extend only to a natural person or
4 persons and to a trust created by a natural person or persons, in which the
5 beneficiaries of the trust are a natural person or persons provided that the provisions
6 of this Paragraph are otherwise satisfied.
7	(6)  Except as otherwise provided for in this Paragraph, the homestead
8 exemption shall apply to property owned in indivision, but shall be limited to the pro
9 rata ownership interest of that each person or persons occupying the homestead.
10	(7)  No homestead exemption shall be granted on bond for deed property. 
11 However, any homestead exemption granted prior to June 20, 2003 on any property
12 occupied upon the effective date of this Paragraph on November 2, 2004, by a buyer
13 under a bond for deed contract shall remain valid as long as the circumstances giving
14 rise to the exemption at the time the exemption was granted remain applicable.
15	(8)  Notwithstanding any provision of this Paragraph to the contrary, in no
16 event shall more than one homestead exemption extend or apply to any person in this
17 state.
18	(9)  This exemption shall not extend to municipal taxes.  However, the
19 exemptions authorized pursuant to the provisions of this Section shall apply (a)  in
20 Orleans Parish, to state, general city, school, levee, and levee district taxes and (b)
21 to any municipal taxes levied for school purposes.
22	(10)(a)  Any homestead receiving the homestead exemption that is damaged
23 or destroyed during a disaster or emergency declared by the governor whose owner
24 is unable to occupy the homestead on or before December thirty-first of a calendar
25 year due to such damage or destruction shall be entitled to claim and keep the
26 exemption by filing an annual affidavit of intent to return and reoccupy the
27 homestead within five years from December thirty-first of the year following the
28 disaster with the assessor within the parish or district where such homestead is
29 situated prior to December thirty-first of the year in which the exemption is claimed. 
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1 In no event shall more than one homestead exemption extend or apply to any person
2 in this state.
3	(b)  For homesteads qualifying for the homestead exemption under the
4 provisions of Subsubparagraph (a) of this Subparagraph, after expiration of the five-
5 year period, the owner of a homestead shall be entitled to claim and keep the
6 exemption for a period not to exceed two additional years by filing an annual
7 affidavit of intent to return and reoccupy the homestead with the assessor within the
8 parish where the homestead is located prior to December thirty-first of the year in
9 which the exemption is claimed.  A homeowner shall be eligible for this extension
10 only if the homeowner's damage claim to repair or rebuild the damaged or destroyed
11 homestead is filed and pending in a formal appeal process with any federal, state, or
12 local government agency or program offering grants or assistance for repairing or
13 rebuilding damaged or destroyed homes as a result of the disaster, or if a homeowner
14 has a damage claim filed and pending against the insurer of the property.  The
15 assessor shall require the homeowner to provide official documentation from the
16 government agency or program evidencing the homeowner's participation in the
17 formal appeal process or official documentation evidencing the homeowners
18 homeowner has a damage claim filed and pending against the insurer of the property
19 as provided by law.
20	(c)  After expiration of the extension authorized in Subsubparagraph (b) of
21 this Subparagraph, an assessor shall have the authority to grant on a case-by-case
22 basis up to three additional one-year extensions of the homestead exemption as
23 prescribed by law.
24	(B)  Residential Lessees.  Notwithstanding any contrary provision in this
25 constitution, the legislature may provide for tax relief to residential lessees in the
26 form of credits or rebates in order to provide equitable tax relief similar to that
27 granted to homeowners through homestead exemptions.
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1 §21. §34.  Other Property Exemptions
2	Section 21. Section 34.  In addition to the homestead exemption provided for
3 in Section 20 Section 33 of this Article, the following property and no other shall be
4 exempt from ad valorem taxation: the legislature may provide by law enacted by
5 two-thirds of the elected members of each house for property exempt from ad
6 valorem taxation.  Once enacted, any change to an ad valorem tax exemption shall
7 also be enacted by two-thirds of the elected members of each house of the
8 legislature.
9	(A)  Public lands and other public property used for public purposes.  Land
10 or property owned by another state or owned by a political subdivision of another
11 state shall not be exempt under this Paragraph.
12	(B)(1)(a)(i)  Property owned by a nonprofit corporation or association
13 organized and operated exclusively for religious, dedicated places of burial,
14 charitable, health, welfare, fraternal, or educational purposes, no part of the net
15 earnings of which inure to the benefit of any private shareholder or member thereof
16 and that is declared to be exempt from federal or state income tax; and
17	(ii)  Medical equipment leased for a term exceeding five years to such a
18 nonprofit corporation or association that owns or operates a small, rural hospital and
19 that uses the equipment solely for health care purposes at the hospital, provided that
20 the property shall be exempt only during the term of the lease to such corporation or
21 association, and further provided that "small, rural hospital" shall mean a hospital
22 that meets all of the following criteria:
23	(aa)  It has less than fifty Medicare-licensed acute care beds.
24	(bb)  It is located in a municipality with a population of less than ten
25 thousand that has been classified as an area with a shortage of health manpower by
26 the United States Health Service; and
27	(b)  Property leased to such a nonprofit corporation or association for use
28 solely as housing for homeless persons, as defined by regulation adopted by the tax
29 commission or its successor provided that the term of such lease shall be for at least
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1 five years, that as a condition of entering into the lease the property be in compliance
2 with all applicable health and sanitation codes for use as housing for homeless
3 persons, that the lease shall provide that compensation to be paid the lessor shall not
4 exceed one dollar per year, and that such contract of lease shall recite that the
5 property shall be used exclusively for the purpose of housing the homeless, and
6 further provided that at such time as the property is no longer used solely as housing
7 for homeless persons, the property shall no longer be exempt from taxation;
8	(2)  Property of a bona fide labor organization representing its members or
9 affiliates in collective bargaining efforts; and
10	(3)  Property of an organization such as a lodge or club organized for
11 charitable and fraternal purposes and practicing the same, and property of a nonprofit
12 corporation devoted to promoting trade, travel, and commerce, and also property of
13 a trade, business, industry or professional society or association, if that property is
14 owned by a nonprofit corporation or association organized under the laws of this
15 state for such purposes.
16	(4)(a)  None of the property listed in this Paragraph shall be exempt if owned,
17 operated, leased, or used for commercial purposes unrelated to the exempt purposes
18 of the corporation or association.
19	(b)(i)  None of the property listed in this Paragraph shall be exempt if the
20 property is owned by a nonprofit corporation or association and the governing
21 authority of the municipality or parish in which the property is located determines
22 all of the following:
23	(aa)  The property is leased as housing, is in a state of disrepair, and
24 manifests conditions which endanger the health or safety of the public.
25	(bb)  The owner of the property habitually neglects maintenance of the
26 property as evidenced by three or more sustained code enforcement violations issued
27 for the property in the prior twelve months for matters that endanger the health or
28 safety of residents of the property or of persons in the area surrounding the property.
29 For purposes of this Item, matters deemed to endanger health or safety include
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1 structural instability due to deterioration; injurious or toxic ventilation; contaminated
2 or inoperable water supply; holes, breaks, rotting materials, or mold in walls; roof
3 defects that admit rain; unsecured overhang extensions in danger of collapse; a
4 hazardous electrical system; improper connection of fuel-burning appliances or
5 equipment; an inactive or inoperable fire detection system; an unsecured or
6 contaminated swimming pool; or any combination of these.
7	(ii)  An ad valorem tax exemption denied or revoked pursuant to the
8 provisions of Item (i) of this Subsubparagraph may be issued or reinstated if the
9 governing authority of the municipality or parish in which the property is located
10 determines that the conditions enumerated in Item (i) of this Subsubparagraph no
11 longer exist.
12	(C)(1)  Cash on hand or deposit;
13	(2)  stocks and bonds, except bank stocks, the tax on which shall be paid by
14 the banking institution;
15	(3)  obligations secured by mortgage on property located in Louisiana and the
16 notes or other evidence thereof;
17	(4)  loans by life insurance companies to policyholders, if secured solely by
18 their policies;
19	(5)  the legal reserve of domestic life insurance companies;
20	(6)  loans by a homestead or building and loan association to its members, if
21 secured solely by stock of the association;
22	(7)  debts due for merchandise or other articles of commerce or for services
23 rendered;
24	(8)  obligations of the state or its political subdivisions;
25	(9)  personal property used in the home or on loan in a public place;
26	(10)  irrevocably dedicated places of burial held by individuals for purposes
27 of burial of themselves or members of their families;
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1	(11)  agricultural products while owned by the producer, agricultural
2 machinery and other implements used exclusively for agricultural purposes, animals
3 on the farm, and property belonging to an agricultural fair association;
4	(12)  property used for cultural, Mardi Gras carnival, or civic activities and
5 not operated for profit to the owners;
6	(13)  rights-of-way granted to the State Department of Highways;
7	(14)  boats using gasoline as motor fuel;
8	(15)  commercial vessels used for gathering seafood for human consumption;
9 and
10	(16)  ships and oceangoing tugs, towboats, and barges engaged in
11 international trade and domiciled in Louisiana ports.  However, this exemption shall
12 not apply to harbor, wharf, shed, and other port dues or to any vessel operated in the
13 coastal trade of the states of the United States.
14	(17)  Materials, boiler fuels, and energy sources used by public utilities to
15 fuel the generation of electricity.
16	(18)  All incorporeal movables of any kind or nature whatsoever, except
17 public service properties, bank stocks, and credit assessments on premiums written
18 in Louisiana by insurance companies and loan and finance companies. For purposes
19 of this Section, incorporeal movables shall have the meaning set forth in the
20 Louisiana Civil Code of 1870, as amended.
21	(19)  All artwork including sculptures, glass works, paintings, drawings,
22 signed and numbered posters, photographs, mixed media, collages, or any other item
23 which would be considered as the material result of a creative endeavor which is
24 listed as a consignment article by an art dealer.
25	(D)(1)  Raw materials, goods, commodities, and articles imported into this
26 state from outside the states of the United States:
27	(a)  so long as the imports remain on the public property of the port authority
28 or docks of the common carrier where they first entered this state;
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1	(b)  so long as the imports (other than minerals and ores of the same kind as
2 any mined or produced in this state and manufactured articles) are held in this state
3 in the original form in bales, sacks, barrels, boxes, cartons, containers, or other
4 original packages, and raw materials held in bulk as all or a part of the new material
5 inventory of manufacturers or processors, solely for manufacturing or processing;
6 or
7	(c)  so long as the imports are held by an importer in any public or private
8 storage in the original form in bales, sacks, barrels, boxes, cartons, containers, or
9 other original packages and agricultural products in bulk.  This exemption shall not
10 apply to these imports when held by a retail merchant as part of his stock-in-trade for
11 sale at retail.
12	(2)  Raw materials, goods, commodities, and other articles being held on the
13 public property of a port authority, on docks of any common carrier, or in a
14 warehouse, grain elevator, dock, wharf, or public storage facility in this state for
15 export to a point outside the states of the United States.
16	(3)  Goods, commodities, and personal property in public or private storage
17 while in transit through this state which are moving in interstate commerce through
18 or over the territory of the state or which are in public or private storage within
19 Louisiana, having been shipped from outside Louisiana for storage in transit to a
20 final destination outside Louisiana, whether such destination was specified when
21 transportation began or afterward.
22	Property described in Paragraph (D), whether or not entitled to exemption,
23 shall be reported to the proper taxing authority on the forms required by law.
24	(E)  Motor vehicles used on the public highways of this state, from state,
25 parish, municipal, and special ad valorem taxes.
26	(F)  Notwithstanding any contrary provision of this Section, the State Board
27 of Commerce and Industry or its successor, with the approval of the governor, may
28 enter into contracts for the exemption from ad valorem taxes of a new manufacturing
29 establishment or an addition to an existing manufacturing establishment, on such
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1 terms and conditions as the board, with the approval of the governor, deems in the
2 best interest of the state.
3	The exemption shall be for an initial term of no more than five calendar
4 years, and may be renewed for an additional five years.  All property exempted shall
5 be listed on the assessment rolls and submitted to the Louisiana Tax Commission or
6 its successor, but no taxes shall be collected thereon during the period of exemption.
7	The terms "manufacturing establishment" and "addition" as used herein mean
8 a new plant or establishment or an addition or additions to any existing plant or
9 establishment which engages in the business of working raw materials into wares
10 suitable for use or which gives new shapes, qualities or combinations to matter which
11 already has gone through some artificial process.
12	(G)  Coal or lignite stockpiled in Louisiana for use in Louisiana for industrial
13 or manufacturing purposes or for boiler fuel, gasification, feedstock, or process
14 purposes.
15	(H)  Notwithstanding any contrary provision of this constitution, the State
16 Board of Commerce and Industry or its successor, with the approval of the governor
17 and the local governing authority and in accordance with procedures and conditions
18 provided by law, may enter into contracts granting to a property owner, who
19 proposes the expansion, restoration, improvement, or development of an existing
20 structure or structures in a downtown, historic, or economic development district
21 established by a local governing authority or in accordance with law, the right for an
22 initial term of five years after completion of the work to pay ad valorem taxes based
23 upon the assessed valuation of the property for the year prior to the commencement
24 of the expansion, restoration, improvement, or development.  Contracts may be
25 renewed, subject to the same conditions, for an additional five years extending such
26 right for a total of ten years from completion of the work.
27	(I)(1)  Notwithstanding any contrary provision of this Section, the authority
28 or district charged with economic development of each parish is hereby authorized
29 to enter into contracts for the exemption from parish, municipal, and special ad
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1 valorem taxes of goods held in inventory by distribution centers.  In the absence of
2 the existence of an economic development authority or district, the parish governing
3 authority is authorized to grant contracts of exemption as are provided for in this
4 Paragraph.
5	(2)  The contract for exemption shall be on such terms and to the extent, up
6 to and including the full assessed valuation of the goods held in inventory, as the
7 economic development authority or district deems in the best interest of the parish. 
8 However, prior to entering into each individual contract, the economic development
9 authority or district must request and receive written approval of the contract,
10 including its terms and an estimated fiscal impact, from each affected tax recipient
11 body in the parish, as evidenced by a favorable vote of a majority of the members of
12 the governing authority of the tax recipient body.  Failure to receive all required
13 approvals from the tax recipient bodies before entering into a contract shall render
14 the contract null and void and of no effect.
15	(3)  The term "distribution center" as used herein means an establishment
16 engaged in the sale of products for resale or further processing for resale.  The term
17 "goods held in inventory" as used herein means goods or products which have been
18 given new shapes, qualities, or combinations through some artificial process and
19 does not include raw materials such as natural gas, crude oil, sulphur, or timber or
20 goods or products held for sale to consumers.
21	(J)(1)  Drilling rigs used exclusively for the exploration and development of
22 minerals outside the territorial limits of the state in Outer Continental Shelf waters
23 which are within the state for the purpose of being stored or stacked for use outside
24 the territorial limits of the state, or for the purpose of being converted, renovated, or
25 repaired, and any property in the state for the purpose of being incorporated in, or to
26 be used in the operation of said drilling rigs.
27	(2)  The exemption provided in this Paragraph shall be applicable in any
28 parish in which the exemption has been approved by a majority of the electors of the
29 parish voting thereon at an election called for that purpose.
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1	(K)(1)(a)  In addition to the homestead exemption authorized pursuant to the
2 provisions of Section 20 of this Article, which applies to the first seven thousand five
3 hundred dollars of the assessed valuation of property, the next two thousand five
4 hundred dollars of the assessed valuation of property receiving the homestead
5 exemption that is owned and occupied by a veteran with a service-connected
6 disability rating of fifty percent or more but less than seventy percent by the United
7 States Department of Veterans Affairs shall be exempt from ad valorem taxation. 
8 The surviving spouse of a deceased veteran with a service-connected disability rating
9 of fifty percent or more but less than seventy percent by the United States
10 Department of Veterans Affairs shall be eligible for this exemption if the surviving
11 spouse occupies and remains the owner of the property, whether or not the
12 exemption was in effect on the property prior to the death of the veteran.  If property
13 eligible for the exemption provided for in this Subsubparagraph has an assessed
14 value in excess of ten thousand dollars, ad valorem property taxes shall apply to the
15 assessment in excess of ten thousand dollars.
16	(b)  In addition to the homestead exemption authorized pursuant to the
17 provisions of Section 20 of this Article, which applies to the first seven thousand five
18 hundred dollars of the assessed valuation of property, the next four thousand five
19 hundred dollars of the assessed valuation of property owned and occupied by a
20 veteran with a service-connected disability rating of seventy percent or more but less
21 than one hundred percent by the United States Department of Veterans Affairs shall
22 be exempt from ad valorem taxation.  The surviving spouse of a deceased veteran
23 with a service-connected disability rating of seventy percent or more but less than
24 one hundred percent by the United States Department of Veterans Affairs shall be
25 eligible for this exemption if the surviving spouse occupies and remains the owner
26 of the property, whether or not the exemption was in effect on the property prior to
27 the death of the veteran.  If property eligible for the exemption provided for in this
28 Subsubparagraph has an assessed value in excess of twelve thousand dollars, ad
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1 valorem property taxes shall apply to the assessment in excess of twelve thousand
2 dollars.
3	(c)  In addition to the homestead exemption authorized pursuant to the
4 provisions of Section 20 of this Article, which applies to the first seven thousand five
5 hundred dollars of the assessed valuation of property, the remaining assessed
6 valuation of property receiving the homestead exemption that is owned and occupied
7 by a veteran with a service-connected disability rating of one hundred percent
8 unemployability or totally disabled by the United States Department of Veterans
9 Affairs shall be exempt from ad valorem taxation.  The  surviving spouse of a
10 deceased veteran with a service-connected disability rating of one hundred percent
11 unemployability or totally disabled by the United States Department of Veterans
12 Affairs shall be eligible for this exemption if the surviving spouse occupies and
13 remains the owner of the property, whether or not the exemption was in effect on the
14 property prior to the death of the veteran.
15	(2)  Notwithstanding any provision of this Constitution to the contrary, the
16 property assessment of a property for which an exemption established pursuant to
17 this Paragraph has been claimed, to the extent of the applicable exemption, shall not
18 be treated as taxable property for purposes of any subsequent reappraisals and
19 valuation for millage adjustment purposes pursuant to Section 23(B) of this Article. 
20 The decrease in the total amount of ad valorem tax collected by a taxing authority
21 as a result of the exemption shall be absorbed by the taxing authority and shall not
22 create any additional tax liability for other taxpayers in the taxing district as a result
23 of any subsequent reappraisal and valuation or millage adjustment.  Implementation
24 of the exemption authorized in this Paragraph shall neither trigger nor be cause for
25 a reappraisal of property or an adjustment of millages pursuant to the provisions of
26 Section 23(B) of this Article.
27	(3)  A trust shall be eligible for the exemption provided for in this Paragraph
28 as provided by law.
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1	(L)(1)  Except as otherwise provided herein, property owned or leased by,
2 and used by, a targeted non-manufacturing business in the operation of its facility,
3 including buildings, improvements, equipment, and other property necessary or
4 beneficial to such operation, according to a program and pursuant to contracts of
5 exemption which contain such terms and conditions which shall be provided by law.
6 Land underlying the facility and other property pertaining to the facility on which ad
7 valorem taxes have previously been paid, inventories, consumables, and property
8 eligible for the manufacturing exemption provided by Paragraph (F) of this Section,
9 shall not be exempt under this Paragraph.
10	(2)  Ad valorem taxes shall apply to the assessed valuation of the first ten
11 million dollars or ten percent of fair market value, whichever is greater, and this
12 amount of property shall not be exempt under this Paragraph.
13	(3)  A targeted non-manufacturing business means at least fifty percent of
14 such business' total annual sales from a site or sites in the state is to out-of-state
15 customers or buyers, or to in-state customers or buyers but the product or service is
16 resold by the purchaser to an out-of-state customer or buyer for ultimate use, or to
17 the federal government, or any combination thereof.  The legislature may provide by
18 law for the inclusion of sales by affiliates when appropriate in making this fifty
19 percent determination.
20	(4)  A contract for the exemption shall be available only in parishes which
21 have agreed to participate, in the manner provided by the legislature by law.
22	(M) There is hereby established an exemption from ad valorem tax for the
23 total assessed value of the homestead of the unmarried surviving spouse of a person
24 who died under the conditions enumerated in Subsubparagraph (1)(a) or (b) of this
25 Paragraph, and if the conditions established in Subsubparagraph (1)(c) of this
26 Paragraph are met.
27	(1)(a)  For ad valorem taxes due in 2017 and thereafter, the exemption shall
28 apply beginning in the tax year in which any of the following persons died or 2017,
29 whichever is later:
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1	(i)  A member of the armed forces of the United States or the Louisiana
2 National Guard who died while on active duty.
3	(ii)  A state police officer who died while on duty.
4	(iii)  A law enforcement or fire protection officer who qualified for the salary
5 supplement authorized in Section 10(D)(3) of this Article who died while on duty.
6	(b)  For ad valorem taxes due in 2018 and thereafter, the exemption shall
7 apply beginning in the tax year in which any of the following persons died or 2018,
8 whichever is later:
9	(i)  An emergency medical responder, technician, or paramedic, as such terms
10 may be defined by law, who died while performing the duties of their employment.
11	(ii)  A volunteer firefighter, verified by the Office of the State Fire Marshal
12 to have died while performing firefighting duties.
13	(iii)  A law enforcement or fire protection officer who died while on duty and
14 who would have qualified for the salary supplement authorized in Section 10(D)(3)
15 of this Article if he had completed the first year of his employment before his death.
16	(c)(i)  The property is eligible for the homestead exemption and the property
17 was the residence of a person listed within Subsubparagraph (a) or (b) of this
18 Subparagraph at the time of that person's death.
19	(ii) The surviving spouse has not remarried.
20	(iii) The surviving spouse annually provides evidence of their eligibility for
21 the exemption in accordance with the requirements of Subparagraph (2) of this
22 Paragraph.
23	(2) Each assessor shall establish a procedure whereby a person may annually
24 apply for the exemption. Eligibility for the exemption shall be established by the
25 production of documents and certification of information by the surviving spouse to
26 the assessor as follows:
27	(a) In an initial application for the exemption, the surviving spouse shall
28 produce documentation issued by their deceased spouse's employer evidencing the
29 death.
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1	(b) For purposes of the continuation of an existing exemption, the surviving
2 spouse shall annually provide a sworn statement to the assessor attesting to the fact
3 that the surviving spouse has not remarried.
4	(3) Once an unmarried surviving spouse has qualified for and taken the
5 exemption, if the surviving spouse then acquires a different property which qualifies
6 for the homestead exemption, the surviving spouse shall be entitled to an exemption
7 on that subsequent homestead, the exemption being limited in value to the amount
8 of the exemption claimed on the prior homestead in the last year for which the
9 exemption was claimed. The assessor may require the submission of certain
10 information concerning the amount of the exemption on the prior homestead for
11 purposes of determining the extent of the exemption available for the subsequent
12 homestead.
13	(4)  A trust shall be eligible for the exemption provided for in this Paragraph
14 as provided by law.
15	(N)(1) All property delivered to a construction project site for the purpose of
16 incorporating the property into any tract of land, building, or other construction as
17 a component part, including the type of property that may be deemed to be a
18 component part once placed on an immovable for its service and improvement
19 pursuant to the provisions of the Louisiana Civil Code of 1870, as amended.  The
20 exemption provided for in this Paragraph shall be applicable until the construction
21 project for which the property has been delivered is complete.  A construction project
22 shall be deemed complete when construction is finished to the extent that the project
23 can be used or occupied for its intended purpose.  A construction project shall not be
24 deemed complete during its inspection, testing, or commissioning stages, as defined
25 by reasonable industry standards.
26	(2) Notwithstanding the provisions of Subparagraph (1) of this Paragraph,
27 this exemption shall not apply to any of the following:
28	(a) Any portion of a construction project that is complete, available for its
29 intended use, or operational on the date that property is assessed.
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1	(b) For projects constructed in two or more distinct phases, any phase of the
2 construction project that is complete, available for its intended use, or operational on
3 the date the property is assessed.
4	(c) Any public service property, unless the public service property is
5 otherwise eligible for an exemption provided by any other provision of this
6 constitution.
7	(O)(1) In addition to the homestead exemption authorized pursuant to the
8 provisions of Section 20 of this Article, which applies to the first seven thousand five
9 hundred dollars of the assessed valuation of property, a parish governing authority
10 may approve an ad valorem tax exemption of up to two thousand five hundred
11 dollars of the assessed valuation of property receiving the homestead exemption that
12 is owned and occupied by a qualified first responder.
13	(2) For the purposes of this Paragraph, "first responder" shall mean a
14 volunteer firefighter who has completed within the tax year no fewer than twenty-
15 four hours of firefighter continuing education and is an active member of the
16 Louisiana State Firemen's Association or is on the departmental personnel roster of
17 the Volunteer Firefighter Insurance Program of the office of state fire marshal. For
18 the purposes of this Paragraph, "first responder" shall also mean a full-time public
19 employee whose duties include responding rapidly to an emergency and who resides
20 in the same parish in which their employer is located. The term includes the
21 following:
22	(a) Peace officer, which means any sheriff, police officer, or other person
23 deputized by proper authority to serve as a peace officer.
24	(b) Fire protection personnel.
25	(c) An individual certified as emergency medical services personnel.
26	(d) An emergency response operator or emergency services dispatcher who
27 provides communication support services for an agency by responding to requests
28 for assistance in emergencies.
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1	(3) The exemption provided for in this Paragraph shall only apply in a parish
2 if it is approved by the parish governing authority.
3	(4) Each tax assessor shall establish a procedure whereby a person may
4 annually apply for the exemption which shall include the production of documents
5 by the first responder. In the application for the exemption, the first responder shall
6 produce documentation issued by his employer evidencing employment for the
7 taxable period for which the exemption is being requested.
8	(5) Notwithstanding any provision of this Constitution to the contrary, any
9 decrease in the total amount of ad valorem tax collected by the taxing authority as
10 a result of an ad valorem tax exemption granted pursuant to this Paragraph shall be
11 absorbed by the taxing authority and shall not create any additional tax liability for
12 other taxpayers in the taxing district as a result of any subsequent reappraisal and
13 valuation or millage adjustment. Implementation of the exemption authorized in this
14 Paragraph shall neither trigger nor be cause for a reappraisal of property or an
15 adjustment of millages.
16 §35.  Ad Valorem Tax Exemption Funding
17	Section 35. There shall be a one-time payment from the Revenue
18 Stabilization Trust Fund to each parish that elects to irrevocably exempt, in
19 accordance with law, business inventory from ad valorem tax. Any payment made
20 pursuant to this Section shall be disbursed by the treasurer to the tax collector of the
21 parish. The tax collector shall distribute the monies pro rata to each taxing authority
22 that levies an ad valorem tax within the parish. The amount of the payment shall be
23 calculated as provided by law and certified by the Department of Revenue. 
24 Notwithstanding any provision of this constitution to the contrary, monies shall be
25 disbursed by the treasurer to the collector within thirty days of receipt of a
26 certification from the secretary of the Department of Revenue that the parish has
27 irrevocably elected to exempt business inventory from ad valorem tax.
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1 §22. §36.  No Impairment of Existing Taxes or Obligations 
2	Section 22. Section 36.  This Part Nothing in this constitution or in law shall
3 not be applied in a manner which will (a) invalidate taxes authorized and imposed
4 prior to the effective date of this constitution or (b) impair the obligations, validity,
5 or security of any bonds or other debt obligations authorized prior to the effective
6 date of this constitution or any amendment to this Article.  
7 §23.  Adjustment of Ad Valorem Tax Millages
8	Section 23.(A)  First Adjustment.  Prior to the end of the third year after the
9 effective date of this constitution, the assessors and the Louisiana Tax Commission
10 or its successor shall complete determination of the fair market value or the use value
11 of all property subject to taxation within each parish for use in implementing this
12 Article.  Except as provided in this Section, the total amount of ad valorem taxes
13 collected by any taxing authority in the year in which Sections 18 and 20 of this
14 Article are implemented shall not be increased or decreased, because of their
15 provisions, above or below ad valorem taxes collected by that taxing authority in the
16 year preceding implementation.  To accomplish this result, it shall be mandatory for
17 each affected taxing authority, in the year in which Sections 18 and 20 of this Article
18 are implemented, to adjust millages upwards or downwards without regard to millage
19 limitations contained in this constitution, and the maximum authorized millages shall
20 be increased or decreased, without further voter approval, in proportion to the
21 amount of the adjustment upward or downward.  Thereafter, such millages shall
22 remain in effect unless changed as permitted by this constitution.
23	(B)  Subsequent Adjustments.  Except as otherwise permitted in this Section,
24 the total amount of ad valorem taxes collected by any taxing authority in the year in
25 which the reappraisal and valuation provisions of Section 18, Paragraph (F) of this
26 Article are implemented shall not be increased or decreased because of a reappraisal
27 or valuation or increases or decreases in the homestead exemption above or below
28 the total amount of ad valorem taxes collected by that taxing authority in the year
29 preceding implementation of the reappraisal and valuation.  To accomplish this
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1 result, the provisions of millage adjustments relative to implementation of Section
2 18 and Section 20 of this Article, as set forth in Paragraph (A) of this Section shall
3 be mandatory.  Thereafter, following implementation of each subsequent reappraisal
4 and valuation required by Paragraph (F) of Section 18 of this Article, the millages
5 as fixed in each such implementation shall remain in effect unless changed as
6 permitted by Paragraph (C) of this Section.
7	(C)  Increases Permitted.  Nothing herein shall prohibit a taxing authority
8 from collecting, in the year in which Sections 18 and 20 of this Article are
9 implemented or in any subsequent year, a larger dollar amount of ad valorem taxes
10 by (1) levying additional or increased millages as provided by law or (2) placing
11 additional property on the tax rolls.  Increases in the millage rate in excess of the
12 rates established as provided by Paragraph (B) above but not in excess of the prior
13 year's maximum authorized millage rate may be levied by two-thirds vote of the total
14 membership of a taxing authority without further voter approval but only after a
15 public hearing held in accordance with the open meetings law; however, in addition
16 to any other requirements of the open meetings law, public notice of the time, place,
17 and subject matter of such hearing shall be published on two separate days no less
18 than thirty days before the public hearing.  Such public notice shall be published in
19 the official journal of the taxing authority, and another newspaper with a larger
20 circulation within the taxing authority than the official journal of the taxing
21 authority, if there is one.
22	(D)  Application.  This Section shall not apply to millages required to be
23 levied for the payment of general obligation bonds.
24 §24. §37.  Tax Assessors
25	Section 24.  Section 37.(A)  Election; Term.  A tax assessor shall be elected
26 by the electors of each parish.  His The term of office shall be four years.  His A tax
27 assessor's election, duties, and compensation shall be as provided by law.
28	(B)  Orleans Parish.  The assessor shall be elected at the same time as the
29 municipal officers of New Orleans.
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1	(C)  Vacancy.  When a vacancy occurs in the office of tax assessor, the duties
2 of the office, until filled by election as provided by law, shall be assumed by the
3 chief deputy assessor.
4 §25. §38.  Tax Sales Administration
5	Section 25. Section 38.(A) Tax Sales Immovables. (1) There shall be no
6 forfeiture of property for nonpayment of taxes. However, the assessment of ad
7 valorem taxes and other impositions on immovable property shall constitute a lien
8 and privilege on the property assessed in favor of the political subdivision to which
9 taxes and other impositions are owed. The legislature shall provide, by law, for the
10 efficient administration of tax sales, which shall include at a minimum:
11	(a) Imposition of interest on the delinquent taxes and other impositions not
12 to exceed one percent per month on a noncompounding basis.
13	(b) Imposition of penalty not to exceed five percent of the delinquent taxes
14 and other impositions.
15	(c) A period of time during which the lien cannot be enforced.
16	(d) A procedure for claiming the excess proceeds from the sale of the
17 property, as a result of the enforcement of the lien.
18	(2) The legislature may, by law, provide authority to the tax collector to
19 waive penalties for good cause.
20 at the expiration of the year in which the taxes are due, the collector, without suit,
21 and after giving notice to the delinquent in the manner provided by law, shall
22 advertise for sale the property on which the taxes are due. The advertisement shall
23 be published in the official journal of the parish or municipality, or, if there is no
24 official journal, as provided by law for sheriffs' sales, in the manner provided for
25 judicial sales. On the day of sale, the collector shall sell the portion of the property
26 which the debtor points out. If the debtor does not point out sufficient property, the
27 collector shall sell immediately the least quantity of property which any bidder will
28 buy for the amount of the taxes, interest, and costs. The sale shall be without
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1 appraisement. A tax deed by a tax collector shall be prima facie evidence that a valid
2 sale was made.
3	(2) If property located in a municipality with a population of more than four
4 hundred fifty thousand persons as of the most recent federal decennial census fails
5 to sell for the minimum required bid in the tax sale, the collector may offer the
6 property for sale at a subsequent sale with no minimum required bid. The proceeds
7 of the sale shall be applied to the taxes, interest, and costs due on the property, and
8 any remaining deficiency shall be eliminated from the tax rolls.
9	(B) Redemption. (1) The property sold shall be redeemable for three years
10 after the date of recordation of the tax sale, by paying the price given, including
11 costs, five percent penalty thereon, and interest at the rate of one percent per month
12 until redemption.
13	(2) In the city of New Orleans, when such property sold is residential or
14 commercial property which is abandoned property as defined by R.S. 33:4720.12(1)
15 or blighted property as defined by Act 155 of the 1984 Regular Session, it shall be
16 redeemable for eighteen months after the date of recordation of the tax sale by
17 payment in accordance with Subparagraph (1) of this Paragraph.
18	(3) In any parish other than Orleans, when such property sold is vacant
19 residential or commercial property which has been declared blighted, as defined by
20 R.S. 33:1374(B)(1) on January 1, 2013, or abandoned, as defined by R.S.
21 33:4720.59(D)(2) on January 1, 2013, it shall be redeemable for eighteen months
22 after the date of recordation of the tax sale by payment in accordance with
23 Subparagraph (1) of this Paragraph.
24	(C) Annulment. No sale of property for taxes shall be set aside for any cause,
25 except on proof of payment of the taxes prior to the date of the sale, unless the
26 proceeding to annul is instituted within six months after service of notice of sale. A
27 notice of sale shall not be served until the final day for redemption has ended. It must
28 be served within five years after the date of the recordation of the tax deed if no
29 notice is given. The fact that taxes were paid on a part of the property sold prior to
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1 the sale thereof, or that a part of the property was not subject to taxation, shall not
2 be cause for annulling the sale of any part thereof on which the taxes for which it
3 was sold were due and unpaid. No judgment annulling a tax sale shall have effect
4 until the price and all taxes and costs are paid, and until ten percent per annum
5 interest on the amount of the price and taxes paid from date of respective payments
6 are paid to the purchaser; however, this shall not apply to sales annulled because the
7 taxes were paid prior to the date of sale.
8	(D) Quieting Tax Title. The manner of notice and form of proceeding to quiet
9 tax titles shall be provided by law.
10	(E)(B)  Movables; Tax Sales.  When taxes on movables are delinquent, the
11 tax collector shall seize and sell sufficient movable property of the delinquent
12 taxpayer to pay the tax, whether or not the property seized is the property which was
13 assessed. Sale of the property shall be at public auction, without appraisement, after
14 ten days advertisement, published within ten days after date of seizure. It shall be
15 absolute and without redemption.
16 If the tax collector can find no corporeal movables of the delinquent to seize,
17 he may levy on incorporeal rights, by notifying the debtor thereof, or he may proceed
18 by summary rule in the courts to compel the delinquent to deliver for sale property
19 in his possession or under his control.
20	(F)(C)  Postponement of Taxes. The legislature may postpone the payment
21 of taxes, but only in cases of an emergency declared by the governor or a parish
22 president pursuant to the Louisiana Homeland Security and Emergency Assistance
23 and Disaster Act, overflow, general conflagration, general crop destruction, or other
24 public calamity, and may provide for the levying, assessing, and collecting of such
25 postponed taxes. In such case, the legislature may authorize the borrowing of money
26 by the state on its faith and credit, by bond issue or otherwise, and may levy taxes,
27 or apply taxes already levied and not appropriated, to secure payment thereof, in
28 order to create a fund from which loans may be made through the Interim Emergency
29 Board to the governing authority of the parish where the calamity occurs taxes are
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1 postponed. The money loaned shall be applied to and shall not exceed the deficiency
2 in revenue of the parish or a political subdivision therein or of which the parish is a
3 part, caused by postponement of taxes. No loan shall be made to a parish governing
4 authority without the approval of the Interim Emergency Board.
5	PART III.  REVENUE SHARING
6 §26. §39.  Revenue Sharing Fund 
7	Section 26. Section 39.(A)  Creation of Fund.  The Revenue Sharing Fund is
8 created as a special fund in the state treasury.  
9	(B)  Annual Allocation.  The sum of ninety million dollars is shall be
10 allocated annually from the state general fund to the revenue sharing fund.  The
11 legislature may appropriate additional sums to the fund.  
12	(C)  Distribution Formula.  The revenue sharing fund shall be distributed
13 annually as provided by law solely on the basis of population and number of
14 homesteads in each parish in proportion to population and the number of homesteads
15 throughout the state.  Unless otherwise provided by law, population statistics of the
16 last federal decennial census shall be utilized for this purpose.  After deductions in
17 each parish for retirement systems and commissions as authorized by law, the
18 remaining funds, to the extent available, shall be distributed by first priority to the
19 tax recipient bodies within the parish, as defined by law, to offset current losses
20 because of the homestead exemptions granted exemption permitted in this Article. 
21 Any balance remaining in a parish distribution shall be allocated to the
22 municipalities and tax recipient bodies within each parish as provided by law.  
23	(D)  Distributing Officer.  The funds distributed to each parish as provided
24 in Paragraph (C) shall be distributed in Orleans Parish by the city treasurer of New
25 Orleans and in all other parishes by the parish tax collector.  The funds allocated to
26 the Monroe City School Board or its successor shall be distributed to and by the city
27 treasurer of Monroe.  
28	(E)  Bonded Debt. A political subdivision, as defined by Article VI of this
29 constitution, may incur debt by issuing negotiable bonds and may pledge for the
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1 payment of all or part of the principal and interest of such bonds the proceeds
2 derived or to be derived from that portion of the funds received by it from the
3 revenue sharing fund, to offset current losses caused by the homestead exemptions
4 granted exemption permitted by this Article.  Unless otherwise provided by law, no
5 moneys monies allocated within any parish from the balance remaining in its
6 distribution may be pledged to the payment of the principal or interest of any bonds. 
7 Bonds issued under this Paragraph shall be issued and sold as provided by law, and
8 shall require approval of the State Bond Commission or its successor prior to
9 issuance and sale.  
10	PART IV.  TRANSPORTATION
11 §27.  Transportation Trust Fund
12	Section 27.(A)  Creation of fund.  Effective January 1, 1990, there shall be
13 established in the state treasury as a special permanent trust fund the Transportation
14 Trust Fund ("the trust fund") in which shall be deposited the "excess revenues" as
15 defined herein which are a portion of the avails received in each year from all taxes
16 levied on gasoline and motor fuels and on special fuels (said avails being referred to
17 as the "revenues") as provided herein.  After satisfying pledges respecting that
18 portion of the revenues attributable to the tax rates in effect at the time of such
19 pledges for the payment of obligations for bonds or other evidences of indebtedness
20 on the effective date of this Section, the treasurer shall allocate such portion of the
21 revenues received in each year as necessary to pay all principal, interest, premium,
22 if any, and other obligations incident to the issuance, security, and payment in
23 respect of bonds as authorized in Paragraph (C) hereof.  Thereafter, the portion of the
24 revenues remaining shall be deposited in the Bond Security and Redemption Fund
25 in the state treasury.  After (1) the payment of any obligations for bonds or other
26 evidences of indebtedness in existence on the effective date of this Section which are
27 secured by revenues; (2) payments in respect of bonds authorized in Paragraph (C)
28 hereof; and (3) credit to the Bond Security and Redemption Fund, the treasurer shall
29 deposit in and credit to the trust fund all of the revenues remaining (the "excess
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1 revenues") from the avails of all taxes levied on gasoline and motor fuels and on
2 special fuels, as follows: for the fiscal year beginning July 1, 1989, the avails of
3 twelve cents per gallon of said taxes received on and after January 1, 1990; for the
4 fiscal year beginning on July 1, 1990, the avails of fourteen cents per gallon of said
5 taxes; for the fiscal year beginning on July 1, 1991, and thereafter, the avails of all
6 taxes levied on gasoline and motor fuels and on special fuels.  Purchases of gasoline,
7 diesel fuel, or special fuels which are subject to excise tax under Chapter 7 of
8 Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950 shall be exempt from
9 the state sales tax and any sales tax levied by a political subdivision as defined by
10 Article VI, Section 44(2).  All monies appropriated by the Federal Highway
11 Administration and the Federal Aviation Administration, or their successors, either
12 reimbursed or paid directly, shall be paid directly or deposited in and credited to the
13 trust fund.
14	(B)(1)  Except as provided for in Subparagraph (2) of this Paragraph, the
15 monies in the trust fund shall be appropriated or dedicated solely and exclusively for
16 the costs for and associated with construction and maintenance of the roads and
17 bridges of the state and federal highway systems, the Statewide Flood-Control
18 Program or its successor, ports, airports, transit, and the Parish Transportation Fund
19 or its successor and for the payment of all principal, interest, premium, if any, and
20 other obligations incident to the issuance, security, and payment in respect of bonds
21 or other obligations payable from the trust fund as authorized in Paragraph (D) of
22 this Section.  Unless pledged to the repayment of bonds authorized in Paragraphs (C)
23 or (D) of this Section, the monies in the trust fund allocated to ports, airports, flood
24 control, parish transportation, and state highway construction shall be appropriated
25 annually by the legislature only pursuant to programs established by law which
26 establish a system of priorities for the expenditure of such monies, except that the
27 Transportation Infrastructure Model for Economic Development, which shall include
28 only those projects enumerated in House Bill 17 of the 1989 First Extraordinary
29 Session of the Legislature and US Highway 61 from Thompson Creek to the
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1 Mississippi Line, in lieu of "US 61-Bains to Mississippi Line", and US Highway 165
2 from I-10 to Alexandria to Monroe to Bastrop and thence on US Highway 425 from
3 Bastrop to the Arkansas Line, in lieu of "US 165-I-10 Alexandria-Monroe-Bastrop-
4 Arkansas Line" and LA 15-Natchez, Mississippi to Chase in lieu of "LA 15-Natchez,
5 Mississippi to Monroe", shall be funded as provided by law.  The state-generated tax
6 monies appropriated for ports, Parish Transportation Fund, or its successor, and the
7 Statewide Flood-Control Program, or its successor shall not exceed twenty percent
8 annually of the state-generated tax revenues in the trust fund; provided, however, that
9 no less than the avails of one cent of the tax on gasoline and special fuels shall be
10 appropriated each year to the Parish Transportation Fund, or its successor.  The
11 annual appropriation for airports shall be a sum equal to, but not greater than, the
12 annual estimated revenue to be derived from the state taxes to be collected and
13 received on aviation fuel. Unencumbered and unexpended balances at the end of
14 each fiscal year shall remain in the trust fund.  The earnings realized in each fiscal
15 year on the investment of monies in the trust fund shall be deposited in and credited
16 to the trust fund.
17	(2)  There is hereby established in the Transportation Trust Fund a special
18 subfund to be known as the "Construction Subfund", hereinafter referred to as "the
19 subfund", in which shall be deposited the avails of any new taxes that become
20 effective and are levied on gasoline, motor fuels, or special fuels on or after July 1,
21 2017.  The monies in the subfund shall be appropriated and dedicated solely for the
22 direct costs associated with actual project delivery, construction, and maintenance
23 of transportation and capital transit infrastructure projects of the state and local
24 government.  The monies in the subfund that are appropriated by the legislature to
25 the Department of Transportation and Development, or its successor, shall not be
26 utilized by the department for the payment of employee wages and related benefits
27 or employee retirement benefits.
28	(C)  The State Bond Commission or its successor, may issue and sell bonds,
29 notes, or other obligations ("Bonds") secured by a pledge of a portion of the revenues
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1 not to exceed the avails of four cents per gallon of the taxes on gasoline and motor
2 fuels and on special fuels received by the state treasurer.  Bonds so issued may also
3 be secured by a pledge of all or a portion of excess revenues as additional security
4 therefor, and if so pledged any portion thereof needed to pay principal, interest, or
5 premium, if any, and other obligations incident to the issuance, security, and
6 payment in respect to Bonds may be expended by the treasurer without the need for
7 legislative appropriation.  The Bonds may be issued in the manner set forth in this
8 Section to provide for the costs for and associated with construction and maintenance
9 of the roads and bridges of the state and federal highway systems, Statewide
10 Flood-Control Program, ports, airports, and for any other purpose for which monies
11 in the trust fund may be expended as provided by law.  Such Bonds shall not be
12 considered to be debt under Article VII, Section 6, unless the provisions of Article
13 VII, Section 6, relative to incurring debt by the state are met, in which case the full
14 faith and credit of the state may also be pledged in addition to the revenues received
15 by the treasurer.
16	(D)  The State Bond Commission or its successor may also issue and sell
17 bonds, notes, or other obligations secured by a pledge of the excess revenues
18 deposited in the trust fund, which shall otherwise be issued in the manner and for the
19 purposes provided for in this Section, and if so pledged any portion thereof needed
20 to pay principal, interest, or premium, if any, and other obligations incident to the
21 issuance, security, and payment in respect thereof may be expended by the treasurer
22 without the need for legislative appropriation.
23	(E)  Bonds, notes, or other obligations issued pursuant to the provisions of
24 Paragraphs (C) or (D) above may be issued in the manner provided by resolution of
25 the State Bond Commission or its successor under the authority of said Paragraphs
26 without compliance with any other requirement of this constitution or law.  To that
27 end, said Paragraphs (C) and (D) hereof shall be deemed self-operative.
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1	PART V. PART IV. UNCLAIMED PROPERTY
2 §28. §40. Louisiana Unclaimed Property Permanent Trust Fund
3	Section 28.  Section 40.(A) Creation of Fund. (1) Effective July 1, 2021, there
4 shall be established in the state treasury as a special permanent trust fund, the
5 Louisiana Unclaimed Property Permanent Trust Fund, referred to in this Section as
6 the "UCP Permanent Trust Fund". No appropriation shall be made from the UCP
7 Permanent Trust Fund.
8	(2) The purpose of the UCP Permanent Trust Fund is to ensure a source of
9 payment for claims made by owners of unclaimed property. After allocation of
10 money to the Bond Security and Redemption Fund as provided in Article VII,
11 Section 9(B) 13(B) of this Constitution, after the payment of all administrative fees,
12 costs, and expenses as provided by law, and after the deposit of monies into the
13 Unclaimed Property Leverage Fund, the treasurer shall annually deposit in and credit
14 to the UCP Permanent Trust Fund the net amount of all monies received as a result
15 of the Uniform Unclaimed Property Act of 1997 or its successor.
16	(3) Realized capital gains, dividend income, and interest income, earned on
17 the investments in the UCP Permanent Trust Fund, net of trust fund investment and
18 administrative expenses, shall be deposited into the state general fund.
19	(4) All monies shall be credited to the fund as provided in Subparagraph (2)
20 of this Paragraph until the balance in the UCP Permanent Trust Fund equals the
21 amount of the state's potential liability to unclaimed property claimants as reported
22 in the previous fiscal year pursuant to Paragraph (C) of this Section. All money
23 received above the state's potential liability to unclaimed property claimants as
24 reported by the state treasurer shall be deposited into the state general fund.
25	(B) Investment and Administration. The money credited to the UCP
26 Permanent Trust Fund pursuant to Paragraph (A) of this Section shall be permanently
27 credited to the UCP Permanent Trust Fund and shall be invested by the treasurer.
28 Notwithstanding any provision of this constitution to the contrary, a portion of
29 money in the UCP Permanent Trust Fund, not to exceed fifty percent of the money
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1 in the UCP Permanent Trust Fund, may be invested in equities. The legislature shall
2 establish by law procedures for the investment of such monies. The treasurer may
3 contract, subject to the approval of the State Bond Commission, for the management
4 of such investments. Investment earnings shall be available for appropriation to pay
5 expenses incurred in the investment and management of the UCP Permanent Trust
6 Fund.
7	(C) Reports; Allocation. (1) Not less than sixty days prior to the beginning
8 of each regular session of the legislature, the state treasurer shall submit to the
9 legislature and the governor a report of the following:
10	(a) The balance of the UCP Permanent Trust Fund as of the close of the prior
11 fiscal year.
12	(b) The state's potential liability to unclaimed property claimants as of the
13 close of the prior fiscal year.
14	(2) Notwithstanding the provisions of Subparagraph (1) of this Paragraph, not
15 less than sixty days prior to the beginning of the 2022 Regular Session of the
16 legislature, the state treasurer shall submit to the legislature and the governor a report
17 of the following:
18	(a) The balance of the UCP Permanent Trust Fund as of January 1, 2022.
19	(b) The state's potential liability to unclaimed property claimants as of the
20 close of the prior fiscal year.
21	(3) (2)  If unclaimed property claims exceed receipts, the state treasurer shall
22 certify the amount needed to pay received claims and shall allocate sufficient funds
23 from the UCP Permanent Trust Fund to pay that amount. The state treasurer shall
24 also immediately notify the legislature and governor of the amount transferred from
25 the UCP Permanent Trust Fund and amount remaining in the UCP Permanent Trust
26 Fund.
27	(D) Private Property. Property received by the state pursuant to the Uniform
28 Unclaimed Property Act of 1997 or its successor and deposited into the UCP
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1 Permanent Trust Fund is private property held in trust until a claim is made for it by
2 the owner.
3 Section 2.  Article VII, Sections 2.1, 2.2, 2.3, 4.1, 10.1 through 10.16, and 10-A of
4the Constitution of Louisiana are hereby repealed in their entirety.
5 Section 3.  Notwithstanding any provision of this Act to the contrary, for the
6remainder of Fiscal Year 2024-2025, in addition to the revenues dedicated by Art. VII,
7Section 15(A)(1) and (3) through (5) of this constitution as provided in this Act, any
8revenues received in Fiscal Year 2024-2025 by the state after the effective date of this
9Section in excess of nine hundred fifty million dollars as a result of the production of or
10exploration for minerals, hereinafter referred to as mineral revenues, including severance
11taxes, royalty payments, bonus payments, or rentals, and excluding such revenues designated
12as nonrecurring pursuant to Article VII, Section 14(B) of the constitution as provided in this
13Act, any such revenues received by the state as a result of grants or donations when the terms
14or conditions thereof require otherwise, and revenues derived from any tax on the
15transportation of minerals, shall be deposited into the Budget Stabilization fund after the
16following allocations of the mineral revenues have been made:
17 (A)  To the Bond Security and Redemption Fund as provided by Article VII, Section
1813(B) of this constitution, as provided in this Act.
19 (B)  To the political subdivisions as provided in Article VII, Sections 8 (B) and (C)
20of this constitution, as provided in this Act.
21 (C) To the Louisiana Wildlife and Fisheries Conservation Fund, as provided by law.
22 Section 4.  Notwithstanding any provision of this  Act to the contrary, for Fiscal Year
232024-2025, the annual appropriation from the Transportation Trust Fund for airports shall
24be a sum equal to, but not greater than, the annual estimated revenue to be derived from the
25state taxes to be collected and received on aviation fuel. 
26 Section 5.  Be it further resolved that this proposed amendment shall be submitted
27to the electors of the state of Louisiana at the statewide election to be held on March 29,
282025.
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1 Section 6.(A)  Be it further resolved that, if the electors of the state adopt an
2amendment on December 7, 2024, amending Article VII, Section 25 of the Constitution of
3Louisiana, then on the official ballot to be used at the March 29, 2025 election, there shall
4be printed a proposition, upon which the electors of the state shall be permitted to vote YES
5or NO, to amend the Constitution of Louisiana, which proposition shall read as follows:
6	Do you support an amendment to revise Article VII of the Constitution of
7	Louisiana, including revisions to modify the legislature's authority to enact
8	or change certain measures; require the state to pay certain retirement debt
9	of the Teachers' Retirement System of Louisiana; require payment of a
10	permanent salary increase to certain school personnel from savings
11	attributable to payment of retirement debt; require certain substantive
12	provisions be provided for by law rather than in the constitution; preserve
13	taxes imposed and bonds authorized prior to any change in Article VII;
14	repeal minimum rate for certain taxes; provide for ownership of monies
15	collected by the state on behalf of others; modify authority of political
16	subdivisions to levy certain kinds of taxes; modify calculation and remittal
17	of severance taxes; modify provisions regarding calculation of ad valorem
18	tax liability, authorize the legislature to provide for certain aspects of ad
19	valorem taxation by law, repeal provisions authorizing contractual exceptions
20	from ad valorem tax in certain circumstances; authorize payment from the
21	Revenue Stabilization Trust Fund to each parish that exempts business
22	inventory from ad valorem tax; create new classes of funds in the state
23	treasury and provide requirements and restrictions thereon; designate certain
24	existing funds as members of such new classes; repeal certain funds in their
25	entirety; remove certain funds from the constitution; modify operation of
26	certain funds remaining in the constitution; modify how the expenditure limit
27	is calculated; repeal provisions relative to dedication of certain mineral
28	revenues; and make technical and conforming changes? (Amends Article
29	VII, Sections 1 through 28; Adds Article VII, Sections 29 through 40)
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1 (B)  Be it further resolved that, if the electors of the state reject an amendment on
2December 7, 2024, amending Article VII, Section 25 of the Constitution of Louisiana, then
3on the official ballot to be used at the March 29, 2025 election, there shall be printed a
4proposition, upon which the electors of the state shall be permitted to vote YES or NO, to
5amend the Constitution of Louisiana, which proposition shall read as follows:
6	Do you support an amendment to revise Article VII of the Constitution of
7	Louisiana, including revisions to modify the legislature's authority to enact
8	or change certain measures; require the state to pay certain retirement debt
9	of the Teachers' Retirement System of Louisiana; require payment of a
10	permanent salary increase to certain school personnel from savings
11	attributable to payment of retirement debt; require certain substantive
12	provisions be provided for by law rather than in the constitution; preserve
13	taxes imposed and bonds authorized prior to any change in Article VII;
14	repeal minimum rate for certain taxes; provide for ownership of monies
15	collected by the state on behalf of others; modify authority of political
16	subdivisions to levy certain kinds of taxes; modify calculation and remittal
17	of severance taxes; modify provisions regarding calculation of ad valorem
18	tax liability, authorize the legislature to provide for certain aspects of ad
19	valorem taxation by law, repeal provisions authorizing contractual exceptions
20	from ad valorem tax in certain circumstances; authorize payment from the
21	Revenue Stabilization Trust Fund to each parish that exempts business
22	inventory from ad valorem tax; create new classes of funds in the state
23	treasury and provide requirements and restrictions thereon; designate certain
24	existing funds as members of such new classes; repeal certain funds in their
25	entirety; remove certain funds from the constitution; modify operation of
26	certain funds remaining in the constitution; modify how the expenditure limit
27	is calculated; repeal provisions relative to dedication of certain mineral
28	revenues; modify provisions regarding tax sales for nonpayment of property
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1	taxes; and make technical and conforming changes? (Amends Article VII,
2	Sections 1 through 28; Adds Article VII, Sections 29 through 40)
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 7 Original 2024 Third Extraordinary Session Emerson
Abstract: Revises Article VII of the Constitution of La. relative to revenue and finance.
Present constitution (Article XIII, §1) authorizes revision of present constitution by joint
resolution.  Authorizes revision of an entire article of present constitution in one instrument,
which may contain multiple objects.  Authorizes repeal of a Section or subdivision by
reference.  Proposed constitutional amendment retains present constitution.
Proposed constitutional amendment, as more fully described below,  revises Article VII of
the state constitution relative to revenue and finance. 
POWER TO TAX
Present constitution (Art. VII, §1) vests the power of taxation in the legislature and prohibits
the judicial branch from exercising this power through court order.  Proposed constitutional
amendment retains present constitution.
Present constitution (Art. VII, §2) requires a law enacted by a 2/3 vote of the legislature to
levy a new tax, increase an existing tax, or repeal an existing tax exemption.  Proposed
constitution retains present constitution and further requires enactment by a 2/3 vote of the
legislature for the enactment of an exemption, exclusion, deduction, credit, or rebate or an
increase in the amount of a deduction, credit, or rebate.
Present constitution (Art. VII, §2.1) provides requirements for enactment of new fees or civil
fines or increases in existing fees or civil fines imposed by the state or any board,
department, or agency thereof.  Proposed constitutional amendment redesignates present
constitution as Art. VII, §3 and otherwise retains present constitution.
Present constitution (Art. VII, §2.2) establishes limitations on the state's authority to levy
sales and use taxes on food for home consumption (as defined by law); natural gas,
electricity, and water sold directly to the consumer for residential use; and prescription
drugs.  Proposed constitutional amendment redesignates present constitution as Art. VII, §4
and prohibits the state and any political subdivision from levying sales and use tax or ad
valorem tax on prescription drugs.  Otherwise retains present constitution.  Further requires
a political subdivision to levy a tax upon any sale at retail, use, lease, rental, consumption,
or storage as required by law.
Present constitution (Art. VII, §2.3) prohibits new taxes or fees upon the sale or transfer of
immovable property after Nov. 30, 2011.  Proposed constitutional amendment redesignates
present constitution as Art. VII, §5 and otherwise retains present constitution.  Moves
present constitution (Art. VII, §4) prohibition on the levy of severance, income, inheritance,
or motor fuel taxes by a political subdivision to proposed constitutional amendment §5. 
Otherwise retains said prohibition.  Further prohibits the enactment on and after January 1,
2026, of any new sales and use tax exemption, exclusion, credit, rebate, or refund unless it
is applicable to both the state and political subdivisions.
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Present constitution (Art. VII, §3) requires the legislature to prohibit the issuance of process
to restrain the collection of any tax.  Requires the prompt remittance to political subdivisions
of funds collected by the single collector or centralized collection arrangement. Authorizes
the legislature to provide by law for the collection of sales and use taxes levied by political
subdivisions, by a central collection commission in parishes where a single collector has not
been established.  Proposed constitutional amendment redesignates present constitution as
Art. VII, §6 and otherwise retains present constitution.  Present constitution requires a single
collector for each parish for sales and use taxes levied by political subdivisions in said parish
prior to July 1, 1992.  Proposed constitutional amendment repeals present constitution. 
Further provides that if the Dept. of Revenue or its successor becomes the central sales and
use tax collector, the revenues it collects on behalf of a taxing authority are not state money,
are to be held in trust, and are property of the taxing authority which imposed the tax. 
Prohibits commingling of such monies with state monies.
INCOME TAXES
Present constitution (Art. VII, §4) authorizes levy of income tax and establishes a maximum
rate.  Proposed constitutional amendment redesignates present constitution as Art. VII, §7
and retains present constitution.  Present constitution authorizes federal income taxes paid
as an allowed deductible in the computation of state income taxes for the same period. 
Proposed constitutional amendment repeals present constitution.  Proposed constitutional
amendment further provides that for tax years beginning after Dec. 31, 2025, a person sixty-
five years of age or older is entitled to an additional standard deduction equal to the amount 
applicable for a single individual provided by law (R.S. 47:294).
SEVERANCE TAXES
Present constitution (Art. VII, §4) authorizes the levy of taxes by the state on natural
resources severed from the soil or water.  Proposed constitutional amendment redesignates
the severance tax provisions as Art. VII, §8 otherwise and retains this authorization.  Present
constitution establishes specific authorizations, requirements, and prohibitions regarding the
levy of severance taxes by the state.  Proposed constitutional amendment repeals these
authorizations, requirements, and prohibitions.  Present constitution further provides that the
presence of oil or gas or the production thereof may be included in the methodology to
determine the fair market value of an oil or gas well for ad valorem taxes.  Proposed
constitutional amendment repeals this authorization.
Present constitution (Art. VII, §4) requires remittal of certain portions of sulphur severance,
lignite severance, timber severance, and other natural resources (other than sulphur, lignite,
or timber) to the governing authority of the parish in which severance or production occurs. 
Proposed constitutional amendment retains present constitution (as Art. VII, §8).  Present
constitution establishes specific allocations of severance taxes (and monetary caps on such
allocations) that are to be remitted pursuant to present constitution, based on when the
allocation is made. Pursuant to present constitution, governing authorities are to receive the
following:
(1)1/3 of the sulphur severance tax, not to exceed $100,000.
(2)1/3 of the lignite severance tax, not to exceed $100,000.
(3)1/5 of the severance tax on all natural resources other than sulphur, lignite, or timber,
not to exceed $850,000; however, this cap is increased each year since 2008, by an
amount equal to the average annual increase in the Consumer Price Index for all
urban consumers.
(4)3/4 of the timber severance, without cap.
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Present constitution further provides for revised distribution of such severance taxes,
beginning with the first official forecast that shows severance tax revenues from natural
resources other than sulphur, lignite, or timber exceed the actual severance tax revenues
from such resources collected in FY 2008-2009.   Proposed constitutional amendment
repeals these allocations, caps, and revised distribution schedule and establishes the
allocation as follows:
(1)1/3 of the sulphur severance tax.
(2)1/3 of the lignite severance tax.
(3)1/5 of the severance tax on all natural resources other than sulphur, lignite, or timber.
(4)3/4 of the timber severance tax.
Further authorizes the legislature to place limitations on such allocation by law.
Present constitution dedicates 1/10 of the royalties from mineral leases on state-owned land
and lake and river beds and other water bottoms belonging to the state to the governing
authority of the parish in which severance or production occurs. Further authorizes the
governing authority to fund such royalties into general obligation bonds. Proposed
constitutional amendment retains present constitution.
CIGARETTE TAX
Present constitution (Art. VII, §4.1) establishes a minimum rate for taxes levied on
cigarettes.  Proposed constitutional amendment repeals present constitution.
MOTOR VEHICLE LICENSE TAX
Present constitution (Art. VII, §5) authorizes the imposition of an annual license tax by the
state on automobiles for private use. Prohibits parishes and municipalities from levying such
a tax.  Proposed constitutional amendment redesignates present constitution as Art. VII, §9
and otherwise retains present constitution.  Present constitution establishes requirements and
restrictions relative to such tax.  Dedicates revenues from such tax, after payment of other
obligations, to the Transportation Trust Fund.  Proposed constitutional amendment repeals
present constitution.
BONDS
Present constitution (Art. VII, §6) limits the power of the state to issue bonds, except in
certain circumstances.  Provides for the pledge of the full faith and credit of the state to the
repayment of its bonds.  Requires a 2/3 vote of the legislature to propose a statewide
referendum to authorize incurrence of debt for any purpose for which the legislature is not
authorized to incur debt by present constitution.   Provides for limitations and exceptions. 
Proposed constitutional amendment redesignates present constitution as Art. VII, §10 and
otherwise retains present constitution.
Present constitution (Art. VII, §7) establishes the Interim Emergency Board to make
appropriations from the state general fund or borrow on the full faith and credit of the state
in certain circumstances.  Provides for the composition and powers of the Board including
limits on its authority.  Proposed constitutional amendment redesignates present constitution
as Art. VII, §11 and otherwise retains present constitution.
Present constitution (Art. VII, §8) establishes the State Bond Commission and authorizes
provision for its membership and authority by law.  Requires prior written approval of the
Commission before any bond or other obligation can be issued or sold, directly or indirectly,
by the state.  Further establishes requirements for issuing and challenging the validity of
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such bonds.  Proposed constitutional amendment redesignates present constitution as Art.
VII, §12 and otherwise retains present constitution.
STATE MONIES
Present constitution (Art. VII, §9) requires all money received by the state or any state board,
agency, or commission to be deposited immediately upon receipt into the state treasury. 
Provides exceptions for certain specific classes of revenue.  Establishes the Bond Security
and Redemption Fund and, with certain exceptions, requires all state money deposited in the
treasury to be credited to such fund.  Proposed constitutional amendment redesignates
present constitution as Art. VII, §13 and otherwise retains present constitution.
Present constitution (Art. VII, §10) establishes the Revenue Estimating Conference and
provides for its composition and powers.  Requires the Conference to adopt an official
forecast of revenues to be received by the state general fund and dedicated funds and to
revise such estimate as necessary.  Further requires revenues in such forecast to be
designated as either recurring or nonrecurring.  Proposed constitutional amendment
redesignates present constitution as Art. VII, §14 and otherwise retains present constitution.
(a) Expenditure Limit
Present constitution (Art. VII, §10) requires the legislature to provide for the determination
of an expenditure limit for each fiscal year.  Caps annual growth of the limit at the average
annual percentage rate of change of personal income for La. as defined and reported by the
U.S. Dept. of Commerce for the three calendar years prior to the fiscal year for which the
limit is calculated.  Proposed constitutional amendment requires the legislature to establish
a procedure to determine the expenditure limit and caps the year-over-year growth in each
limit at 5% of the prior year's limit.  Authorizes change to the procedure to determine the
limit only with enactment of a law with a 2/3 vote of the legislature.
Present constitution (Art. VII, §10) authorizes the legislature to change the limit in any fiscal
year by a favorable vote of two-thirds of the elected members of each house.  Requires any
change in the expenditure limit to be approved by passage of a specific legislative instrument
which clearly state the intent to change the limit.  Proposed constitutional amendment
repeals present constitution.
Present constitution (Art. VII, §10) establishes an exception to the expenditure limit for
funds allocated by present constitution (Art. VII, §4).  Proposed constitutional amendment
makes technical change and otherwise retains present constitution.
(b) Appropriations
Present constitution (Art. VII, §10) requires an appropriation made in accordance with law
to withdraw money from the state treasury.  With specific exception for certain severance
and royalty payments, prohibits appropriations from the state general fund and dedicated
funds from exceeding the expenditure limit for the fiscal year.  Proposed constitutional
amendment makes technical changes and otherwise retains present constitution.
Present constitution (Art. VII, §10) restricts appropriation or allocation of any money
designated in the official forecast as nonrecurring to 6 specific purposes:
(1)Retiring or defeasance of bonds.
(2)Providing payments against the unfunded accrued liability of public retirement
systems.  Requires at least 25% of nonrecurring monies to be appropriated to the
state retirement systems for application to their oldest debt.
(3)Funding for capital outlay projects in the comprehensive state capital budget.
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(4)For allocation or appropriation to the Budget Stabilization Fund.
(5)For allocation or appropriation to the Coastal Protection and Restoration Fund.
(6)For new highway construction for which federal matching funds are available.
Proposed constituitonal amendment, with one change noted below, retains present
constitution.  Present constitution (Art. VII, §10.3), as will be discussed later, places a cap
on the total amount of deposits that may be made into the Budget Stabilization Fund. 
Proposed constitutional amendment authorizes deposits of nonrecurring monies into the
Fund unless the deposit would cause the Fund's balance to exceed its constitutional cap.
(c)  Supplemental Pay
Present constitution (Art. VII, §10) requires the legislature to provide by law for the payment
by the state of supplements to the salaries of full-time local law enforcement and fire
protection officers.  Prohibits reduction of such payments.  Requires the legislature to
appropriate funds sufficient to fully fund the cost of such supplements.  Authorizes the
governor to reduce such appropriation in certain circumstances using means provided in the
Act containing the appropriation.  Proposed constitutional amendment retains present
constitution.
(d)  Budgets and Deficits
Present constitution (Art. VII, §10) prohibits appropriations from the state general fund and
dedicated funds for any fiscal year (except for specific royalty and severance payments)
from exceeding the official forecast in effect at the time the appropriations are made. 
Proposed constitutional amendment makes technical changes and otherwise retains present
constitution.
Present constitution (Art. VII, §10) requires the legislature to establish a procedure to
determine if appropriations will exceed the official forecast and a method for adjusting
appropriations in order to eliminate a projected deficit.  Once enacted, prohibits change to
such procedures except by specific legislative instrument which receives a favorable vote
of 2/3 of the legislature.  Authorizes adjustments to constitutionally protected or mandated
allocations or appropriations (and transfer of monies associated with such adjustments) in
certain circumstances.  Further grants authority to remediate projected deficits.  Requires the
governor to call a special session if necessary adjustments are not made to appropriations
to eliminate a projected deficit within 30 days of its recognition.  Proposed constitutional
amendment retains present constitution.
Present constitution (Art. VII, §10) exempts certain funds and allocations from deficit
avoidance procedures.  Proposed constitutional amendment makes technical and conforming
changes and otherwise retains present constitution.
Present constitution (Art. VII, §10) requires elimination of a year-end deficit no later than
the end of the next fiscal year.  Further requires the legislature to have published a regular
statement of receipts and expenditures of all state money at least annually.  Prohibits
appropriation except for a public purpose.  Proposed constitutional amendment retains
present constitution.
Present constitution defines "state general fund and dedicated funds" for the purposes of
Article VII.  Proposed constitutional amendment makes conforming change and otherwise
retains present constitution.
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BUDGET STABILIZATION FUND
Present constitution (Art. VII, §10.3) establishes the Budget Stabilization Fund and provides
for the deposit and uses of monies in the fund.  Proposed constitutional amendment
redesignates present constitution as §15 and retains authorized uses of monies in the fund. 
With respect to deposits into the fund, present constitution requires the following:
(1)All money available for appropriation from the state general fund and dedicated
funds in excess of the expenditure limit.
(2)25% of any money designated in the official forecast as non recurring.
(3)Any money appropriated by to the fund by the legislature.
(4)All remaining revenues received in each fiscal year by the state in excess of $950 M
as a result of the production of or exploration for minerals after certain required
allocations.  Further defines minerals for the purposes of present constitution. 
Authorizes the threshold amount to be increased under certain circumstances.
(5)An amount equivalent to the money received by the state from the federal
government for the reimbursement of costs associated with a federally declared
disaster, not to exceed certain limits.
Proposed constitutional amendment, with the exception of deposit of mineral revenues as
explained below, for both the current fiscal year and all out years retains present constitution
regarding deposit of monies into the fund.  With respect to the deposit of mineral revenues
in the current fiscal year, proposed constitutional amendment (instrument Section 3) retains
present constitution requirements, except with respect to the deposit of mineral revenues into
the La. Education Quality Trust Fund (hereafter "LEQTF") prior to deposit into the Budget
Stabilization Fund, because the LEQTF is being repealed by proposed constitutional
amendment.  Beginning fiscal year 2025-2026, proposed constitutional amendment repeals
present constitution requirements regarding deposit into the fund of mineral revenues above
a certain threshold amount.  Proposed constitutional amendment instead requires deposit of
15% of the corporation income and franchise tax revenues received in each fiscal year as
recognized by the Revenue Estimating Conference and 15% of mineral revenues received
each fiscal year by the state as a result of the production on minerals, as provided by law. 
Further provides that if the total amount of these revenues cannot be deposited due to the
balance of the fund being at its constitutional cap, the remaining monies are required to be
deposited into the state general fund and incorporated into the official forecast as
nonrecurring revenues.
Proposed constitutional amendment defines "mineral revenues" for the purposes of proposed
constitutional amendment to include severance taxes, royalty payments, bonus payments,
or rentals, with the following exceptions:
(1)Revenues designated as nonrecurring pursuant to proposed constitutional amendment
(Art. VII, §14).
(2)Revenues received by the state as a result of grants or donations when the terms or
conditions thereof require otherwise.
(3)Revenues derived from any tax on the transportation of minerals.
Present constitution prohibits use of monies in the fund unless certain conditions are met. 
Proposed constitutional amendment retains present constitution.
Present constitution requires monies in the fund to be invested as provided by law and
earnings realized each fiscal year on such investment are to be deposited to the credit of the
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fund.  Unexpended and unencumbered monies in the fund at the end of the fiscal year remain
in the fund.  Proposed constitutional amendment retains present constitution.
Present constitution prohibits use of more than 1/3 of the fund balance as of the beginning
of the current fiscal year in any fiscal year.  Proposed constitutional amendment retains
present constitution.
Present constitution prohibits appropriation or deposit to the fund if it would cause the
balance in the fund to exceed four percent of total state revenue receipts for the previous
fiscal year.  Proposed constitutional amendment increases this cap to seven and one-half of
one percent of total state revenue receipts for the previous fiscal year.
TRANSPORTATION TRUST FUND
Present constitution (Art. VII, §27) establishes the Transportation Trust Fund and provides
for deposit and use of monies in the fund.  Requires deposit of remaining avails received
each year from all taxes levied on gasoline and motor fuels and on special fuels after
payment of certain bonded indebtedness.  Requires monies in the fund to be used solely and
exclusively for the costs for an associated with construction and maintenance of the roads
and bridges of the state and federal highway systems, the Statewide Flood-Control Program
or its successor, ports, airports, transit, and the Parish Transportation Fund and for the
payment of any obligations incident to the issuance, security, and payment of bonds or other
obligations payable from the trust.  Authorizes the issuance of bonds secured by a pledge of
a portion of the revenues deposited into the fund, not to exceed the avails of four cents per
gallon.  Provides requirements and restriction on the issuance of such bonds.  Proposed
constitutional amendment redesignates present constitution as Art. VII, §16, makes technical
and conforming changes, and otherwise retains present constitution.
Present constitution establishes a Construction Subfund within the Transportation Trust
Fund.  Prohibits use of monies in the subfund for the payment of employee wages and
related benefits or employee retirement benefits.  Dedicates the avails of any new taxes that
become effective and are levied on gasoline, motor fuels, or special fuels on or after July 1,
2017 to the Subfund.  Proposed constituitonal amendment repeals this dedication of revenue
to the Subfund.  Otherwise retains present constitution.
Present constitution requires an annual appropriation for airports to be a sum equal to, but
not greater than, the annual estimated revenue to be derived from the state taxes to be
collected and received on aviation fuel.  Proposed constitutional amendment (instrument
Section 4) retains present constitution for Fiscal Year 2024-2025.  Beginning with the
appropriation for Fiscal Year 2025-2026, proposed constitutional amendment requires that
the annual appropriation for airports be a sum equal to, but not greater than, the annual
estimated revenue to be derived from the state taxes collected and received on aviation fuel
in the immediately preceding year.
COASTAL PROTECTION AND RESTORATION F UND
Present constitution (Art. VII, §10.2) establishes the Coastal Protection and Restoration Fund 
in the state treasury.  Provides that monies in the fund may be appropriated for purposes
consistent with the Coastal Protection Plan developed by the Coastal Protection and
Restoration Authority, or its successor.  Prohibits appropriation from the fund inconsistent
with the purposes of such plan. Requires deposit into the fund of federal monies received
each fiscal year received by the state generated from Outer Continental Shelf oil and gas
activity and eligible as provided by federal law to be used for the purposes of the fund.
Requires such federal monies  to be used only for the purposes of coastal protection,
including conservation, coastal restoration, hurricane protection, and infrastructure directly
impacted by coastal wetland losses.  Requires monies in the fund to be invested as provided
by law and any earnings realized from such investment be deposited into the fund. 
Authorizes deposit into the account of donations, appropriations, and dedications.  Requires
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any unexpended monies remaining in the fund at the end of the fiscal year be retained in the
fund.  Proposed constitutional amendment redesignates present constitution as Art. VII, §17
and otherwise retains these provisions of present constitution.
Present constitution requires the state treasurer to make certain allocations from certain
revenues received in each fiscal year by the state as a result of the production of or
exploration for minerals from severance taxes, royalty payments, bonus payments, or rentals. 
Once such allocations are done, present constitution further requires the treasurer to deposit
into the Coastal Protection and Restoration Fund from remaining revenues an amount up to
$5 M, provided that the balance of the fund which consists of these mineral revenues shall
not exceed an amount provided by law, which shall be no less than $500 M.  After such
deposit, remaining revenues are deposited according to a threshold schedule; however, the 
cap on the amount of the fund balance that may be comprised of mineral revenues (described
above) applies.  Proposed constitutional amendment repeals present constitution.
Present constitution exempts federal revenues deposited from Outer Continental Shelf
activity from the fund's mineral revenue balance cap.  Proposed constitutional amendment
repeals present constitution.  
Present constitution provides that if the state resecuritizes proceeds from the Tobacco
Settlement Agreement after July 1, 2006, then 20% in the aggregate of the revenues received
as a restult of the securitization.  Provides for use of such monies.  Proposed constitutional
amendment repeals present constitution.
SPECIAL CLASSES OF TRUSTS AND FUNDS
(a) Permanent Trust Funds
Proposed constitutional amendment (Art. VII, §18) authorizes the legislature to designate
certain funds as "Permanent Trust Funds".  Provides that any fund so designated is subject
to the following restrictions:
(1)Except for interest and investment earnings as provided in proposed constitutional
amendment, all funds deposited into a permanent trust fund shall constitute the trust's
principal and shall be held in trust permanently and invested by the state treasurer
as provided by law.
(2)Removal of any portion of the principle, except for investment purposes as
authorized by law, requires a constitutional amendment.
(3)Interest and investment earnings from monies held in the fund may be dedicated as
provided by law.  Once such dedication is enacted, it cannot be changed except by
a specific legislative instrument passed by the favorable vote of 2/3 of the members
of each house of the legislature.
Proposed constitutional amendment further designates the Millennium Trust (proposed
constitutional amendment Art. VII, §20) and the La. Unclaimed Property Permanent Trust
Fund (proposed constitutional amendment Art. VII, §40) as a Permanent Trust Funds. 
Further authorizes any other trust designated by law to be a permanent trust fund.
(b) Program Funds
Proposed constitutional amendment (Art. VII, §19) authorizes the legislature to create and
designate funds as program funds.  Provides that any amendment to or elimination of the
dedication of revenues to the fund, the purpose of the fund, or a directive to appropriate from
the fund, once enacted, requires a specific legislative instrument passed by the favorable vote
of 2/3 of the members of each house of the legislature.
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Further designates each of the following existing funds as program funds and authorizes the
legislature to designate others by law:
(1)The Conservation Fund.
(2)The Artificial Reef Development Fund.
(3)The Oil Spill Contingency Fund.
(4)The Oilfield Site Restoration Fund.
(5)The La. Fund.
LA. EDUCATION QUALITY TRUST F UND
Present constitution (Art. VII, §10.1) establishes the LEQTF.  Required certain portions of
monies received by the state from a settlement with the federal government regarding
mineral production activity or leasing activity on the Outer Continental Shelf be deposited
into the LEQTF and held as part of a permanent trust fund.  Further requires deposit into the
permanent trust fund 25% of the interest income earned on investment of monies in the
permanent trust fund, 75% of the realized capital gains on permanent trust fund monies, and
25% of dividend income earned on permanent trust fund monies be deposited into the
permanent trust fund.  Prohibits appropriation from the permanent trust fund.  
Within the LEQTF, present constitution also established the "Support Fund" and requires
deposit of 75% of the recurring revenues received pursuant to federal law (43 U.S.C.
1337(g)) which are attributable to mineral production activity or leasing activity.  Further
requires deposit of the percent remaining of the realized capital gains and interest income
and divident income earned on investment of the permanent trust fund.
Requires deposits in conformity with allocations described above until the balance in the
permanenent trust fund reaches $2 B.  Thereafter requires all interest earnings and all
recurring revenues be credited to the Support Fund.
Requires monies in the permanent trust fund to be invested by the treasurer and authorizes
up to 35% to be invested in stock.  Authorizes monies in the Support Fund to be available
to pay expenses incurred in the investment and management of the permanent trust fund and
for educational purposes as provided in present constitution.
Present constitution requires the State Board of Elementary and Secondary Education
(BESE) and the Board of Regents to submit annual reports to the legislature regarding
proposed programs and budgets for monies in the Support Fund.
Present constitution authorizes appropriation from the Support Fund only for investment and
management expenses and for educational purposes.  Requires available monies to be
appropriated equally between higher education and elementary and secondary education
purposes.  Requires appropriation of monies for educational purposes be made to the Board
of Regents and BESE.
Present constitution prohibits monies appropriated from the Support Fund from displacing,
replacing, or supplanting appropriations from the general fund for other educational
purposes.  With certain exceptions, prohibits appropriation of monies  for any fiscal year
from the Support Fund for any purpose for which a general fund appropriation was made in
the previous year.
Present constitution provides a list of eligible purposes for monies appropriated to the Board
of Regents from the Support Fund, including the endowment of chairs for eminent scholars
and enhancing the quality of academic, research, or agricultural departments or unites within
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an institution.  Provides a list of eligible purposes for monies appropriated to BESE from the
Support Fund, including compensation to professional instructional employees, insuring
adequate supply of instructional materials, and funding school remediation programs.
Proposed constitutional amendment repeals present constitution.
OILFIELD SITE RESTORATION FUND
Present constitution (Art. VII, §10.6) establishes the Oilfield Site Restoration Fund within
the state treasury.  Requires deposit of certain revenues into the fund.  Further requires
monies in the fund be appropriated to the Dept. of Natural Resources (now the Dept. of
Energy and Natural Resources) for sole use for the programs and purposes of oilfield site
restoration as required by law.  Provides that unexpended and unencumbered monies in the
fund at the end of the fiscal year remain in the fund.  Requires investment of monies in the
fund by the treasurer as provided by law.  Requires all interest earned on fund monies be
deposited into the fund.  Requires the treasurer to prepare and submit to the department on
a quarterly basis a printed report showing the amount of money in the fund from all sources. 
Exempts certain severance and royalty payments required by present constitution from the
fund.
Proposed constitutional amendment repeals present constitution; however, proposed
constituitonal amendment additionally designates this fund as a program fund in §19, so it
may continue in statute as a special class of protected fund.
OIL SPILL CONTINGENCY FUND
Present constitution (Art. VII, §10.7) establishes the Oil Spill Contingency Fund within the
state treasury.  Requires deposit of certain revenues into the fund.  Further requires monies
in the fund be appropriated solely for the programs and purposes of abatement and
containment of actual or threatened unauthorized discharges of oil as provided by law and
for administrative expenses associated with such programs and purposes.  Provides that
unexpended and unencumbered monies in the fund at the end of the fiscal year remain in the
fund.  Requires investment of monies in the fund by the treasurer as provided by law. 
Requires all interest earned on fund monies be deposited into the fund.  Prohibits the balance
of the fund to exceed $30 M or a balance established by law.  Exempts certain severance and
royalty payments required by present constitution from the fund.
Proposed constitutional amendment repeals present constitution; however, proposed
constitutional amendment additionally designates this fund as a program fund in §19, so it
may continue in statute as a special class of protected fund.
MILLENNIUM TRUST
Present constitution (Art. VII, §10.8) establishes the Millennium Trust as a special
permanent trust in the state treasury.  Requires deposit of certain monies received by the
state as a result of settling litigation against certain tobacco product manufacturers. 
Proposed constitutional amendment retains present constitution.
Present constitution establishes three funds within the Milennium Trust: the Health
Excellence Fund, the Education Excellence Fund, and the TOPS Fund.  As further explained
below, proposed constitutional amendment makes structural changes to the Health
Excellence and TOPS Funds and repeals the Education Excellence Fund in its entirety.
Present constitution requires deposit into the Millennium Trust of 75% of the total monies
received each year.  Proposed constitutional amendment retains present constitution.  Present
constitution requires that, beginning after the balance in the Millennium Trust reaches a total
of $1,380,000,000, monies deposited into the trust shall be allocated to the various funds
within the trust in accordance with present constitution.  Proposed constitutional amendment
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repeals present constitution and requires monies deposited into the trust from the settlement
agreement be allocated to the TOPS Fund.
Present constitution provides that the amount of settlement agreement revenues deposited
into the Millennium Trust and credited to the respective funds may be increased and the
amount of such revenues deposited into the La. Fund may be decreased by a specific
legislative instrument which receives a favorable vote of 2/3 of the legislature.  Proposed
constitutional amendment retains present constitution. 
Present constitution requires the treasurer to invest monies credited to the Millennium Trust
with the same authority and subject to the same restrictions as monies in the LEQTF. 
Further provides that the portion of monies in the Millennium Trust that may be invested in
stock may be increased to no more than 50% by a specific legislative instrument which
receives the favorable vote of 2/3 of the legislature.  Requires the legislature to provide for
procedures for the investment of such monies by law.  Authorizes the treasurer to contract
(with State Bond Commission approval) for the management of such investments and may
pay costs associated with such contract with an appropriation from the trust.  Proposed
constitutional amendment repeals present constitution. 
(a)  Health Excellence Fund
Present constitution requires the treasurer to credit to the Health Excellence Fund 1/3 of all
investment earning on the investment of monies in the trust. Further requires deposit in the
Health Excellence Fund of the revenues derived from the 4/20 of one cent per cigarette tax
levied pursuant to present law (R.S. 47:841(B)(3)).  Proposed constitutional amendment
repeals present constitution and requires funding for the Health Excellence Fund to be
provided by law.  Present constitution requires the treasurer to report annually to the
legislature as to the amount of investment earnings credited to the Health Excellence Fund. 
Proposed constitutional amendment repeals present constitution.
Present constitution limits appropriations from the Health Excellence Fund to an annual
amount not to exceed the estimated aggregate annual earnings from interest, dividends, and
realized capital gains on investment of the trust credited to the Health Excellence Fund and
the amount of proceeds credited to the fund from the cigarette tax avails (R.S. 47:841(B)(3)). 
Proposed constitutional amendment repeals present constitution.
Present constitution restricts use of monies from the Health Excellence Fund to certain
enumerated purposes, including initiatives to ensure the optimal development of La.'s
children through the provision of appropriate health care and initiatives to benefit the
citizens of La. with respect to health care.  Proposed constitutional amendment retains 
present constitution.
(b)  Education Excellence Fund
Present constitution requires the treasurer to credit to the Education Excellence Fund 1/3 of
all investment earnings on the investment of monies in the trust. 
Present constitution limits appropriations from the Education Excellence Fund to an annual
amount not to exceed the estimated aggregate annual earnings from interest, dividends, and
realized capital gains on investment of the trust allocated as provided in present constitution. 
Limits appropriation to those aggregate investment earnings which are in excess of an
inflation factor as determined by the Revenue Estimating Conference.  Limits the amount
of realized capital gains on investment which may be included in the aggregate earnings
available for appropriation from exceeding the aggregate of earnings from interest and
dividends for that year.  
Present constitution restricts use of monies from the Education Excellence Fund to certain
enumerated purposes, including to the La. Educational Television Authority and certain
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special schools, for independent public schools approved by BESE, and for distribution to
each city, parish, and other local school system on a pro rata basis based on a prescribed
student population ratio.  Further restricts expenditures to be for pre-kindergarten through
twelfth grade instructional enhancement for students.  Specifically prohibits expenditures 
for maintenance or renovation of buildings, capital improvements, and increases in employee
salaries.  Requires each recipient entity to annually prepare and submit to  the state Dept. of
Education a plan for expenditure of Education Excellence funds.  Prohibits amounts
appropriated pursuant to present constitution from displacing, replacing, or supplanting
appropriations from the general fund for elementary and secondary education, including
implementing the Minimum Foundation Program.  Requires the treasurer to maintain a
record of the amounts appropriated that remain in the state treasury.  Any such amounts, and
investment earnings attributable to such amounts shall remain to the credit of each recipient
entity at the close of each fiscal year.
Proposed constitutional amendment repeals present constitution.
(c)  TOPS Fund
Present constitution requires the treasurer to credit to the TOPS Fund 100% of the settlement
agreement proceeds deposited into the Millennium Trust.   Proposed constitutional
amendment retains present constitution.  Present constitution further allocates 1/3 of all
investment earnings on the investment of trust monies to the TOPS Fund.  Proposed
constitutional amendment repeals present constitution and instead provides that additional
deposits may be made as provided by law. Present constitution requires the treasurer to
report annually to the legislature as to the amount of investment earnings credited to the
TOPS Fund.  Proposed constitutional amendment repeals present constitution.
Present constitution limits appropriations from the TOPS Fund the amount of annual
settlement agreement proceeds credited to the fund and an annual amount not to exceed the
estimated aggregate annual earnings from interest, dividends, and realized capital gains on
investment of the trust.  Further limits appropriation to those aggregate investment earnings
which are in excess of an inflation factor as determined by the Revenue Estimating
Conference.  Proposed constitutional amendment repeals present constitution.
Present constitution restricts use of monies from the TOPS Fund to the support of state
programs for financial assistance for students attending La. institutions of postsecondary
education.  Proposed constitutional amendment retains present constitution.
LOUISIANA FUND
Present constitution (Art. VII, §10.9) establishes the Louisiana Fund in the state treasury. 
Requires deposit into the fund of all remaining monies received as a result of the settlement
agreement after deposits into the Millennium Trust as provided in present constitution. 
Requires monies in the fund to be invested by the treasurer ain the same manner as the state
general fund monies and all interest income on the investment of such monies be credited
to the fund.  Requires unexpended and unencumbered monies in the fund at the end of the
fiscal year to remain in the fund.
Present constitution restricts appropriations from the Louisiana Fund to certain enumerated
purposes, including initiatives to ensure the optimal development of La.'s children through
enhancement of educational opportunities and the provision of appropriate health care and
direct healthcare services for tobacco-related illnesses.  Further requires each appropriation
from the Louisiana Fund to include performance expectations to ensure accountability in the
expenditure of such monies.
Proposed constitutional amendment repeals present constitution; however, proposed
constitutional amendment additionally designates this fund as a program fund in §19, so it
may continue in statute as a special class of protected fund.
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ARTIFICIAL REEF DEVELOPMENT FUND
Present constitution (Art. VII, §10.11) establishes the Artificial Reef Development Fund in
the treasury.  Requires deposit into the fund grants, donations, and other forms of assistance
from private and public sources that are provided to the state for the purpose of siting,
designing, constructing, permitting, monitoring, and otherwise managing an artificial reef
system.  Requires the treasurer to invest monies in the fund in the manner provided by law. 
Provides that all unexpended and unencumbered monies in the fund at the end of the fiscal
year remain in the fund. Further requires deposit into the fund of interest earned on
investment of monies in the fund.  Requires the treasurer to submit a written report to the
department on a quarterly basis showing the amount of money contained in the fund from
all sources. Restricts use of monies in the fund to the Dept. of Wildlife and Fisheries, or its
successor, for certain enumerated purposes, including salaries of personnel assigned to the
Artificial Reef Development Program, creating and managing an artificial reef system, and 
inshore fisheries habitat enhancement projects.  
Proposed constitutional amendment repeals present constitution; however, proposed
constitutional amendment additionally designates this fund as a program fund in §19, so it
may continue in statute as a special class of protected fund.
CERTAIN SUPPORT AND ASSISTANCE PROGRAMS
Present constitution (Art. VII, §10.12) authorizes the legislature to provide by law for
programs to assist La. farmers and fishermen with support and expansion of their industries. 
Proposed constitutional amendment repeals present constitution.
HOSPITAL STABILIZATION FORMULA AND FUND
Present constitution (Art. VII, §10.13) authorizes the legislature to annually adopt a Hospital
Stabilization Formula by concurrent resolution and majority vote of the members of each
house.  Provides for legislative hearings on such resolution and requires the formula, to the
maximum extent possible, to enhance the economic viability of La. hospitals and reduce
shifting the cost of caring for La.'s needy residents to the state's insured residents.
Present constitution provides requirements and exclusions for the formula.  Further provides
for termination of any assessment under the formula in certain circumstances.
Present constitution requires the legislature to appropriate an amount necessary to fund the
base reimbursement level for hospitals established in the most recent formula, which
appropriation may not be from the Hospital Stabilization Fund.  Further requires the
legislature to appropriate the balance of the Hospital Stabilization Fund solely to fund the
reimbursement enhancements as provided in the most recent formula adopted by the
legislature.  Prohibits the governor and the legislature from reducing any such appropriation
except in certain circumstances.
Present constitution establishes the Hospital Stabilization Fund in the state treasury. 
Requires deposit into the fund of proceeds from the assessment collected pursuant to the
Hospital Stabilization Formula.  Requires monies in the fund to be invested in the same
manner as monies in the state general fund and all interested earned on investment of fund
monies to be credited to the fund.  Restricts appropriation from the fund to funding the
reimbursement enhancements established in the Hospital Stabilization Formula adopted by
the legislature for the fiscal year in which the assessment is collected.
Proposed constitutional amendment redesignates present constitution as Art. VII, §21 and
otherwise retains present constitution.
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LOUISIANA MEDICAL ASSISTANCE TRUST F UND
Present constitution (Art. VII, §10.14) establishes the Louisiana Medical Assistance Trust
Fund within the treasury.  Requires the treasurer to deposit into the fund all proceeds from
the fees collected by law relative to the fund.  Provides for investment of fund monies in the
same manner as state general fund monies and for deposit of all interest earned on
investment of und monies.  Requires all unexpended and unencumbered monies in the fund
at the end of the fiscal year to remain in the fund.
Present constitution authorizes the treasurer to establish a separate account within the fund
for each health care provider group in which fees are collected.  Requires monies collected
from each such group, and the interest earned on those monies, to be deposited into the
account created for that provider group.  Further requires any monies deposited in the fund
from sources not required by law, and any interest earned on such monies, to be deposited
into a separate account within the fund known as "the general account".
Present constitution only authorizes appropriation from the fund if the appropriation is
eligible for federal financial participation pursuant to federal law (Title XIX of the Social
Security Act).  Requires the balance of each account to be appropriated for reimbursement
services to the provider group which paid the fee; however, monies deposited into the
general account may be appropriated for any Medicaid Program expenditure.
Further provides that monies appropriated from the provider accounts cannot be used to
displace, replace, or supplant appropriations from the state general fund for the Medicaid
Program below the amount of state general fund appropriations to the Medicaid Program for
Fiscal Year 2013-2014.
Present constitution requires the legislature to appropriate funds necessary to provide for
Medicaid Program rates for each provider group which pays fees into the fund.  Sets a
minimum for such appropriations and authorizes annual adjustment in accordance with
certain criteria.  Prohibits reduction of such appropriation in the event of a deficit unless
certain criteria are met.
Proposed constitutional amendment redesignates present constitution as Art. VII, §22 and
otherwise retains present constitution.
REVENUE STABILIZATION TRUST FUND
Present constitution (Art. VII, §10.15) establishes the Revenue Stabilization Trust Fund in
the treasury.  Requires deposit into the fund of certain mineral revenues as required by
present constitution (Art. VII, §10.16) and revenues in excess of $600 M received each fiscal
year from corporate franchise and income taxes.  Requires investment by the treasurer of
fund monies in a manner provided by law. Further requires deposit into the state general
fund of all interest or other income from investment of Revenue Stabilization Trust Fund
monies.  With certain exceptions, authorizes appropriation from the fund only if the balance
of the fund at the beginning of the fiscal year is in excess of $5 B ("minimum fund balance")
and then such appropriation is capped at 10% ("allowable percentage") of the fund balance. 
If appropriation is authorized by these circumstances, present constitution limits the
appropriation to capital outlay projects in the comprehensive state capital budget and
transportation infrastructure.  Present constitution authorizes the legislature to change the
minimum fund balance or the allowable percentage by a law enacted by 2/3 of the
legislature.
Present constitution further provides that in order to ensure the money in the fund is
available for appropriation in an emergency, the legislature may authorize an appropriation
from the fund at any time for any purpose only after the consent of 2/3 of the members of
each house.  Provides that the 2/3 consent may be satisfied upon obtaining written consent
in a manner provided by law.
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Proposed constitutional amendment repeals present constitution.
MINERAL REVENUES
Present constitution (Art. VII, §10.16) establishes allocation of revenues received by the
state each year as a result of the production of or exploration for minerals.  Requires deposits
into various trusts and funds and distributions to political subdivisions pursuant to present
law and constitution.  After all such required deposits and distributions, requires 30% of such
remaining revenues in excess of $660 M and less than $950 M to be allocated to the La.
State Employees' Retirement System and the Teachers' Retirement System of La. for
application to the balance of the unfunded accrued liability of such system existing as of
June 30, 1988.  Requires the remainder of such monies to be deposited into the Revenue
Stabilization Trust Fund.
Present constitution further requires any mineral revenues that would have been deposited
into the Budget Stabilization Fund but for the present constitution cap on the fund balance
are to be distributed as follows: 30% to the La. State Employees' Retirement System and the
Teachers' Retirement System of La. for application to the balance of the unfunded accrued
liability of such system existing as of June 30, 1988 and the remainder to be deposited into
the Revenue Stabilization Trust Fund.
Present constitution defines "mineral revenues" for the purposes of present constitution to
include severance taxes, royalty payments, bonus payments, or rentals, with the following
exceptions:
(1)Revenues designated as nonrecurring pursuant to present constitution (Art. VII, §10).
(2)Revenues received by the state as a result of grants or donations when the terms or
conditions thereof require otherwise.
(3)Revenues derived from any tax on the transportation of minerals.
Proposed constitutional amendment repeals present constitution.
CONSERVATION F UND
Present constitution (Art. VII, §10-A) establishes the Conservation Fund within the treasury. 
Requires deposit of the following into the fund:
(1)All revenue from the types and classes of fees, licenses, permits, royalties, or other
revenue paid into the Conservation Fund as provided by law when the fund was
created and any increase in the amount charged for such fees, licenses, permits,
royalties and other revenue after the effective date of the fund.  Authorizes the
legislature to enact a law specifically appropriating or dedicating such revenue to
another purpose or fund.
(2)The balance of the pre-existing Conservation Fund on June 30, 1988.
(3)All funds or revenues that may be donated expressly to the Conservation Fund.
Present constitution requires all monies in the fund to be appropriated to the Dept. of
Wildlife and Fisheries or its successor.  Restricts us to the programs and purposes of
conservation, protection, preservation, management, and replenishment of the state's natural
resources and wildlife.  Requires all unexpended and unencumbered monies in the fund at
the end of the fiscal year to remain in the fund.  Requires investment of fund monies by the
treasurer in the manner provided by law and deposit of all interest earned on investment of
fund monies be deposited into the fund.  Requires the treasurer to prepare and submit to the
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department on a quarterly basis a printed report showing the amount of money contained in
the fund from all sources.
Proposed constitutional amendment repeals present constitution; however, proposed
constitutional amendment additionally designates this fund as a program fund in §19, so it
may continue in statute as a special class of protected fund.
BUDGETS
Present constitution (Art. VII, §11) establishes requirements for operating and capital outlay
budgets.  Requires the governor to submit to the legislature a budget estimate for the next
fiscal year setting forth all proposed expenditures.  Required to include recommended
appropriations from the state general fund and dedicated funds and cannot exceed the official
forecast and expenditure limit for the fiscal year.  Must comply with present constitution
requirements (Art. VII, §10 in present constitution, Art. VII, §14 in proposed constitutional
amendment) including use of nonrecurring monies and funding state supplemental pay. 
Proposed constitutional amendment redesignates present constitution as Art. VII, §23; makes
conforming changes; and otherwise retains present constitution.
(a)  Operating Budget
Present constitution requires the governor to cause to be submitted a general appropriation
bill for proposed ordinary operating expenditures which shall be in conformity with the
recommendations for appropriations contained in the budget estimate.  Authorizes the
governor to submit one or more bills to raise additional revenues with proposals for the use
of these revenues.  Proposed constitutional amendment retains present constitution.
(b)  Capital Budget
Present constitution requires the governor to submit to the legislature at each regular session
a proposed five-year capital outlay program and request for implementation of the first year
of the program.  Requires each capital improvement project to be evaluated as provided by
law prior to its inclusion in the legislature's adopted comprehensive capital budget.  Requires
the legislature to provide by law for such evaluation procedures, standards, and criteria. 
Prohibits change to these procedures except by a separate legislative instrument approved
by a favorable vote of two-thirds of the elected members of the legislature.  Provides
requirements for projects that are not eligible for funding through the state's Transportation
Trust Fund.  Provides that capital outlay projects approved by the legislature shall be made
a part of the comprehensive state capital budget, which the legislature is required to adopt. 
Proposed constitutional amendment makes technical and conforming changes and otherwise
retains present constitution.
REPORTS AND RECORDS
Present constitution (Art. VII, §12) requires reports and records of the collection,
expenditure, investment, and use of state money and those relating to state obligations to be
matters of public records.  Provides exception for returns of taxpayers and matters pertaining
to those returns.  Proposed constitutional amendment redesignates present constitution as
Art. VII, §24 and otherwise retains present constitution.
INVESTMENT OF STATE FUNDS
Present constitution (Art. VII, §13) requires all money in the custody of the state treasurer
which is available for investment to be invested as provided by law.  Proposed constitutional
amendment redesignates present constitution as §Art. VII, 25 and otherwise retains present
constitution.
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LOAN, PLEDGE, OR DONATION OF PUBLIC THINGS OF VALUE
Except as otherwise provided in present constitution, present constitution (Art. VII, §14)
prohibits the funds, credit, property, or things of value of the state or any political
subdivision from being loaned, pledged, or donated to or for any person, association, or
corporation, public or private.  Further prohibits the state and any political subdivision
thereof from purchasing the stock of a corporation or association or for any private enterprise
unless authorized by present constitution.  Proposed constitutional amendment redesignates
present constitution as Art. VII, §26 and otherwise retains present constitution.
Present constitution contains certain enumerated exceptions to the prohibition on the loan,
pledge, or donation of public things of value.  Proposed constitutional amendment makes
technical changes and otherwise retains present constitution.
Present constitution provides that, for a public purpose, the state and its political
subdivisions or political corporations may engage in cooperative endeavors with each other,
the United States or its agencies, or with any public or private association, corporation, or
individual.  Proposed constitutional amendment retains present constitution.
Present constitution exempts public funds, credit, property, or things of value loaned,
pledged, dedicated, or granted by prior state law or authorized to be loaned, pledged,
dedicated, or granted by prior laws and constitution from the prohibition contained in present
constitution for the full term as provided by any contract.  Authorizes revocation by the
legislature in certain circumstances prior to the vesting of any contractual rights.  Proposed
constitutional amendment retains present constitution.
Present constitution authorizes the donation or exchange of movable surplus property
between or among political subdivisions whose functions include public safety.  Proposed
constitutional amendment retains present constitution.
RELEASE OF OBLIGATIONS
Present constitution (Art. VII, §15) prohibits the legislature from releasing, extinguishing,
or authorizing the release or extinguishment of any indebtedness, liability, or obligation of
a corporation or individual to the state, a parish, or a municipality.  Authorizes the legislature
to provide by law for a system under which claims by the state or a political subdivision may
be compromised.  Further authorizes the legislature to provide for the release of heirs to
confiscated property from taxes due at the date of its reversion to them.  Proposed
constitutional amendment redesignates present constitution as Art. VII, §27; makes technical
changes; and otherwise retains present constitution.
PRESCRIPTION OF TAXES
Present constitution (Art. VII, §16) establishes a three-year prescriptive period for taxes,
except real property taxes, and for licenses.  The period runs three years after the thirty-first
day of December in the year in which the taxes are due.  Authorizes the legislature to
provide by law for interruption of such prescription.  Proposed constitutional amendment
redesignates present constitution as Art. VII, §28; makes technical changes; and otherwise
retains present constitution.
LEGISLATION TO OBTAIN FEDERAL AID
Present constitution (Art. VII, §17) authorizes the legislature to enact laws to enable the
state, its agencies, boards, commissions, and political subdivisions and their agencies to
comply with federal laws and regulations in order to secure federal participation in funding
capital improvement projects.  Proposed constitutional amendment redesignates present
constitution as Art. VII, §29 and otherwise retains present constitution.
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TEACHER PAY RAISE
Proposed constitutional amendment (Art. VII, §30) requires the treasurer to transfer to the
Teachers' Retirement System of La. the balance of each of the following funds on the
effective date of proposed constitutional amendment:
(1)The Education Excellence Fund.
(2)The Louisiana Education Quality Trust Fund.
(3)The Louisiana Quality Education Support Fund.
Proposed constitutional amendment requires the Teachers' Retirement System of La. to
apply such monies to its oldest debt.  Provides that if such monies are insufficient to fully
liquidate a debt schedule, the system shall reamortize the remaining debt for that schedule
with annual level-dollar payments over the remainder of the original amortization period.
Proposed constitutional amendment further requires employers participating in the Teacher's
Retirement System of La. to provide a permanent salary increase to eligible personnel, as
provided by law.  Requires the increase to be funded using the employer's net savings
attributable to the payments to debt made pursuant to proposed constitutional amendment.
AD VALOREM TAXES
Present constitution (Art. VII, §18) requires property subject to ad valorem taxation to be
listed on the assessment rolls at its assessed valuation, which shall be a percentage of its fair
market value  Requires the percentage of fair market value to be uniform throughout the
state upon the same class of property.  Present constitution additionally provides three
exceptions for the listing of property on the assessment rolls as a percentage of fair market
value. Two of these exceptions are:
(1)Bona fide agricultural, horticultural, marsh, and timber lands, as defined by law, and
buildings of historic architectural importance, which are to be assessed at 10% of
their use value rather than fair market value.  (Art. VII, §18(C))
(2)For the phase-in of reappraisal values.  (Art. VII, §18(F))
Proposed constitutional amendment redesignates present constitution as Art. VII, §31 and
otherwise retains present constitution.  
The third exception in present constitution to the listing of property on the assessment rolls
as a percentage of fair market value is property that qualifies for a special assessment level
pursuant to present constitution (Art. VII, §18(G)).  Proposed constitutional amendment
excepts property that qualifies for a special assessment level as provided by law.
Present constitution establishes classifications of property subject to ad valorem taxation and
the percentage of fair market value applicable to each classification for the purpose of
determining assessed valuation as follows:
(1)Land = 10%.
(2)Improvements for residential purposes = 10%.
(3)Electric cooperative properties, excluding land = 15%.
(4)Public service properties, excluding land = 25%.
(5)Other property = 15%.
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Proposed constitutional amendment adds a classification for public service properties owned
by a rail road company with a tax rate at 15% of fair market value.
Present constitution requires each assessor to determine the fair market value of all property
subject to taxation within his respective parish or district except public service properties
which the La. Tax Commission is required to value.  Requires each assessor to determine
the use value of property that is to be assessed pursuant to such methodology (bona fide
agricultural, marsh, and timber lands, etc.) pursuant to present constitution (Art. VII,
§18(C)).  Requires fair market value and use value to be determined in accordance with
criteria established by law which shall apply uniformly throughout the state.  Proposed
constitutional amendment retains present constitution.
Present constitution provides that assessments are subject to review and provides for the
order of review by specific entities.  Requires the legislature to establish procedures for such
review by law.  Proposed constitutional amendment retains present constitution.
Present constitution requires all property subject to taxation to be reappraised and valued in
accordance with present constitution at intervals of not more than four years.  Provides for
the phase-in of reassessed value in certain circumstances.  Proposed constitutional
amendment makes conforming changes and otherwise retains present constitution.
Present constitution provides for special assessment levels for certain persons, including but
not limited to persons who are sixty-five years of age or older and persons who are
permanently totally disabled.  Provides requirements and restrictions for receiving such
special assessment level and for the term of such special assessment level.  Provides for re-
assessment of the property when certain conditions are met.  Proposed constitutional
amendment repeals present constitution. 
STATE PROPERTY TAXATION
Present constitution (Art. VII, §19) establishes a maximum rate for state tax on property for
any purpose of 5.75 mills on the dollar of assess valuation.  Proposed constitutional
amendment redesignates present constitution as Art. VII, §32 and otherwise retains present
constitution.
HOMESTEAD EXEMP TION
(a)  Homeowners
Present constitution (Art. VII, §20) defines a bona fide homestead for the purposes of present
constitution and exempts the first $7,500 of assessed value of such homesteads from ad
valorem taxation.  Proposed constitutional amendment redesignates present constitution as
Art. VII, §33 and otherwise retains present constitution.  Present constitution applies the
homestead exemption even if the land is classified and assessed at use value pursuant to
present constitution.  Proposed constitutional amendment  applies the exemption even if the
land is classified and assessed at use value as provided by law.
Present constitution authorizes the homestead exemption to apply to surviving spouses,
former spouses, property owned by a trust, property subject to usufruct, and to trusts in
certain circumstances if certain conditions are met.  Proposed constitutional amendment
retains present constitution.
Present constitution prohibits application of the homestead exemption on bond for deed
property, with certain exceptions.  Prohibits extension or application of more than one
homestead exemption to any person.  Prohibits extension of the exemption to municipal
taxes except (a) in Orleans Parish to certain taxes and (b) to any municipal taxes levied for
school purposes.  Proposed constitutional amendment retains present constitution.
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Present constitution provides for application of the homestead exemption to property
damaged or destroyed during a disaster or emergency if certain conditions are met. 
Proposed constitutional amendment retains present constitution.
(b)  Residential Leases
Present constitution authorizes the legislature to provide for tax relief to residential lessees
in the form of credits or rebates in order to provide equitable tax relief similar to that granted
to homeowners through homestead exemptions.  Proposed constitutional amendment retains
present constitution.
OTHER AD VALOREM TAX EXEMP TIONS
Present constitution (Art. VII, §21) exempts certain property from ad valorem taxation. 
Present constitution contains an exclusive list of such property, including but not limited to:
public lands, property leased to certain nonprofit corporations or associations for use solely
as housing for homeless persons, the legal reserve of domestic life insurance companies,
boats using gasoline as motor fuel, artwork listed as a consignment article by an art dealer,
and certain additional portions of assessed homestead value for persons meeting certain
criteria.  Proposed constitutional amendment repeals present constitution and authorizes the
legislature, by law enacted by 2/3 of the members of each house, to exempt property from
ad valorem taxation.  Further requires enactment by 2/3 of the members of the legislature
for any change to an ad valorem tax exemption once enacted.  Redesignates present
constitution as Art. VII, §34. 
BUSINESS INVENTORY EXEMP TION PAYMENT
Proposed constitutional amendment (Art. VII, §35) authorizes a one-time payment to each
parish that elects to exempt, in accordance with law, business inventory from ad valorem tax. 
Provides that such payment shall be made from the Revenue Stabilization Trust Fund. 
Requires the payment to be disbursed to the tax collector of the parish and requires the tax
collector to then distribute the monies pro rata to each taxing authority that levies an ad
valorem tax within the parish.  Provides that the amount of the payment pursuant to proposed
constitutional amendment shall be as provided by law and certified by the Dept. of Revenue.
Further requires that, notwithstanding any provision of the constitution to the contrary,
monies are to be disbursed by the treasurer to the collector within thirty dates of receipt of
a certification from the secretary of the Dept. of Revenue that the parish has irrevocably
elected to exempt business inventory from ad valorem tax.
NO IMPAIRMENT
Present constitution (Art. VII, §22) prohibits application of provisions of the constitution
relative to ad valorem taxes and exemptions thereon (Part II of Art. VII of the constitution
of La.) in a manner that would either:
(1)Invalidate taxes authorized and imposed prior to the effective date of this
constitution.
(2)Impair the obligations, validity, or security of any bonds or other debt obligations
authorized prior to the effective date of present constitution.
Proposed constitutional amendment redesignates present constitution as Art. VII, §36 and
prohibits anything in the constitution or in law from being applied ina manner that would
either:
(1)Invalidate taxes authorized and imposed prior to the effective date of this
constitution.
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(2)Impair the obligations, validity, or security of any bonds or other debt obligations
authorized prior to the effective date of present constitution or any amendment to
Art. VII.
ADJUSTMENT OF AD VALOREM TAX MILLAG ES
Present constitution (Art. VII, §23) authorizes adjustment to ad valorem tax millages in
certain circumstances to counteract the impact of enactment of the homestead exemption and
the uniform ad valorem tax on classes of property.  Proposed constitutional amendment
repeals present constitution.
TAX ASSESSORS
Present constitution (Art. VII, §24) requires a tax assessor to be elected in each parish. 
Provides for a four-year term of office and for his election, duties, and compensation to be
provided by law.  Provides contingency for vacancy in the position of tax assessor.  Further
provides that in Orleans Parish, the assessor is to be elected at the same time as the
municipal officers of New Orleans. Proposed constitutional amendment redesignates present
constitution as Art. VII, §37 and otherwise retains present constitution.
TAX SALES/ADMINISTRATION
(a) If the amendment to Art. VII, §25 is rejected by the electors of the state 
on December 7, 2024 
Present constitution (Art. VII, §25) prohibits the forfeiture of property for nonpayment of
taxes.  Proposed constitutional amendment redesignates present constitution as Art. VII, §38
and retains present constitution. 
Present constitution authorizes advertisement of the sale of the property by the collector
without suit when the year in which taxes are due expires, after giving notice of delinquency
to the taxpayer. Requires advertisement to be published in the official journal of the parish
or municipality or as provided by law for sheriff's sales. Provides that property sold in a tax
sale shall be redeemable for three years after the date of recordation of the tax sale, by
paying the price given including costs, 5% penalty thereon, and interest at the rate of 1% per
month until redemption.
Proposed constitutional amendment repeals existing constitution and provides that the
assessment of ad valorem taxes and other impositions on immovable property constitute a
lien and privilege on the property assessed in favor of the political subdivision to which
taxes and other impositions are owed.  Further requires the legislature to provide by law for
the efficient administration of tax sales which shall include at a minimum: imposition of
interest not to exceed 1% per month on a non-compounding basis, imposition of penalty not
to exceed 5% of the delinquent taxes and other impositions, a time period during which liens
cannot be enforced, and a procedure for claiming excess proceeds from the sale of property
as a result of the enforcement of a lien.  Further authorizes the legislature, by law, to provide
authority to the tax collector to waive penalties for good cause.
Present constitution sets for requirements for annulling a tax sale.  Proposed constitutional
amendment repeals present constitution.
Present constitution requires the manner of notice and form of proceeding to quiet tax title
to be provided by law.  Proposed constitutional amendment repeals present constitution.
Present constitution provides for sale of movables when taxes thereon are delinquent.  Sets
forth criteria for such sales.  Authorizes the tax collector to levy on incorporeal rights if he
cannot find corporeal movables of the delinquent to seize.  Also authorizes the tax collector
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to compel the delinquent to deliver for sale property in his possession or under his control
by summary rule.  Proposed constitutional amendment retains present constitution.
Present constitution authorizes the legislature to postpone the payment of taxes, but only in
cases of overflow, general conflagration, general crop destruction, or other public calamity. 
Proposed constitutional amendment repeals present constitution and authorizes
postponement by the legislature only in cases of an emergency declared by the governor or
a parish president pursuant to the La. Homeland Security and Emergency Assistance and
Disaster Act.
Present constitution authorizes the legislature to provide for the levying, assessing, and
collecting of postponed taxes and authorizes the creation of a fund from which loans may
be made through the Interim Emergency Board to the governing authority of the parish
where the calamity occurred.  Provides for initial funding of such a fund and restrictions on
loans from the fund.  Proposed constitutional amendment retains present constitution.
(b) If the amendment to Art. VII, §25 is approved by the electors of the state 
on December 7, 2024 
Present constitution (Art. VII, §25) prohibits the forfeiture of property for nonpayment of
taxes.  Provides that the assessment of ad valorem taxes and other impositions on immovable
property constitute a lien and privilege on the property assessed in favor of the political
subdivision to which taxes and other impositions are owed.  Further requires the legislature
to provide by law for the efficient administration of tax sales which shall include at a
minimum: imposition of interest not to exceed 1% per month on a non-compounding basis,
imposition of penalty not to exceed 5% of the delinquent taxes and other impositions, a time
period during which liens cannot be enforced, and a procedure for claiming excess proceeds
from the sale of property as a result of the enforcement of a lien.  Further authorizes the
legislature, by law, to provide authority to the tax collector to waive penalties for good
cause. 
Present constitution provides for sale of movables when taxes thereon are delinquent.  Sets
forth criteria for such sales.  Authorizes the tax collector to levy on incorporeal rights if he
cannot find corporeal movables of the delinquent to seize.  Also authorizes the tax collector
to compel the delinquent to deliver for sale property in his possession or under his control
by summary rule.
Present constitution authorizes the legislature to postpone the payment of taxes, but only in
cases of an emergency declared by the governor or a parish president pursuant to the La.
Homeland Security and Emergency Assistance and Disaster Act.  Further authorizes the
legislature to provide for the levying, assessing, and collecting of postponed taxes and
authorizes the creation of a fund from which loans may be made through the Interim
Emergency Board to the governing authority of the parish where the taxes are postponed. 
Provides for initial funding of such a fund and restrictions on loans from the fund. 
 Proposed constitutional amendment redesignates present constitution as Art. VII, §38 and
otherwise retains present constitution. 
REVENUE SHARING
Present constitution (Art. VII, §26) provides for the annual distribution by law of $90 M to
parishes based on population and number of homesteads in each parish in proportion to
population and number of homesteads throughout the state.  Requires the legislature to
provide by law for a distribution formula and provides requirements for such formula. 
Provides for who shall receive such distribution on behalf of parishes and authorizes political
subdivisions to pledge funds received pursuant to present constitution to the payment of
bonds.  Proposed constitutional amendment redesignates present constitution as Art. VII, §39
and otherwise retains present constitution.
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UNCLAIMED PROPERTY
Present constitution (Art. VII, §28) establishes the Unclaimed Property Permanent Trust
Fund within the treasury.  Provides for deposit, investment, and use of monies in the fund. 
Requires deposit of any realized capital gains, dividend income, and interest income earned
on investment of trust monies into the state general fund.  Requires annual reports to the
legislature and the governor concerning the balance of the fund as of the close of the prior
year and the state's potential liability to unclaimed property claimants as of the same date.
Provides for access of trust fund assets if certain conditions are met.  Provides that property
received by the state pursuant to present law (Unclaimed Property Act of 1997) and
deposited into the fund is private property held in trust until a claim is made for it by the
owner.  
Proposed constitutional amendment redesignates present constitution as Art. VII, §40, makes
technical changes, and otherwise retains present constitution.
TECHNICAL AND CONF ORMING CHANGES
Proposed constitutional amendment makes technical changes to present constitution and
further makes conforming changes to align with changes proposed in proposed constitutional
amendment.
SUBMISSION TO VOTERS
Provides for submission of the proposed amendment to the voters at the statewide election
to be held March 29, 2025.
(Amends Const. Art. VII, §§1 through 28; Adds Const. Art. VII, §§29 through 40)
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