Louisiana House Bill HB516

Louisiana 2011 Regular Session

• Introduced: 4/25/11
• Refer: 4/25/11
• Report Pass: 6/7/11
• Engrossed: 6/13/11
• Report Pass: 6/15/11
• Enrolled: 6/22/11
• Vetoed: 7/1/11

Caption

Provides relative to the casino support services contract (EN +$3,600,000 SD RV See Note)

Impact

The bill significantly impacts the financial relationship between state and local governments regarding casino operations. By creating the Casino Support Services Fund, it ensures that local governments receive timely compensation for services rendered. It also delineates that payments to the fund will depend on revenues generated by casinos, guaranteeing that financial resources are allocated efficiently and justly. This revenue-sharing arrangement aims to foster better cooperation between state authorities and local governments, promoting the overall sustainability of local services affected by casino operations.

Summary

House Bill 516 addresses the amendments to the casino support services contract and establishes a special fund to manage the financial resources associated with these services. Its primary focus is to ensure that parishes hosting casinos receive appropriate compensation for the support services they provide, which include police, fire, sanitation, health, transportation, and traffic management. The bill sets forth procedures for negotiating and approving contracts between the gaming control board and local government authorities.

Sentiment

The sentiment surrounding HB 516 appears to be predominantly positive, as it aims to address a crucial financial gap for local governments that support the gaming industry. Supporters argue that the bill provides necessary funding to address the additional costs incurred by local services due to nearby casino operations. However, there may be concerns about the potential for dependency on casino revenues and the impact this could have on long-term financial planning for local authorities. The discussions indicate a general agreement on the importance of compensating local governments but also highlight the necessity of balanced and sustainable revenue sources.

Contention

Notable points of contention include how the amounts of compensation will be negotiated and the approval process by the Joint Legislative Committee on the Budget. There may be concerns about the flexibility and stability of funding if new contracts are not agreed upon in a timely manner, potentially placing financial strain on local services. Critics may also question the bill's implications for public funding in areas outside of casino operations and the equitable distribution of gaming revenues among various necessities in local governance.