Louisiana House Bill HB706

Louisiana 2013 Regular Session

• Introduced: 4/17/13
• Refer: 4/18/13
• Report Pass: 5/6/13

Caption

Provides relative to the levy of an additional sales and use tax within the city of Shreveport

Impact

If enacted, HB706 would simplify the process for the city of Shreveport to impose and maintain its sales and use taxes. The collected proceeds will specifically fund salaries, benefits, equipment, and personnel, particularly for the fire and police departments. This potential influx of tax revenue aimed at public safety is designed to enhance the effectiveness of emergency service delivery and improve overall public welfare in Shreveport. Its design to provide continuous funding support is anticipated to stabilize community services reliant on local tax revenue.

Summary

House Bill 706 proposes significant amendments to the local tax system specifically within the city of Shreveport, Louisiana. The bill allows the governing authority of Shreveport to levy an additional sales and use tax not exceeding one-quarter of one percent, thereby providing local officials with enhanced flexibility to impose and renew their taxation efforts. A crucial aspect of the proposed law is the removal of previous term limits that restricted how long these taxes could be enforced, which could give local authorities more latitude in funding essential services like public safety without frequent voter re-elections for tax renewals.

Sentiment

The sentiment surrounding HB706 appears to reflect mixed opinions. Proponents likely view the bill favorably as it grants local officials the ability to fund critical services without recurrent voting hurdles imposed by former laws, thereby streamlining fiscal governance at the local level. Conversely, some critics may express concerns regarding the lack of imposed checks, particularly about unchecked tax increases, which may anger constituents who view additional taxes as a financial burden. The debate between fiscal efficiency and taxpayer protection is a point of contention in the discussions surrounding the bill.

Contention

Notably, a point of contention could center on the provisions of HB706 that dismiss the requirement for a stipulated plan outlining how the additional tax revenue will be utilized prior to presenting it to the voters. Critics could highlight that this may reduce transparency and accountability concerning public spending decisions related to this tax. Without such requirements, there might be worries that the governing authority could exploit newfound fiscal power without adequately communicating tax implications and intended uses to the electorate.