Louisiana House Bill HB389

Louisiana 2014 Regular Session

• Introduced: 3/10/14
• Refer: 3/10/14
• Report Pass: 4/15/14
• Engrossed: 4/23/14
• Refer: 4/24/14
• Report Pass: 4/29/14
• Refer: 4/30/14
• Report Pass: 5/5/14
• Enrolled: 5/14/14
• Chaptered: 5/22/14
• Passed: 5/22/14

Caption

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

Impact

The introduction of this bill is set to have a significant impact on state laws regarding financial allocation and governance between local and state entities. By ensuring funding for the Casino Support Services Fund, it directly influences how parishes manage and finance their support services associated with the gaming industry. Additionally, it establishes clear guidelines for how revenues from casinos are to be allocated, helping to streamline financial operations related to gaming revenues and local governmental compensation.

Summary

House Bill 389 amends existing Louisiana statutes related to casino support services contracts to ensure adequate funding is provided to local parishes. The bill establishes the Casino Support Services Fund, which is designated to compensate parish authorities for costs incurred from providing essential services such as fire, police, sanitation, and health services that arise from gaming operations. The bill mandates that these contracts are negotiated between the gaming control board and the parish and requires the Joint Legislative Committee on the Budget to approve the amount of the contract annually. Should no new contract be agreed upon by a specified date, the existing contract is subject to budgetary approval to remain valid.

Sentiment

The sentiment around HB 389 appears to be notably positive among local government representatives who seek assurance that their needs will be met through proper funding mechanisms. Supporters argue that this bill recognizes and compensates local governments for the impact of casinos on community resources. However, there might be contention regarding the reliance on legislative approval for contract amounts and the potential implications of state oversight over local interests, which could be viewed as limiting local governance.

Contention

A key point of contention noted in discussions around HB 389 is the legislative authority's control over the funding processes. Critics may argue that reliance on yearly negotiations and approval processes could lead to instability and unpredictability in funding, impacting local service provision. The potential for this legislative oversight to limit the autonomy of local governments raises concerns among advocates for local control, indicating that while financial support is vital, the structure of governance may need further refinement to prevent undermining local authority.