Jindal tax proposal numbers

Jindal says that he wants to eliminate and replace with a higher state sales tax on a "revenue-neutral" basis the following: -- Individual Income Tax = $3 Billion

-- Corporate Income and Franchise = $300 Million

-- Oil and Gas extraction taxes = $700 Million

-- Revenue shortfall for fiscal year starting July 1, 2013 = $1.2 Billion

Replacement cost It will take $5.2 Billion in sales taxes to maintain the budget status quo (no growth).

A penny in state sales tax brings in approximately $750 Million.

Thus, an additional state sales tax of 6.9 cents is required.   That would mean a total of 10.9 cents in state sales taxes.   The combined average local and state sales tax would be 15.9 cents.

Rankings

Louisiana currently has the 3rd highest combined state and local sales tax rate in the nation.   Jindal's tax swap would put us in first place by 6.45 cents more than the next highest taxed state.  See list here.

The issue

The issue is: at what point does total sales tax overtake the economic benefit of eliminating the above listed taxes?

In other words, as the late U.S. Senator Russell Long said don't tax you, don't tax me, tax the man behind the tree; at what point are we the man behind the tree?

DEC 2012 House Committee Appointments

The Speaker has appointed Representative Nick Lorusso to replace Representative Ligi as a member of the House Appropriations Committee. Representative Lorusso no longer will serve as a member of the House Ways and Means Committee.

Freshman legislator to Lead Republican Caucus

Freshman to Lead Republican CaucusA late-comer to the race for GOP caucus chairman, Rep. Lance Harris, R-Alexandria, won the election this week when early frontrunner Rep. Nick Lorusso, R-New Orleans, withdrew his candidacy. Harris put together support from fellow freshmen and members from outside of the New Orleans area, the traditional base of the delegation. According to legislative sources, Speaker Chuck Kleckley, R-Lake Charles, who wanted to avoid division in the caucus, smoothed the way by appointing Lorusso to the Appropriations Committee. Harris will replace Rep. Tony Ligi, R-Metairie, who will resign on April 30 to become executive director and legal counsel for the Jefferson Business Council. Harris has been one of the more vocal members of the group of so-called fiscal hawks. Both he and Lorusso were among 18 representatives calling for an attorney general's opinion on the use of one-time money, which Attorney General Buddy Caldwell declined to give. It is expected that Harris will take a step away from the fiscal conservative group in order to represent the full caucus. But his elevation does add credibility to the group of conservatives who have challenged the governor's budget policies. An initiative Harris looks to pursue is to get the caucus to adopt a strategic plan of its own. "We will get with the administration and see what their priorities are, then take the two lists, start at the top, find some priorities we can correlate on," he said. "What's left over, we can discuss."

2013 Louisiana Regular Legislative Session General Information

There is not a whole lot of information currently available regarding the 2013Louisiana legislative session; however, there are some fundamentals worth noting already in place. The opening date is Monday April 8th at high noon. The session finally adjourns after 60 days on Thursday June 6th at 6:00 p.m. In Louisiana, the legislature convenes for 85 days every even-numbered year, and it convenes for 60 days every odd- numbered year.The 60 day sessions are referred to as "Fiscal" sessions and are supposed to have only legislation pertaining to the fisc of the state; however, shortly after passing the law, an amendment to LA's constitution passed in 2002 to create the fiscal-only session.The changes went into effect January 2004. It is not truly a "fiscal" session as the law allows each legislator to file 5 bills not related to the state's budget. Thus, a possible 720 bills by the 144 legislators in LA can be filed on any topic under the sun. In an even-numbered 85-day general session of the legislature, the legislature must conduct 65 days of business, although they do not have to be consecutive. In an odd-numbered fiscal session, 45 non-consecutive days  of business must be conducted. Both types of session have their own personality, but as with most things in Louisiana, each individual session promises to be a passionate experience tantamount to the  LSU "fightin' tigers" football season. For further details on the Louisiana legislative session, as they develop, check in from time to time at www.legis.state.la.us. The front page about midway down has a clickable link for your convienience