Lawmakers are going down to the wire on agreeing to a plan that would stave off big cuts to higher education and healthcare. The special session called to address a 940-million dollar deficit this fiscal year and a 2-billion dollar deficit next fiscal year must end at 6pm. House Speaker Taylor Barras gave this pep talk to legislators earlier today.
Cut 8 (10) “…next year”
The negotiations have been taking place all day behind closed doors. There are three primary bills that legislators are trying to agree on. One of the bills is an increase to the four-cent sales tax. Another bill makes cuts to the current budget, and Jeremy Alford, with la-politic-dot-com, says the other proposal would take away a four-cent state sales tax exemption.
Cut 30 (08) “…those pennies”
Governor John Bel Edwards is set to hold a press conference shortly after the 6pm end to the special session.
Edwards has signed a bill into law that increases the tax on a pack of cigarettes by 22-cents. Beginning April 1st the tax on a pack of cigarettes will be $1.08, which will generate 11-million dollars in revenue for the state this fiscal year. Consultant with the Invest in a Healthy Louisiana Campaign Randy Hayden says the legislature should’ve increased the tax on all tobacco products not just cigarettes. He says millions of dollars have been left on the table.
Hayden says there was no possibility that the legislature could over tax cigarettes during this session. He says when states increase the cigarette tax they are increasing revenue, while decreasing health care costs in the future.
Lawmakers have agreed to increase the alcohol tax as well.