The state Revenue Department reports tax and fee collections for the month of April were 494-million dollars lower than the previous April. Jeff Palermo has more.
Cut 1 (25) “…I’m Jeff Palermo”
____________________________
A resolution is headed to the full House that would suspend hundreds of millions of dollars in taxes on the oil industry for one year. Matt Doyle has the story.
Cut 2 (29) “…I’m Matt Doyle”
_____________________________
A report from the state Department of Revenue finds that tax and fee collections for the month of April were 494-million dollars lower than the previous April. State Treasurer John Schroder says this paints a dismal picture of the economic situation, adding that next month will be worse.
Cut 3 (09) “…in pretty bad.”
Governor John Bel Edwards’ stay at home order went into effect March 23, which closed many businesses. That’s led to a decline in income and sales tax collections. Schroder expects tax collection numbers to remain low for several months…
Cut 4 (10)_ “…any of that.”
Schroder believes raising taxes would make things harder on businesses, further sending the economy into a tailspin, so the state needs to prepare to slash its spending.
Cut 5 (11) “…attention to that.”
_________________________________________________
A House Ways committee approves a resolution that would suspend severance taxes for the oil and gas industry for one year. Ways and Means Chairman Stewart Bishop says his legislation would give one of the state’s largest employers a substantial tax cut…
Cut 6 (11) “…come back.”
In a normal year, the suspension would cost the state 514 million dollars, but with the current oil price collapse, that number would likely be lower this year.
New Orleans Representative Jason Hughes has received hundreds of emails in opposition from his constituents…
Cut 7 (08) “.devastating”
The state budget is facing a potentially massive revenue hit due to the COVID shutdown, but Bishop says we can’t afford to let the industry disappear.
Cut 8 (07) “…to work”
A recent survey of Louisiana oil and gas companies indicates massive layoffs and production shut-ins are imminent due to the oil price war and COVID shutdown.
Hughes opposed the resolution, asking if the industry could cash the windfall and still lay off workers…
Cut 9 (09) “…would not”
The vote was 11-5 and the proposal moves to the House floor.
____________________________________________________
The Revenue Estimating Conference has agreed to dramatically lower the revenue forecast for the fiscal year that begins July 1st, which will mean at least a billion-dollar reduction in state spending next fiscal year. The Legislature’s Chief Economist Greg Albrecht says what is happening to the state’s budget outlook is unprecedented
Cut 10 (06) “…will last”
Tax collections have taken a significant hit as many businesses have been shuttered as a result of the coronavirus pandemic. Albrecht says there are no signs for economic recovery anytime soon in Louisiana…
Cut 11 (12) “…one here.”
Albrecht says we could be looking at four really bad quarters, before it starts to get better.
He says not only are tax collections down, but 310-thousand people have filed for unemployment and a recent study found that one out of every four people are out of work in New Orleans…
Cut 12 (11) “…has claimed.”
State lawmakers will use this estimate to begin crafting a budget for next fiscal year. There will be a billion-dollar cut in state spending, which means health care and higher education are on the chopping block, unless the federal government provides the state with financial assistance.
______________________________
Governor John Bel Edwards is lifting the stay at home order and that means Phase one of reopening of the economy will begin on Friday and last for at least 21 days. Edwards says that means restaurants, coffee shops and cafes can re-open to the public for indoor table service at 25-percent of their capacity
Cut 13 (08) “…between tables”
Churches cans also have religious services inside at 25-percent capacity. Edwards says hair salons, nail salons, gyms, casinos, and movie theaters can also re-open at no more than 25-percent of their capacity…
Cut 14 (10) “…move forward”
Edwards says Louisiana meets the criteria laid out by the White House for phase one reopening. He also expects many of these businesses will put protective measures in place for the safety of their customers and employees…
Cut 15 (07)“statewide.”
Edwards says businesses and churches can go to open-safely-dot-la-dot-gov to find out how the new order will impact them. Tattoo parlors, amusement parks, bars and spas will remain closed.