BREAKING: House agrees to 18-month state sales tax hike
Published 1:52 pm Thursday, February 25, 2016
BATON ROUGE — House lawmakers on Thursday took some big steps forward in dealing with the state’s budget crisis by approving legislation that would impose an additional 1-cent sales tax hike over 18 months, along with more than $100 million in cuts.
Lawmakers voted 76-27 to approve House Bill 62 by Rep. Katrina Jackson, D-Monroe. The bill, which heads to the Senate, would increase sales taxes by 1 percent until Oct. 1, 2017.
The bill was amended to include the sunset provision and to exclude manufacturing equipment from the tax hike.
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Voting for the bill were Reps. Mark Abraham, R-Lake Charles, James Armes, D-Leesville, Mike Danahay, D-Sulphur, Stephen Dwight, R-Lake Charles, A.B. Franklin, D-Lake Charles, Bob Hensgens, R-Abbeville, and Dorothy Sue Hill, D-Dry Creek.
Reps. John Guinn, R-Jennings, and Frank Howard, R-Many, opposed the measure.
House lawmakers voted 98-0 to adopt House Bill 122 by Rep. Cameron Henry, R-Metairie, and move it to the Senate for consideration.The bill originally called for $117 million in cuts, but that was reduced to $107 million in cuts after several amendments were approved removing some funds from the list.
One amendment takes out the $44 million in reductions to the Minimum Foundation Program that funds K-12 education. Instead, Henry said, it instructs the state Department of Education to find those cuts "somewhere outside of the MFP.”
Lawmakers also approved a bill that uses $128 million from the "rainy day" fund to fix this year’s budget, along with another bill that takes $200 million in non-coastal money from the BP oil spill settlement to repair the budget deficit.