Five gubernatorial candidates take part in forum held in LC
Published 3:09 am Saturday, August 19, 2023
Five gubernatorial candidates answered questions about taxes, economic development, Medicaid expansion and other topics Friday in a forum hosted by the Southwest Louisiana Chamber & Economic Development Alliance.
State Sen. Sharon Hewitt, R-Slidell, Lake Charles independent and attorney Hunter Lundy, State Rep. Richard Nelson, R-Mandeville, former Louisiana Association of Business and Industry CEO Stephen Waguespack, and former secretary of the Louisiana Department of Transportation and Development Shawn Wilson participated in the panel forum held ahead of the Chamber’s annual LegisGator luncheon at L’Auberge Casino Resort.
State Attorney General Jeff Landry confirmed before the day of the event that he would not be attending and instead toured the Port of Lake Charles during that time.
The first topic up for candidates to talk about was their stance on eliminating the state income tax.
“We are already on that path, Hewitt answered, adding later that the state’s personal income tax is among the lowest in the country. She said the trigger built into the law will lower taxes further when revenue streams are built up.
Before promising “drastic changes with no recourse to repopulate the budget,”, Shawn Wilson advised waiting to see how the changes Hewitt referred to “reflects in the budget.”
Lundy is ready to eliminate personal income tax for the 65 and older set who make less than $250,000 a year.
Rep. Nelson has been on a five-year crusade to eliminate the personal state income tax and has what he describes as a comprehensive plan to make Louisiana more like Texas and Florida, states that grew five times faster than us in the last census, he said.
“The tax code is like a Jenga puzzle,” he said. “You can’t just pull out one block. The whole thing could fall over.”
New, tolled I-10 bridge in LC
Candidates were asked about the plan underway to award a contract for the new Lake Charles Interstate 10 bridge utilizing tolls, and what they would do if the plan falters between now and December, and if they had a plan to fill the $850 million gap to get a new bridge built.
Lundy said there was money in the state budget, but because of the battle between politicians and Baton Rouge bureaucracy who enjoy the process more than results, the money was chosen for something different.
“Now it’s a safety issue,” he said. “The work won’t be shuttled, but there won’t be a toll when I am governor,” he said. “Toll that bridge, and it will make the Interstate 210 bridge a parking lot.”
Nelson said the answer to funding major infrastructure projects is to allow the state to focus on those projects and shift the responsibility for other projects to the local level.
“I think there is money for that if the state prioritizes the project over a more local issue,” he said.
Don’t delay, build the bridge or it will cost even more, warned Shawn Wilson, the former secretary of the DOTD from 2016 to 2023.
“Tolling is one of the ways to do it,” Wilson said. “There is tremendous innovation, creativity and risk management in the program that is out there today.”
Hewitt is in favor of private public partnerships like the one proposed for building and tolling the new bridge. She did not, however, have a favorable view of DOTD, saying it’s “not a well-oiled machine,” and pointing out a case in point. It took ten years to build a turning lane in Slidell.
There was little time to take a jab at other candidates during the forum. However, Lundy did offer reminders of Bobby Jindal’s fiscal legacy. Waguespack was Jindal’s chief of staff, but didn’t serve under the governor’s full term.
Louisiana Economic Development and tax incentives
Candidates were asked to express their views on the performance of Louisiana Economic Development and tax incentives under the LED’s purview, including the Industrial Tax Exemption Program.
Nelson said LED needs to restructure to better serve the state. Wilson said LED leadership has served the state well and “we need to be thoughtful about how we reform that department.”
Waguespack said LED uses a playbook from 15 years ago and the market and economy has changed much since then. He recommended not only partnering with local regions but deploying assets there as well.
He is in favor of the Industrial Tax Exemption Program. Big companies planning a multi-billion dollar investment 10 years out need the certainty of an incentive, according to Waguespack.
Hewitt would not make any changes until she has taken a closer look at incentives to see what’s working and what’s not. She wants to see a statewide strategy for using incentives.
“Not everything is going to be a good fit for Louisiana, but we have to be forward thinking about what those opportunities are and build a pipeline workforce for those businesses and industries,” she said.
Nelson was the only candidate to hint at a plan beyond the current ITEP arrangement that gives industry a pass on 80 percent of its property taxes for a set period of time. The 20 percent goes to local schools and government entities.
“We have to get away from this tax credit and tax exemption mindset,” he said. “We need a low and fair tax structure that benefits everybody. We don’t need Baton Rouge to pick winners and losers. A broader and more comprehensive tax reform could drive the future of the state instead of just handing out checks.”
Nelson answered the moderator’s question about Medicaid expansion almost before it was finished. Yes, he would expand Medicaid.
“It’s like a 90 percent match from the Federal government,” Nelson said. “I don’t think there’s a reason for turning down taxpayer money from the good folks in New York, Florida, Texas and California,” he quipped.
All candidates were in favor of Medicaid expansion with Hewitt calling for better oversight, getting individuals off rolls, especially those who do not qualify and Waguespack said more people on Medicaid does not mean more healthy people. Prevention and restrictions could help.
Our model is not a sustainable model,” Hewitt said. Medicaid is half of the state’s budget. We need to have the money for the people who need it.”
In an earlier question on crime and re-entry programs, she noted the connection between mental health, emergency room visits and incarceration. She does want the state to increase its investment in mental health facilities.
In closing, each candidate was given two minutes to ask for votes.
Wilson began, saying, “If you want to have someone who is going to traffic in extreme issues that are not going to make this state safer, healthier, smarter or wealthier, you can vote for somebody else. I’m the guy that’s worked with folks in Washington and folks in Washington Parish….”
Waguespack said the one important issue that was not addressed during the forum was “today’s culture of low expectations.” He said the state’s residents have been sold a lie that Louisiana is not capable of change. He said it is, and he can lead that change.
Hewitt wants to be judged by what she has accomplished and by her leadership skills. She has been a senior executive in a major oil and gas company.
“Many of those skills are transferable to being CEO of the state of Louisiana.”
Lundy used his final two minutes to break the news about a new hydrogen plant planned for Sulphur that will be powered by solar energy.
“You need a government that can lead, he said.
“So, if Louisiana were just average, just average in the country,” Nelson said in his closing remarks, “we’d all live four years longer and get a 33 percent raise. You drive across the border to Texas, guess what, you become average. You get three-and-a-half years of your life back. That’s a tragedy. That is the cost of bad government.
“We haven’t added a congressional seat in Louisiana since 2010, over 100 years ago. That’s how long it’s been since Louisiana actually grew faster than the rest of the country.”
He said fixing the problems means throwing out 100 years of Huey Long-type government and the rebuild has to work.
“We need big comprehensive changes. If this was college football and we lost to every team every year, we would fire the coach. We would fire the trainers. We would even fire the mascot….
“If you’re happy losing 40,000 people a year, I think there are 16 other people in this governor’s race you can pick and things will