The budget once again took center stage during the 2010 legislative session. As the session closed, the state faced a $580 million shortfall for the current fiscal year. This is due in part to lower than expected sales tax and personal income tax collections. Additionally, we face a projected $1.3 billion shortfall for the coming fiscal year and a $1.4 billion shortfall for fiscal year 2011-2012. And, unlike the federal government, Louisiana is constitutionally required to have a balanced budget. The state cannot operate in a deficit situation.
Therefore, in order to cover the deficit, money from the tax amnesty program and Budget Stablization Fund (Rainy Day Fund), coupled with imposed cuts on higher education, health care, and other state services, were utilized. We have also eliminated 3,000 state jobs and imposed layoffs of 1,300 employees and a limited hiring freeze for the 2010-2011 fiscal year has been imposed with a minimum savings of $20 million. Exceptions have been granted for flexibility in higher education, health care and public safety.
Also demanding attention was the Deepwater Horizon oil spill disaster. This disaster has affected thousands of families and crippled many small businesses with a ripple effect on Louisiana's already depressed economy. It is devastating our wetlands, fisheries, and tourism industries. According to BP, more than 21,000 claims by individuals and businesses have already been filed. If the federal government is successful in reimposing the moratorium on deepwater drilling, Louisiana stands to lose another 20,000 jobs.
At the same time, we were able to give attention to many of the almost 2,300 bills that were filed this session. We passed legislation to improve our educational systems, further impede sexual predators, and toughen our driving laws to make our highways safer. We also passed six proposed constitutional amendments which will appear on the October and November ballots this fall. It is a privilege and an honor to serve you in Baton Rouge. Please do not hesitate to call me regarding any issue which affects our district and our state. I welcome your comments.
Sincerely Yours,
Rep. Major Thibaut
Local Funding Secured in 2010: Island Road Repavement - $6.5 million Fence Line Monitoring System - $100,000 False River Airport - $100,000 Pointe Coupee Parish School Board - $3.3 million Port Allen Water Well - $$790,000 18th Judicial District Court, Juvenile Justice Program - $150,000
To view a full summary of legislation enacted during the 2010 Regular Session, click on the link below: