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26.10.24

LA campaign spending rules need more limits

Even as Louisiana legislators reduced the impact of the inherent flaw of limits to campaign contributions this year, more work is needed on the expenditure side that reduces the uncertainty involved induced by the unelected state Board of Ethics.

Over the past year, elected officials have complained they have less certainty about what are allowable expenditures from political action committees in particular. This is because the legal standard is extremely open-ended on the campaign side, and on the PAC side there hasn’t been definition at all with the assumption that it matched that of the campaign side. PACs are allowed to spend on behalf of a candidate but must do so independently of a principal campaign committee for that candidate.

This summer, the Board, which oversees campaign disclosure, initiated a rules process that would limit PAC expenditures to exclude “expenditures for the purpose of supporting an elected official’s holding of public office or party position” or “expenditures for the benefit of a candidate that would be a personal use if made from a candidate’s campaign funds,” both of which can be done from a campaign account. However, the rule has yet to be made final with legislative leaders indicating they would exercise their veto power over it if made final.

25.10.24

Trump win ensures more bucks for LA coastal aid

If Republican former Pres. Donald Trump doesn’t win back the presidency in just under two weeks, Louisiana could face some real headwinds in coastal protection and restoration.

Not attracting the attention that it should, this summer a Maryland Democrat Pres. Joe Biden-appointed judge threatened to shut down oil and gas exploration and extraction in the Gulf of Mexico, giving as a reason the federal National Marine Fisheries Service insufficiently took into account the endangered species designation of Rice’s whales in rules promulgated for transit around the area. Basically, her ruling said, despite the extreme unlikelihood of a repeat of the Macondo well blowout in 2010, that this had to be worked into the rules. If the rules weren’t made by December, oil and gas-related activities could have been ordered to cease.

But this week the deadline was extended to May, 2025, as the agency said it didn’t have the resources to redo the process so quickly. Notably, this puts the final product months into the next presidential administration, which could influence the final rules.

23.10.24

New ploy but same infirmity to film tax credit

Prepare to hear a lot of squawking from grifters enjoying, directly or indirectly, taxpayer largesse from the Motion Picture Production tax credit as it rests on the chopping block in Republican Gov. Jeff Landry’s tax reform agenda. Much of it is recycled drivel, but there’s something new under the sun worth ridiculing.

The facts about the program’s wastefulness to taxpayers are indisputable. Even under the most optimistic assumptions, at best it returns 40 cents on the dollar, and subsidizes each job “created” (regardless of whether full time) to the tune of $13,300 each. Given recent data pointing to $500 million worth of credits issued since 2018, that’s a loss to taxpayers of at least $300 million (if all are redeemed, and typically within a few years are).

Supporters will spout off that, regardless of huge taxpayer costs, economic activity is created, such as an estimate that a buck of incentives induces $1.60 in economic activity. However, in isolation this is a meaningless figure because it doesn’t compare to alternate uses of funds, inside or outside of government. As compared to other tax credits, for example, the Digital Interactive Media and Software Tax Credit does better, so why not shut down the film one and transfer it all to the media and software one? More to the point, in the private sector if these dollars stayed in the hands of individuals, they almost certainly would invest differently and in enterprises that create far more jobs and wealth than making a bunch of movies and television episodes.

22.10.24

School group keeps shilling for adults, not kids

Having already taken a chink out of Louisiana’s elementary and secondary education standards, let’s hope the Legislature reins in whatever might come of the Greek chorus it established that advocates doing more of the same.

At the tail end of the 2024 session, the Legislature established the Louisiana House K-12 Education Study Group, ostensibly to study regulations on public schools, testing requirements, curriculum in particular as it pertains to local input and decision making, requirements of teachers that includes but not limited to training and general workload, and federal funding. Instead, it largely has honed in on how to change things to meet the needs of adults, rather than of children.

The major tactic to implement this strategy has been to go after student testing, which is built around two purposes: as a marker to identify areas of excellence and improvement among students and also to evaluate teacher and school performance. The state-mandated testing regime chafes administrators and teachers because it shines sometimes an uncomfortable spotlight on their product. The state’s student body has experienced slow but steady improvement in nationally-normed achievement in large part because of this rigor, at the expense of exposing weaknesses while aggravating school boards, because their members feel politically vulnerable in instances when accountability measures reveal their district’s schools aren’t doing so well, and administrators and teachers feel professionally pressured at schools whose students don’t show adequate achievement, growth, or progression.

21.10.24

LA brain drain fault of higher education

It’s called singing for your supper, but it shouldn’t be a flight from reality for Louisiana higher education.

Data reveal not only that the number of recipients of Taylor Opportunity Program for Students senior college awards has declined significantly in the last few years but also those eligible for the highest award level, Honors, disproportionately are turning down the free taxpayer-aided gift. Honors eligibility requires a 3.5 grade point average for a set of required courses and an ACT standardized test score of 27, making them eligible for the award of tuition mostly paid plus $800. The regular award requires a 2.5 GPA and 20 on the ACT for all but the $800 lagniappe.

The blame for this, according to one Board of Regents official, is unenlightened legislators and their greedy taxpaying constituents, with many of the student cohort opting for out-of-state schools offering better financial aid packages because of the inability for TOPS to cover the full cost of attendance. Starting in academic year 2016-17, the Legislature stopped indexing TOPS but would have to approve annually increases in the award to match tuition increases (fees aren’t included, and these have risen as well), which it has done infrequently since.