Louisiana legislature adds six proposed amendments to 2016 ballot

New requirements for registrars of voters, autonomy to control tuition prices, elimination of tax deductions, property tax exemptions, creation of a trust fund and new guidelines for tapping protected trust funds are the six proposed constitutional amendments Louisiana Legislature has added to the November 8, 2016 ballot.

The bills have received at least a 2/3 vote in the House of Representatives and in the Senate to be included on the 2016 elections ballot. Bellow is a breakdown of such proposed amendments:

“Establishes New Requirements for Local Registrars of Voters”

As of now, registrars, who are parish residents responsible for the registration of voters, are not required to obtain a higher education or have any previous work experience.

If passed, this amendment would require registrar candidates to meet one of the following qualifications: a bachelor’s degree from a college or university plus two years of full-time work experience, an associate’s degree from a college or university and four years of full-time work experience, seven years of full-time work experience or five years of full-time employment in a Louisiana Registrar’s office.

According to the PAR guide to the 2016 constitutional amendments, some people argue that registrars need an education and work experience to be able to utilize the increasingly digital nature of voting.

On the contrary, others believe this is a superfluous amendment because registrars already have to endure an immense amount of training for the job. As explained in the “Par guide to the 2016 constitutional amendments” article, “This training is fairly intensive, requiring a minimum of 12 courses of 12 hours in length within five years, maintenance of a yearly rating of ‘excellent,’ and work experience requirements. Registrars and staff are schooled in strategies necessary to perform their duties effectively.”

“Tuition and Fee Autonomy to College Management Boards”

The second proposed bill, which directly affects students, pertains to the control of tuition prices.  Louisiana is one of only two states that allow legislature to control the price of all college tuition and fees.

If this amendment were to go into effect, the Louisiana Legislature would relinquish their control over college tuition and would, instead, allow public higher education management boards to oversee the Louisiana State University system, the University of Louisiana system, the Southern University system and the Community and Technical College system. The legislature would still maintain some control over the boards in the case that serious board mismanagement took place.

Tuition has nearly doubled since 2007 in the hands of Louisiana Legislation, but some students worry this potential shift in power could make matters even worse.

David Whitney, assistant professor of government and social sciences, said, “People are concerned that tuition prices will get out of control, but prices are out of control already because of the legislature. Tuition has gone up every year because the legislature has cut higher education many times during budget crisis.”

The college boards would also have the power to determine the cost of each degree programs’ tuition; therefore, each student’s tuition would be different.

While some people disagree with differential tuition rates, others believe it would improve the quality of the programs and allow schools to match its revenues more efficiently with its costs.

“Eliminates Federal Tax Deduction for Corporations on State Tax Returns and Set Flat Rate” 

This third amendment would no longer allow corporations to deduct their federal income tax from their state income tax. Instead, all businesses would receive a flat tax rate of 6.5 percent.

“This amendment is designed to get more tax revenue from businesses. So when we have these budget shortfalls, we don’t have to cut health care and higher education funds,” Whitney said.

Although this flat tax rate would be beneficial to large corporations with high tax rates, people opposed to this amendment argue that it would be harmful for smaller corporations with low tax rates.

An estimate revealed that this new tax plan has the potential to increase state revenue by $3.3 million in 2017, but it could also decrease overall revenue. The “Par Guide to the 2016 Constitutional Amendments” article states, “It could produce increases or declines in revenue depending on the state of the economy and federal tax policy.”

“Property Tax Exemption for Surviving Spouses of Persons Killed in the Line of Duty” 

If approved by voters, the amendment will allow property tax exemptions for spouses of a decreased member of the U.S. armed forces, Louisiana National Guard, state police, law enforcement and fire protection officers.

The spouse must have documentation to prove that the death happened while on duty.

The article also states, “The deceased spouse must have claimed the property as his or her primary residence prior to death in order for the property to be eligible for the full exemption.”

Citizens believe this amendment will offer support to those families during a difficult time in need; however, some argue that this added exemption combined with other homestead exemptions could have a significant impact on local revenue.

“Creation of a Revenue Stabilization Trust Fund.”

If passed, mineral and corporate revenue that exceeds $600 million will be stored in the Revenue Stabilization Trust Fund, which would be set aside for retirement costs. The amendment would allow legislation to take money out of the fund in the event of an emergency situation. Because of this, opponents of the amendment fear this trust fund would be raided during struggles within the economy.

According to the “Par Guide to the 2016 Constitutional Amendments” article, “The lack of limitations on what might constitute an ‘emergency’ and the 2/3 vote authorization to sweep money from the fund undermines the ability of this account to serve its stated purpose.”

“Adjusting the Threshold for Tapping Protected Funds.”

This amendment would give the governor and legislature the power to easily tap into some trust funds, while other sources of money would be more difficult to tap into during financial shortfalls.

The “Par Guide to the 2016 Constitutional Amendments” article states, “These extra-protected funds include the Bond Security and Redemption Fund, the Louisiana Education Quality Trust Fund, the Millennium Trust Fund for the Elderly, and a variety of existing severance tax and royalty tax revenue dedications.”

While some people argue that this amendment would prevent more important budgets being cut, others believe it weakens the development of long-term budget reforms.