Orleans Parish comes up short in final state budget compromise

By Christopher Tidmore
Contributing Writer

On June 8, with just seven minutes remaining in the 2023 Regular Session until the constitutional-forced adjournment, the Louisiana House of Representatives passed a compromise budget hammered out in conference committee the day prior. Many legislators voted for the final budget not knowing whether the infrastructure wish list of their constituents actually made it into the bill.

A week later, it’s obvious that the people of Orleans gained little compared to other parishes. Sen. Gary Carter did manage to win $10.5 million to support operations of the Canal/Algiers and Chalmette ferry service which the RTA has operated on behalf of the state since 2014. The Supreme Court in the French Quarter received $11 million for waterproofing and roof repairs. A new Desire/Florida Mental Health Center’s purchase and construction costs were funded in New Orleans East. The Old Mint, which houses the Jazz Museum, received some limited renovation costs (though long-standing repairs of the other state museums at the Cabildo and Presbytere were ignored). More hopefully, $2.7 million was appropriated for a new Civil Rights Museum, to be housed in the Convention Center. Tad Gormley Stadium received $350,000 in repairs. A new local splash park got $21,072. The “native plant” program received $2 million. SUNO received $5 million in long overdue repair costs. NOCCA obtained $353,206 for a new roof. The Port received $9 million for a new cold storage unit. The New Orleans Career Center received $3 million in bonds for a new Technical Training Center. WYES received $2 million. The WWII Museum received $12.5 million. The New Orleans Council on Aging got $5 million in bonds. The UMC received $4.2 million.

However, there were some major cuts at the last minute as well. Gov. Edwards had recommended $4 million in upfront appropriations and the approval of the $130 million in initial construction costs for the new Port of New Orleans international container terminal in St. Bernard. That money was taken out without warning in the last day of the session, with Port and city officials only learning of the cut in the aftermath of the vote. In contrast, $2 million for a transportation corridor which will eventually cost $50 million in St. Bernard was left in the final bill. Local St. Bernard politicians supported the transportation corridor but have been vocal in their opposition to the New Orleans based port expanding into St. Bernard.

Per capita, Orleanians received short shrift in this $1.4 billion capital budget compared to other parts of the state. Every New Orleans share of the capital project appropriations paled in comparison to the $185 million that Lake Charles received for a new bridge and the $94 million that the city gained for its port facilities. Those accounted for just part of Calcasieu’s overall share of the capital budget.

Mostly, Orleans Parish benefited the way that other Louisianians benefited from the spending of the extra $2.2-billion surplus. Uptown Rep. Mandie Landry’s $500 tax credit to help pay to lock up guns in the home affects the entire state, but it will impact Orleans disproportionately with his high rate of gun violence. The renewal of the movie tax credits has a greater impact on many parts of Louisiana than most legislators admit, but movie projects will continue in Orleans because of it (provided the Writers Union comes to an agreement).

Of particular long-term importance were the $2,000 one-time pay increases for teachers and the $500 for school support workers. Due to the fact that the .45 cent state sales tax will expire in the next administration, and supplemental funds from the BP oil spill and the pandemic will cease after this budget, the legislature decided to make this appropriation temporary.

Call it John Bel Edwards’ “gift” to Jeff Landry – or his poison pill. Having raised teacher pay closer to the vaulted “Southern Average,” it would be politically difficult for the next governor, likely from the GOP, to not make the teacher pay increases permanent. The political fallout would be extraordinary and would provide ammunition for a Democratic candidate for governor in four years. (Some say that another Edwards might come back for a third term under such a scenario.)

Gov. Edwards did not get everything he desired. Approximately $100 million was cut from the state health budget. The governor has pledged to use his line-item veto power to reverse the cut, yet he faces a veto override session if he also vetoes this session’s “Don’t Say Gay” and transgender reassignment bans. Those passed with every Republican in support, a 2/3 majority. Such a veto session might override the governor’s line-item veto of the $100 million as well.

In the end, Gov. Edwards fell short of winning the $1.8 billion in capital projects he sought. $1.4 billion ended up as the compromise, along with the teacher pay stipends, and the remainder went to pay retirement debt. (Louisiana’s public employee retirement programs are underfunded by over $20 billion). Ultimately, in this “Fiscal Only” Legislative Regular Session, 179 bills were sent to the governor for his signature – most not dealing with money at all.

This article originally published in the June 19, 2023 print edition of The Louisiana Weekly newspaper.