Fiscal Cliff

Emerald McIntyre / ULM Photo Services

Higher Education in Louisiana is about to get pushed off the fiscal cliff. The state will enact severe budget cuts to the T.O.P.S. program and university budgets unless there is a deal to raise more revenue or realocate funds to higher education. 

T.O.P.S. eligible students would only receive 70% funding for tuition. Students at the University of Louisiana Monroe could see a $1,736 out of pocket cost increase  per year to make up for the 30% cut in T.O.P.S.

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House Republican Caucus Chairman Lance Harris of Alexandria is still waiting on specifics from the Edwards administration on how to fix the fiscal cliff. The governor would like to call lawmakers into a special session, so changes can be made to our tax code to address a billion dollar shortfall. But Harris says he and his party are still in the dark.

 

The governor is proposing a reduction in tax breaks for businesses as a way to bridge the one-billion-dollar budget deficit.  But Harris says they should look at making more cuts in state spending first.

 

Governor Reveals Plan For Fiscal Cliff

Dec 21, 2017
louisiana.gov

Governor Edwards revealed his plan to help cover a one-billion-dollar deficit. It includes taxing services such as cable TV, but also reducing the state sales tax from five to four percent. Edwards plans on calling a special session in February to consider his tax proposals. 

Other recommendations from the governor include businesses paying higher sales taxes on utilities and changes to individual income tax brackets.