Louisiana Municipal Association Who We Are A nonprofit

Louisiana Municipal Association

Who We Are A non-profit, non-partisan organization 305 members (303 municipalities & 2 parishes) • 38 -member Executive Board (Mayors, Council members, Chiefs of Police/Fire, Clerks) • 8 affiliate organizations • 2 political subdivisions 2016 Executive Officers (L-R) • 4 advisory organizations 1 st VP Mayor Barney Arceneaux (Gonzales) • 2 subsidiaries • 23 -member staff President Mayor Carroll Breaux (Springhill) 2 nd VP Mayor Lawrence Henagan (De. Quincy)

LMA Mission EDUCATION • Conferences and Conventions • - Mid-Winter - Municipal Day - Annual Convention • Training and Workshops : • Technical Assistance • On-site • Sexual harassment • Ethics • Leadership • 10 District Meetings

LMA Mission Member Services • RISK MANAGEMENT, INC. • WORKMAN’S COMPENSATION • LIABILITY UNEMPLOYMENT COMPENSATION

LMA Mission Member Services • LOUISIANA MUNICIPAL AND TECHNICAL ASSISTANCE BUREAU • (LAMATS) • • • INSURANCE PREMIUM TAX OCCUPATIONAL LICENSE TAX DELINQUENT PROPERTY TAX AND ADJUDICATED PROPERTY SALES MUNICIPAL DEBT RECOVERY CAPITAL OUTLAY, LABOR CONSULTING BLIGHTED PROPERTY ABATEMENT PROGRAM

LMA Mission Legislative Advocacy

LMA Mission Legislative Advocacy Pre-emption of Local Authority Tax and Bond Election Dates Cellular Facilities on Public Rights of way Local Hiring Practices NISCO Decision (Bridges v. Nelson Industrial Steam Co. ) Inventory Tax Task Force Budget and Tax Policy

Sources of Municipal Revenue

Sources of Municipal Revenue • Ad Valorem Property Tax Assessed Value of Property Multiplied by Dedicated Millage Equals Tax ($$$)

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory Assessed Value of Business Inventory Multiplied by Dedicated Millage Equals Tax ($$$)

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax on Goods & Services Approved by Voters For Defined Period of Time

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax on Business Approved by Local Governing Body As Allowed by State Law

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees Tax for Use of Rights of Way Approved by Local Governing Body As Allowed by State Law (Private Utilities)

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits Permit Fees Approved by Local Governing Body As Allowed by State Law (Building, Utility, Zoning, etc. )

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits • Utilities • (Water, Sewer, Gas, Electricity, Garbage) User Rates for Cost of Utilities Approved by Local Governing Body As Allowed by State Law

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits • Utilities • (Water, Sewer, Gas, Electricity, Garbage) User Rates for Cost of Utilities Approved by Local Governing Body As Allowed by State Law

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits • Utilities • • (Water, Sewer, Gas, Electricity, Garbage) Charges for Fines, Court Costs Collection of State Mandated Fees

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits • Utilities • • (Water, Sewer, Gas, Electricity, Garbage) Charges for Fines, Court Costs Collection of State Mandated Fees Violation of Municipal Ordinance Approved by Local Governing Body As Allowed by State Law

Issues Regarding Municipal Taxing Authority

Issues Regarding Municipal Taxing Authority • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Exemptions • Inventory Tax/Credit Legislation

Issues Regarding Municipal Taxing Authority • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Exemptions Estimated $2 billion annually

Issues Regarding Municipal Taxing Authority • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • State Enabled • Insurance Premium Tax regulated by Statute

Issues Regarding Municipal Taxing Authority • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Pass Thru Tax on Gross/Net Proceeds

Issues Regarding Municipal Taxing Authority • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits • Dependent on Local Economy

Issues Regarding Municipal Taxing Authority • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits • Utilities • (Water, Sewer, Gas, Electricity, Garbage) • State Requires Certification • State does not provide Education • State Service Fee Mandate • State formerly did not provide services

Sources of Municipal Revenue • Ad Valorem Property Tax • Ad Valorem Tax on Inventory • Sales Tax • Occupational Tax • Charges for Fees & Services • Franchise Fees • Regulatory Permits • Utilities • • (Water, Sewer, Gas, Electricity, Garbage) Charges for Fines, Court Costs Collection of State Mandated Fees Limitation of Municipal Costs As Allowed by State Law

Municipal Taxing Authority Recommendations

Municipal Taxing Authority Recommendations • Centralized Collection of Local Sales Taxes with Local Government Control

Municipal Taxing Authority Recommendations • Local Government Approval on Industrial Tax Exemption

Municipal Taxing Authority Recommendations • Local Option Gas Tax

Municipal Taxing Authority Recommendations • Fund State Tobacco Tax proceeds at full funding

Municipal Taxing Authority Recommendations • Reinstitute the Advisory Commission on Intergovernmental Relations

Municipal Taxing Authority Recommendations • Review Local Sales Tax Exemptions (Local Option) • Limit Future Local Sales Tax Exemptions (Local Option)

Municipal Taxing Authority Recommendations • Constitutionally Protect Revenue in lieu of Inventory Tax

Municipal Taxing Authority Recommendations • Lift Cap on Franchise Fees • Allow Fees to be Business Expense

Municipal Taxing Authority Recommendations • Coordinate Community College Education with Certification Programs for Water and Waste Water Operators