Jeremy Alford: The spending cap debate evolves

Should the state of Louisiana spend more money than what’s allowed under its Constitution for the current fiscal year and the next?

That is among the central questions being asked of the Legislature during its ongoing regular session, which is scheduled to adjourn in roughly five weeks. 

There’s $1.8 billion in extra cash sitting on the table available to spend — just as long as the House and Senate both agree by a two-thirds vote to spend the loot.

Gov. John Bel Edwards and the Senate leadership share a similar stance, which is to spend the money on coastal activities, road projects, highway maintenance and other priorities. 

Lawmakers should absolutely love that idea, especially since re-election is just around the corner in the fall.

After all, bringing home the bacon is a good look in a year like this. 

The plan can be found in in SCR 3 by Senate President Page Cortez, R-Lafayette. The resolution was advanced to the Senate floor last week, where it awaits another vote.

The House, meanwhile, isn’t as eager to bust the constitutional spending cap.

Members of the Conservative Caucus and the Freedom Caucus in the GOP-led House want to save that cash, spend cautiously and use some of the surplus cash for debt payments. 

In fact, the full House voted on a budget package that was crafted in a way to ensure the state doesn’t exceed its spending limits.

That budget proposal limits teacher pay, scales back early childhood education funding and pauses much of the new construction the Edwards administration requested. 

The debate, however, is just getting started. Two local government associations voted in favor this week of the state exceeding its spending cap for the current fiscal year and the next. Higher education boosters, along with contractors, are also expected to become more vocal about supporting the plan being pushed by Edwards and Senate
leaders.

Sub-committees of the Police Jury Association of Louisiana and the Louisiana Municipal Association met Monday to discuss the legislative proposal to spend $1.8 billion in excess cash. 

“The message we’ll deliver to lawmakers will be that if they decide to bust the cap, they’ll be in a better position to help our members with the basic services of government,” said PJAL Executive Director Guy Cormier.

LMA Executive Director John Gallagher agreed with that style of messaging.

Senators, meanwhile, say they’re already being gently reminded by the Edwards administration that the Fourth Floor has line-item veto authority and the spending cap issue is one of importance.

Representatives, who are much more reluctant to side with Edwards and the plan outlined in SCR 3, say they aren’t feeling the lobbying pinch yet, but know it’s coming soon.

While Cortez passed his resolution to lift the spending cap out of the Finance Committee this week, senators don’t expect a floor vote any time soon. Instead, they expect
Cortez to hold onto the instrument as the House prepares to move its budget bills. 

As for others lobbying the issue, senators say they’re hearing more from higher education boosters and contractors, who want nothing more than to see the excess dollars in play directed to deferred maintenance.

“I think we’re going to be hearing a lot more from them,” said one long-time senator.

At this hour, the House and Senate appear to be going in opposite directions on the spending cap issue — and both sides are digging in. Does this mean yet another special session could be on deck if lawmakers are unable pass a budget package that addresses additional spending?

Some lawmakers aren’t ruling out the possibility.

For more Louisiana political news, visit www. LaPolitics.com or follow Alford on Twitter @ LaPoliticsNow.