Wednesday, August 28, 2019

Louisiana ranks 27th highest on wine taxes

The state wine excise taxes in Louisiana ranked 27th in the nation, according to a new analysis from the Tax Foundation based on January 2019 data.
The state’s effective excise tax on a gallon of wine in Louisiana stood at 76 cents, the Tax Foundation study found.
Most states levy wine taxes based on volume, but other states impose other types of taxation. Minnesota places per-bottle fees that vary based on size.
Five states – Mississippi, New Hampshire, Pennsylvania, Utah and Wyoming – have in place government monopolies on the sale of beer, wine and other alcoholic beverages, according to the analysis. 
Wine excise taxes by state
RankStateWine excise tax per gallon
1Kentucky$3.26
2Alaska$2.50
3Florida$2.25
4Iowa$1.75
5 (tie)Alabama$1.70
5 (tie)New Mexico$1.70
7Delaware$1.63
8 (tie)Georgia$1.51
8 (tie)Virginia$1.51
10Arkansas$1.44
11Maryland$1.43
12Rhode Island$1.40
13Illinois$1.39
14Hawaii$1.38
15South Dakota$1.31
16Tennessee$1.27
17Minnesota$1.20
18South Carolina$1.08
19Montana$1.06
20West Virginia$1.00
21North Carolina$1.00
22North Dakota$0.98
23Nebraska$0.95
24New Jersey$0.88
25Washington$0.87
26Arizona$0.84
27Louisiana$0.76
28 (tie)Oklahoma$0.72
28 (tie)Connecticut$0.72
30Nevada$0.70
31Oregon$0.67
32Maine$0.60
33 (tie)Vermont$0.55
33 (tie)Massachusetts$0.55
35Michigan$0.51
36Indiana$0.47
37Idaho$0.45
38Missouri$0.42
39Ohio$0.32
40Colorado$0.32
41 (tie)New Hampshire$0.30
41 (tie)Kansas$0.30
41 (tie)New York$0.30
43Wisconsin$0.25
44Texas$0.20
45California$0.20
46 (tie)Mississippi$0.00
46 (tie)Utah$0.00
46 (tie)Pennsylvania$0.00
46 (tie)Wyoming$0.00
Source: Tax Foundation
- The Center Square

Formosa Plastics to make $332M expansion in Baton Rouge

Formosa Plastics plans to expand its facility in Baton Rouge, creating 15 new jobs in the region.

Taiwan-based Formosa Plastics Corporation said it's investing $332 million to expand production of polyvinyl chloride resin (PVC) and add equipment in two other units of its manufacturing facility it has operated since 1981.

The new jobs will have average annual salaries of over $77,000 plus benefits, a news release from Louisiana Economic Development said. LED estimates another 66 new indirect jobs from the expansion and 500 construction jobs beginning early next year.

PVC is a synthetic plastic polymer used in the construction industry, as insulation on electrical wires, in flooring for buildings and as piping and siding.

Formosa plans to install new machinery and equipment to increase production capacity and sales by 20 percent, the news release said. The new operations are expected to launch in late 2021 or early 2022.

LED offered Formosa a performance-based grant of up to $500,000 to secure the project. The company also is expected to use the state's Quality Jobs and Industrial Tax Exemption programs.

- CityBusiness staff reports

Louisiana's Audubon Golf Trail adds 3 courses

Three more courses are now in Louisiana's Audubon Golf Trail.

They include LaTour Golf Club along Bayou  Lafourche in Mathews, Oak Knoll Country Club in Hammond and Koasati Pines Golf Club at Coushatta Casino Resort in Kinder.

That brings the total of courses on the trail to 18, a news release from Lt. Gov. Billy Nungesser's office said.

- CityBusiness staff reports

Louisiana rewrites master plan, goals for public colleges

Louisiana's top higher education board has adopted a new roadmap for the state's public colleges and universities, with high achievement goals.
The master plan approved Wednesday by the Board of Regents seeks to boost educational attainment for black students, get adults back into the classroom and improve skills training for high school students.
The goal is for six in 10 working-age adults to hold a college degree or other employment credential beyond a high school diploma by 2030. Fewer than half of Louisiana's adults aged 25 to 64 have achieved that benchmark.
A year of work went into rewriting the statewide plan governing public higher education. It's the first significant revamp since Louisiana first adopted the plan in 2001.
The new version doesn't tally up the costs of its recommendations.
- The Associated Press

Conservative advocate finds liberal bedfellows on tax breaks

By David Jacobs, The Center Square

A national conservative group is finding liberal allies in its effort to keep industry-specific tax breaks from creeping back into the federal code, an advocate said Tuesday.
While on a visit to Baton Rouge Tuesday, Russ Latino with Americans for Prosperity said a number of industries are trying to get Congress to reinstate tax breaks that were eliminated when the corporate tax rate was lowered in 2017.
“It’s essentially like having your cake and eating it too,” he said. “Now that the rate’s lower, they’re coming back and trying to get a second bite at the apple.”
Latino said AFP has a high-profile partner in the fight against the tax breaks from the other side of the political spectrum: Richard Trumka, head of the AFL-CIO labor union coalition and chairman of the left-leaning Economic Policy Institute.
“You see, particularly around the idea of corporate welfare and cronyism, a weird coalition emerge with both left and right groups,” Latino said.
He said AFP’s other national priority this year is ending the Export-Import Bank of the United States. Unless it is reauthorized, the bank’s charter will lapse at the end of September.
“It [provides] taxpayer-backed loans to only a handful of companies,” Latino said. “We call it ‘Boeing’s bank,’ because Boeing is far and away the largest recipient of these loans.”
The government gives terms far more generous than a commercial lender would, he said. Other critics argue the Ex-Im does not meaningfully increase American exports.
“We’re borrowing money from China to subsidize products that we’re selling back to China,” Latino said. “It just shouldn’t happen.”
Supporters of reauthorizing the Ex-Im Bank, such as the U.S. Chamber of Commerce, say the agency provides financing and guarantees for U.S. exports that directly support American jobs at no cost to the taxpayer.
“Far from being a burden on the taxpayer or a subsidy for corporations, Ex-Im charges fees for its services that have generated $7 billion in revenue for the U.S. Treasury over the past 25 years above and beyond funds it received in appropriations,” says Neil Bradley, executive vice president and chief policy officer with the U.S. Chamber. “Ex-Im enables U.S. companies large and small to turn export opportunities into real sales that support U.S. jobs as well as contribute to a stronger national economy.”
President Donald Trump bashed the Ex-Im during his 2016 campaign. But by 2017 he seemed to have changed his mind, noting that other nations support their companies in a similar fashion.
“It turns out that, first of all, lots of small companies are really helped, the vendor companies,” Trump said, according to published reports. “But also, maybe more important, other countries give [assistance]. When other countries give it we lose a tremendous amount of business.”
Latino said the measures AFP opposes likely will get attached to “must-pass” bills, such as a major appropriations bill.
“We actually think we may end up losing these fights,” he said. But getting the word out helps build support for the next time these issues come up, he added.

City planners sign off on Bywater condo-turned-hotel project

 By Andrew Valenti, Reporter
                                          Rendering courtesy Concordia Architects

A development proposal in Bywater that started as condos and transitioned into a hotel has received unanimous support from city planners.

The City Planning Commission voted 6-0 on Tuesday to recommend approval for the project at 3220 Chartres St., where developers need a conditional use permit for an 18-suite hotel and commercial space. The vacant property fronts Chartres Street between Piety and Louisa streets at an entrance to Crescent Park along the Mississippi River.

The five-story hotel would offer suites with kitchenettes and living space ranging from two to four bedrooms. The rooftop area, which would be accessible to the public, would consist of a swimming pool, bars, lounging areas and outdoor dining. There would also be space for three commercial tenants on the ground floor ranging from 1,447 square feet to 1,789 square feet.

A summary of the work lists the construction value of the 67-foot-high building at $6 million, with construction expected to start early next year.

CPC members deferred on making a recommendation at their July 23 meeting because because staff wanted the developers, listed in records as an entity known as Schoen Fuselier & Balzebre LLC, to revise height and setback requirements, add egress stairwell step-backs and comply with the minimum permeable open space. According to a preliminary staff report, developers submitted revised architectural plans on Aug. 12 that addressed these concerns, which were approved by the the Historic District Landmarks Commission’s Architectural Review Committee in July.

CPC action is required because a hotel is a conditional use in the HM-MU Historic Marigny/Treme/Bywater mixed-use district. The final decision rests with the City Council.

One issue city planners had was with the off-street parking situation. David Fuselier, one of the developers of the proposed development, said his team has a letter of intent in place and is finalizing an agreement with the French Market to lease 30 spaces at a lot downriver at Crescent Park even though staff recommended only 19 parking spots.

“We wanted to go above and beyond so we didn’t overflow into the neighborhood,” he said.

CPC member Kyle Wedberg said the French Market is a public corporation, and leasing these spots would take away free parking from the public use. Wedberg suggested leasing the recommended 19 spots and utilize more public transportation options such as taxis, ride sharing services or Blue Bikes.

Another concern Wedberg had was a lack of dedicated loading or pick-up and drop off spaces on site, which could cause additional traffic in the area. He wanted to see the developers work with other property owners upriver on the Chartres Street side of the development to address this.

The project has undergone some changes since it began. A previous iteration was the $5 million Piety on the Park, with 1,500 to 1,700-square-foot condos priced between $475,000 and $850,000 and two commercial spaces on the ground floor. That proposal received CPC approval two years ago.

Fuselier and his team determined that “a long-term project that provided needed amenities that could be a draw for locals and visitors alike seemed to fit the site’s best and highest use.”

Other developers who have partnered with Fuselier on the project include Patrick Schoen, Robert Balzebre and Andrew Coleman. Schoen is the managing partner at Jacob Schoen & Son Funeral Home at 3827 Canal St. and has also partnered with Fuselier on other projects in the city. Balzebre has helped develop mixed-use and other commercial properties in New Orleans, Lafayette, Dallas and Miami.

  


Louisiana plans new cybersecurity center for threat response

Louisiana is establishing a cybersecurity center in Baton Rouge that will analyze hacking threats and bolster information sharing among state and federal agencies, industry experts and academics in an effort to strengthen computer network security.
Gov. John Bel Edwards and Maj. Gen. Glenn Curtis of the Louisiana National Guard announced the plans Tuesday. They said the center will be located in a coastal research complex called the Water Campus near downtown Baton Rouge.
The National Guard will work on the cybersecurity efforts with LSU research affiliate Stephenson Technologies and private defense contractor Radiance Technologies.
The center will support missions at Fort Polk and Barksdale Air Force Base and be available to respond to cyberattacks on government agencies, schools and private businesses, according to Edwards' office.
Louisiana will spend $2 million to lease and build out the space at the facility.
"We want everyone's data and privacy to be safe and secure. So it's incumbent upon us to invest in cybersecurity measures that protect our citizens from damaging attacks," Edwards said in a news release. "Establishing this facility will provide one of the greatest tools for that safety."
Edwards declared a state of emergency in July as four public school districts found hackers targeted their computer networks, in some cases, infecting networks with malware or ransomware. The Democratic governor also created a statewide cybersecurity commission in 2017, aimed at finding ways to make Louisiana a leader in the field.
More than 40 Louisiana National Guard members will use the new cybersecurity center for training and cybersecurity operations, the governor's office said, while Stephenson Technologies and Radiance Technologies will add 15 new employees in Baton Rouge for the center.
- The Associated Press