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Facts about the Louisiana state budget


Below are facts about the Louisiana state budget for the upcoming fiscal year passed by the Legislature.
The budget continues the trend of making smart reductions to the size of government, while strengthening the state’s health care system and protecting higher education. This budget also reduces the reliance on one-time funding and increases the amount of recurring revenue, ensuring more stable state budgets for years to come.


• The FY16 budget reduces the size of state government by nearly 3 percent by reducing spending within state agencies and increasing efficiencies.

• In total, the budget decreased from $25.8 billion to approximately $25.1 billion.

• That decrease includes $464 million in recurring savings that will help future budgets by requiring fewer taxpayer resources.

• It also includes $626 million in recurring revenue and cuts the use of one time money in half.

• Cuts corporate welfare spending by over $129 million per year.

• These sustainable budget solutions, along with the state’s strong economic climate and job growth, put Louisiana on the path for long-term prosperity.

Funding Higher Education and Healthcare

• Higher education is funded at $2.36 billion, a 3.8% increase over FY15.
o That increase includes $265.1 million for TOPS, an increase of $15.2 million that will allow more students to continue their educations in Louisiana.

• We increased the total K-12 funding by 2.36%, or $84.7million.  This includes a 1.375% inflationary increase in MFP funding of $36.2 million, $40.5 million in funding for student growth, $5.4 million for high cost special needs students and $2.6 million for course choice.

• $42 million for the Louisiana Scholarship Program that will allow more than 600 new students to join the more than 7,000 who have already escaped failing schools and are continuing their education in a school that better suits their academic needs.

• The Department of Health and Hospitals budget is funded at $9.65 billion, an increase of 1.5% over FY15 that includes a $3.5 million increase to waiver services.

• An additional $53.7 million is included for DHH partner hospitals to strengthen health care delivery in Louisiana. This will match an additional $88.3 million in federal funding for a total funding level of $142 million for health care services in Louisiana.

• The current budget includes $53 million to fully fund legacy costs for the former LSU hospitals.  This funding has been specifically designated to help the LSU hospital systems pay down ‘legacy’ costs left over from the old healthcare delivery model. Doing this will ensure that operating funds appropriated to the hospital systems can be focused on medical training and patient care, not historical overhead costs.

• Also, an additional $31.1 million is included for LSUHS Shreveport Medical School so that Louisiana can continue training the doctors of tomorrow.

Funding Public Safety

• $5 million for a new State Police cadet class that will convene in July, which will train future troopers and maintain their presence in Louisiana communities;

• $1.4 million for a class of Wildlife and Fisheries agents to keep Louisiana beautiful by protecting our wildlife, natural resources, hunters and fishermen.

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