As a business owner from New Orleans and an active member of the Republican State Central Committee, I have always been committed to promoting economic development and maintaining a favorable business climate in Louisiana. However, I am concerned about some of the legislation being proposed during this session that threatens these goals.
One bill, Senate Bill 234, in particular, could have disastrous consequences for businesses and taxpayers. The bill aims to limit the number of financial institutions eligible to compete for and finance taxpayer-funded projects such as road construction, school maintenance, emergency services equipment, and healthcare facilities. This legislation overlooks basic economics principles and ignores the importance of a competitive bond market for businesses and municipalities alike.
In 2021, Texas passed similar legislation that restricted local municipalities from working with specific financial institutions at the discretion of its attorney general. A recent study on the impact of this legislation revealed significant economic losses, job cuts, and reduced tax revenues. Louisiana cannot afford to follow down the same path. We are currently ranked fifth in the United States for economic growth in 2023. If we want our businesses and residents to succeed in Louisiana, we need pro-growth policies that support economic development without unnecessary government interference.
I urge lawmakers and residents to oppose any legislation that would harm our state’s economy by limiting access to capital for businesses or restricting competition among financial institutions. Instead of stifling innovation in infrastructure development or reducing job opportunities for Louisianans, we should prioritize policies that promote economic growth and prosperity for all citizens in our state.