As Governor, Foster Campbell will eliminate the state income tax, allowing Louisianans to pocket $3.1 billion each year instead of paying it to the state treasury. The increased economic activity from this tax reduction--the largest tax cut in Louisiana history--will usher in one of the greatest economic booms in the state's history.
Eliminating both the personal and the corporate income taxes will make Louisiana a much more attractive location for business, providing a powerful incentive for new and existing employers to provide new jobs for our people.
The Campbell plan will replace the money given back to Louisianans by updating the 1921 severance tax on oil and gas produced in Louisiana. He'll institute a 6 percent user fee on ALL oil and gas produced, processed, refined or distributed in Louisiana. Although Louisiana is now an oil and gas processing state instead of a major producing state, the system adopted 86 years ago collects a tax ONLY on minerals produced in Louisiana. But 95 percent of oil and gas produced and processed in Louisiana--most of it from foreign oil companies and companies owned by foreign nations--is untaxed. That's unfair to producers in Louisiana and allows foreign companies to use our offshore waters and coastal wetlands without charge.
The processing fee will produce $5.5 billion each year. Even after eliminating the state income tax and the severance tax, Louisiana will gain an additional $1.7 billion in revenue every year. Foster will devote $1 billion a year to restoring coastal wetlands, damaged in part by mineral extraction and the thousands of miles of canals dug in our marshes to aid offshore exploration and production.
The remainder of the new funding obtained through the Campbell plan will be devoted to highway construction, improving our schools and other critical needs.
No other candidate for Governor has a comprehensive plan to meet the state's needs. They propose to tinker around with the existing system and hope that conditions improve for Louisiana. But more of the same will not move Louisiana into its rightful place as one of the most prosperous states in the South.