Lawmakers say they have struck a deal they expect to end a budget feud between Louisiana’s governor and attorney general—and the lawsuit associated with it—over an escrow account containing millions.
As The Associated Press reports, Republican Attorney General Jeff Landry sued Democratic Gov. John Bel Edwards in April, accusing the administration of improperly withholding the money the attorney general’s office says is needed to finance its operations.
The agreement brokered by Republican Sen. Bret Allain, vice chairman of the Senate Finance Committee, involves a complex transfer of funds that would wipe out the $5.3 million sitting in the contested escrow account in exchange for giving the attorney general’s office $2.7 million in other state financing.
Legislation containing the agreement still must win approval from lawmakers before the regular session ends Thursday, but legislative leaders in the House and Senate say they were confident the deal would win passage.
“My understanding from talking to all parties is this would clear up all the problems between the attorney general and Gov. Edwards over the escrow fund,” says House Appropriations Chairman Cameron Henry, a Republican allied with Landry. “Hopefully, this will negate the lawsuit that has been filed, and we can move on.”
Edwards’ chief lawyer Matthew Block says the governor’s office was part of the discussions with senators who brokered the compromise and Edwards would sign the deal if it reaches his desk. Block describes the deal as a “fair resolution,” and points out that Landry’s office would get less than the full amount that had been disputed.
Block says he expected the deal could end the legal dispute.
The dollars at issue in the lawsuit are from a 2014 pharmaceutical settlement, the Edwards administration has said aren’t legally Landry’s dollars to spend.
