Here’s the deal: Lawmakers and Gov. John Bel Edwards reached a compromise late Thursday to rebalance Louisiana’s state operating budget and close a $313 million deficit, lessening—but not eliminating—a spending cut for public colleges. The Associated Press reports colleges will take a $12 million hit, losing about 1% of their state financing, under the plan approved without objection by the Joint Legislative Committee on the Budget. The size of the higher education cut had been the chief point of disagreement. Edwards earlier had proposed an $18 million cut to campuses. Lawmakers spent the last two days cobbling together a deal with the governor to reduce the cut. Another shortfall, projected to be around $300 million, is expected for the current 2016-17 budget year, because tax collections and other sources of state revenue aren’t coming in as expected. Lawmakers won’t close that gap until January or February. Read the full story.
Word war: A stalemate over contracts to provide health insurance next year for 10,000 state employees, retirees and family members ended Thursday when Gov. John Bel Edwards’ administration removed LGBT-rights protections from the deals. The Associated Press reports House lawmakers had stalled the contracts because they objected to including language from an executive order Edwards issued to protect the rights of LGBT workers, saying the governor had exceeded his authority. The order prohibited discrimination in government and state contracts based on sexual orientation and gender identity. A judge declared the order unconstitutional Wednesday. Read the full story.
On the way down: Builders pulled back on constructing homes in November, after ground breakings surged in October to the strongest pace in more than nine years, The Associated Press reports. Housing starts fell 18.7% last month to a seasonally adjusted 1.09 million, the Commerce Department says. The decline likely reflected a natural regression after home construction soared 27% to 1.34 million homes in October, the highest level since July 2007. Homebuilders appear to be entering 2016 with renewed confidence, despite the potential setback of rising mortgage rates. Ground breakings have risen 4.8% so far this year. Most of the gains came from single-family houses, as apartment construction has slipped. Read the full story.
