Louisiana Investment Fund for Enhancement

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  (A) The Louisiana Investment Fund for Enhancement is established as a special fund in the state treasury. All revenues received by the state from the production of oil and gas within the state shall be deposited in the state treasury and credited to the Bond Security and Redemption Fund in accordance with the provisions of Article VII, Section 9, and shall be remitted to the political subdivisions of the state pursuant to Article VII, Section 4. In each fiscal year out of the funds remaining in the Bond Security and Redemption Fund, after a sufficient amount has been allocated for the payment of obligations secured by the full faith and credit of the state which become due and payable within the fiscal year, the treasurer shall credit an amount equal to the windfall revenues from oil and gas price deregulation to the Louisiana Investment Fund for Enhancement.

  (B) As used in this Section, "windfall revenues from oil and gas price deregulation" means those revenues received by the state in a fiscal year which are in excess of the base for that particular fiscal year, as calculated in accordance with this Paragraph. The base for fiscal year 1981-1982 shall be the estimated level of collections for oil, gas, and other severance taxes and from oil and gas production royalties in fiscal year 1980-1981, which for the purposes hereof shall be one billion eighty-five million dollars, calculated as follows:

  (1) Seven hundred sixty million dollars from oil, gas, and other severance taxes; and

  (2) Three hundred twenty-five million dollars from oil and gas royalty payments, excluding bonuses and rentals.

In each subsequent fiscal year, the state treasurer shall calculate the windfall revenues from oil and gas price deregulation for that fiscal year by determining a new base as follows: The base for the previous fiscal year shall be multiplied by the most recent annual change in the consumer price index and then the product shall be added to the base for the previous fiscal year.

  (C) The state treasurer shall invest the monies in the Louisiana Investment Fund for Enhancement in the manner provided by law. Interest from the investment shall be credited to the general fund.

  (D) Monies credited to the Louisiana Investment Fund for Enhancement may be expended only pursuant to an appropriation enacted by the vote of two-thirds of the elected members of each house of the legislature.

  (E) The legislature shall have the authority to enact any legislation with regard to the Louisiana Investment Fund for Enhancement not inconsistent with the provisions of this Section.

Added by Acts 1983, No. 730, §1, approved Oct. 22, 1983, eff. Nov. 23, 1983.