Nearly two-thirds of members of the state’s largest teachers union oppose Gov. Jeff Landry’s teacher pay plan. That’s according to a recent survey from the Louisiana Federation of Teachers. Landry’s executive order would cut $168 million from public schools’ operating budgets to finance stipends for teachers and support staff. The Times-Picayune | Baton Rouge Advocate’s Patrick Wall reports: 

The survey results come after statewide associations representing superintendents, school boards and principals have all come out against Landry’s June 2 executive order. Now that the largest teachers union also is opposing the plan, that could put pressure on some lawmakers to abstain or vote against it. “Legislators should listen carefully to what educators are saying,” [LFT President Larry] Carter said. “They do not deserve a pay cut. But cutting school funding is not the answer.” 

The teacher pay imbroglio poses a larger discussion around the state’s priorities:

(A)s much as [teacher Jenny Guidry] cannot afford to see her paycheck shrink, she questioned why the state must slash school budgets to give teachers the modest stipends this year. “They can find money for everything else without blinking,” she said. “But when it comes to teachers, we’re always at the bottom of the list.”

State lawmakers have until 5 p.m. Tuesday to approve Landry’s teacher pay plan. The governor’s executive order must be approved by two-thirds of the Legislature. 


Social Security fiscal cliff is getting closer

Nearly 1 million Louisiana seniors will have their Social Security benefits cut in six years unless Congress acts. The popular program faces insolvency unless tax increases or benefit cuts are used to address its shortfall. The Times-Picayune | Baton Rouge Advocate’s Mark Ballard reports: 

A typical Louisiana beneficiary would lose $460 from their $1,726 monthly Social Security check, according to a Committee for a Responsible Federal Budget analysis of the dreary financial forecast released last week by the Social Security Trustees for the Old-Age and Survivors Insurance trust. … (T)he expected reduction of benefits works out to a $4.2 billion loss to the state’s economy …

What extreme heat means for state budgets

Extreme heat is becoming more common in the United States. Last year, extreme-heat warnings were issued for every region of the country, including a first-ever warning for Alaska. Pew’s Andrea Snyder explains the fiscal impacts of extremely high temperatures:

The wide-ranging effects of extreme heat events are felt across critical economic and public service sectors, putting pressure on state budgets and creating complex policy challenges for decision-makers. Extreme heat puts pressure on state budgets by driving up healthcare needs, reducing agricultural output, and accelerating infrastructure deterioration, among other effects, which translate to higher public expenditures and lower revenue. 

States are taking steps to identify how extreme heat affects key revenue streams and services:

  • New Jersey’s Extreme Heat Resilience Action Plan highlights broad costs to labor productivity, agriculture, and infrastructure.
  • California and Delaware have commissioned detailed studies of heat response costs—such as for cooling centers, wellness checks, and transportation and emergency services—and lost revenue from power outages and declines in manufacturing productivity.

States where people are the most delinquent on debt 

Louisiana ranks second among all states on the share of people who are delinquent on personal debt, only behind Mississippi. That’s according to a new report from WalletHub. As families struggle financially, late fees and higher interest rates add insult to injury for low-income Louisianans. Adam McCann with WalletHub has the numbers: 

Louisiana is the second-most delinquent state, with residents delinquent on 12.2% of all their individual loans and lines of credit. When you look at dollar amounts, Louisiana residents are delinquent on 12.9% of their entire debt, which is also the second-highest rate in the country.

Number of the Day

50.7% – Share of Louisiana’s revenue that came from the federal government in 2024. Louisiana was the only state in the nation where federal funds accounted for more than half of the state’s revenue. (Source: Pew)