House Bill No. proposes a constitutional amendment to modify the distribution of severance tax revenues in Louisiana. Specifically, it seeks to amend Article VII, Section 4(D)(3) of the Louisiana Constitution to change the effective date for the remittance of one-fifth of the severance tax on natural resources (excluding sulphur, lignite, or timber) to the governing authority of the parish where the severance occurs from July 1, 2007, to July 1, 2027. The bill also aims to repeal Article VII, Section 4(D)(4), which previously established a maximum remittance limit of $850,000 to any parish, along with the requirement for annual adjustments based on the Consumer Price Index.

The proposed amendment would allow parishes to receive 20% of severance tax revenues without a cap on the dollar amount, thereby enabling them to retain a larger share of the revenues generated from natural resource production. This change is intended to provide greater financial support to local governments where severance activities take place. The amendment will be submitted to voters for approval during the statewide election scheduled for November 3, 2026, and, if passed, will take effect on July 1, 2027.