House Bill No. by Representative McFarland establishes the framework for the Revenue Sharing Fund for Fiscal Year 2025-2026, allocating a total of $90 million to various local government entities, referred to as "tax recipient bodies," which include the city of New Orleans, parish governing authorities, and school boards, while excluding certain districts in specific parishes. The bill outlines a distribution process based on population and homestead numbers, with funds allocated to tax collectors and directly to the city of New Orleans, including specific provisions for the Monroe City School Board. It also introduces a special fund for tax collectors' commissions and retirement contributions, mandating that tax collectors distribute funds to offset losses from homestead exemptions, with limitations based on historical data from 1977.

Additionally, the bill details the distribution of excess funds collected from taxes, specifying how these funds should be allocated among different tax recipient bodies. It establishes a tiered allocation system based on public school populations and includes minimum funding amounts for certain districts, ensuring equitable distribution while addressing local needs. New legal language is introduced to require legislative approval before excess funds can be expended in certain parishes, and it outlines a structured timeline for fund distribution by the state treasurer. Overall, the bill aims to clarify the financial structure and ensure accountability in the distribution of tax revenues across Louisiana's parishes.