LABI Advances Strategic Insurance, Infrastructure, and Workforce Initiatives in Louisiana

The Louisiana Association of Business and Industry (LABI), which represents over 2,000 employers, experienced significant legislative success in 2024, including tax reforms and education changes, supported by a Republican supermajority and a new governor. LABI's new CEO, Will Green, formerly of the Louisiana Auto Dealers Association, identifies insurance reform as a primary focus for the current session, particularly efforts aimed at reducing auto insurance rates by limiting large payouts following car accidents.

LABI aligns with Insurance Commissioner Tim Temple and legislators on measures designed to curb excessive insurance claims and attract insurers to lower rates, but faces opposition from Governor Jeff Landry on some bills, reflecting intra-party disagreements. LABI also opposes regulations proposed by rural lawmakers that could hamper carbon capture and sequestration projects, promoting the technology as an economic growth and job creation opportunity for Louisiana. Another major LABI priority is expanding funding for early childhood education to improve labor force participation, addressing workforce shortages exacerbated by the high cost of child care that prevents many parents from working.

LABI supports increased investment in the Child Care Assistance Program and advocates for workforce development reforms and a streamlined Louisiana Workforce Commission to better prepare residents for employment. Infrastructure is another key concern; LABI backs efforts to reform the state Department of Transportation and Development (DOTD) amid reports highlighting poor road and bridge conditions that impede economic growth and cost businesses financially. Lastly, LABI aims to preserve business tax credits related to local inventory taxes after voters rejected a constitutional amendment aimed at ending local tax collections. These legislative initiatives underscore the ongoing negotiations and influence LABI wields in Louisiana's economic and regulatory environment amid competing interests among political leaders.