The House cleared two key pieces of legislation on Monday aimed at positioning Louisiana for aerospace investment, sending them both to the Senate. Those two pieces of legislation are House Bill 1088 and House Bill 1179, both authored by Rep. Tony Bacala, R-Prairieville. Both bills passed unanimously.
HB1088, which passed on a 95-0 vote, would authorize a state and local sales and use tax rebate for equipment, machinery, materials and other items “used in aerospace facilities and aerospace activities.”
To qualify for the rebate, a project would need to involve at least $1 billion in new capital investment within a specific timeframe—on or after July 1, 2026, but before July 1, 2031—and create a minimum of 200 direct new jobs.
HB1179, which passed on a 94-0 vote, would extend eligibility for Louisiana’s Industrial Tax Exemption Program to “aerospace manufacturing establishments.”
The measures are part of a coordinated package of bills filed just before this session’s introduction deadline designed to make Louisiana more competitive for large-scale aerospace investment. Key lawmakers are carrying the bills, including Bacala, who chairs the House Ways and Means Committee, and Rep. Jack McFarland, R-Jonesboro, who chairs the House Appropriations Committee.
As previously reported by Daily Report, the other bills in the package address liability, public records exemptions and infrastructure classification, among other matters. Read more about the package here.
What remains unclear is whether the bills are tied to a specific project already under consideration or whether they are intended to strengthen Louisiana’s position in the aerospace sector more broadly.
Louisiana Economic Development describes aerospace and defense as one of Louisiana’s seven priority sectors, having been identified as a key “right-to-win” industry in which the state can build on existing strengths to compete globally.
With House passage secured, HB1088 and HB1179 will next be introduced in the Senate, where they will be assigned to committee for further review. The other bills in the package are still working their way through the House.
