Q: What is LFT’s position on Constitutional Amendment 3?
LFT supports Constitutional Amendment 3.
Q: What would CA 3 do?
CA 3 would use the balances in the Education Excellence Fund, the Louisiana Education Quality Trust Fund, and the Louisiana Quality Education Support Fund to make a one-time payment on the state’s debt to the Teachers’ Retirement System of Louisiana. Under the amendment and companion legislation, the savings from lowering that debt cost would be used for permanent salary increases of $2,250 for certificated personnel and $1,125 for noncertificated personnel, plus related benefits.
Q: Why does LFT support a path to permanent salary increases?
Since 2023, educators and school employees have received a one-time stipend that had to be renewed in each year’s budget. CA 3 creates a path to permanent salary increases instead of forcing educators and support staff to wait through each budget cycle to see whether the stipend will be continued again. That matters even more now because state budget planning documents have warned of an impending fiscal cliff, and the Revenue Estimating Conference’s December 2025 forecast about $753 million lower than actual FY 2024-2025 collections for FY 2025-2026.
Q: How does CA 3 address districts that do not realize enough savings on their own?
CA 3 ensures that employees in the small number of districts that do not realize enough savings on their own are still covered. The legislation requires the 2026-2027 Minimum Foundation Program to provide equivalent funding for public school system personnel whose employers do not participate in TRSL and to provide the amount needed to fully fund the permanent salary increase and related benefits in TRSL-participating systems that do not realize enough savings to cover the full cost. Those funding amounts are then maintained until a new MFP formula that includes them is adopted and approved.
Q: Would CA 3 cut retirement benefits?
CA 3 leaves retirement benefits intact. TRSL explains the amendment addresses the state’s debt to the retirement system. It does not cut the benefits educators and retirees have earned or will earn in the future. TRSL also states that the one-time payment is projected to reduce annual employer retirement contributions by about $271 million statewide, including about $199 million for K-12 and $72 million for higher education, with long-term interest savings estimated at about $1 billion.
Q: Does CA 3 stop future improvements in pay?
CA 3 does not stop future improvements in pay. The companion legislation requires this salary increase to be permanent and built into salary schedules, but it also allows excess savings above what is needed for the required increase and related benefits to be used for an additional across-the-board salary increase, subject to the limits in the law. CA 3 creates a permanent floor for compensation. It does not create a ceiling, nor does it prevent the local districts or the state from funding future pay raises.
Q: Would higher education savings be used to fund K-12 salary increases?
The amendment does not use higher education savings to fund K-12 salary increases. The required K-12 salary increase applies to public school systems, and the amendment separately addresses higher education balances and purposes. The K-12 funding structure is based on K-12 savings and the Minimum Foundation Program provisions that cover systems outside TRSL and systems whose savings are insufficient.
Q: What do these funds actually provide annually?
It is important to understand what these funds actually provide annually. Many people hear that the funds hold about $2 billion and assume that schools are currently receiving a huge stream of flexible yearly money. That is not the reality. PAR reported that education programs received about $68 million from the three funds’ earnings and related receipts in the 2023-2024 budget year, not billions in yearly spending.
Q: Why are these numbers often misunderstood?
The annual reports from the Louisiana Department of Education show why these numbers are often misunderstood. In 2024-2025, EEF showed $72.7 million “available,” but only $11.6 million of that was actually new money. In 2025-2026, EEF showed $77.1 million “available,” but only $19.1 million was actually new money. The annual new revenue funds grant opportunities for public and private schools, but not every eligible school or system applies for those funds; in 2024-2025, 210 of 368 eligible entities applied, and in 2025-2026, 217 of 379 eligible entities applied.
Q: How does Louisiana’s 8(g) Education Quality Trust Fund work?
Louisiana’s 8(g) Education Quality Trust Fund keeps the principal in the Permanent Trust Fund, while the earnings credited to the Support Fund are split evenly, with 50 percent for higher education and 50 percent for K-12 education. The higher education share is distributed through the Board of Regents, and the K-12 share is administered by BESE through its annual 8(g) program.
Q: What was the FY 2023-2024 8(g) allocation for K-12?
For K-12, Louisiana’s FY 2023-2024 8(g) allocation was $20.5 million, divided into $9.87 million for the Statewide Allocation and $9.87 million for the Block Allocation, with the remaining dollars reserved for management, oversight, and proposal review.
Q: What is the Statewide Allocation?
The Statewide Allocation is the portion LDOE controls for statewide priorities that local districts do not control, including items such as LEAP assessment administration and other state-level education priorities.
Q: What is the Block Allocation?
The Block Allocation is the portion that flows out to eligible schools and systems through the annual 8(g) grant process, including public schools, charter schools, and approved nonpublic schools.
Q: What does that mean in plain terms?
In plain terms, about half of the K-12 8(g) money stays with the state for statewide purposes like LEAP, and about half goes out to schools, both public and private, through BESE grants.
Q: What about higher education?
For higher education, Louisiana’s FY 2023-2024 8(g) allocation was $20 million. Of that total, $2.42 million went to endowed chairs, $1.12 million went to graduate fellows, $5.93 million went to research and development, $9.93 million went to enhancement grants, and $596,885 covered administrative costs. If CA 3 passes, TRSL projects that the savings generated for higher education would be about $72 million. Higher education systems would not be required to use those savings for any specific purpose, but they would need to use some of the money to continue supporting programs that have been funded each year through trust fund earnings.
Q: What is the case for CA 3?
The case for CA 3 is straightforward. It protects retirement benefits, addresses the state’s debt to TRSL, provides permanent salary increases instead of another round of uncertainty, and requires state funding to make those increases happen in districts that do not realize enough savings on their own. Higher education systems are projected to realize about $72 million in savings as well, but those savings are not directed by the amendment to fund K-12 compensation, and higher education systems would likely need to use at least part of that money to cover programs that have been financed annually through trust fund earnings.
Q: What will LFT continue to advocate for beyond CA 3?
LFT will also continue to advocate for future salary increases beyond CA 3. However, that work will require strong member advocacy. With tighter revenue forecasts and constant competition for every available dollar in the state budget, educators and school employees will need to continue to take action so lawmakers understand that compensation must remain a priority.
Q: Where can members hear a direct explanation from TRSL?
On April 22, 2026 at 6:00pm CST, TRSL is offering a webinar for members who want to hear a direct explanation of how CA 3 works and how it would affect the retirement system:
Register for the webinar here.
TRSL’s handout on CA 3 is here.