Louisiana 2010 2010 Regular Session

Louisiana House Bill HB1490 Engrossed / Bill

                    HLS 10RS-2314	ENGROSSED
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Regular Session, 2010
HOUSE BILL NO. 1490      (Substitute for House Bill No. 200 by Representative Connick)
BY REPRESENTATIVES CONNICK, GISCLAIR, LABRUZZO, LIGI, LOPINTO,
LORUSSO, AND TALBOT AND SENATOR QUINN
PUBLIC CONTRACT/BIDS:  Provides limitations on persons convicted of felonies from
participating in governmental contracts
AN ACT1
To enact R.S. 38:2212.8 and Chapter 24 of Title 39 of the Louisiana Revised Statutes of2
1950, to be comprised of R.S. 39:2181 and 2182, relative to procurement; to allow3
for the prohibition of certain convicted felons from participating in the contract and4
procurement process; and to provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 38:2212.8 is hereby enacted to read as follows: 7
§2212.8. Right to prohibit awards or procurement with individuals convicted of8
certain felony crimes9
A. In awarding contracts, any public entity is authorized to reject the lowest10
bid from, or not award the contract to, a business in which any individual with an11
ownership interest of five percent or more has been convicted of, or has entered a12
plea of guilty or nolo contendere to any state felony crime or equivalent federal13
felony crime committed in the solicitation or execution of a contract or bid awarded14
under the laws governing public contracts under the provisions of Chapter 10 of this15
Title, professional, personal, consulting, and social services procurement under the16
provisions of Chapter 16 of Title 39 of the Louisiana Revised Statutes of 1950, or the17
Louisiana Procurement Code under the provisions of Chapter 17 of Title 39 of the18
Louisiana Revised Statutes of 1950.19 HLS 10RS-2314	ENGROSSED
HB NO. 1490
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are additions.
B. Nothing in this Section shall impose a duty, responsibility, or requirement1
on a public entity to perform criminal background checks on contractors, vendors,2
or subcontractors. It shall be the responsibility of any person, company, or entity3
making an allegation of prior convictions on the part of any bidder to present prima4
facie evidence to the public entity supporting their claim.5
C. If prima facie evidence is submitted substantiating that the lowest bidder6
has been convicted of, or has entered a plea of guilty or nolo contendere to any state7
felony crime or equivalent federal felony crime committed in the solicitation or8
execution of a contract or bid awarded under the laws listed in Subsection A of this9
Section and the public entity rejects the lowest bid, the company whose bid is10
rejected shall be responsible to the public entity for the costs of rebidding, the11
increased costs of awarding to the second low bidder, or forfeiture of the bid bond,12
whichever is higher.13
Section 2. Chapter 24 of Title 39 of the Louisiana Revised Statutes of 1950,14
comprised of R.S. 39:2181 and 2182, is hereby enacted to read as follows:15
CHAPTER 24. PROHIBITIONS IN PUBLIC GOVERNMENTAL CONTRACTS AND16
PROCUREMENT17
§2181. Applicability; definitions18
A. This Chapter shall apply to any contract or cooperative endeavor19
agreement that results from any bid or other award governed under Chapter 16 and20
Chapter 17 of this Title.21
B. For the purpose of this Chapter, "public entity" shall mean any agency,22
board, commission, department, or public corporation of the state, created by the23
constitution or statute or pursuant thereto, or any political subdivision of the state,24
including but not limited to any political subdivision as defined by Article VI,25
Section 44 of the Constitution of Louisiana, and any public housing authority, public26
school board, or any public officer whether or not an officer of a public corporation27
or political subdivision.28 HLS 10RS-2314	ENGROSSED
HB NO. 1490
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are additions.
§2182. Right to prohibit awards or procurement with individuals convicted of certain1
felony crimes2
A. In awarding contracts, any public entity is authorized to reject the lowest3
bid from, or not award the contract to, a business in which any individual with an4
ownership interest of five percent or more has been convicted of, or has entered a5
plea of guilty or nolo contendere to any state felony crime or equivalent federal6
felony crime committed in the solicitation or execution of a contract or bid awarded7
under the laws governing public contracts under the provisions of Chapter 10 of Title8
38 of the Louisiana Revised Statutes of 1950, professional, personal, consulting, and9
social services procurement under the provisions of Chapter 16 of this Title, or the10
Louisiana Procurement Code under the provisions of Chapter 17 of this Title.11
B. Nothing in this Section shall impose a duty, responsibility, or requirement12
on a public entity to perform criminal background checks on contractors, vendors,13
or subcontractors. It shall be the responsibility of any person, company, or entity14
making an allegation of prior convictions on the part of any bidder to present prima15
facie evidence to the public entity supporting their claim.16
C. If prima facie evidence is submitted substantiating that the lowest bidder17
has been convicted of, or has entered a plea of guilty or nolo contendere to any state18
felony crime or equivalent federal felony crime committed in the solicitation or19
execution of a contract or bid awarded under the laws listed in Subsection A of this20
Section and the public entity rejects the lowest bid, the company whose bid is21
rejected shall be responsible to the public entity for the costs of rebidding, the22
increased costs of awarding to the second low bidder, or forfeiture of the bid bond,23
whichever is higher.24 HLS 10RS-2314	ENGROSSED
HB NO. 1490
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are additions.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent.  [R.S. 1:13(B) and 24:177(E)]
Connick	HB No. 1490
Abstract: Provides that a public entity is authorized to reject the lowest bid or a contract
from a business in which any individual with an ownership interest of five percent
or more has been convicted of or entered a plea of guilty or nolo contendere to
certain felony crimes committed in the solicitation or execution of a contract or bid.
Proposed law provides that in awarding contracts, any public entity is authorized to reject
the lowest bid from, or not award the contract to, a business in which any individual with an
ownership interest of five percent or more has been convicted of, or has entered a plea of
guilty or nolo contendere to any state felony crime or equivalent federal felony crime
committed in the solicitation or execution of a contract or bid awarded under the laws
governing public contracts under the provisions of Chapter 10 of Title 38 of the Louisiana
Revised Statutes of 1950, professional, personal, consulting and social services procurement
under the provisions of Chapter 16 of Title 39 of the Louisiana Revised Statutes of 1950, or
the Louisiana Procurement Code under the provisions of Chapter 17 of Title 39 of the
Louisiana Revised Statutes of 1950.
Proposed law provides that a public entity does not have a duty, responsibility, or
requirement to perform criminal background checks on contractors, vendors, or
subcontractors.  Proposed law further provides that it shall be the responsibility of any
person, company, or entity making an allegation of prior convictions on the part of any
bidder to present prima facie evidence to the public entity supporting their claim.
Proposed law provides that if prima facie evidence is submitted substantiating that the lowest
bidder has been convicted of, or has entered a plea of guilty or nolo contendere to any state
felony crime or equivalent federal felony crime pursuant to 	proposed law and the public
entity rejects the lowest bid, the company whose bid is rejected will be responsible to the
public entity for the costs of rebidding, the increased costs of awarding to the second low
bidder, or forfeiture of the bid bond, whichever is higher.
Proposed law defines "public entity" as any agency, board, commission, department, or
public corporation of the state, created by the constitution or statute or pursuant thereto, or
any political subdivision of the state, including but not limited to any political subdivision
as defined in Art. VI, §44 of the Const. of La., and any public housing authority, public
school board, or any public officer whether or not an officer of a public corporation or
political subdivision. 
(Adds R.S. 38:2212.8 and R.S. 39:2181-2182)