To provide for the filing of annual audited statements by certain trust funds. (8/15/10) (OR NO IMPACT See Note)
Impact
The implementation of SB131 is expected to enhance the oversight of trust funds that operate outside of the traditional insurance framework. This measure could lead to a more regulated environment for these funds, ensuring that they maintain standard practices associated with financial management and reporting. By requiring annual audited statements, the state can monitor the solvency and operational health of these funds, which could protect both beneficiaries of the funds and the public from potential financial mismanagement.
Summary
SB131 aims to amend the existing regulations concerning professional and public liability trust funds in Louisiana. Specifically, the bill provides for the requirement that these trust funds file annual audited statements with the commissioner of insurance. This change intends to ensure greater transparency and accountability regarding how these funds are managed and how claims against them are settled. By establishing clear reporting requirements, the bill seeks to bolster public confidence in the financial operations of these trust funds, particularly those connected to hospital associations and nonprofit organizations supporting various professional sectors.
Sentiment
The sentiment around SB131 has generally been supportive among those who advocate for increased transparency in financial practices regarding trust funds. Proponents argue that the auditing requirement will improve financial accountability and protect stakeholders. However, there may be some opposition from organizations concerned about the potential administrative burden that these new requirements might impose. Overall, the response from legislative discussions indicates a favorable view of the bill as a means to bolster trust fund management.
Contention
One notable point of contention surrounding SB131 is the balance between regulation and operational flexibility for trust funds. While proponents emphasize the need for accountability, detractors could argue that imposing stringent auditing requirements could lead to increased costs and create barriers for small organizations managing these funds. This tension reflects a broader conversation about the role of regulation in professional sectors, particularly those that rely on trust funds for coverage against liabilities.
Requires local auditees and vendors who collect taxes on behalf of others to have certain annual audits and to submit certain sworn statements regarding tax collections to the legislative auditor (EN NO IMPACT LF EX See Note)
Creates and provides for the Louisiana Centers of Excellence Financing Corporation and authorizes the issuance of bonds to finance the construction of centers of excellence. (2/3-CA7s9(F)) (8/15/10) (EN NO IMPACT See Note)
Transferring registration requirements and related compliance oversight and enforcement authority for professional employer organizations from the commissioner of insurance to the secretary of state effective January 1, 2025, granting the secretary responsibility over the professional employer organization fee fund and ensuring that welfare benefit plans offered by professional employer organizations to employees and covered employees are treated as a single employer welfare benefit plan for purposes of state law.
Permits high performing school districts to be monitored by DOE under New Jersey Quality Single Accountability Continuum (NJ QSAC) every seven years rather than every three years.