SLS 10RS-636 ORIGINAL Page 1 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Regular Session, 2010 SENATE BILL NO. 329 BY SENATOR HEBERT COLLEGES/UNIVERSITIES. Requires the Board of Regents and each postsecondary education management board to reduce the amount expended for salaries of certain non- instructional employees to the salary allocated to such employee's position on Jan. 1, 2008. (7/1/10) AN ACT1 To require the Board of Regents and each postsecondary education management board to2 reduce the amount expended for salaries of certain non-instructional employees to3 certain levels; to provide for exceptions; to provide relative to employees who are4 employed pursuant to contractual arrangements; to provide relative to reallocation5 of certain monies to be used to mitigate budget reductions in instruction, research6 and academic support activities; to provide an effective date; and to provide for7 related matters.8 Be it enacted by the Legislature of Louisiana:9 Section 1. A. Notwithstanding any other law to the contrary, the Board of Regents10 and each postsecondary education management board shall reduce the amount expended for11 the salary of any non-instructional employee, who is paid either entirely or partially from12 unrestricted funds appropriated to the Board of Regents and each postsecondary education13 management board in "Schedule 19 - Higher Education" of the General Appropriations Act,14 to the salary allocated to such non-instructional employee's position in effect on January 1,15 2008. The provisions of this Section shall only apply to an employee whose position is16 allocated a salary of one hundred thousand dollars or more annually on the effective date of17 SB NO. 329 SLS 10RS-636 ORIGINAL Page 2 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. this Act.1 B.(1) Any personnel decision or salary reduction determined to be necessary by the2 Board of Regents or a postsecondary education management board pursuant to Subsection3 (A) of this Section shall not apply to those employees who are employed under contractual4 arrangements which prohibit such reductions. However, for any other employee who is5 employed under contractual arrangements, to the extent permitted by law and the terms of6 the contract, the compensation shall be subject to a reduced amount upon renewal or7 extension of the contract.8 (2) Beginning on the effective date of this Act, any contract entered into by the Board9 of Regents or a postsecondary education management board shall include a fiscal funding10 clause which provides that the continuation of a contract for employment is contingent upon11 the appropriation by the legislature of funds to fulfill the requirements of the contract. If the12 legislature fails to appropriate sufficient monies to provide for continuation of the contract,13 or if such appropriation is reduced by the veto of the governor or by any means provided in14 the General Appropriations Act to prevent the total appropriation for the fiscal year from15 exceeding revenues for that year, or for any other lawful purpose, and the effect of such16 reduction is that insufficient monies are provided for the continuation of the contract, the17 contract shall terminate on the date of the beginning of the first fiscal year for which funds18 are not appropriated. Agreement to the fiscal funding clause shall be a condition of19 employment.20 C. The provisions of this Act shall not apply to the following:21 (1) Any employee who is employed to provide direct instruction, engage in research,22 and provide academic support activities as defined by the National Association of College23 and University Business Officers.24 (2) Any employee who receives a salary which is paid partially or entirely by a25 college or university foundation that raises private funds for the support of a public26 institution of postsecondary education or by any other private, nonprofit foundation or27 source.28 D. Any reallocation of appropriated funds pursuant to this Section shall be used to29 SB NO. 329 SLS 10RS-636 ORIGINAL Page 3 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. mitigate any budget reductions made in funding for postsecondary education instruction,1 research, and academic support activities.2 Section 2. This Act shall become effective on July 1, 2010; if vetoed by the governor3 and subsequently approved by the legislature, this Act shall become effective on July 1,4 2010, or on the day following such approval by the legislature, whichever is later.5 The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Sherri H. Breaux. DIGEST Requires, notwithstanding any other law to the contrary, the Board of Regents and each postsecondary education management board to reduce the amount expended for the salary of any non-instructional employee, who is paid either entirely or partially from unrestricted funds appropriated to the Board of Regents (BOR) and each postsecondary education management board in Schedule 19 of the General Appropriations Act, to the salary allocated to such non-instructional employee's position in effect on January 1, 2008. Provides for application only to an employee who has a salary of $100,000 or more annually. Provides for any personnel decision or salary reduction determined necessary does not apply to those employees who are employed under contractual arrangements prohibiting such reductions. Provides, however, for any other employee who is employed under contractual arrangements, to the extent permitted by law and the terms of the contract, the compensation will be subject to a reduced amount upon renewal or extension of the contract. Provides that any contract entered into by the BOR or a management board on or after July 1, 2010, must include a fiscal funding clause which provides that the continuation of a contract for employment is contingent upon the appropriation by the legislature of funds to fulfill the requirements of the contract. Provides that if the legislature fails to appropriate sufficient monies to provide for contract continuation, or if such appropriation is reduced by the governor's veto or by any means provided in the General Appropriations Act to prevent the total appropriation for the fiscal year from exceeding revenues for that year, or for any other lawful purpose, and the effect of such reduction is that insufficient monies are provided for the continuation of the contract, the contract will terminate on the date of the beginning of the first fiscal year for which funds are not appropriated. Requires agreement to the fiscal funding clause shall be a condition of employment. Provides that such provisions do not apply to the following: (1)Any employee who is employed to provide direct instruction, engage in research, and provide academic support activities. (2)Any employee who receives a salary which is paid partially or entirely by a college or university foundation or by any other private, nonprofit foundation or source. Requires that any reallocation of appropriated funds be used to mitigate any budget reductions made in funding for postsecondary education instruction, research, and academic support activities. Effective July 1, 2010.