Page 1 of 7
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2010 ENROLLED
SENATE BILL NO. 523
BY SENATOR CHEEK
AN ACT1
To enact Subpart E of Part VII of Chapter 5 of Title 40 of the Louisiana Revised Statutes,2
to be comprised of R.S. 40:1236.21 through 1236.31, relative to emergency medical3
services; to provide for the creation of the statewide ambulance service district; to4
provide for the purpose and object of the district; to provide for a board of5
commissioners; to provide for powers and duties of the board of commissioners; to6
provide for domicile of the district; to provide for rules and regulations; to provide7
for the authority to incur debt and issue general bonds; to provide for legislative8
findings; and to provide for related matters.9
Be it enacted by the Legislature of Louisiana:10
Section 1. Subpart E of Part VII of Chapter 5 of Title 40 of the Louisiana Revised11
Statutes, comprised of R.S. 40:1236.21 through 1236.31 is hereby enacted to read as follows:12
SUBPART E. FIRST RESPONDER FINANCIAL13
STABILIZATION AND ENHANCEMENT14
§1236.21. Legislative findings15
The legislature hereby finds and declares the following:16
(1) Emergency medical services constitute an invaluable part of the17
healthcare delivery system of Louisiana and are an essential element of18
Louisiana's emergency preparedness system.19
(2) Emergency medical services will be a key element in any healthcare20
reform initiative.21
(3) Emergency medical services are a key component of any economic22
development program as they are essential to recruiting and retaining industry.23
(4) The cost of funding the Medicaid program and healthcare for the24
ACT No. 887 SB NO. 523 ENROLLED
Page 2 of 7
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
poor and uninsured in the state must be carefully managed in a manner which1
recognizes the challenges associated with appropriate reimbursement for2
services under the program.3
(5) Emergency medical service providers want to assure that emergency4
medical services are available to all residents of Louisiana.5
(6) It is in the best interest of the state that there exist sufficient resources6
to assure the availability of emergency ambulance services to the citizens of7
Louisiana and the creation of a statewide ambulance service district will help8
to ensure this goal.9
(7) The Louisiana Ambulance Alliance and the Department of Health10
and Hospitals are interested in exploring the use of local revenues to enhance11
the delivery of emergency ambulance services through the use of certified public12
expenditures, intergovernmental transfers or other financing mechanisms that13
are in accordance with the applicable state and federal regulations.14
§1236.22. Short title15
This Subpart shall be known and may be cited as the "First Responder16
Financial Stabilization and Enhancement Act".17
§1236.23. Statewide ambulance service district; creation18
In order to provide for sufficient resources to assure the availability of19
emergency ambulance services to the population of Louisiana, the legislature20
does hereby establish a statewide ambulance service district. The boundaries21
of the district shall be coterminous with the boundaries of the state. The22
ambulance service district thus created shall constitute a body corporate in law23
with all powers of a corporation, shall have perpetual existence, shall have the24
power and right to contract obligations, to sue and be sued, and to do and25
perform any and all acts in its corporate capacity and its corporate name26
necessary and proper for the carrying out of the objects and purposes for which27
the ambulance service district was created. It shall have the power and28
authority to acquire any and all necessary equipment and buildings for the29
purpose of performing the objects for which it is formed and shall own all sites30 SB NO. 523 ENROLLED
Page 3 of 7
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
and physical facilities which are acquired either by donation, purchase,1
exchange, and otherwise in full ownership.2
§1236.24. Object and purpose of the district3
The object and purpose of the ambulance service district and the4
governing body created under the provisions of this Subpart shall be to enhance5
reimbursement and financial stability of ambulance providers. The6
Department of Health and Hospitals, hereafter referred to as the "department",7
may submit waivers or state plan amendments to the Centers for Medicare and8
Medicaid Services in order to secure federal financial participation in relation9
to any such payments or reimbursement. Payments shall be made only in10
accordance with an approved waiver or state plan amendment. The11
department and the statewide ambulance district may enter into an agreement,12
in accordance with state and federal law, to develop funding methodologies in13
a way that is consistent with the legislative intent set forth herein. The14
methodology shall be created with the intent to maximize, to the fullest extent15
possible, the return to the providers located within the jurisdiction of the local16
governing body which subsidized the delivery of services. Any licensed provider17
of ambulance services shall be eligible to participate in the district.18
Participation is on a strictly voluntary basis.19
§1236.25. Ambulance service district commission; qualifications, appointment,20
vacancies, removal and compensation of members21
A. The ambulance service district created pursuant to this Subpart shall22
be governed by the Ambulance Service District Commission, hereafter referred23
to as the "commission". The commission shall be composed of one member24
from each congressional district, appointed by the governor, subject to25
confirmation by the Senate, from a list of names submitted by the Louisiana26
Ambulance Alliance. The nomination list submitted to the governor shall27
include at least three nominees from each congressional district. Members of the28
commission shall be citizens and qualified electors of this state. Initially, three29
members of the commission shall be appointed for a two-year term, and the30 SB NO. 523 ENROLLED
Page 4 of 7
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
remaining members for four-year terms. Thereafter, all members shall be1
appointed for four years. Any vacancy on the board caused by death,2
resignation, removal, or disability of a member shall be filled for the unexpired3
term by appointment by the governor from the congressional district where the4
vacancy occurred.5
B. Any member of the commission whose term expires shall continue to6
serve on the commission until such time that a successor is appointed.7
C. Any member of the commission may be removed from office for8
cause and his appointment rescinded by a two-thirds vote of the membership9
of the governing authority.10
D. The commission annually shall elect one of its members chairman,11
and one vice-chairman. The meetings shall be held at the domicile of the12
district established by the commission. At least four regular meetings shall be13
held annually. Special meetings may be held at such times and places as shall14
be specified, by call of the chairman or by a simple majority of the commission.15
E. A majority of the members shall constitute a quorum of the board for16
all purposes and functions of the board.17
F. Each member of the board shall receive a certificate or commission18
from the governor and before beginning his term of office shall file with the19
secretary of state a written oath or affirmation of faithful discharge of his20
official duties.21
G. The members of the commission and all employees of the corporation22
shall be subject to the Code of Governmental Ethics. They shall be considered23
public employees as defined by R.S. 42:1102(18) and the corporation shall be24
considered an agency as defined by R.S. 42:1102(2) for purposes of the Code of25
Governmental Ethics only. All meetings of the board shall be open and subject26
to the provisions of R.S. 42:4.1 et seq. A record of all proceedings at regular and27
special meetings of the board shall be kept and shall be open to public28
inspection, except as otherwise provided by this Title or in R.S. 42:6.1.29
H. No member of the board shall receive a per diem or shall be30 SB NO. 523 ENROLLED
Page 5 of 7
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
reimbursed for expenses incurred when attending a meeting of the board or any1
of its committees or for the time spent on behalf of the board on official2
business.3
§1236.26. Powers and duties of the commission4
In addition to the duties defined elsewhere, the commission shall have the5
duty and authority:6
(1) To represent the public interest in facilitating ambulance care in the7
state.8
(2) To pursue grant funds to advance first responder services.9
(3) To enter into cooperative agreements with other public and private10
entities.11
(4) To assist ambulance providers in obtaining lowest possible cost for12
equipment and supplies through group purchasing.13
(5) To appoint a director of the ambulance service district and to14
perform such other duties as may now or hereafter be required by law.15
(6) To appoint the necessary standing and special committees which may16
be necessary to carry out the purposes of this Subpart.17
(7) To establish rates of pay for the use of facilities provided by the18
district.19
(8) To enter into contractual arrangements with recognized and duly20
constituted ambulance providers which are primarily engaged in the operation21
of ambulance related functions in order to enhance Medicaid funding and22
reimbursement, and for related matters.23
(9) To designate a bank to act as agent for depositing funds.24
(10) To designate rules and regulations for safekeeping of the funds25
acquired, collected, or loaned by or to the district, and to provide for regular26
audits of the accounts of the district.27
§1236.27. Procedure for organizing the ambulance service district28
A. At the same time as the governor appoints the initial members of the29
commission, the governor shall designate a time and place for the first meeting30 SB NO. 523 ENROLLED
Page 6 of 7
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
of the commission. The first meeting shall take place within sixty days from the1
date of the initial appointments. At the first meeting of the commission, the2
commission shall proceed to organize by electing a chairman and a vice-3
chairman.4
B. It shall be the duty of the chairman to preside over the meetings of the5
commission and to perform such other duties as are usually required of the6
chairman of a corporate board. It shall be the duty of the vice-chairman to act7
in the absence of the chairman and in case of the disability of the chairman.8
§1236.28. Domicile; service of process9
A. The domicile of the district shall be fixed by the commission and may10
be changed at the pleasure of the commission. All books and records of the11
district shall be kept at the domicile.12
B. Service of process shall be made upon the director, and in his13
absence, upon the chairman of the commission, and in his absence or their14
absence, then upon the vice-chairman of the commission.15
§1236.29. District as a political subdivision; power to incur debt and issue16
general bonds17
The ambulance service district is hereby declared to be a political18
subdivision of the state. For carrying out the purposes of the ambulance service19
district as provided in this Subpart, the district, pursuant to the provisions of20
the Louisiana Constitution of 1974, shall have the power to incur debt and issue21
general obligation bonds or revenue.22
§1236.30. Federal and state aid23
The ambulance service district created hereunder shall have full power24
to do such things and enter into any contracts and agreements with any state or25
federal agency or instrumentality as may be necessary to procure aids and26
grants to assist such districts in carrying out the purpose for which they are27
created.28
§1236.31. Rules and regulations29
The commission shall have the power, and it shall be its duty, to adopt30 SB NO. 523 ENROLLED
Page 7 of 7
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
rules and regulations, in accordance with the Administrative Procedure Act, for1
the proper disbursement of funds to participating providers. Such rules and2
regulations shall be submitted to the Senate and House committees on health3
and welfare and such committees shall have jurisdiction for purposes of the4
Administrative Procedure Act.5
Section 2. This Act shall become effective upon signature by the governor or, if not6
signed by the governor, upon expiration of the time for bills to become law without signature7
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If8
vetoed by the governor and subsequently approved by the legislature, this Act shall become9
effective on the day following such approval.10
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: