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Regular Session, 2011
HOUSE BILL NO. 442
BY REPRESENTATIVE HENDERSON
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
ETHICS: Provides relative to members of the board of commissioners of certain hospital
service districts
AN ACT1
To amend and reenact R.S. 42:1113(A)(1)(b), 1121(A)(2), and 1123(18), relative to ethics2
provisions governing certain hospital service district boards; to prohibit certain3
parish governing authorities from appointing their own members to a board or4
commission; to terminate the service of certain board members appointed by certain5
parish governing authorities; to remove an exception from the code of ethics for6
certain hospital service district boards; to extend the time certain former board7
members and their families are prohibited from engaging in contractual8
arrangements with and being employed by their former agency; and to provide for9
related matters.10
Be it enacted by the Legislature of Louisiana:11
Section 1. R.S. 42:1113(A)(1)(b), 1121(A)(2), and 1123(18) are hereby amended12
and reenacted to read as follows: 13
§1113. Prohibited contractual arrangements14
A.(1)(a)15
* * *16
(b)(i) This Paragraph does not prohibit a municipal or parish governing17
authority from appointing one of its members:18
(i)(aa) To fill a vacancy in accordance with the Louisiana Election Code. No19
person so appointed, except as provided in R.S. 42:1121(G), shall be eligible to or20 HLS 11RS-948 ENGROSSED
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shall qualify in the next election as a candidate for the office to which he is1
appointed.2
(ii)(bb) To a board or commission for which the governing authority is the3
appropriate appointing authority and the appointee receives no salary or per diem for4
service on the board or commission, or if a member of the governing authority is5
required to be appointed to the board or commission by the home rule charter,6
ordinance, or resolution which created or established the board or commission.7
(ii) Notwithstanding any provision of Item (i) of this Subparagraph to the8
contrary, no governing authority in a parish having a population between thirty-five9
thousand seven hundred persons and thirty-eight thousand persons as of the most10
recent federal decennial census shall appoint one of its members to a hospital service11
district board of commissioners.12
* * *13
§1121. Assistance to certain persons after termination of public service14
A.15
* * *16
(2)(i) No former member of a board or commission shall, for a period of two17
years following the termination of his public service on such board or commission,18
contract with, be employed in any capacity by, or be appointed to any position by19
that board or commission.20
(ii) Notwithstanding any provision of Item (i) of this Paragraph, no former21
member of a hospital service district board of commissioners in a parish having a22
population between thirty-five thousand seven hundred persons and thirty-eight23
thousand persons as of the most recent federal decennial census nor any immediate24
family member of such former board member may contract with, be employed in any25
capacity by, or be appointed to any position by that board or commission for a period26
of five years following the termination of the board member's public service on such27
board.28
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§1123. Exceptions1
This Part shall not preclude:2
* * *3
(18)(a) A licensed physician who is a member of a board of commissioners4
for any hospital service district authorized by Chapter 10 of Title 46 of the Louisiana5
Revised Statutes of 1950 located within a parish which has a population of one6
hundred twenty-five thousand or less from contracting with the hospital over which7
the board exercises jurisdiction, from subcontracting with another provider who8
contracts with such hospital, or from owning an interest in an entity that contracts9
with such hospital. However, such licensed physician shall recuse himself from10
participating in any transaction before the board relating to any contracts entered into11
by him, or by a provider with which he subcontracts, or by any entity in which he12
owns an interest, and permitted by this Paragraph.13
(c) Any physician serving as a member of a hospital service district board14
or commission, if such hospital service district board or commission is required by15
law or by local ordinance, rule, or regulation adopted by a municipal or parish16
governing authority to have one or more physician members on its board or17
commission, from leasing space for the provision of health care services from a18
hospital under the jurisdiction of the board or commission for fair market value.19
However, such licensed physician shall recuse himself from participating in any20
transaction involving a lease agreement to which he is permitted by this21
Subparagraph to be a party.22
(d) Any licensed physician who is the child of a member of a board of23
commissioners of any hospital service district authorized by Chapter 10 of Title 4624
of the Louisiana Revised Statutes of 1950, located within a parish that has a25
population of fifty thousand or less or for a hospital that is defined as a rural hospital26
pursuant to the Rural Hospital Preservation Act, R.S. 40:1300.141 et seq., from27
contracting for professional health care services with the hospital over which the28
board exercises jurisdiction, from subcontracting with another professional health29 HLS 11RS-948 ENGROSSED
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care provider who contracts for professional health care services with the hospital,1
or from owning an interest in any entity that contracts for professional health care2
services with the hospital.3
(e) Notwithstanding any provision of this Paragraph to the contrary, the4
provisions of this Paragraph shall not apply to any member of a hospital service5
district board of commissioners in a parish having a population between thirty-five6
thousand seven hundred persons and thirty-eight thousand persons as of the most7
recent federal decennial census.8
* * *9
Section 2. The service of any member of a parish governing authority appointed to10
and serving on a hospital service district board of commissioners in a parish with a11
population between thirty-five thousand seven hundred persons and thirty-eight thousand12
persons as of the most recent federal decennial census shall terminate at midnight on13
December 31, 2011.14
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)]
Henderson HB No. 442
Abstract: Removes an ethics exception for certain hospital service district board members
and provides an extended time within which a former board member of certain
hospital service districts, or his immediate family, may not contract with the former
agency.
Present law provides a Code of Governmental Ethics for public servants, including elected
officials, and public employees. Proposed law retains present law.
Present law (R.S. 42:1113(A)(1)(b)) provides an exception to the "prohibited contractual
arrangements" provisions of the code to allow a municipal or parish governing authority in
certain circumstances to appoint one of its own members to fill a vacancy or to a board or
commission. Proposed law excludes any parish having a population between 35,700 persons
and 38,000 persons from being able to appoint one of its own members to a hospital service
district board of commissioners in such parish.
Proposed law further provides that the service of any member of the parish governing
authority serving on a hospital service district board of commissioners in such a parish shall
terminate at midnight on Dec. 31, 2011.
Present law (R.S. 42:1121) provides that for two years following termination of a public
servant's service on a board or commission, that public servant is prohibited from contracting HLS 11RS-948 ENGROSSED
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with, being employed in any capacity by, or being appointed to any position by his former
board or commission. Proposed law retains present law. Proposed law further provides that
any board member, or an immediate family member thereof, of a hospital service district in
a parish having a population between 35,700 persons and 38,000 persons may not contract
with, be employed in any capacity by, or be appointed to any position by his former board
for a period of five years.
Present law (R.S. 42:1123(18)) provides exceptions to the Code of Governmental Ethics for
certain persons or classes of persons relative to hospital service districts. Proposed law
provides that any exception in present law which may apply to a board member of a hospital
service district in a parish having a population between 35,700 persons and 38,000 persons
will no longer apply to such board member.
(Amends R.S. 42:1113(A)(1)(b), 1121(A)(2), and 1123(18))
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on House and Governmental
Affairs to the original bill.
1. Adds a prohibition against governing authorities in certain parishes appointing
one of their own members to serve on a hospital service district board of
commissioners.
2. Provides that the service of any member of the parish governing authority
appointed to and serving on a hospital service district board of commissioners
in such a parish shall terminate at midnight on Dec. 31, 2011.
3. Limits the prohibition on applicability of exceptions in the Ethics Code in
proposed law to those exceptions dealing with hospital service districts.