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Regular Session, 2012
HOUSE BILL NO. 327
BY REPRESENTATIVES RICHARD, ADAMS, ARNOLD, BADON, BERTHELOT,
STUART BISHOP, WESLEY BISHOP, BURFORD, CARMODY, CARTER,
CHAMPAGNE, GAINES, GAROFALO, GISCLAIR, GREENE, HARRISON,
HAVARD, HENSGENS, HODGES, HUNTER, LAMBERT, NANCY LANDRY,
LIGI, LORUSSO, JAY MORRIS, PYLANT, REYNOLDS, SCHEXNAYDER, ST.
GERMAIN, TALBOT, THIBAUT, WHITNEY, ALFRED WILLIAMS, AND
WILLMOTT
PUBLIC CONTRACTS: Provides for a 10% reduction of all state professional, personal,
and consulting service contracts
AN ACT1
To enact Subpart G of Part I of Chapter 16 of Subtitle III of Title 39 of the Louisiana2
Revised Statutes of 1950, to be comprised of R.S. 39:1493.11 and 1498(A)(10),3
relative to professional, personal, and consulting services procurement; to require a4
reduction in the dollar amount of certain professional, personal, and consulting5
service contracts; to provide for the submission of periodic reports; to provide for6
exceptions; to provide for certain determinations before contract approval; to provide7
for an effective date; and to provide for related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. Subpart G of Part I of Chapter 16 of Subtitle III of Title 39 of the10
Louisiana Revised Statutes of 1950, comprised of R.S. 39:1493.11 and 1498(A)(10) are11
hereby enacted to read as follows: 12
SUBPART G. REDUCTION OF CONTRACTS FOR FISCAL YEAR 2012-201313
§1493.11. Reduction of contracts for Fiscal Year 2012-201314
A.(1) The total dollar amount for professional, personal, and consulting15
service contracts under the jurisdiction of the office of contractual review for Fiscal16 HLS 12RS-236 REENGROSSED
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Year 2012-2013 shall be reduced by no less than ten percent of the total dollar1
amount for such contracts for Fiscal Year 2011-2012.2
(2) The office of contractual review shall submit reports on the status of the3
implementation of this Section to the Joint Legislative Committee on the Budget on4
October 1, 2012, January 1, 2013, April 1, 2013, and July 1, 2013.5
B. The office of contractual review shall not approve any contract if such6
approval would increase the total dollar amount of contracts as required in7
Subsection A of this Section, unless such contract meets all of the following criteria:8
(1) Either no employee of the contracting department or agency is both9
competent and available to perform the services called for by the proposed contract10
or the services called for are not the type readily susceptible to being performed by11
persons who are employed by the state on a continuing basis.12
(2) The services are not available as a product of a prior or existing contract.13
(3) The contracting department or agency has submitted to the office of14
contractual review a written plan to monitor and evaluate the performance called for15
in the proposed contract.16
(4) It is more cost effective to obtain the proposed services through the17
contract than to have the services provided by the contracting department or agency18
if the department or agency can provide the services or by agreement with another19
state department or agency.20
(5) The commissioner of administration determines that the proposed21
contract represents a priority expenditure for Louisiana state government.22
* * *23
§1498. Approval of contract; penalties24
A. Before approving a proposed contract for professional, personal,25
consulting, or social services, the director of the office of contractual review or an26
assistant shall have determined that:27
* * *28 HLS 12RS-236 REENGROSSED
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(10) A contract for professional, personal or consulting services is not1
awarded to any entity for which an appropriation was enacted through a line item2
appropriation in the General Appropriations Act for the fiscal year in which the3
contract is proposed, and was subsequently vetoed by the governor, for such amount4
or services as contained in the appropriation. If the office of contractual review5
determines that a contract in the amount and for such services as were contained in6
the vetoed appropriation is proposed, the office shall not approve such contract7
without prior approval of the Joint Legislative Committee on the Budget.8
* * *9
Section 2. This Act shall become effective on July 1, 2012; if vetoed by the governor10
and subsequently approved by the legislature, this Act shall become effective on July 1,11
2012, or on the day following such approval by the legislature, whichever is later.12
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)]
Richard HB No. 327
Abstract: Requires a 10% reduction in the total dollar amount for professional, personal,
and consulting service contracts under the jurisdiction of the office of contractual
review for FY 2012-2013.
Proposed law requires a 10% reduction in the total dollar amount for professional, personal,
and consulting service contracts under the jurisdiction of the office of contractual review for
FY 2012-2013.
Proposed law requires the office of contractual review to submit reports on the status of the
implementation of proposed law to the Joint Legislative Committee on the Budget on Oct.
1, 2012, Jan. 1, 2013, April 1, 2013, and July 1, 2013.
Proposed law prohibits the office of contractual review from approving any contract if such
approval would increase the total dollar amount of contracts above the reduction required
in proposed law, unless such contract meets all of the following criteria:
(1)Either no employee of the contracting department or agency is both competent and
available to perform the services called for by the proposed contract or the services
called for are not the type readily susceptible to being performed by persons who are
employed by the state on a continuing basis.
(2)The services are not available as a product of a prior or existing contract. HLS 12RS-236 REENGROSSED
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(3)The contracting department or agency has submitted to the office of contractual
review a written plan to monitor and evaluate the performance called for in the
proposed contract.
(4)It is more cost effective to obtain the proposed services through the contract than to
have the services provided by the contracting department or agency if the department
or agency can provide the services or by agreement with another state department or
agency.
(5)The commissioner of administration determines that the proposed contract represents
a priority expenditure for La. state government.
Present law provides for certain determinations by the director of the office of contractual
review prior to the approval of proposed contracts.
Proposed law retains present law and further provides that before approval, the director of
the office of contractual review shall determine that a contract for professional, personal, or
consulting services is not awarded to any entity for which an appropriation was enacted
through a line item appropriation in the General Appropriations Act for the fiscal year in
which the contract is proposed, and subsequently vetoed by the governor, for such amount
or services as contained in the appropriation. Proposed law further provides that if the office
of contractual review determines that a contract in the amount and for such services as were
contained in the vetoed appropriation is proposed, the office shall not approve such contract
without prior approval of the Joint Legislative Committee on the Budget.
Effective July 1, 2012.
(Adds R.S. 39:1493.11 and 1498(A)(10))
Summary of Amendments Adopted by House
House Floor Amendments to the engrossed bill.
1. Added provision regarding determinations by the director of the office of
contractual review prior to the approval of certain proposed contracts.