SLS 12RS-776 ORIGINAL
Page 1 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2012
SENATE BILL NO. 527
BY SENATORS WALSWORTH AND RI SER AND REPRESENTATIVE FANNIN
POSTSECONDARY ED. Provides for the merger of Louisiana Tech and Louisiana State
University at Shreveport. (gov sig)
AN ACT1
To enact R.S. 17:3233 through 3233.6 and to repeal R.S. 17:3215(5), relative to2
postsecondary education; to provide for the transfer of Louisiana State University at3
Shreveport to the University of Louisiana System; to provide relative to the transfer4
of the facilities, resources, funds, obligations, and functions of such institution and5
related foundations; to provide for the merger of Louisiana Tech University and6
Louisiana State University at Shreveport; to provide for the transition responsibilities7
of the impacted institutions and postsecondary education boards; to provide for8
cooperative agreements; to provide relative to accreditation issues; to provide9
relative to student enrollment, program completion, and the awarding of diplomas;10
to provide relative to employees; to provide relative to funding; to provide for11
effectiveness; and to provide for related matters.12
Be it enacted by the Legislature of Louisiana:13
Section 1. R.S. 17:3233 through 3233.6 are hereby enacted to read as follows:14
§3233. Louisiana State University at Shreveport; transfer to the University of15
Louisiana System16
A. (1) Not later than August 1, 2012, the chancellor of Louisiana State17 SB NO. 527
SLS 12RS-776 ORIGINAL
Page 2 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
University at Shreveport shall submit a letter to the president of the Southern1
Association for Colleges and Schools, Commission on Colleges, stating his intent2
for a change in governance for such institution from the Board of Supervisors3
of Louisiana State University and Agricultural and Mechanical College to the4
Board of Supervisors for the University of Louisiana System.5
(2) The chancellor, faculty, and administration of Louisiana State6
University at Shreveport shall take every action necessary to efficiently and7
expeditiously comply with all established timelines, requirements, and8
procedures to ensure that the requested change of governance may be effected9
immediately upon receipt of commission approval.10
B.(1) Pursuant to the authority granted to the legislature by Article11
VIII, Section 5(D)(3) of the Constitution of Louisiana to transfer an institution12
from one board to another by law enacted by two-thirds of the elected members13
of each house, Louisiana State University at Shreveport , and the assets, funds,14
obligations, liabilities, programs, and functions related thereto, are hereby15
transferred to the University of Louisiana System, and shall be under the16
management and supervision of the Board of Supervisors for the University of17
Louisiana System.18
(2) The provisions of this Subsection shall become effective immediately19
upon receipt of approval from the Southern Association for Colleges and20
Schools, Commission on Colleges, for the requested change in governance.21
§3233.1. Merger of Louisiana Tech University and Louisiana State University22
at Shreveport23
A. Not later than July 1, 2013, the president of Louisiana Tech24
University and the chancellor of Louisiana State University at Shreveport shall25
jointly submit a letter to the president of the Southern Association for Colleges26
and Schools, Commission on Colleges, stating their intent to merge, under the27
management and supervision of the Board of Supervisors of the University of28
Louisiana System.29 SB NO. 527
SLS 12RS-776 ORIGINAL
Page 3 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
B. The administration and faculty of each institution and the Board of1
Supervisors of the University of Louisiana System shall take every action2
necessary to efficiently and expeditiously comply with all Southern Association3
for Colleges and Schools, Commission on Colleges, requirements and4
procedures to ensure that the requested merger may be effected immediately5
upon receipt of approval from the commission and final approval from the6
Board of Supervisors of the University of Louisiana System as provided by7
commission policy.8
C. Immediately upon receipt of approval from the Southern Association9
for Colleges and Schools, Commission on Colleges, to merge institutions, and10
final approval from the Board of Supervisors for the University of Louisiana11
System as provided in commission policy, Louisiana State University at12
Shreveport shall cease to exist as a separately accredited institution and shall13
be merged, along with its assets, funds, obligations, liabilities, programs, and14
functions, into Louisiana Tech University.15
§3233.2. University of Louisiana System; transition responsibilities16
The Board of Supervisors for the University of Louisiana System shall:17
(1) Develop policies and procedures to resolve issues related to the status18
and tenure of employees of Louisiana State University at Shreveport which may19
arise from the transfer of the institution to the University of Louisiana System.20
(2) Assist the administrative staff of Louisiana Tech University and21
Louisiana State University at Shreveport to develop and implement a22
comprehensive academic and operational plan to facilitate the merger thereof.23
(3) Assist Louisiana Tech University and Louisiana State University at24
Shreveport to prepare and submit their joint prospectus for merger to the25
Southern Association for Colleges and Schools, Commission on Colleges.26
§3233.3. Louisiana State University System; transition responsibilities;27
restrictions28
A. The Board of Supervisors of Louisiana State University and29 SB NO. 527
SLS 12RS-776 ORIGINAL
Page 4 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Agricultural and Mechanical College shall:1
(1) Continue to exercise its authority to supervise and manage Louisiana2
State University at Shreveport until such time as the Southern Association for3
Colleges and Schools, Commission on Colleges, grants approval for the4
requested change in governance and transfer of Louisiana State University at5
Shreveport to the University of Louisiana System.6
(2)(a) Work cooperatively and collaboratively with the Board of7
Supervisors of the University of Louisiana System to ensure that the requested8
transfer may be effected immediately upon receipt of commission approval for9
the change in governance.10
(b) Prior to receipt of such approval, enter into agreements to transfer11
as many administrative and supervisory functions as possible with respect to12
Louisiana State University at Shreveport, without adversely impacting the13
accreditation status of such institution.14
(3) Upon receipt of such approval, immediately transfer all assets, funds,15
facilities, property, obligations, liabilities, programs, and functions relative to16
Louisiana State University at Shreveport to the University of Louisiana System.17
B. The Board of Supervisors of Louisiana State University and18
Agricultural and Mechanical College shall not:19
(1) Interfere with, or impede in any way, the processes to transfer20
Louisiana State University at Shreveport to the University of Louisiana System21
and for the ultimate merger of such institution with Louisiana Tech University.22
(2) Sell, transfer, or otherwise remove any asset or thing of value,23
moveable or immoveable, tangible or intangible, attributable to or owned by24
Louisiana State University at Shreveport or owned, leased by, or operated by25
any foundation related to such institution. In addition, access to any asset leased26
to any foundation related to Louisiana State University at Shreveport shall not27
be restricted or denied.28
(3) Incur, transfer, or assign any debt or other responsibility or29 SB NO. 527
SLS 12RS-776 ORIGINAL
Page 5 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
obligation to Louisiana State University at Shreveport that is not properly1
attributable to such institution.2
(4)(a) Disproportionately reduce or reallocate the level of funding that3
would otherwise be allocated to Louisiana State University at Shreveport4
pursuant to the postsecondary education funding formula.5
(b) Until such time as Louisiana State University at Shreveport is6
transferred to the University of Louisiana System, impose any budget7
reductions or changes in funding allocations upon the institution without prior8
review and approval from the Joint Legislative Committee on the Budget.9
(5) Take any personnel action with regard to any instructional or10
administrative employee of Louisiana State University at Shreveport without11
the prior approval of the Board of Supervisors for the University of Louisiana12
System.13
§3233.4. Board of Regents; transition responsibilities14
The Board of Regents shall provide oversight, guidance, and support to15
all postsecondary management boards, systems, and institutions throughout the16
processes to transfer Louisiana State University at Shreveport to the University17
of Louisiana System and the ultimate merger of Louisiana Tech University and18
Louisiana State University at Shreveport.19
§3233.5. Students; continuation of enrollment; courses of study; diplomas20
A. Every student enrolled in, and in good standing with, Louisiana State21
University at Shreveport at the time of the transfer of such institution to the22
University of Louisiana System or at the time of the merger of such institution23
with Louisiana Tech University, shall be allowed to continue their enrollment24
and complete their prescribed course of study, provided they remain in good25
standing with the institution in which they are enrolled.26
B.(1) Students who complete their degree requirements and graduate27
prior to the merger of Louisiana Tech University and Louisiana State28
University at Shreveport and shall receive a diploma awarded by, and in the29 SB NO. 527
SLS 12RS-776 ORIGINAL
Page 6 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
name of, Louisiana State University at Shreveport.1
(2) Students who complete their degree requirements and graduate2
subsequent to the merger of the two institutions shall receive a diploma3
awarded by, and in the name of, Louisiana Tech University.4
§3233.6. Funds and funding5
A. Effective beginning with the 2012-2013 Fiscal Year, any and all funds6
previously paid by Louisiana State University at Shreveport to the Board of7
Supervisors of Louisiana State University and Agricultural and Mechanical8
College shall be paid instead to the Board of Supervisors for the University of9
Louisiana System; however, the total amount of such payments shall not be less10
than that paid during the 2011-2012 Fiscal Year.11
B. The commissioner of administration shall ensure that sufficient funds12
and resources are available to fully effect the transfer of Louisiana State13
University at Shreveport to the University of Louisiana System. Such funding14
and resources shall not impact the Board of Regents' formula for the equitable15
distribution of funds to institutions of postsecondary education.16
C. The legislature shall appropriate sufficient funds to the Board of17
Supervisors of Louisiana State University and Agricultural and Mechanical18
College and the Board of Supervisors for the University of Louisiana System to19
fully effect the transfer of Louisiana State University at Shreveport to the20
University of Louisiana System.21
Section 2. R.S. 17:3215(5) is hereby repealed.22
Section 3.(A) This Act is not intended to nor shall it be construed to impair the23
contractual or other obligations of any agency, office, board, commission, department, or24
political subdivision, or of the state as a result of the transfers of obligations in accordance25
with this Act. Upon the effective date of the transfer of Louisiana State University at26
Shreveport, all such obligations of the Board of Supervisors of Louisiana State University27
and Agricultural and Mechanical College related to Louisiana State University at Shreveport28
shall be deemed to be obligations of the Board of Supervisors for the University of Louisiana29 SB NO. 527
SLS 12RS-776 ORIGINAL
Page 7 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
System to the same extent as if originally incurred by it.1
(B) All funds and revenues previously dedicated by authority of the constitution and2
laws of this state to the payment of any bonds related to Louisiana State University at3
Shreveport shall continue to be collected and dedicated to such payments unless and until4
other provision is made for such payments in accordance with law. Upon the effective date5
of the transfer of Louisiana State University at Shreveport, all acts relating to such bonds by6
the Board of Supervisors of Louisiana State University and Agricultural and Mechanical7
College shall be deemed to be the acts of the Board of Supervisors for the University of8
Louisiana System in the same manner and to the same extent as if originally so done.9
(C) No provision of this Act shall preclude a Memorandum of Understanding (MOU)10
under which a bonded indebtedness obligation of the Board of Supervisors of Louisiana11
State University and Agricultural and Mechanical College existing on the effective date of12
this Act would remain in force after an agreement that the Board of Supervisors for the13
University of Louisiana System would be responsible for all payments, costs, and other14
covenants contained in said bonded indebtedness. If the maintenance of bonded indebtedness15
by the Board of Supervisors of Louisiana State University and Agricultural and Mechanical16
College for properties or assets to be transferred to the Board of Supervisors for the17
University of Louisiana System is advantageous to the state of Louisiana, then the Board of18
Supervisors of Louisiana State University and Agricultural and Mechanical College shall19
make every effort to maintain such bonded indebtedness under a Memorandum of20
Understanding as described herein.21
(D) The provisions of this Section shall have the full force and effect of law.22
Section 4. This Act shall become effective upon signature by the governor or, if not23
signed by the governor, upon expiration of the time for bills to become law without signature24
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If25
vetoed by the governor and subsequently approved by the legislature, this Act shall become26
effective on the day following such approval.27 SB NO. 527
SLS 12RS-776 ORIGINAL
Page 8 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Jeanne C. Johnston.
DIGEST
Proposed law provides for the transfer of Louisiana State University at Shreveport (LSU-S)
from the LSU System to the University of Louisiana System as follows:
1. Requires the chancellor of LSU-S to submit a letter to the president of the Southern
Association for Colleges and Schools, Commission on Colleges (SACS), not later
than August 1, 2012, stating his intent for a change in governance from the Bd. of
Supervisors of the LSU System to the Bd. of Supervisors for the UL System.
2. Requires the chancellor, faculty, and administration of LSU-S to take every action
necessary to efficiently and expeditiously comply with all SACS timelines,
requirements, and procedures to ensure that the requested change of governance may
be effected immediately upon receipt of commission approval.
3. Transfers LSU-S to the UL System, pursuant to the authority granted to the
legislature by the La. constitution to transfer an institution from one board to another
by law enacted by two-thirds of the elected members of each house. Also transfers
the assets, funds, obligations, liabilities, programs, and functions related to the
institution. Provides that such transfer will become effective immediately upon
receipt of SACS approval for the change in governance.
4. Requires the Bd. of Supervisors for the UL System to develop policies and
procedures to resolve issues related to the status and tenure of LSU-S employees
which may arise from the transfer.
Provides for the merger of La. Tech and LSU-S as follows:
1. Requires the president of La. Tech and the chancellor of LSU-S to jointly submit a
letter to the SACS president, not later than July 1, 2013, stating their intent to merge,
under the management and supervision of the UL System board.
2. Requires the administration and faculty of each institution and the UL System board
to take every action necessary to efficiently and expeditiously comply with all SACS
requirements and procedures to ensure that the requested merger may be effected
immediately upon receipt of approval from the commission and final approval from
the UL System board.
3. Provides that LSU-S will cease to exist as a separately accredited institution and will
be merged, along with its assets, funds, obligations, liabilities, programs, and
functions, into La. Tech immediately upon receipt of SACS approval and final
approval from the UL System board.
Provides for the responsibilities for the UL System and requires the UL System board to:
1. Develop policies and procedures to resolve any issues related to the status and tenure
of LSU-S employees which may arise from the transfer to the UL System.
2. Assist the administrative staff of La. Tech and LSU-S to develop and implement a
comprehensive academic and operational plan to facilitate their merger.
3. Assist La. Tech and LSU-S to prepare and submit their joint prospectus for
consolidation to SACS. SB NO. 527
SLS 12RS-776 ORIGINAL
Page 9 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Provides that the LSU Bd. of Supervisors shall:
1. Continue to exercise its authority to supervise and manage LSU-S until such time as
SACS grants approval for the requested change in governance and transfer of the
institution to the UL System.
2. Work cooperatively and collaboratively with the UL System board to ensure that the
transfer may be effected immediately upon receipt of SACS approval.
3.Enter into agreements to transfer as many LSU-S administrative and supervisory
functions as possible to the UL System, prior to receipt of SACS approval, without
adversely impacting the accreditation status of the institution.
4. Immediately transfer all assets, funds, facilities, property, obligations, liabilities,
programs, and functions relative to LSU-S to the UL System, upon receipt of SACS
approval for the transfer.
Provides that the LSU Bd. of Supervisors shall not:
1. Interfere with or impede in any way the processes to transfer LSU-S to the UL
System.
2. Sell, transfer, or otherwise remove any asset or thing of value, movable or
immovable, tangible or intangible, attributable to or owned by LSU-S, or owned,
leased by, or operated by any foundation related to LSU-S. Further provides that
access to any asset leased to any foundation related to LSU-S shall not be restricted
or denied.
3. Incur, transfer or assign any debt or other responsibility or obligation to LSU-S that
is not properly attributable to either institution.
4. Disproportionately reduce or reallocate the level of funding that would otherwise be
allocated to LSU-S pursuant to the postsecondary education funding formula.
Provides that until LSU-S is transferred to the UL System, no budget reductions or
changes in funding allocations for the institution shall be imposed without prior
review and approval from the Jt. Legislative Committee on the Budget.
5. Take any personnel action with regard to any instructional or administrative
employee of LSU-S without the prior approval of the Bd. of Supervisors for the UL
System.
Requires the Board of Regents to provide oversight, guidance, and support to all
postsecondary management boards, systems, and institutions throughout the processes to
transfer LSU-S to the UL System and the ultimate consolidation of these two institutions into
the University of Louisiana at New Orleans.
Provides with respect to students enrolled in LSU-S at the time of transfer to the UL System
or at the time of the merger with La. Tech as follows:
1. Every student enrolled in, and in good standing with LSU-S at the time of the
institution's transfer to the UL System and at the time the institutions is merged with
La. Tech shall be allowed to continue their enrollment and complete their prescribed
course of study, provided they remain in good standing with the institution in which
they are enrolled.
2. Students who complete their degree requirements and graduate prior to the merger
of La. Tech and LSU-S shall receive a diploma awarded by and in the name of LSU-
S. SB NO. 527
SLS 12RS-776 ORIGINAL
Page 10 of 10
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
3. Students who complete their degree requirements and graduate subsequent to the
merger of La. Tech and LSU-S shall receive a diploma awarded by and in the name
of La. Tech.
With respect to funding, proposed law provides as follows:
1. Effective beginning with the FY 12-13, any and all funds previously paid by LSU-S
to the Bd. of Supervisors of LSU will be paid instead to the Bd. of Supervisors for
the UL System; however, the total amount of such payments shall not be less than
that paid during the FY 11-12.
2. Requires the commissioner of administration to ensure that sufficient funds and
resources are available to fully effect the transfer of LSU-S to the UL System.
Provides that such funding and resources will not impact the Board of Regents'
formula for the equitable distribution of funds to institutions of postsecondary
education.
3. Requires the legislature to appropriate sufficient funds to the Bd. of Supervisors of
the LSU System and the Bd. of Supervisors for the UL System to fully effect the
transfer.
Proposed law provides that proposed law is not intended nor shall it be construed to impair
any contractual or other obligations of a state entity as a result of the transfer of LSU-S and
obligations of the LSU Bd. of Supervisors related to LSU-S shall be deemed to be
obligations of the UL Board as if originally incurred by it.
Proposed law provides that all funds and revenues previously dedicated to repay bonds
related to LSU-S shall continue to be collected and dedicated to such payments. Provides
that acts related to such bonds by the LSU Bd. of Supervisors related to LSU-S shall be
deemed to be the acts of the UL Board as if originally so done.
Proposed law clarifies that proposed law does not preclude a Memorandum of
Understanding (MOU) between the boards under which an existing bonded indebtedness of
the LSU System Board would remain in force after an agreement that the Bd. of Supervisors
for the UL System would be responsible for all payments, costs, and other covenants
contained in the bonded indebtedness. Requires the Bd. of Supervisors of the LSU System
"to make every effort" to maintain such bonded indebtedness under an MOU if it is
advantageous to the state.
Present law (R.S. 17:3215(5)) places LSU-S in the LSU System.
Proposed law repeals this provision.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Adds R.S. 17:3233 - 3233.6; repeals R.S. 17:3215(5))