RDCSB61 362 3533
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)]
Morrish SB No. 61
Present law (ethics code) provides that no public servant and no legal entity in which the
public servant exercises control or owns an interest in excess of 25% will receive any thing
of economic value for or in consideration of services rendered, or to be rendered, to or for
any person who has or is seeking to obtain a contractual or other business or financial
relationships with the public servant's agency. Present law defines "public servant" as a
public employee or an elected official.
Proposed law provides an exception to allow a member of a governing authority of a
municipality with a population of 5,000 or less according to the latest decennial census, or
a legal entity in which the member exercises control or owns an interest in excess of 25%
to perform bona fide compensated services for any person who has or is seeking to obtain
a contractual or other business or financial relationship with the municipality subject to the
following requirements:
(1)The governing authority member recuses himself on all matters involving the
municipality and the person.
(2)The terms and conditions of the services performed by the governing
authority member are customary and reasonable and the compensation
received by the governing authority member is commensurate with the level
of the service provided.
(Adds R.S. 42:1123(43))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Senate and
Governmental Affairs to the original bill
1. Extends the prohibition on contracting to the executive director or director
of the State Board of Elementary and Secondary Education.
2. Changes the exception to the Code of Ethics to allow certain members of a
governing authority of a municipality in which he has a controlling interest
to render compensated services to a person which has entered into a
transaction with the municipality.
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on House and Governmental
Affairs to the engrossed bill.
1. Removes proposed provisions to prohibit the executive director or director of the
State Board of Elementary and Secondary Education, his spouse or related legal
entities from entering into a contract with the state.
2. Removes provisions to allow a member of a governing authority of a
municipality with a population of 5,000 or less or legal entity in which he has a
controlling interest to render compensated services to a person or entity which
has entered into a transaction with the municipality.
3. Provides instead that a member of a governing authority of a municipality with
a population of 5,000 or less or legal entities in which the member has a specified
interest may perform bona fide compensated services for persons who have or RDCSB61 362 3533
are seeking a contractual or other relationship with the municipality, subject to
certain requirements.