ENROLLED
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Regular Session, 2014
HOUSE BILL NO. 142
BY REPRESENTATIVE RICHARD AND SENATORS THOMPSON AND WHI TE
AN ACT1
To amend and reenact R.S. 39:82(A), 352, and 1489 and to enact Subpart S of Part II-A of2
Chapter 1 of Subtitle I of Title 39 of the Louisiana Revised Statutes of 1950, to be3
comprised of R.S. 39:100.146, R.S. 39:1405.4(I), and Subpart G of Part I of Chapter4
16 of Subtitle III of Title 39 of the Louisiana Revised Statutes of 1950, to be5
comprised of R.S. 39:1493.11, relative to professional, personal, and consulting6
services procurement; to require approval by the Joint Legislative Committee on the7
Budget of certain professional, personal, and consulting service contracts; to provide8
for the submission of periodic reports; to provide for exceptions; to provide for9
certain determinations before contract approval; to establish the Higher Education10
Financing Fund; to provide for the deposit, use, and investment of monies in the11
fund; to prohibit expenditure of savings from contract reductions; to provide for an12
annual report by the state treasurer of costs of issuance of indebtedness; to provide13
for an effective date; and to provide for related matters.14
Be it enacted by the Legislature of Louisiana:15
Section 1. R.S. 39:82(A), 352, and 1489 are hereby amended and reenacted and16
Subpart S of Part II-A of Chapter 1 of Subtitle I of Title 39 of the Louisiana Revised Statutes17
of 1950, comprised of R.S. 39:100.146, and Subpart G of Part I of Chapter 16 of Subtitle III18
of Title 39 of the Louisiana Revised Statutes of 1950, comprised of R.S. 39:1493.11, are19
hereby enacted to read as follows: 20
§82. Remission of cash balances to the state treasurer; authorized withdrawals of21
state monies after the close of the fiscal year22
A. All cash balances occurring from appropriations made by legislative act23
or by the Interim Emergency Board regardless of date of passage to any state agency24
for which no bona fide liability exists on the last day of each fiscal year shall be25
remitted to the state treasurer by the fifteenth day following the last day of the fiscal26 ENROLLEDHB NO. 142
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year. Any appropriations including those made by the Interim Emergency Board of1
the preceding fiscal year remaining at the end of the fiscal year against which bona2
fide liabilities existed as of the last day of the fiscal year may be withdrawn from the3
state treasury during the forty-five day period after the last day of the fiscal year only4
as such liabilities come due for payment. Prior to placing monies associated with5
such unexpended appropriations into the state general fund, the state treasurer shall6
transfer all cash balances identified and reported by the commissioner of7
administration as being from unexpended and unencumbered State General Fund8
(Direct) and Overcollections Fund appropriations for professional, personal, and9
consulting service contracts not approved by the Joint Legislative Committee on the10
Budget remaining at the end of each fiscal year for deposit in and credit to the Higher11
Education Financing Fund as are necessary to satisfy the requirements of R.S.12
39:100.146 and then shall make deposits to the Payments Towards the UAL Fund13
as are necessary to satisfy the requirements of R.S. 39:100.11.14
* * *15
SUBPART S. HIGHER EDUCATION FINANCING FUND16
§100.146. Higher Education Financing Fund17
A. There is hereby established in the state treasury, as a special fund, the18
Higher Education Financing Fund, hereinafter referred to as the "the fund".19
B.(1) The state treasurer is directed to deposit into the fund an amount equal20
to cash balances identified and reported by the commissioner of administration as21
being from unexpended and unencumbered State General Fund (Direct) and22
Overcollections Fund appropriations for contracts not approved by the Joint23
Legislative Committee on the Budget for professional, personal, and consulting24
services under the jurisdiction of the office of contractual review available at the end25
of each fiscal year as are necessary to satisfy the requirements of R.S. 39:1493.11.26
The commissioner of administration, in consultation with the director of the office27
of contractual review, shall periodically determine the amount of monies28
appropriated for professional, personal, and consulting service contracts that remain29 ENROLLEDHB NO. 142
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unexpended and unencumbered as a result of implementation of R.S. 39:1493.11.1
Such determination shall take place quarterly in each fiscal year.2
(2) All unexpended and unencumbered monies in the fund at the end of the3
fiscal year shall remain in the fund. The monies in the fund shall be invested by the4
state treasurer in the same manner as monies in the state general fund, and interest5
earned on the investment of monies shall be credited to the fund.6
C. Monies in the fund shall be appropriated and used solely for public7
postsecondary education institutions.8
* * *9
§352. Cancellation of unexpended portions of appropriations; exceptions10
Whenever any specific appropriation is made to meet any item of expenditure11
which occurs annually by provision of law or for contingent expense, and any12
portion of it remains unexpended at the end of the year for which the specific13
appropriation was made, after all legal claims against it for the year have been paid,14
the commissioner of administration shall cancel any balance of the appropriation,15
and each succeeding year he shall open a new account for the appropriation which16
may be made for that particular year, without carrying forward any unexpended17
balance of appropriation made for any previous year. This provision shall not apply18
to appropriations made to pay the debt of the state, principal and interest. Prior to19
placing monies associated with such unexpended appropriations into the state general20
fund, the state treasurer shall transfer all cash balances identified and reported by the21
commissioner of administration as being from unexpended and unencumbered State22
General Fund (Direct) and Overcollections Fund appropriations for professional,23
personal, and consulting service contracts not approved by the Joint Legislative24
Committee on the Budget as provided in R.S. 39:1493.11 remaining at the end of25
each fiscal year for deposit in and credit to the Higher Education Financing Fund as26
is necessary to satisfy the requirements of R.S. 39:100.146 and then shall make27
deposits to the Payments Towards the UAL Fund as are necessary to satisfy the28
requirements of R.S. 39:100.11.29
* * *30 ENROLLEDHB NO. 142
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§1489. Reporting requirements; annual report1
A. The director shall prepare such reports as he finds necessary for the2
proper conduct of his duties, to include an annual report of all professional, personal,3
consulting, social services, and other contracts over which the office of contractual4
review has power and authority under the provisions of this Chapter or through5
administrative rules and regulations. The annual report shall be compiled on a fiscal6
year basis and consist, at a minimum, of summary descriptive and statistical data7
regarding the number and amounts of such contracts by type of service. The annual8
report shall be submitted to the president of the Senate and speaker of the House of9
Representatives not later than January first of the year following the end of the fiscal10
year for which the report is prepared.11
B. The director shall submit a report at the end of each month to the Joint12
Legislative Committee on the Budget summarizing each contract, including the13
dollar value of each such contract awarded that month over which the office of14
contractual review has power and authority. The report shall also indicate if each15
contract is for discretionary purposes or if it is for non-discretionary purposes.16
* * *17
SUBPART G. APPROVAL OF CERTAIN CONTRACTS 18
FOR FISCAL YEAR 2014-2015 THROUGH FISCAL YEAR 2016-201719
§1493.11. Approval of Certain Contracts for Fiscal Year 2014-2015 Through Fiscal20
Year 2016-201721
A.(1) In Fiscal Year 2014-2015 through 2016-2017, all contracts for22
professional, personal, and consulting services with a total dollar amount of forty23
thousand dollars or more per year which are funded solely with the State General24
Fund (Direct) or the Overcollections Fund and are for discretionary purposes shall25
be reported to the Joint Legislative Committee on the Budget for review and26
approval. If within thirty days of receipt of the contract, the Joint Legislative27
Committee on the Budget does not place the contract on its agenda for review and28
approval, the contract shall be deemed to be approved.29 ENROLLEDHB NO. 142
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(2) If within thirty days of receipt of the contract, the contract is placed on1
the agenda for review and approval, it shall require the approval of the Joint2
Legislative Committee on the Budget in a vote of the committee in open meeting.3
The Joint Legislative Committee on the Budget may either approve the contract,4
reject the contract and notify the commissioner of administration that such funds5
otherwise proposed for this purpose be deposited into the Higher Education6
Financing Fund as provided in R.S. 39:100.146, or the Joint Legislative Committee7
on the Budget may recommend revisions to the contract.8
(3) If the Joint Legislative Committee on the Budget recommends revisions9
to the contract, the contract shall not become effective until it is revised, resubmitted10
to the Joint Legislative Committee on the Budget, and acted upon by the committee.11
If the contract is not resubmitted to the Joint Legislative Committee on the Budget12
within thirty days after the committee recommends revisions to the contract, the13
contract shall be deemed to be rejected.14
B.(1) The commissioner of administration, in consultation with the director15
of the office of contractual review, shall periodically determine the amount of16
monies appropriated for professional, personal, and consulting service contracts that17
are not approved by the Joint Legislative Committee on the Budget as a result of18
implementation of this Section. Such determinations shall take place quarterly in19
fiscal years 2014-2015, 2015-2016, and 2016-2017.20
(2) Following each determination required pursuant to the provisions of this21
Subsection, the commissioner of administration shall report to the state treasurer the22
amount of direct state general fund monies appropriated for professional, personal,23
and consulting service contracts that are expected to remain unexpended and24
unencumbered at the end of the fiscal year as a result of implementation of this25
Section. These monies shall be available for deposit in and credit to the Higher26
Education Financing Fund as provided for in R.S. 39:100.146.27 ENROLLEDHB NO. 142
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C. Notwithstanding any provision of law to the contrary, this Section shall1
not apply to the following professional, personal, or consulting service contracts:2
(1) Contracts of the secretary of state necessary to perform any constitutional3
or statutory function of the office.4
(2) All contracts to implement the programs of the Department of Health and5
Hospitals that are funded pursuant to Title XIX, Title XX and Title XXI of the Social6
Security Act or funded fully or partially by federal funds.7
(3) Contracts with state or local providers of indigent defender services8
necessary to perform any constitutional or statutory function.9
(4) Contracts of a district attorney necessary to perform any constitutional,10
discretionary, or statutory function of the office, or to perform services under the11
child support enforcement program administered by the Department of Children and12
Family Services in accordance with the federal requirements of Title IV-D of the13
Social Security Act and corresponding state laws and regulations.14
Section 2. R.S. 39:1405.4(I) is hereby enacted to read as follows:15
§1405.4. Costs of issuance and reporting requirements16
* * *17
I. Beginning on October 1, 2015, and not later than October first of each year18
thereafter, the state treasurer shall submit an annual report to the Senate Committee19
on Finance, the Senate Committee on Revenue and Fiscal Affairs, the House20
Committee on Appropriations, and the House Committee on Ways and Means that21
includes and summarizes in the same form and content required by this Section all22
the actual costs of issuance of bonds, notes, or other issuances of indebtedness23
approved and paid by the State Bond Commission during the previous July first to24
June thirtieth time period, including but not limited to all the discounts, fees, charges25
and costs paid from bond proceeds or other sources provided for in Subsection (C)26
of this Section, the total of such discounts, fees, charges, and other costs paid to each27
individual or company during such time period, and a notation of how much of such28
discounts, fees, charges, and other costs paid required supplemental approval of the29
State Bond Commission because the actual costs of issuance in any line item30 ENROLLEDHB NO. 142
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exceeded the approved costs of issuance by a variance of ten percent or more as1
provided for in Subsection (E) of this Section.2
Section 3. The provisions of Section 1 of this Act shall become null, void, and of no3
effect on July 1, 2017.4
Section 4. This Act shall become effective on July 1, 2014; if vetoed by the governor5
and subsequently approved by the legislature, this Act shall become effective on July 1,6
2014, or on the day following such approval by the legislature, whichever is later.7
SPEAKER OF THE HOUSE OF REPRESENTATI VES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: