HLS 14RS-717 ORIGINAL
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are additions.
Regular Session, 2014
HOUSE BILL NO. 799
BY REPRESENTATIVE STUART BISHOP
ATTORNEYS: Provides relative to the employment of special attorneys or counsel
AN ACT1
To amend and reenact R.S. 42:262 and 263(A), relative to legal representation of state and2
local entities; to prohibit the state and local entities from retaining any special3
attorney or counsel on a contingency fee basis in the absence of express statutory4
authority; to provide that attorney fees recovered by the state or local entity belong5
to the state or local entity; to provide for record-keeping and hourly rates of a special6
attorney or counsel representing the state and local entities; to require certain entities7
to obtain approval prior to employment of any special attorney or counsel; to provide8
for certain requirements relative to the contract, application and resolution; to9
provide transparency relative to approval and ratification of a contract by the10
attorney general and governor; and to provide for related matters.11
Be it enacted by the Legislature of Louisiana:12
Section 1. R.S. 42:262 and 263(A) are hereby amended and reenacted to read as13
follows:14
§262. Special attorneys or counsel15
A. In the event that the attorney general, or any state agency, board or16
commission, or parish or local governmental entity is represented by a special17
attorney or counsel, the special attorney or counsel shall not be compensated for such18
representation on a contingency fee or percentage basis in the absence of express19
statutory authority.20 HLS 14RS-717 ORIGINAL
HB NO. 799
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B. Any recovery or award of attorney fees, including settlement, in litigation1
involving the attorney general or any state agency, board or commission belongs to2
the state and shall be deposited into the state treasury. Any recovery or award of3
attorney fees, including settlement, in litigation involving any parish or local4
governmental entity belongs to the parish or local governmental entity and shall be5
deposited into the appropriate depository account. No payment of attorney fees shall6
be made out of state funds in the absence of express statutory authority.7
C. Any special attorney or counsel retained or employed by the attorney8
general, or any state agency, board or commission, or parish or local governmental9
entity shall be considered a public servant such that the retention of such special10
attorney or counsel shall not circumvent the requirement of direct payment for11
services as set forth in R.S. 42:1111(A)(1).12
D. All contracts with any special attorney or counsel shall require the13
keeping of accurate records of the hours worked and the expenses incurred in the14
representation of the public entity. In no case shall the attorney general, or any state15
agency, board or commission, or parish or local governmental entity incur fees in16
excess of five hundred dollars per hour for legal services. In the event of a settlement17
or final judgment which would result in an award of attorney fees in excess of five18
hundred dollars per hour, the fee amount shall be reduced to an amount equivalent19
to five hundred dollars per hour.20
E. To the extent not otherwise prohibited by Subsections A, B, C, and D of21
this Section, the following provisions additionally apply to the retainer of any special22
attorney or counsel:23
(1) In the event it should be necessary to protect the public interest, for any24
state board or commission to retain or employ any special attorney or counsel to25
represent it in any special matter for which services any compensation is to be paid26
by it, the board or commission may retain or employ such special attorney or counsel27
solely on written approval of the governor and the Attorney General attorney general28
and pay only such compensation as the governor and the Attorney General attorney29 HLS 14RS-717 ORIGINAL
HB NO. 799
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general may designate or approve in the written approval. The approval shall be1
given in their discretion upon the application of the board or commission by a2
resolution thereof setting forth fully the reasons for the proposed retention or3
employment of the special attorney or counsel and the amount of the proposed4
compensation.5
(2) In the event it should be necessary to protect the public interest, for any6
parish governing authority, levee board, except as provided in R.S. 42:263 (B) and7
(C), parish school board, city school board, or other local or state board to retain or8
employ any special attorney or counsel to represent it in any special matter for which9
services any compensation is to be paid, the local governmental entity may retain or10
employ such special attorney or counsel solely on written approval of the attorney11
general and pay only such compensation as the attorney general may designate or12
approve in the written approval. The approval shall be given in his discretion upon13
the application of the local governmental entity.14
(3) The applicant shall include in its application al of the following:15
(a) A resolution that meets all requirements set forth in R.S. 42:263.16
(b) A copy of the proposed contract described in the resolution.17
(4) The governor and Attorney General attorney general shall not ratify or18
approve any action of a board, commission, or local governmental entity in19
employing any special attorney or counsel or paying any compensation for special20
service rendered, unless all the formalities as provided by this Part as to resolutions21
and the like, have been complied with. Section and R.S. 42:263 have been complied22
with or if any of the following apply:23
(a) The terms of the resolution do not match the required terms of the24
contract.25
(b) The need is not sufficiently shown in the resolution.26
(c) The fee is unreasonable.27
(d) Any other reason determined by the governor or attorney general.28 HLS 14RS-717 ORIGINAL
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(5) The governor or attorney general shall respond to the application in1
writing by giving approval or rejection with reasons. If approved, the resolution2
shall be spread upon the minutes of the body and published in the official journal of3
the parish for local entities.4
§263. Resolution requesting special attorney or counsel 5
A. No parish governing authority, levee board except as provided in6
Subsection B hereof, parish school board, city school board, or other local or state7
board shall retain or employ any special attorney or counsel to represent it in any8
special matter or pay any compensation for any legal services whatever unless a real9
necessity exists, made to appear by a resolution thereof stating fully the reasons for10
the action and the compensation to be paid. The resolution then shall be subject to11
the approval of the attorney general and, if approved by him, shall be spread upon12
the minutes of the body and published in the official journal of the parish. A13
resolution requesting a special attorney or counsel shall include:14
(1) A statement showing a real necessity exists.15
(2) A statement fully providing the reasons for the action.16
(3) A full statement of the compensation to be paid.17
(4) If the contract contains a contingent fee, the statutory authority for the18
fee shall be cited.19
* * *20
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)]
Stuart Bishop HB No. 799
Abstract: Requires certain entities to receive approval for the employment of special
attorneys or counsel and provides procedures for requesting and approving
employment of special attorneys or counsel.
Proposed law requires express statutory authority for compensation to a special attorney or
counsel representing the attorney general, or any state agency, board or commission, or
parish or local governmental entity on a contingency fee or percentage basis. HLS 14RS-717 ORIGINAL
HB NO. 799
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are additions.
Proposed law provides that any recovery or award of attorney fees including settlement, in
litigation involving the attorney general, or any state agency, board or commission belongs
to the state and shall be deposited into the state treasury.
Proposed law provides that any recovery or award of attorney fees, including settlement, in
litigation involving any parish or local governmental entity belongs to the parish or local
governmental entity and shall be deposited into the appropriate depository account and
further provides that no payment of attorney fees shall be made out of state funds in the
absence of express statutory authority.
Proposed law requires that any special attorney or counsel retained or employed by the
attorney general, or any state agency, board or commission, or parish or local governmental
entity shall be considered a public servant such that the retention shall not circumvent the
requirement of direct payment for services.
Proposed law requires the keeping of accurate records of the hours worked and expenses
incurred in the representation of the public entity, and prohibits the entity from incurring fees
in excess of $500 per hour for legal services, and any award in excess of the $500 per hour
shall be reduced to an amount equivalent to $500 per hour.
Present law requires written approval from the attorney general or governor for the
employment of any special attorney or counsel to represent any state board or commission
in any matter for which compensation is to be paid for services by application and a
resolution setting forth the reasons for the employment of the special attorney or counsel and
the proposed compensation.
Proposed law retains present law except that it removes the requirement for the submission
of a resolution.
Proposed law requires that any parish governing authority, certain levee boards, parish or
city school board, or other local or state board receive written approval of the governor and
attorney general prior to retaining or employing a special attorney or counsel, and pay only
the compensation that may be designated by the attorney general.
Present law authorizes the attorney general and governor to designate the amount of
compensation in the written approval which shall be given in their discretion upon
application of the board or commission by a resolution setting forth the reasons for the
proposed retention or employment of the special attorney or counsel and the amount of the
proposed compensation.
Proposed law provides that the attorney general and governor may designate or approve the
amount of compensation in writing and any amendment to the contract requires additional
approval through re-submission of the application.
Proposed law requires the applicant to submit an application and a resolution that meets
requirements for a resolution as provided by present law. Further requires the applicant to
include in his application a copy of the proposed contract and a written statement from the
attorney designated to represent the entity, explaining why he could not handle the matter.
Present law prohibits the attorney general and governor from ratifying or approving any
action of a board in employing any special attorney or counsel or paying any compensation
for special services rendered unless all of the board or commission has complied with all of
the formalities regarding the resolution.
Proposed law retains present law and provides for the following additional prohibitions:
(1)The terms of the resolution do not match the required terms of the contract. HLS 14RS-717 ORIGINAL
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(2)The need is not sufficiently shown in the resolution.
(3)The fee is unreasonable.
(4)Any other reason determined by the governor or attorney general.
Proposed law requires the governor or attorney general to respond to the application in
writing by giving approval, conditional approval, or rejecting the application, and if an
application is approved, the resolution shall be spread upon the minutes of the body and
published in the official journal of the parish for local boards and commissions.
Present law prohibits any parish governing authority, certain levee boards, parish or city
school board, or other local or state board from retaining or employing any special attorney
or counsel to represent it in any matter or to pay compensation for any legal services unless
a resolution fully stating the reasons for the action and the compensation to be paid is
approved by the attorney general, and if approved, be spread upon the minutes of the body
and published in the official journal of the parish.
Proposed law deletes present law and provides that a resolution requesting special counsel
shall include the following:
(1)A statement showing a real necessity exists.
(2)A statement fully providing the reasons for the action.
(3)A full statement of the compensation to be paid.
(4)If the contract contains a contingent fee, the legislative authority for the fee must be
cited.
(Amends 42:262 and 263(A))