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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2014
SENATE BILL NO. 122
BY SENATOR MORRISH
ETHICS. Provides an exception to the Code of Governmental Ethics regarding certain
contractual or other relationships by certain municipal elected officials. (8/1/14)
AN ACT1
To enact R.S. 42:1123(43), relative to the Code of Governmental Ethics; to provide for an2
exception to the prohibition of a public servant from doing business with a person3
who has a business relationship with the agency of the public servant under certain4
circumstances; and to provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 42:1123(43) is hereby enacted to read as follows:7
ยง1123. Exceptions8
This Part shall not preclude:9
* * *10
(43) A member of a governing authority of a municipality with a11
population of five thousand or less, according to the latest decennial census, or12
a legal entity in which the member exercises control or owns an interest in13
excess of twenty-five percent from performing bona fide compensated services14
for any person who has or is seeking to obtain a contractual or other business15
or financial relationship with the municipality subject to the following16
requirements:17 SB NO. 122
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
(a) The governing authority member recuses himself on all matters1
involving the municipality and the person.2
(b) The terms and conditions of the services performed by the governing3
authority member are customary and reasonable and the compensation4
received by the governing authority member is commensurate with the level of5
the service provided.6
(c) A member's compensation or revenue from a contractual or other7
business or financial relationship with a person seeking to obtain contractual8
or other business or financial relationships with the member's agency shall not9
exceed ten thousand dollars per year from a person seeking to have a10
contractual or other business or financial relationship. All compensation or11
revenues shall be reported to the governing authority of which he is a member12
at the time the member submits his personal financial disclosure statement to13
the Board of Ethics.14
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Ashley Menou.
DIGEST
Morrish (SB 122)
Present law 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 relationship with the
public servant's agency.
Present law provides that no public servant will solicit or accept, directly or indirectly, any
thing of economic value as a gift or gratuity from any person or from any officer, director,
agent, or employee of such person, if such public servant knows or reasonably should know
that such person has or is seeking to obtain contractual or other business or financial
relationships with the public servant's agency.
Proposed law provides an exception to present law 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 which has entered into a
transaction with the municipality.
Proposed law limits the member's compensation or revenue from a contractual or other
business or financial relationship with a person seeking to obtain contractual or other
business or financial relationship not to exceed $10,000 per year per person seeking to have
a contractual or business or financial relationship and requires the member's compensation
or revenue to be reported annually to the governing authority of which he is a member on
the same date his personal financial disclosure statement is due. SB NO. 122
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Effective August 1, 2014.
(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. Limits the member's compensation or revenue to $10,000 per year and
requires annual reporting to the governing authority of which he is a member.