SLS 14RS-718 ORIGINAL Page 1 of 3 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. 321 BY SENATOR RISER CAPITAL OUTLAY. Provides for exemption of certain higher education projects not to exceed one million dollars from having to be in the capital outlay budget. (8/1/14) AN ACT1 To amend and reenact R.S. 39:128(B)(1), (2), and (4)(b), relative to capital outlay; to2 provide an exemption from the capital outlay procedure and capital outlay bill for3 certain university and higher education projects of less than or equal to one million4 dollars; to provide an exemption from the public bid law for certain professional5 service contracts for certain university and higher education projects of less than or6 equal to one million dollars; and to provide for related matters.7 Be it enacted by the Legislature of Louisiana:8 Section 1. R.S. 39:128(B)(1), (2) and (4)(b) is hereby amended and reenacted to read9 as follows:10 ยง128. Exemptions11 * * *12 B.(1) Minor repairs, renovation, or construction of buildings or other13 facilities or the purchase of land, buildings, or other facilities when the construction14 cost or purchase price is less than or equal to five hundred thousand one million15 dollars may be undertaken by or on the campus of a state college, university, or16 higher education facility without being included in the capital outlay budget but shall17 SB NO. 321 SLS 14RS-718 ORIGINAL Page 2 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. be subject to the approval of the Board of Regents and the appropriate management1 board or their successor. A state college, university, or higher education facility may2 not incur debt to fund any project that is not included in the capital outlay budget3 other than a short term loan not to exceed one year for the purposes included4 in this Paragraph.5 (2) Notwithstanding any other provision of law to the contrary, the provisions6 of Part VII of Chapter 10 of Title 38 shall not apply to professional service contracts7 related to minor repairs or construction of buildings or other facilities to be8 undertaken by or on the campus of a state college or university if the estimated9 construction cost is five hundred thousand one million dollars or less.10 * * *11 (4)(a) * * *12 (b) A state college, university, or higher education facility may not incur debt13 to fund any project not included in the capital outlay budget other than a short term14 loan not to exceed one year payable from fees and self-generated revenues.15 * * *16 The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Martha S. Hess. DIGEST Riser (SB 321) Present law provides an exemption from the capital outlay bill for projects for minor repairs, renovation, or construction of buildings or other facilities or the purchase of land, buildings, or other facilities when the construction cost or purchase price is less than or equal to $500,000 and the project is undertaken by or on the campus of a state college, university, or higher education facility. Such project is subject to the approval of the Board of Regents and the appropriate management board or their successor. Proposed law retains present law except it increases the dollar amount of projects exempt from the capital outlay bill from $500,000 to $1,000,000. Present law provides the provisions of Part VII of Chapter 10 of Title 38 (the "public bid law") do not apply to professional service contracts related to minor repairs or construction of buildings or other facilities to be undertaken by or on the campus of a state college or university if the estimated construction cost is $500,000 or less. Proposed law retains present law except it increases the dollar amount of professional service contracts related to minor repairs or construction of buildings or other facilities by or on the campus of a state college or university that are exempt from the public bid law from $500,000 to $1,000,000. SB NO. 321 SLS 14RS-718 ORIGINAL Page 3 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Present law provides that a state college, university, or higher education facility may not incur debt to fund any project that is not included in the capital outlay budget. Proposed law provides that a state college, university, or higher education facility may not incur debt to fund any project that is not included in the capital outlay budget other than a short term loan not to exceed one year for the purposes included in present law and payable from fees and self-generated revenues. Effective August 1, 2014. (Amends R.S. 39:128(B)(1), (2), and (4)(b))