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Coding: Words which are struck through are deletions from existing law;
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Regular Session, 2014
SENATE BILL NO. 441
BY SENATOR MORRELL
FUNDS/FUNDING. Provides procedures for recovery of funds by the office of community
development disaster recovery unit. (gov sig)
AN ACT1
To amend and reenact R.S. 49:663.1, relative to the office of community development2
disaster recovery unit; to terminate current procedures for recovering certain disaster3
monies paid; to provide for adoption of new procedures by the office to recover4
disaster monies improperly paid to or misspent by recipients; and to provide for5
related matters.6
Be it enacted by the Legislature of Louisiana:7
Section 1. R.S. 49:663.1 is hereby amended and reenacted to read as follows:8
ยง663.1. Community Development Block Grant9
A. The division of administration shall be responsible for and shall administer10
the Community Development Block Grant Program.11
B. The office of community development disaster recovery unit shall12
terminate procedures in effect on the effective date of this Act under which13
disaster recovery monies paid as a result of hurricanes Katrina and Rita,14
including monies paid under the Road Home program, are to be recovered by15
the office which are alleged to have been improperly paid to or misspent by the16
recipients.17 SB NO. 441
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
B. The office of community development disaster recovery unit shall not1
initiate recovery of disaster monies paid as a result of hurricanes Katrina and2
Rita, including recovery of monies paid under the Road Home program, until3
procedures for recovery of these monies are adopted by the office in accordance4
with the provisions of this Section.5
C. The office of community development disaster recovery unit shall6
develop procedures to recover funds improperly paid to or misspent by7
recipients which shall include, at a minimum, the following items:8
(1) Documentation that any letter to a person from the office seeking9
confirmation that disaster monies paid to that person were used in accordance10
the program rules for which they were received was received at the person's11
correct municipal address.12
(2) That the letter to a recipient clearly indicate the information needed13
to verify that disaster monies were used by the recipient in accordance with14
program rules.15
(3) That the recipient of the letter is given a minimum of ninety days16
within which to respond to the office by mail, return receipt requested, or in17
person.18
(4) That all issues concerning program compliance rules be resolved19
within sixty days after receipt by the office of the information requested by the20
office.21
D. The office of community development disaster recovery unit shall22
develop the procedures as provided for in Subsection C of this Section by23
October 1, 2014.24
Section 2. This Act shall become effective upon signature by the governor or, if not25
signed by the governor, upon expiration of the time for bills to become law without signature26
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If27
vetoed by the governor and subsequently approved by the legislature, this Act shall become28
effective on the day following such approval.29 SB NO. 441
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
The original instrument was prepared by Thomas L. Tyler. The following
digest, which does not constitute a part of the legislative instrument, was
prepared by Jay Lueckel.
DIGEST
Morrell (SB 441)
Proposed law requires that the office of community development disaster recovery unit
(office) terminate procedures in effect on the effective date of proposed law under which
disaster recovery monies paid as a result of hurricanes Katrina and Rita, including monies
paid under the Road Home program, are to be recovered by the office which are alleged to
have been improperly paid to or misspent by the recipients.
Proposed law prohibits the office from initiating recovery of disaster monies paid as a result
of hurricanes Katrina and Rita, including recovery of monies paid under the Road Home
program, until procedures for recovery of these monies are adopted by the office in
accordance with the provisions of proposed law.
Proposed law requires that procedures to recover such funds include, at a minimum, the
following items:
(1)Documentation that any letter to a person seeking confirmation that disaster monies
paid were used in accordance with the program rules was received at the person's
correct municipal address.
(2)That the letter to a recipient clearly indicate the information needed to verify that
disaster monies were used in accordance with program rules.
(3)That the recipient is given a minimum of 90 days within which to respond to the
office by mail, return receipt requested or in person.
(4)That all issues concerning program compliance rules be resolved within 60 days after
receipt by the office of the information requested by the office.
Proposed law provides that the office of community development disaster recovery unit will
develop the procedures by October 1, 2014.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 49:663.1)
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Finance to the original
bill
1. Relative to the recovery of hurricane disaster recovery funds improperly paid
to or misspent by recipients, persons who have received letters to verify their
proper use of program funds are given a minimum of 90 days to respond by
mail or in person.