ENROLLED ACT No. 87 2015 Regular Session HOUSE BILL NO. 30 BY REPRESENTATIVES RICHARD, ARNOLD, BERTHELOT, STUART BISHOP, BROWN, BURFORD, COX, GAROFALO, GEYMANN, GISCLAIR, HARRIS, HARRISON, HAVARD, HENRY, HENSGENS, HOWARD, HUNTER, HUVAL, JAMES, JEFFERSON, JAY MORRIS, ORTEGO, PEARSON, PIERRE, POPE, PYLANT, SCHEXNAYDER, SCHRODER, TALBOT, WHITNEY, PATRICK WILLIAMS, AND WILLMOTT AND SENATOR MI LLS 1 AN ACT 2 To amend and reenact R.S. 39:82(A) and 352 and to enact Subpart S of Part II-A of Chapter 3 1 of Subtitle I of Title 39 of the Louisiana Revised Statutes of 1950, to be comprised 4 of R.S. 39:100.146, 1567(E), and Subpart F of Part I of Chapter 16 of Subtitle III of 5 Title 39 of the Louisiana Revised Statutes of 1950, to be comprised of R.S. 39:1590, 6 relative to professional, personal, and consulting services procurement; to require 7 consideration by the Joint Legislative Committee on the Budget of certain 8 professional, personal, and consulting service contracts; to provide for the 9 submission of periodic reports; to provide for exceptions; to establish the Higher 10 Education Financing Fund; to provide for the deposit, use, and investment of monies 11 in the fund; to provide for an effective date; and to provide for related matters. 12 Be it enacted by the Legislature of Louisiana: 13 Section 1. R.S. 39:82(A) and 352 are hereby amended and reenacted and Subpart S 14 of Part II-A of Chapter 1 of Subtitle I of Title 39 of the Louisiana Revised Statutes of 1950, 15 comprised of R.S. 39:100.146, R.S. 39:1567(E), and Subpart F of Part I of Chapter 16 of 16 Subtitle III of Title 39 of the Louisiana Revised Statutes of 1950, comprised of R.S. 39:1590, 17 are hereby enacted to read as follows: 18 §82. Remission of cash balances to the state treasurer; authorized withdrawals of 19 state monies after the close of the fiscal year 20 A. All cash balances occurring from appropriations made by legislative act 21 or by the Interim Emergency Board regardless of date of passage to any state agency Page 1 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HB NO. 30 ENROLLED 1 for which no bona fide liability exists on the last day of each fiscal year shall be 2 remitted to the state treasurer by the fifteenth day following the last day of the fiscal 3 year. Any appropriations including those made by the Interim Emergency Board of 4 the preceding fiscal year remaining at the end of the fiscal year against which bona 5 fide liabilities existed as of the last day of the fiscal year may be withdrawn from the 6 state treasury during the forty-five day period after the last day of the fiscal year only 7 as such liabilities come due for payment. Prior to placing monies associated with 8 such unexpended appropriations into the state general fund, the state treasurer shall 9 transfer all cash balances identified and reported by the commissioner of 10 administration as being from unexpended and unencumbered state general fund 11 (direct) and Overcollections Fund appropriations for professional, personal, and 12 consulting service contracts not approved by the Joint Legislative Committee on the 13 Budget as provided in R.S. 39:1590 and remaining at the end of each fiscal year for 14 deposit in and credit to the Higher Education Financing Fund as are necessary to 15 satisfy the requirements of R.S. 39:100.146, and then shall make deposits to the 16 Payments Towards the UAL Fund as are necessary to satisfy the requirements of 17 R.S. 39:100.11. 18 * * * 19 SUBPART S. HIGHER EDUCATION FINANCING FUND 20 §100.146. Higher Education Financing Fund 21 A. There is hereby established in the state treasury, as a special fund, the 22 Higher Education Financing Fund, hereinafter referred to as the "fund". 23 B.(1) The state treasurer is directed to deposit into the fund an amount equal 24 to cash balances identified and reported by the commissioner of administration as 25 being from unexpended and unencumbered state general fund (direct) and 26 Overcollections Fund appropriations for contracts not approved by the Joint 27 Legislative Committee on the Budget for professional, personal, and consulting 28 services under the jurisdiction of the office of state procurement available at the end 29 of each fiscal year as are necessary to satisfy the requirements of R.S. 39:1590. The 30 commissioner of administration, in consultation with the state chief procurement Page 2 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HB NO. 30 ENROLLED 1 officer, shall periodically determine the amount of monies appropriated for 2 professional, personal, and consulting service contracts that remain unexpended and 3 unencumbered as a result of implementation of R.S. 39:1590. Such determination 4 shall take place on the following dates in fiscal years 2015-2016, 2016-2017, and 5 2017-2018: 6 (a) September thirtieth. 7 (b) December thirty-first. 8 (c) March thirty-first. 9 (d) June thirtieth. 10 (2) All unexpended and unencumbered monies in the fund at the end of the 11 fiscal year shall remain in the fund. The monies in the fund shall be invested by the 12 state treasurer in the same manner as monies in the state general fund, and interest 13 earned on the investment of monies shall be credited to the fund. 14 C. Monies in the fund shall be appropriated and used solely for public 15 postsecondary education institutions. 16 * * * 17 §352. Cancellation of unexpended portions of appropriations; exceptions 18 Whenever any specific appropriation is made to meet any item of expenditure 19 which occurs annually by provision of law or for contingent expense, and any 20 portion of it remains unexpended at the end of the year for which the specific 21 appropriation was made, after all legal claims against it for the year have been paid, 22 the commissioner of administration shall cancel any balance of the appropriation, 23 and each succeeding year he shall open a new account for the appropriation which 24 may be made for that particular year, without carrying forward any unexpended 25 balance of appropriation made for any previous year. This provision shall not apply 26 to appropriations made to pay the debt of the state, principal and interest. Prior to 27 placing monies associated with such unexpended appropriations into the state general 28 fund, the state treasurer shall transfer all cash balances identified and reported by the 29 commissioner of administration as being from unexpended and unencumbered state 30 general fund (direct) and Overcollections Fund appropriations for professional, Page 3 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HB NO. 30 ENROLLED 1 personal, and consulting service contracts not approved by the Joint Legislative 2 Committee on the Budget as provided in R.S. 39:1590 remaining at the end of each 3 fiscal year for deposit in and credit to the Higher Education Financing Fund as is 4 necessary to satisfy the requirements of R.S. 39:100.146 and then shall make 5 deposits to the Payments Towards the UAL Fund as are necessary to satisfy the 6 requirements of R.S. 39:100.11. 7 * * * 8 §1567. Reporting requirements 9 * * * 10 E. The state chief procurement officer shall submit a report at the end of each 11 month to the Joint Legislative Committee on the Budget summarizing each contract, 12 including the dollar value of each contract awarded that month over which the office 13 of state procurement has power and authority. The report shall also indicate if each 14 contract is for discretionary purposes or if it is for nondiscretionary purposes. 15 * * * 16 SUBPART F. APPROVAL OF CERTAIN PROFESSIONAL, 17 PERSONAL, AND CONSULTING SERVICES CONTRACTS 18 FOR FISCAL YEAR 2015-2016 THROUGH FISCAL YEAR 2017-2018 19 §1590. Approval of Certain Professional, Personal, and Consulting Services 20 Contracts for Fiscal Year 2015-2016 Through Fiscal Year 2017-2018 21 A. In Fiscal Year 2015-2016 through 2017-2018, the commissioner of 22 administration, in consultation with the state chief procurement officer, shall report 23 each contract for professional, personal, and consulting services with a total dollar 24 amount of forty thousand dollars or more per year that is funded solely with state 25 general fund (direct) or the Overcollections Fund and is for discretionary purposes 26 to the Joint Legislative Committee on the Budget for review and approval prior to 27 the effectiveness of the contract. 28 (1) If within thirty days of receipt of the contract, the Joint Legislative 29 Committee on the Budget does not place the contract on its agenda for review and 30 approval, the contract shall be deemed to be approved. Page 4 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HB NO. 30 ENROLLED 1 (2) If within thirty days of receipt of the contract, the contract is placed on 2 the agenda for review, the Joint Legislative Committee on the Budget may take the 3 following action: 4 (a) Approve the contract. 5 (b) Reject the contract and notify the commissioner of administration that 6 such funds otherwise proposed for this purpose shall be deposited into the Higher 7 Education Financing Fund as provided in R.S. 39:100.146. 8 (c) Recommend revisions to the contract. If the Joint Legislative Committee 9 on the Budget recommends revisions to the contract, the contract shall not become 10 effective until it is revised, resubmitted to the Joint Legislative Committee on the 11 Budget, and acted upon again by the committee. If the commissioner of 12 administration, in consultation with the state chief procurement officer, does not 13 resubmit the contract to the Joint Legislative Committee on the Budget within thirty 14 days after the committee recommends revisions to the contract, the contract shall be 15 deemed to be rejected and funds otherwise proposed for this purpose shall be 16 deposited into the Higher Education Financing Fund as provided in R.S. 39:100.146. 17 B.(1) The commissioner of administration, in consultation with the state 18 chief procurement officer, shall periodically determine the amount of monies 19 appropriated for professional, personal, and consulting service contracts that are not 20 approved by the Joint Legislative Committee on the Budget and remain unexpended 21 and unencumbered as a result of implementation of this Section. Such determination 22 shall take place on the following dates in fiscal years 2015-2016, 2016-2017, and 23 2017-2018: 24 (a) September thirtieth. 25 (b) December thirty-first. 26 (c) March thirty-first. 27 (d) June thirtieth. 28 (2) Following each determination required pursuant to the provisions of this 29 Subsection, the commissioner of administration shall report to the state treasurer the 30 amount of state general fund (direct) and Overcollections Fund monies appropriated Page 5 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HB NO. 30 ENROLLED 1 for professional, personal, and consulting service contracts that are expected to 2 remain unexpended and unencumbered at the end of the fiscal year as a result of 3 implementation of this Section. These monies shall be available for deposit in and 4 credit to the Higher Education Financing Fund as provided for in R.S. 39:100.146. 5 C. Notwithstanding any provision of law to the contrary, this Section shall 6 not apply to the following professional, personal, or consulting service contracts: 7 (1) Contracts of the secretary of state necessary to perform any constitutional 8 or statutory function of the office. 9 (2) All contracts to implement the programs of the Department of Health and 10 Hospitals funded pursuant to Title XIX, Title XX, and Title XXI of the Social 11 Security Act or funded fully or partially by federal funds. 12 (3) Contracts with state or local providers of indigent defender services 13 necessary to perform any constitutional or statutory function. 14 (4) Contracts of a district attorney necessary to perform any constitutional, 15 discretionary, or statutory function of the office, or to perform services under the 16 child support enforcement program administered by the Department of Children and 17 Family Services in accordance with the federal requirements of Title IV-D of the 18 Social Security Act and corresponding state laws and regulations. 19 Section 2. The provisions of Section 1 of this Act shall become null, void, and of no 20 effect on July 1, 2018. 21 Section 3. This Act shall become effective on July 1, 2015; if vetoed by the governor 22 and subsequently approved by the legislature, this Act shall become effective on July 1, 23 2015, or on the day following such approval by the legislature, whichever is later. SPEAKER OF THE HOUSE OF REPRESENTATIVES PRESIDENT OF THE SENATE GOVERNOR OF THE STATE OF LOUISIANA APPROVED: Page 6 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions.