Louisiana House Bill HB96

Louisiana 2016 1st Special Session

• Introduced: 2/19/16
• Refer: 2/19/16
• Report Pass: 2/22/16

Caption

Provides for a 15% reduction of all state professional, personal, and consulting service contracts (Item #33) (EG DECREASE SG EX See Note)

Impact

The implementation of HB 96 will require the office of state procurement to generate periodic reports regarding the status of these contract reductions. Furthermore, the bill delineates specific criteria under which exceptions can be made to the contract approval process, ensuring that any requests for additional funding must meet certain qualifications. This structured approach aims to bolster fiscal discipline within state operations and ensure that contract awards are justified and prioritized based on available resources.

Summary

House Bill 96 mandates a 15% reduction in the total dollar amount for professional, personal, and consulting service contracts for the fiscal year 2016-2017 under the jurisdiction of the office of state procurement. This legislative action aims to enhance fiscal responsibility within the state budget by limiting expenditures on contracts that fall within these categories. By imposing this cap, the bill seeks to direct state funds towards more critical areas or to reduce the overall budget deficit.

Sentiment

The sentiment around HB 96 appears mixed among various stakeholders. Proponents view the bill as a necessary measure to curb spending and ensure accountability within state contracting practices, reflecting a trend towards greater financial prudence. Conversely, some critics may argue that such a strict reduction could hinder necessary services or impede the capacity for state agencies to fulfill their mandates effectively, particularly if those agencies do not have ready internal resources to meet their operational needs.

Contention

Notable points of contention regarding HB 96 involve the balance between fiscal responsibility and operational capacity. While the goal of reducing overall spending is commendable, concerns arise about the feasibility of obtaining necessary services without resorting to outside contracts. The specific limitations on contract approvals may lead to challenges in addressing immediate agency needs, potentially complicating the delivery of services to the public and resulting in a pushback from entities reliant on state contracts.