HLS 161ES-239 ENGROSSED 2016 First Extraordinary Session HOUSE BILL NO. 96 BY REPRESENTATIVE RICHARD PUBLIC CONTRACTS: Provides for a 15% reduction of all state professional, personal, and consulting service contracts (Item #33) 1 AN ACT 2To enact Subpart G of Part II of Chapter 17 of Subtitle III of Title 39 of the Louisiana 3 Revised Statutes of 1950, to be comprised of R.S. 39:1591 and 1624(C), relative to 4 professional, personal, and consulting services procurement; to require a reduction 5 in the dollar amount of certain professional, personal, and consulting service 6 contracts; to provide for the submission of periodic reports; to provide for 7 exceptions; to provide for certain conditions of contract approval; to provide for an 8 effective date; and to provide for related matters. 9Be it enacted by the Legislature of Louisiana: 10 Section 1. Subpart G of Part II of Chapter 17 of Subtitle III of Title 39 of the 11Louisiana Revised Statutes of 1950, comprised of R.S. 39:1591 and 1624(C), is hereby 12enacted to read as follows: 13 SUBPART G. REDUCTION OF CONTRACTS FOR FISCAL YEAR 2016-2017 14 §1591. Reduction of contracts for Fiscal Year 2016-2017 15 A.(1) The total dollar amount for professional, personal, and consulting 16 service contracts under the jurisdiction of the office of state procurement for Fiscal 17 Year 2016-2017 shall be fifteen percent less than the total dollar amount for such 18 contracts for Fiscal Year 2015-2016. Page 1 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 161ES-239 ENGROSSED HB NO. 96 1 (2) The office of state procurement shall submit reports on the status of the 2 implementation of this Section to the Joint Legislative Committee on the Budget on 3 October 1, 2016, January 1, 2017, April 1, 2017, and July 1, 2017. 4 B. The office of state procurement shall not approve any contract if such 5 approval would increase the total dollar amount of contracts above the amount 6 required pursuant to Subsection A of this Section, unless such contract meets all of 7 the following criteria: 8 (1) Either no employee of the contracting department or agency is both 9 competent and available to perform the services called for by the proposed contract 10 or the services called for are not the type readily susceptible to being performed by 11 persons who are employed by the state on a continuing basis. 12 (2) The services are not available as a product of a prior or existing contract. 13 (3) The contracting department or agency has submitted to the office of state 14 procurement a written plan to monitor and evaluate the performance called for in the 15 proposed contract. 16 (4) It is more cost effective to obtain the proposed services through the 17 contract than to have the services provided by the contracting department or agency 18 if the department or agency can provide the services or by agreement with another 19 state department or agency. 20 (5) The commissioner of administration determines that the proposed 21 contract represents a priority expenditure for Louisiana state government. 22 C. Notwithstanding any provision of law to the contrary, this Section shall 23 not apply to any professional, personal, or consulting service contract of the secretary 24 of state necessary to perform any constitutional or statutory function of the office. 25 * * * 26 §1624. Approval of contract; penalties 27 * * * 28 C. A contract for professional, personal, or consulting services shall not be 29 awarded to any entity for which an appropriation was enacted through a line item Page 2 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 161ES-239 ENGROSSED HB NO. 96 1 appropriation in the General Appropriations Act for the fiscal year in which the 2 contract is proposed, and was subsequently vetoed by the governor, for such amount 3 or services as contained in the appropriation without prior approval of the Joint 4 Legislative Committee on the Budget. 5 Section 2. This Act shall become effective on July 1, 2016; if vetoed by the governor 6and subsequently approved by the legislature, this Act shall become effective on July 1, 72016, or on the day following such approval by the legislature, whichever is later. DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 96 Engrossed 2016 First Extraordinary Session Richard Abstract: Requires a 15% reduction in the total dollar amount for professional, personal, and consulting service contracts under the jurisdiction of the office of state procurement for Fiscal Year (FY) 2016-2017. Proposed law requires the total dollar amount for professional, personal, and consulting service contracts under the jurisdiction of the office of state procurement for FY 2016-2017 to be 15% less than the amount in the prior fiscal year. Proposed law requires the office of state procurement to submit reports on the status of the implementation of proposed law to the Joint Legislative Committee on the Budget. Proposed law prohibits the office of state procurement from approving any contract if such approval would increase the total dollar amount of contracts above the amount required in proposed law, unless such contract meets all of the following criteria: (1)Either no employee of the contracting department or agency is both competent and available to perform the services or the services are not the type readily susceptible to being performed by persons employed by the state on a continuing basis. (2)The services are not available as a product of a prior or existing contract. (3)The contracting department or agency has submitted a written plan to monitor and evaluate the performance called for in the proposed contract. (4)It is more cost effective to obtain the services through the contract than to have the services provided by the contracting department or agency if the department or agency can provide the services or by agreement with another state department or agency. (5)The contract represents a priority expenditure for state government. Proposed law does not apply to any professional, personal, or consulting service contract of the secretary of state necessary to perform any constitutional or statutory function of the office. Page 3 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 161ES-239 ENGROSSED HB NO. 96 Present law provides for certain determinations by the state chief procurement officer prior to the approval of proposed contracts. Proposed law retains present law and further provides that a contract shall not be awarded to any entity for which an appropriation was enacted through a line item appropriation in the General Appropriations Act for the fiscal year in which the contract is proposed, and subsequently vetoed by the governor, for such amount or services as contained in the appropriation without prior approval of the Joint Legislative Committee on the Budget. Effective July 1, 2016. (Adds R.S. 39:1591 and 1624(C)) Page 4 of 4 CODING: Words in struck through type are deletions from existing law; words underscored are additions.