HLS 16RS-661 ORIGINAL
2016 Regular Session
HOUSE BILL NO. 228
BY REPRESENTATIVE RICHARD
CAPITAL OUTLAY: Requires the Joint Legislative Committee on Capital Outlay to
approve line of credit recommendations for state and nonstate entity projects
1 AN ACT
2To amend and reenact R.S. 39:122(A), relative to capital outlay; to provide relative to the
3 capital outlay process; to provide for line of credit recommendations for certain
4 capital outlay projects; to require the approval of certain line of credit
5 recommendations; to provide for an effective date; and to provide for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 39:122(A) is hereby amended and reenacted to read as follows:
8 ยง122. Commencement of work
9 A. No work shall commence and no contract shall be entered into for any
10 project contained in the capital outlay act unless and until funds are available from
11 the cash sources indicated in the act or from the sale of bonds or from a line of credit
12 approved by the State Bond Commission, except contracts for Department of
13 Transportation and Development projects which are subject to the provisions of R.S.
14 48:251(D). The Joint Legislative Committee on Capital Outlay commissioner of
15 administration shall make recommendations to the commissioner of administration
16 Joint Legislative Committee on Capital Outlay concerning the non-state state and
17 nonstate entity projects to be granted lines of credit. The commissioner of
18 administration shall submit to the Joint Legislative Committee on Capital Outlay a
19 list of state and nonstate entity projects that will be submitted to the State Bond
20 Commission the division of administration recommends for lines of credit a
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CODING: Words in struck through type are deletions from existing law; words underscored
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HB NO. 228
1 minimum of five days prior to the submission to the State Bond Commission no less
2 than thirty days prior to the meeting date of the State Bond Commission in which the
3 lines of credit are to be considered. The Joint Legislative Committee on Capital
4 Outlay shall receive the list of recommendations from the division of administration
5 and shall have discretion to either approve the list or make changes to the list. The
6 committee shall make final recommendations and shall approve a list of projects
7 which shall be submitted to the State Bond Commission for consideration of lines
8 of credit. Only projects which received approval from the Joint Legislative
9 Committee on Capital Outlay shall be submitted to the State Bond Commission for
10 consideration of lines of credit.
11 * * *
12 Section 2. This Act shall become effective upon signature by the governor or, if not
13signed by the governor, upon expiration of the time for bills to become law without signature
14by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
15vetoed by the governor and subsequently approved by the legislature, this Act shall become
16effective on the day following such approval.
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 228 Original 2016 Regular Session Richard
Abstract: Requires the Joint Legislative Committee on Capital Outlay (JLCCO) to approve
state and nonstate entity line of credit recommendations before the division of
administration submits the list to the State Bond Commission for funding.
Present law prohibits work from commencing and contracts from being entered into for any
project contained in the capital outlay act unless and until funds are available from cash
sources indicated in the act, or from the sale of bonds or from a line of credit approved by
the State Bond Commission (SBC). Present law exempts certain contracts for the Dept. of
Transportation and Development from this prohibition.
Present law requires the JLCCO to make recommendations to the commissioner of
administration concerning nonstate entity projects to be granted lines of credit. Further
requires the commissioner to submit the list of projects to be recommended for lines of credit
to the JLCCO a minimum of five days prior to submission of the list to the SBC.
Proposed law changes present law by requiring the commissioner to make recommendations
to the JLCCO concerning state and nonstate entity projects to be recommended for lines of
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CODING: Words in struck through type are deletions from existing law; words underscored
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HB NO. 228
credit. Further requires the commissioner to submit the list of recommendations to the
JLCCO no less than 30 days prior to the meeting date of the SBC in which the lines of credit
are to be considered for funding.
Proposed law requires the JLCCO to make final recommendations by either approving the
list of recommendations or making changes to the list. Only projects which received
approval from the JLCCO can be submitted to the SBC for consideration of funding.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 39:122(A))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.