HLS 16RS-593 ORIGINAL 2016 Regular Session HOUSE BILL NO. 360 BY REPRESENTATIVE JAY MORRIS PUBLIC OFFLS/EMPS: Reduces the salary of certain public employees and officials whose compensation exceeds a certain amount by ten percent 1 AN ACT 2To enact Chapter 10 of Title 42 of the Louisiana Revised Statutes of 1950, to be comprised 3 of R.S. 42:541, relative to public officers and employees; to provide for a reduction 4 in pay for certain public officers and employees during a certain period of time; to 5 provide for notifications; to provide for exceptions; and to provide for related 6 matters. 7Be it enacted by the Legislature of Louisiana: 8 Section 1. Chapter 10 of Title 42 of the Louisiana Revised Statutes of 1950, 9comprised of R.S. 42:541, is hereby enacted to read as follows: 10 CHAPTER 10. PAY REDUCTION DURING BUDGET DEFICITS 11 ยง541. Pay reduction during budget deficit 12 A.(1) If the governor receives notification from the Joint Legislative 13 Committee on the Budget pursuant to R.S. 39:75 that a projected deficit exists, the 14 salary of each state employee and appointed state official who earns one hundred 15 thousand dollars or more annually shall be reduced by an amount equal to ten percent 16 of the annual salary of such employee or official. The reduction in pay shall take 17 effect at the beginning of the next pay cycle of the employee or official occurring 18 after the notification provided for in Subsection B of this Section. 19 (2) The reduction required by Paragraph (1) of this Subsection shall occur 20 once per fiscal year in which a projected deficit exists. Page 1 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 16RS-593 ORIGINAL HB NO. 360 1 B.(1) The commissioner of administration shall notify each agency head in 2 the executive branch of state government, the chief justice of the supreme court, the 3 president of the Senate, and the speaker of the House of Representatives of the 4 projected budget deficit and of the requirement of Subsection A of this Section. 5 (2) Upon receipt of the notification required by Paragraph (1) of this 6 Subsection from the commissioner of administration, each agency head in the 7 executive branch of state government, the chief justice of the supreme court, the 8 president of the Senate, and the speaker of the House of Representatives shall 9 implement the reductions in salary required by Subsection A of this Section. 10 C. The provisions of this Section shall not apply to licensed health care 11 professionals holding state employment or appointment or to any full-time professors 12 or instructors teaching a full load at an institution of higher education. 13 Section 2. This application of this Act to state employees in the classified service 14shall take effect and become operative if and when the proposed amendment of Article X, 15Section 10 of the Constitution of Louisiana contained in the Act which originated as House 16Bill No. 202 of this 2016 Regular Session of the Legislature is adopted at a statewide 17election and becomes effective. The application of this Act to unclassified state employees 18and appointed state officials shall take effect and become operative on August 1, 2016. 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 360 Original 2016 Regular Session Jay Morris Abstract: Provides that if the governor is notified that projected deficit exists in the state budget, the salary of each state employee and appointed state official who earns $100,000 or more annually shall be reduced by an amount equal to 10% of the annual salary of such employee or official. Proposed law provides that if the Joint Legislative Committee on the Budget notifies the governor that a projected deficit exists pursuant to present law (R.S. 39:75), the salary of each state employee and appointed state official who earns $100,000 or more annually shall be reduced by 10%. Provides that the reduction shall take effect at the beginning of the next pay cycle of the employee or official occurring after the notification by the commissioner of administration. Proposed law requires the commissioner of administration to notify each agency head in the executive branch of state government, the chief justice of the supreme court, the president of the Senate, and the speaker of the House of Representatives of the Page 2 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 16RS-593 ORIGINAL HB NO. 360 projected budget deficit and of the requirement of proposed law and requires those officials to implement the reductions. Specifies that the reduction required by proposed law shall occur once per fiscal year in which a projected deficit exists. Proposed law exempts licensed health care professionals and full-time professors or instructors teaching a full load at an institution of higher education from its application. Specifies that the application of proposed law to state employees in the classified service shall be effective if and when the proposed amendment of Article X, Section 10 of the Constitution of La. contained in the Act which originated as House Bill No. 202 of this 2016 R.S. of the Legislature is adopted at a statewide election and becomes effective and the application of proposed law to unclassified state employees and appointed state officials shall take effect and become operative on August 1, 2016. (Adds R.S. 42:541) Page 3 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions.