HLS 16RS-943 ORIGINAL
2016 Regular Session
HOUSE BILL NO. 788
BY REPRESENTATIVE JEFFERSON
HIGHER EDUCATION: Provides relative to participation by public postsecondary
education institutions in the state's risk management program
1 AN ACT
2To enact R.S. 17:3139.8 and to repeal R.S. 3139.5(B)(2)(e), relative to public postsecondary
3 education institutions; to provide relative to participation by public postsecondary
4 education institutions in the state's risk management program; to authorize optional
5 participation in such program; and to provide for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 17:3139.8 is hereby enacted to read as follows:
8 ยง3139.8. Public postsecondary education institutions; risk management program;
9 optional participation
10 A. Notwithstanding any provision of law to the contrary, and until July 1,
11 2020, any public postsecondary education institution may choose but shall not be
12 required to participate in the state's risk management program established by R.S.
13 39:1527 et. seq. and administered by the office of risk management.
14 B. Nothing in this Section shall abrogate, amend, or alter the authority of the
15 attorney general or the Department of Justice under Article IV, Sections 1 and 8 of
16 the Constitution of Louisiana or any other provision of law to represent the state and
17 all departments and agencies of state government in all litigation arising out of or
18 involving tort or contract. An institution shall enter into an interagency agreement
19 with the attorney general and pay the attorney general reasonable attorney fees and
20 expenses incurred in representing the institution.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 16RS-943 ORIGINAL
HB NO. 788
1 C. Nothing in this Section shall be construed as creating any independent or
2 separate cause of action against the state. The state shall continue to be sued only
3 through the institution's management board and cannot be sued in addition to or
4 separately from the institution's management board in any cause of action asserted
5 against the institution. The office of risk management shall not be responsible for
6 payment of any judgment against the institution's management board rendered
7 subsequent to the transfer of the applicable line of coverage. The state's obligation
8 to indemnify a covered individual as provided in R.S. 13:5108.1 shall not be
9 performed by the office of risk management.
10 D. Any contract between the institution's management board and its insurer
11 shall name the state as an additional insured. Any provision in any contract between
12 the institution's management board and its insurer that conflicts with the provisions
13 of this Section shall be deemed null and void.
14 E. Nothing in this Section shall be construed to adversely affect any of the
15 substantive and procedural provisions and limitations applicable to actions against
16 the state, including but not limited to the provisions of R.S. 13:5106, 5107, 5108.1,
17 and 5112, and R.S. 9:2800 which would continue to apply equally to any institution.
18 Those provisions that will not apply are those that are specifically excluded in this
19 Section. Upon transfer of each line of coverage to the institution under this Section,
20 the provisions of R.S. 39:1527 et seq., as well as the provisions of R.S.
21 13:5106(B)(3)(c), shall not apply to the line of coverage so transferred, nor to any
22 claims asserted against the institution within the transferred line of coverage.
23 Section 2. R.S. 17:3139.5(B)(2)(e) is hereby repealed in its entirety.
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 788 Original 2016 Regular Session Jefferson
Abstract: Provides for optional participation by public postsecondary education institutions
in the state's risk management program.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 16RS-943 ORIGINAL
HB NO. 788
Present law (R.S. 39:1527 et seq.) provides for the creation of the office of risk management
within the division of administration headed by the commissioner or administration. Further
requires that public postsecondary education institutions participate in the state's risk
management program.
Present law (R.S. 3139.5(B)(2)(e)) provides for exemption from participation in the state's
risk management program. Further provides that exemption from participation in such
program is pursuant to a determination by the division of administration that the institution
or management board, as applicable, has the capacity to manage its own risk and a phased-in
plan of implementation as determined by the institution in collaboration with the attorney
general and the division of administration, subject to the prior review and approval of the
Joint Legislative Committee on the Budget. Proposed law deletes present law in its entirety.
Proposed law provides that, notwithstanding any provision of present law to the contrary,
and until July 1, 2020, any public postsecondary education institution may choose but shall
not be required to participate in the state's risk management program established by present
law.
Proposed law provides that nothing in proposed law shall abrogate, amend, or alter the
authority of the attorney general or the Dept. of Justice under present law (Article IV,
Sections 1 and 8 of the Constitution of Louisiana) or any other provision of present law to
represent the state and all departments and agencies of state government in all litigation
arising out of or involving tort or contract. Further provides that an institution shall enter
into an interagency agreement with the attorney general and pay the attorney general
reasonable attorney fees and expenses incurred in representing the institution.
Proposed law provides that nothing in proposed law shall be construed as creating any
independent or separate cause of action against the state. The state shall continue to be sued
only through the institution's management board and cannot be sued in addition to or
separately from the institution's management board in any cause of action asserted against
the institution. The office of risk management shall not be responsible for payment of any
judgment against the institution's management board rendered subsequent to the transfer of
the applicable line of coverage. The state's obligation to indemnify a covered individual as
provided in present law (R.S. 13:5108.1) shall not be performed by the office of risk
management.
Proposed law provides that any contract between the institution's management board and its
insurer shall name the state as an additional insured. Any provision in any contract between
the institution's management board and its insurer that conflicts with the provisions of
proposed law shall be deemed null and void.
Proposed law provides that nothing in proposed law shall be construed to adversely affect
any of the substantive and procedural provisions and limitations applicable to actions against
the state, including but not limited to the provisions of present law (R.S. 13:5106, 5107,
5108.1, and 5112, and R.S. 9:2800) which would continue to apply equally to any institution.
Those provisions that will not apply are those that are specifically excluded in proposed law.
Upon transfer of each line of coverage to the institution under proposed law, the provisions
of present law (R.S. 39:1527 et seq., R.S. 13:5106(B)(3)(c)) shall not apply to the line of
coverage so transferred, nor to any claims asserted against the institution within the
transferred line of coverage.
(Adds R.S. 17:3139.8; Repeals R.S. 3139.5(B)(2)(e))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.