Requires approval by the governing board for any salary adjustments or cost of living adjustments for employees or board members of certain boards under the authority of the Department of Health and Hospitals and employees of certain human service districts. (gov sig)
Impact
The impact of SB114 is primarily felt within the realm of fiscal governance for health-related boards and districts. By enforcing a two-thirds majority approval from governing boards for salary increases, the bill seeks to curtail unnecessary financial burdens during times of budget constraints. This approach aims to create a more standardized protocol for salary increments, aligning with the need for accountability and transparency in public financial management, especially in light of potentially limited resources.
Summary
Senate Bill 114 (SB114) establishes a requirement for governing board approval for any salary or cost of living adjustments for employees and board members associated with specific boards under the Department of Health and Hospitals, as well as for employees of certain human services districts. This measure is intended to provide a check on salary increases, ensuring they are justified and approved by a significant majority of board members. The bill aims to instill fiscal responsibility, particularly in situations where a budget deficit has been declared, making adjustments contingent on the financial condition of the governing entity.
Sentiment
The overall sentiment regarding SB114 appears to be cautiously supportive, with recognition of the necessity for oversight in financial decisions pertaining to public employees. While some may view the bill as an essential step toward enhancing governance and promoting responsible fiscal policy, there are concerns regarding the operational implications for boards that may limit their ability to attract and retain qualified personnel. The strong majority vote of 91-0 in the House showcases a favorable consensus among legislators regarding the bill's intentions and implications.
Contention
However, there are potential points of contention surrounding the bill's implementation, chiefly concerning the balance of power between governing boards and executive branches of the healthcare sectors. Critics may argue that requiring such a high threshold for salary adjustments could hinder rapid responses to changing circumstances that warrant immediate financial incentives. This could particularly affect key positions responsible for managing health services efficiently, as delays in approvals could lead to dissatisfaction and turnover among essential personnel.
Provides for cost-of-living adjustments for members of the Municipal Police Employees' Retirement System and authorizes the board of trustees of the system to modify required employer contributions
Transfers governance and control of state hospitals from LSU to human services districts and authorities of the state and provides for delivery and financing of health services by such districts and authorities (OR INCREASE GF EX See Note)
Requires the Department of Education to reimburse local school boards for salary supplements paid to certain nationally board certified school personnel. (gov sig) (OR +$16,250,000 GF EX See Note)
Authorizes a cost-of-living adjustment for certain retirees of the La. School Employees' Retirement System and their beneficiaries (EN +$12,000,000 APV)
Provides for payment of cost-of-living adjustments (COLAs) to retirees and beneficiaries of state retirement systems without legislative approval in certain circumstances (OR INCREASE APV)