Louisiana 2016 2016 Regular Session

Louisiana Senate Bill SB195 Comm Sub / Analysis

                    RÉSUMÉ DIGEST
ACT 519 (SB 195) 2016 Regular Session	Cortez
Prior law provided that it is the policy of Louisiana that the state, agencies and political
subdivisions select providers of design professional services on the basis of competence and
qualifications for a fair and reasonable price.  Further prohibited the use of price or price
related information as a factor in the selection process.  Prior law made an exception to state
policy for design-build contracts let by DOTD and certain political subdivisions,
public-private partnership contracts let by the La. Transportation Authority (LTA) and
certain port projects.
New law adds to the exception in prior law public-private partnership contracts entered into
by DOTD and corrects the sunset date for design-build port projects to conform to prior law.
Prior law authorized the LTA to enter into public-private partnership contracts for the
construction of qualified transportation facility projects. Provided a process for approval of
both solicited and unsolicited projects by LTA. Authorized LTA to adopt guidelines that
include criteria for selecting among competitive proposals, timelines for selecting proposals,
and for negotiating a comprehensive agreement. Provided for approval of a service contract
and authorized the dedication of public property to the project. Specifically provided for the
powers and duties of private entities who are parties to such agreements and the required
elements of the comprehensive agreement.  Provided for funding, material default and
remedies, acquisition of property and projects, procurement, utility crossings, police powers
and dedication of assets upon termination of the agreement. New law retains these
provisions.
New law authorizes DOTD to solicit proposals for and enter into contracts for public-private
partnership projects for a transportation facility, provided the department complies with
current provisions are applicable to public-private partnership projects of the LTA when the
secretary determines a public-private partnership is in the best interest of taxpayers and with
approval of the House and Senate transportation, highways, and public works committees. 
New law requires that current provisions relative to the payment of a bond and the process
for the payment of the claim of a contractor be applicable in the same manner as any other
department projects.
New law requires that 25% of public-private partnership projects undertaken by DOTD be
located outside the boundaries of a metropolitan planning area as defined in federal law (23
U.S.C. 134).
New law requires that solicitations for public-private partnership projects outside the
boundaries of any metropolitan planning area as defined in federal law (23 U.S.C. 134) be
subject to the approval of the House and Senate committee on agriculture, forestry,
aquaculture and rural development in addition to the approval of the House and Senate
committees on transportation, highways and public works.
New law prohibits the department from receiving an unsolicited proposal for a public-private
partnership project.
Effective upon signature of the governor (June 13, 2016).
(Amends R.S. 38:2318.1(B); adds R.S. 48:250.4)