Louisiana 2017 2017 Regular Session

Louisiana House Bill HB598 Comm Sub / Analysis

                    GREEN SHEET REDIGEST
HB 598	2017 Regular Session	Abramson
(KEYWORD, SUMMARY, AND DIGEST as amended by Senate committee
amendments)
TRANSPORTATION:  Provides for changes to the highway priority program.
DIGEST
Present law establishes a prioritization process for construction of highway and bridge
projects utilized to develop a Highway Priority Program that accomplishes many goals
including bringing the state highway system into a good state of repair and optimizes the
usage and efficiency of existing transportation facilities.
Proposed law retains present law but adds to the goals of the prioritization process the
development of a program to ensure that the taxes levied on motor fuels are used by the
Department of Transportation and Development (DOTD) in the most cost-effective manner
and that the state is maximizing state and federal funding on costs related to the actual
construction and maintenance of highway and bridge projects and minimizing the use of
these funds on administrative costs for DOTD.
Proposed law specifies that in cases where Priority A and B mega-projects would be
prioritized equally in accordance with proposed law and present law, consideration must be
given to mega-projects for which funding has been made available by sources other than the
state or federal government.
Present law requires, beginning in FY 2017-2018, DOTD to provide the legislature and
public with a program that lists projects to be constructed in the ensuing fiscal year in an
order of priority that is determined after projects are analyzed utilizing a process based on
an objective analysis that considers the following factors relative to the cost of the project
and anticipated revenues to be appropriated by the legislature:
(1)The condition of the roads, streets, and structures making up the state highway
system and the urgency of the improvements considering their order of needs.
(2)The type and volume of traffic on a roadway, highway, or bridge.
(3)The crash records for a roadway, highway, or bridge.
(4)The technical difficulties in the preparation of plans and the procurement of rights-
of-way for a roadway, highway, or bridge.
(5)Whether an unforeseeable emergency has created an immediate need for
improvement or reconstruction.
(6)Whether capacity improvements are warranted due to population or traffic volume
increases in a geographic area.
(7)Whether or not the highway or bridge is or will be on an evacuation route utilized to
evacuate large populations due to catastrophic events.
(8)Whether the improvement to or addition of a highway or bridge will benefit the
economic development potential of the state.
Proposed law retains present law but changes the FY from 2017-2018 to FY 2018-2019 and
adds a factor for whether the highway or bridge project will support the needs of the local
and regional authorities with responsibility for transportation planning to ensure that there
is an equitable distribution among and between the different regions of the state over a three
year period.
Page 1 of 5
Prepared by Sharon F. Lyles. Proposed law requires, in addition to the requirements of present law, for DOTD to establish
a multi-year time line on the projects to be funded through the program each year including
an indication of the source of monies from which project costs will be funded.
Proposed law requires DOTD to submit performance progress reports including the
performance objectives, indicators, and standards used by the department to determine the
efficiency and effectiveness of the priority of projects in the program.  Further requires the
report to be submitted and maintained through the electronic performance database
maintained and used by the division of administration to track state agency performance
standards and on DOTD's webpage.
Proposed law requires, beginning with the program for FY 2018-2019 and for each program
thereafter, for DOTD to apply the prioritization factors provided for in present law and begin
to prioritize all projects in the program which are at the stage of project delivery where
sources of funding are being identified.
Proposed law further requires, beginning with the program for FY 2018-2019, the
department to prioritize all projects included in the program into two separate lists.  The first
list shall include a three-year plan for all projects in the program where funding is
programmed based on the anticipated and projected revenues available for projects in Stages
3 and 4 in that fiscal year. Requires DOTD to publish the list with notations regarding
whether the scheduled letting date and estimated completion date for each project is on-
schedule, ahead of schedule, or delayed.
Proposed law requires the department to include a detailed written explanation of any delay
notated on the published list required by proposed law.
Proposed law requires that as projects are completed from the first list, they are deleted and
replaced with projects from the second list beginning with the highest level of priority.
Further requires DOTD to devise a detailed schedule of project delivery for all projects on
this list which shall include at a minimum, the stage of project delivery, the estimated letting
date, and estimated completion date for each phase of project delivery, associated costs, and
funding sources for each phase.
Proposed law requires the second list to include a three-year plan for all projects in the
program that can be funded if additional revenues become available.  Each year, as projects
move from this list to the first list, new projects must be added to the second list from
prioritized projects in the program starting with the highest level of priority.
Proposed law requires the district administrator of each of the nine DOTD districts to
determine the prioritization of the pavement preservation projects in their respective district.
 
Proposed law specifies that in an action for civil damages, the Highway Priority Program
documents produced in order to comply with proposed law, including any source data and
reports associated with the prioritization of projects in the program, is not discoverable or
admissible as evidence in any civil trial.
Proposed law requires, beginning July 1, 2019, the legislative auditor to annually audit the
avails of the taxes levied on gasoline, motor fuels, and special fuels, hereinafter "motor fuel
taxes", to ensure compliance with the laws and regulations and adequacy of internal controls
to ensure all of the following:
(1)That the avails of the motor fuels tax are used in accordance with their restricted
purposes as set forth in the state constitution.
(2)That the avails of the motor fuels tax are spent in appropriate categories as outlined
in proposed law.
(3)That the avails of the motor fuels tax are spent on projects in compliance with the
priorities set forth in the applicable programs for prioritizing capital projects.
(4)That the avails of the motor fuels tax are spent in an efficient and effective manner
showing improvement in program operations through performance measures such
Page 2 of 5
Prepared by Sharon F. Lyles. as pavement conditions, bridge conditions, safety improvements, implementation of
the La. Statewide Transportation Plan, and other outcome measures as determined
by the auditor.
Proposed law requires DOTD to annually submit a report to the legislature and the
legislative auditor which contains detailed information regarding the expenditure breakdown
of the avails of the motor fuel taxes utilized by the department in accordance with the
restricted purposes as set forth in the state constitution and the methodology and outcomes
of DOTD's prioritization of projects, and all source documentation necessary to review any
metrics determined by the legislative auditor.  Proposed law provides for a detailed
breakdown of additional information the report is required to include.
Proposed law requires the auditor to annually certify that the audit of the avails of the motor
fuels tax are in substantial compliance with LA Const. Article VII, ยง27.  Proposed law
clarifies that if the legislative auditor finds a lack of substantial compliance with any three
consecutive audits, then the Legislative Audit Advisory Council is required to make
recommendations of appropriate action to the legislature.
Present law provides for annual public hearings on a proposed construction program
presented by DOTD to and conducted by the Joint Highway Priority Construction
Committee composed of all members of the House and Senate committees on transportation,
highways and public works and each legislator representing parishes within the respective
highway district and for submission of a report based on testimony received to be sent to the
department. 
Proposed law changes present law beginning February, 1, 2018, and February first each year
thereafter to require DOTD to present the proposed construction program and list of projects
together with the summary of project requests from public hearings conducted under present
law. Proposed law requires the Joint Committee on Transportation, Highways and Public
Works to hold a public hearing, and authorizes the joint committee to delete any project its
determines does not have priority in accordance with the factors in R.S. 48:229.1 and to add
or substitute any projects to the proposed construction program for projects which have been
removed.  Proposed law requires the joint committee to communicate the approved proposed
construction program to DOTD.
Proposed law changes present law to provide that the Joint Highway Priority Construction
Committee includes legislators representing the parishes within the respective highway
district solely for purposes of attending public hearings in each highway district.
Present law prohibits DOTD from undertaking any construction project other than those
included in the priority listing for that fiscal year regardless of the source of funds for the
project except project undertaken and financed out of the secretary's emergency fund and
projects involving use of matching funds to meet federal requirements in order to receive
federal aid funds.
Proposed law adds provisions that require DOTD to obtain specific approval of the Joint
Committee on Transportation, Highways and Public Works prior to undertaking any project
that changes the flow of traffic by closing an existing interchange or reduces the number of
travel lanes.
Effective August 1, 2017.
(Amends R.S. 48:229.1(B) and (C), 231(A)(5) and (6) and (B), and 232; Adds R.S.
48:229.1(A)(9), (10), and (11) and (H), and 229.2)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Transportation,
Highways and Public Works to the original bill:
1. Make technical changes.
Page 3 of 5
Prepared by Sharon F. Lyles. 2. Add specification that the taxes referenced in proposed law are new taxes levied
on or after Aug. 1, 2017.
3. Add that in cases where Priority A and B mega-projects would be prioritized
equally in accordance with proposed law and present law, consideration must be
given to mega-projects that have match monies from non-federal or non-state
sources.
4. Change the fiscal year references in present law and proposed law from 2017-
2018 to 2018-2019.
5. Add as a prioritization factor of the Highway Priority Program whether or not the
project meets the needs of local and planning organizations that ensure equitable
distribution among different regions of the state over a three-year period.
6. Require the district administrator of each of the nine DOTD districts to determine
the prioritization of the pavement preservation projects in their respective
district.
7. Require, after input from local government officials and metropolitan planning
organizations, at least 35% of the avails of the new motor fuel tax to be divided
among the DOTD districts based on state road mileage and average daily traffic
in each district by a formula established by the department.
8. Specify that in an action for civil damages, the Highway Priority Program is not
discoverable or admissible as evidence in any civil trial.
9. Require the legislative auditor to ensure new taxes are used in accordance with
statutory provisions in addition to the provisions of the Transportation Trust
Fund.
10.Change certain Highway Priority Program references to general language
regarding applicable programs that require prioritization of projects.
11.Clarify that if the legislative auditor finds a lack of substantial compliance with
any three consecutive audits, then the Legislative Audit Advisory Council is
required to make recommendations of appropriate action to the legislature.
12.Delete all provisions relative to public-private partnerships.
The House Floor Amendments to the engrossed bill:
1. Require the department give consideration when prioritizing projects to mega-
projects for which funding has been made available by sources other than the
state or federal government.
2. Require the department submit and maintain performance progress reports,
including the performance objectives, indicators, and standards used by the
department to determine efficiency and effectiveness of the priority of projects,
through an electronic performance database and include the reports on the
department's webpage.
3. Require the department to include a detailed written explanation for delay if the
letting year for any project is delayed according to the published list required by
proposed law.
4. Prohibit documents that are produced in order to comply with the provisions of
proposed law from being discoverable or admissible as evidence in any civil
trial.
5. Make technical changes.
Page 4 of 5
Prepared by Sharon F. Lyles. Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Transportation, Highways,
and Public Works to the reengrossed bill
1. Removes references in proposed law to House Bill 632 of the 2017 Regular
Session of the Legislature relative to additional motor fuel taxes and applies
proposed law to existing motor fuel taxes.
2. Adds requirements for DOTD, beginning February 1, 2018, and not later than
February first each year thereafter, to provide a proposed construction program
and list of projects together with the summary of project requests and report
based on testimony from the public hearings held in each highway district to the
Joint Committee on Transportation, Highways and Public Works and requires the
committee to hold a public hearing.  Allows the joint committee to delete any
project it determines is not in proper order of priority in accordance with the
factors in R.S. 48:229.1 and to add or substitute any projects to the proposed
construction program for projects which have been removed.  Requires the joint
committee to communicate the approved proposed construction program to
DOTD.
3. Adds requirements for DOTD, beginning March 1, 2018, and not later than
March first of each year thereafter, to communicate the final approved
construction program to the legislature for funding.
4. Provides that legislators who are not members of the House or Senate
committees on transportation, highways and public works are members of the
Joint Highway Priority Construction Committee solely for attending public
hearings in each highway district. 
5. Requires DOTD to receive specific approval from the Joint Committee on
Transportation, Highways and Public Works prior to undertaking any project that
changes the flow of traffic by closing an existing interchange or reduces the
number of travel lanes.
6. Makes technical changes.
Page 5 of 5
Prepared by Sharon F. Lyles.