Louisiana 2017 2017 Regular Session

Louisiana House Bill HB90 Engrossed / Bill

                    HLS 17RS-617	ENGROSSED
2017 Regular Session
HOUSE BILL NO. 90
BY REPRESENTATIVES DANAHAY AND GREGORY MI LLER
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
ETHICS/CODE:  Provides relative to donations received by public servants for the purposes
of disaster aid or relief to provide aid or to offset losses resulting from a
gubernatorially declared disaster or emergency
1	AN ACT
2To enact R.S. 42:1111.1 and to repeal R.S. 42:1123(36), relative to ethics; to allow public
3 servants to accept certain donations and contributions from not-for-profit
4 organizations or funds within the organizations following a gubernatorially declared
5 disaster or emergency; to require disclosures to the Board of Ethics; to provide
6 relative to the effectiveness of such provisions; to remove a substantially similar
7 exception specific to Hurricanes Katrina and Rita; and to provide for related matters.
8Be it enacted by the Legislature of Louisiana:
9 Section 1.  R.S. 42:1111.1 is hereby enacted to read as follows:
10 ยง1111.1.  Charitable giving to public servants during gubernatorially declared
11	disasters and emergencies; limitations; requirements; annual reports
12	A.  Notwithstanding any contrary provision of this Part, during the time
13 period extending from the date of a gubernatorially declared disaster or emergency
14 and ending on the date five years after the date the gubernatorially declared disaster
15 or emergency was initially declared by the governor, a public servant may receive
16 any thing of economic value as a contribution or donation from a not-for-profit
17 organization or a fund within a not-for-profit organization for the purpose of disaster
18 aid or relief to offset any economic losses suffered by the public servant as a result
19 of the gubernatorially declared disaster or emergency, provided that the total value
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HB NO. 90
1 of contributions or donations received by the public servant related to the
2 gubernatorially declared disaster or emergency from not-for-profit organizations or
3 funds within not-for-profit organizations shall not exceed twenty-five thousand
4 dollars.
5	B.  Each not-for-profit organization which disburses, either directly or
6 through a fund, a contribution or donation to a public servant that, except for the
7 provisions of Subsection A of this Section, would otherwise be prohibited by this
8 Part shall utilize objective criteria in both evaluating the need for and the
9 disbursement of contributions or donations to public servants to ensure that fair and
10 equitable disbursements are made and that the disbursements are based upon
11 demonstrated and documented needs directly related to the gubernatorially declared
12 disaster or emergency.
13	C. Not later than February fifteenth of each year following a year that a not-
14 for-profit organization has given, either directly or through a fund, a contribution or
15 donation to a public servant that, except for the provisions of Subsection A of this
16 Section, would otherwise be prohibited by this Part, the not-for-profit organization
17 shall file a report with the Board of Ethics containing the identification of the
18 gubernatorially declared disaster associated with the contribution or donation, the
19 objective criteria utilized as required by Subsection B of this Section, the name of
20 each public servant to whom a contribution or donation was given, the name of the
21 agency of each such public servant, the nature of the donation or contribution given
22 to each such public servant, and the value of the donation or contribution given to
23 each such public servant.
24 Section 2.  Each not-for-profit organization that gave a public servant a contribution
25or donation, either directly or through a fund, for the purpose of disaster aid or relief to offset
26any economic losses suffered by the public servant as a result of a gubernatorially declared
27disaster or emergency occurring in 2016, that, except for the provisions of R.S. 42:1111.1(A)
28as enacted by Section 1 of this Act, was otherwise prohibited by the Code of Governmental
29Ethics, shall file a report no later than February 15, 2018, with the Board of Ethics
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HB NO. 90
1containing the identification of the gubernatorially declared disaster associated with the
2contribution or donation, the criteria used by the not-for-profit organization to determine the
3need for and make disbursements to public servants, the name of each public servant to
4whom a contribution or donation was given, the name of the agency of each such public
5servant, the nature of the donation or contribution given to each such public servant, and the
6value of the donation or contribution given to each such public servant.
7 Section 3.  R.S. 42:1123(36) is hereby repealed in its entirety.
8 Section 4. The provisions of Section 1 of this Act are declared to be remedial and
9curative and shall be applied retroactively to January 1, 2016, as well as prospectively.
10 Section 5.  This Act shall become effective upon signature by the governor or, if not
11signed by the governor, upon expiration of the time for bills to become law without signature
12by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana.  If
13vetoed by the governor and subsequently approved by the legislature, this Act shall become
14effective on the day following such approval.
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 90 Engrossed 2017 Regular Session	Danahay
Abstract:  Allows a public servant to receive any thing of economic value as a contribution
or donation up to a total of $25,000 from not-for-profit organizations or funds within
not-for-profit organizations for the purpose of disaster aid or relief to offset any
economic losses suffered by the public servant as a result of a gubernatorially
declared disaster or emergency.
Present law (R.S. 42:1111 - Code of Governmental Ethics) provides, subject to certain
exceptions, that no public servant (defined as a public employee or an elected official) shall
receive any thing of economic value, other than compensation and benefits from the
governmental entity to which he is duly entitled, for the performance of the duties and
responsibilities of his office or position. Present law (R.S. 42:1115(A)) prohibits a public
servant from soliciting or accepting any thing of economic value as a gift or gratuity from
any person if the public servant knows or should know that such person has or is seeking to
obtain a business relationship with the public servant's agency or is seeking to influence the
passage or defeat of legislation by the public servant's agency. Present law (R.S. 42:1115(B))
further prohibits a public employee from accepting any thing of economic value from any
person who conducts operations regulated by the public employee's agency or who has
substantial economic interests which may be substantially affected by the performance or
nonperformance of the public employee's official duty.
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Present law (R.S. 42:1123(36)) provides an exception to the ethics code which, during the
time period of Aug. 29, 2005, to Dec. 31, 2009, allowed a public employee to receive a thing
of economic value as a contribution or donation from certain specified not-for-profit
organizations or specified funds within such organizations for disaster aid or relief to offset
economic losses the employee suffered due to Hurricane Katrina or Rita. Provides that the
value of contributions or donations received by the employee from any one of such
organizations or funds shall not exceed $10,000 and that the total value of such contributions
or donations received by the employee from such organizations or funds shall not exceed
$25,000. Present law required a detailed report from each not-for-profit no later than Feb.
15, 2010.
Proposed law repeals the present law exception.
Proposed law provides instead an ethics code exception to allow a public servant, during the
time period extending from the date of a gubernatorially declared disaster or emergency and
ending on the date five years after the date the gubernatorially declared disaster or
emergency was initially declared by the governor, to accept a thing of economic value as a
contribution or donation from a not-for-profit organization or a fund within a not-for-profit
organization for the purpose of disaster aid or relief to offset any economic losses suffered
by the public servant as a result of the gubernatorially declared disaster or emergency. Limits
the total value of contributions or donations received by the public servant related to the
gubernatorially declared disaster or emergency from not-for-profit organizations or funds
within not-for-profit organizations to $25,000. Requires each not-for-profit organization
which disburses a contribution or donation to a public servant to utilize objective criteria in
both evaluating the need for and the disbursement of contributions and donations to public
servants to ensure that fair and equitable disbursements are made and that the disbursements
are based upon demonstrated and documented needs directly related to the gubernatorially
declared disaster or emergency. Requires each not-for-profit organization to file a report, by
Feb. 15 of each year following a year it gives such contributions or donations, with the
Board of Ethics containing the identification of the gubernatorially declared disaster
associated with the contribution or donation, the objective criteria utilized, the name of each
public servant to whom a contribution or donation was given, the name of his agency, the
nature of the donation or contribution, and the value of the donation or contribution. Further
requires a report covering 2016 to be filed no later than Feb. 15, 2018.
Proposed law provides that the provisions of proposed law adding the exception to allow a
public servant to receive a donation or contribution related to the gubernatorially declared
disaster or emergency shall be applied retroactively to Jan. 1, 2016, as well as prospectively.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Adds R.S. 42:1111.1; Repeals R.S. 42:1123(36))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on House and
Governmental Affairs to the original bill:
1. Clarify that the objective criteria and reporting requirements in the proposed law
ethics exception apply to not-for-profit organizations disbursing contributions
and donations that would have otherwise been prohibited by the ethics code.
2. Apply the requirement for the utilization of objective criteria on disbursements
to all contributions and donations, not just funds.
3. Make technical changes.
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CODING:  Words in struck through type are deletions from existing law; words underscored
are additions.