Louisiana 2017 2017 Regular Session

Louisiana Senate Bill SB187 Introduced / Bill

                    SLS 17RS-453	ORIGINAL
2017 Regular Session
SENATE BILL NO. 187
BY SENATOR HEWITT 
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
FISCAL CONTROLS.  Provides for implementation of an evidenced-based budget process
for certain programs. (7/1/17)
1	AN ACT
2 To enact R.S. 39:2(13.1), (33.1), (36.1), (36.2), (37.1), (37.2), (37.3), (40.1), and 87.7 and
3 to repeal R.S. 39:2(38) and (39), relative to the budget process; to provide for the
4 development of evidenced-based budgeting practices that will enable data-driven
5 budget decisions in selected policy areas; to require the Legislative Fiscal Office to
6 inventory programs, costs, and outcomes and determine benefit-cost ratios; to
7 provide the Joint Legislative Committee on the Budget with data to enable the
8 prioritization of funding; to require the Joint Legislative Committee on the Budget
9 to make certain recommendations; to provide for certain terms and definitions; and
10 to provide for related matters.
11 Be it enacted by the Legislature of Louisiana:
12 Section 1.  R.S. 39:2(13.1), (33.1), (36.1), (36.2), (37.1), (37.2), (37.3), (40.1), and
13 87.7 are hereby enacted to read as follows:
14 §2.  Definitions
15	As used in this Chapter, except where the context clearly requires otherwise,
16 the words and expressions defined in this Section shall be held to have the meanings
17 here given to them.
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words in boldface type and underscored are additions. SB NO. 187
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1	*          *          *
2	(13.1) "Evidence-based program" means a program or practice that has
3 had multiple site random controlled trials across heterogeneous populations
4 demonstrating that the program or practice is effective for the population.
5	*          *          *
6	(33.1) "Other programs and activities" means all programs and activities
7 that do not fit the definition of evidence-based, research-based, or promising
8 practices programs.
9	*          *          *
10	(38)(36.1) "Performance-based budget" means a budget which relates funding
11 to expected results.
12	(39)(36.2) "Performance standard" means the expected level of performance
13 associated with a particular performance indicator for a particular period.
14	*          *          *
15	(37.1) "Program catalogue" means a compendium of programs compiled
16 by a reputable source that publishes information for use by the government.
17	(37.2) "Program inventory" means the complete list of all agency
18 programs and activities that meet any definition set out in this Section.
19	(37.3) "Promising practices" means a practice that presents, based upon
20 preliminary information, potential for becoming a research-based or
21 evidence-based program or practice.
22	*          *          *
23	(38) "Performance-based budget" means a budget which relates funding to
24 expected results.
25	(39) "Performance standard" means the expected level of performance
26 associated with a particular performance indicator for a particular period.
27	*          *          *
28	(40.1) "Research-based program" means a program or practice that has
29 some research demonstrating effectiveness, but that does not yet meet the
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1 standard of evidence-based practices.
2	*          *          *
3 §87.7.  Evidence-based budget process
4	A. Beginning with the Fiscal Year 2019 budget cycle, the Legislative
5 Fiscal Office shall require all agencies with responsibilities to deliver services
6 in the areas of child welfare, mental health, and substance abuse, to comply with
7 the requirements of this Section with respect to the inventorying of agency
8 programs and the computation of benefit-cost ratios for use in the budgeting
9 process.  The aforementioned agencies shall submit all program information to
10 the Legislative Fiscal Office in accordance with any policies established by that
11 office setting out requirements for any filings required under this Section. In
12 addition, the Legislative Fiscal Office shall work with local entities that receive
13 state funding in support of programs in the selected policy areas to inventory
14 those programs.
15	B. The Legislative Fiscal Office, office of planning and budget in the
16 division of administration, and personnel of appropriate agencies set out in this
17 Section, including the local entities, shall review the programs of each agency
18 and shall:
19	(1) Establish an inventory of programs.
20	(2) Categorize all agency programs and activities as evidence-based,
21 research-based, promising practices, or other programs and activities with no
22 evidence of effectiveness, and compile them into an agency program inventory.
23 In categorizing programs, the staffs may consult the Washington State Institute
24 for Public Policy's Evidence-Based Practices Institute's program catalogue, the
25 Results First Clearinghouse Database, or any other comparable catalogue of
26 evidence-based programs.
27	(3) Determine benefit-cost ratios for all evidence-based programs in the
28 selected policy areas.
29	C. The Legislative Fiscal Office shall report to the Joint Legislative
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1 Committee on the Budget the results of all activities required by this Section
2 with recommendations for further evaluation of research-based or promising
3 practices programs, the elimination or replacement of ineffective programs, and
4 the funding of effective programs, based on benefit-cost ratios and the learnings
5 gained.  The Joint Legislative Committee on the Budget may incorporate such
6 recommendations into the Fiscal Year 2019 budget and appropriations bills, or
7 delay such incorporation until the committee is satisfied that the information
8 collected and inventoried under the requirements of this Section will enhance
9 accountability and performance measurement for the programs and activities
10 of state agencies.
11	D. The Joint Legislative Committee on the Budget shall, no later than the
12 2020 Regular Session of the Legislature, make a recommendation to the
13 legislature regarding the application of the processes and requirements of this
14 Section to other policy areas with evidenced-based programs.
15 Section 2.  R.S. 39:2(38) and (39) are hereby repealed.
16 Section 3.  This Act shall become effective on July 1, 2017.
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Ben Huxen.
DIGEST
SB 187 Original 2017 Regular Session	Hewitt
Proposed law provides that, beginning with the Fiscal Year 2019 budget cycle, the
Legislative Fiscal Office shall require all agencies with responsibilities to deliver services
in the areas of child welfare, mental health, and substance abuse (including local entities that
receive state funding for these areas), to comply with certain requirements with respect to
the inventorying of agency programs and the computation of benefit-cost ratios for use in
the budgeting process.
Proposed law provides that the Legislative Fiscal Office, office of planning and budget in
the division of administration, and personnel of appropriate agencies, including the local
entities, shall review the programs of each agency and shall:
(1)Establish an inventory of programs.
(2)Categorize all agency programs and activities as evidence-based, research-based,
promising practices, or other programs and activities with no evidence of
effectiveness, and compile them into an agency program inventory. In categorizing
programs, the staffs may consult the Washington State Institute for Public Policy's
Evidence-Based Practices Institute's program catalogue, the Results First
Clearinghouse Database, or any other comparable catalogue of evidence-based
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programs.
(3)Determine benefit-cost ratios for all evidence-based programs in the selected policy
areas.
Proposed law also requires the Legislative Fiscal Office to report to the Joint Legislative
Committee on the Budget the results of all activities, with recommendations for further
evaluation of research-based or promising practices programs, the elimination or
replacement of ineffective programs, and the funding of effective programs, based on
benefit-cost ratios and the learnings gained.  Proposed law further specifies that the Joint
Legislative Committee on the Budget may incorporate such recommendations into the Fiscal
Year 2019 budget and appropriations bills, or delay such incorporation until the committee
is satisfied that the information collected and inventoried will enhance accountability and
performance measurement for the programs and activities of state agencies.
Proposed law also requires the Joint Legislative Committee on the Budget to, no later than
the 2020 Regular Session of the Legislature, make a recommendation to the legislature
regarding the application of the processes and requirements of this Section to other policy
areas with evidenced-based programs.
Effective July 1, 2017.
(Adds R.S. 39:2(13.1), (33.1), (36.1), (36.2), (37.1), (37.2), (37.3), (40.1), and 87.7; repeals
R.S. 39:2(38) and (39))
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.