SLS 17RS-120 REENGROSSED 2017 Regular Session SENATE BILL NO. 224 BY SENATOR PETERSON Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. HEALTH SERVICES. Provides relative to the Health Education Authority of Louisiana. (gov sig) 1 AN ACT 2 To amend and reenact R.S. 17:3052(2), 3053(B), 3053.1, 3054, and 3059, and R.S. 3 36:921(A), to enact R.S. 17:3051.1 and R.S. 36:4(BB), and to repeal R.S. 17:3052 4 (3) and (5), and 3053(C) through (G), and R.S. 36:651(D)(10), relative to the 5 abolition of the Health Education Authority of Louisiana; to provide for the transfer 6 of the powers, duties, functions, and responsibilities of the Health Education 7 Authority of Louisiana from the Department of Education to the office of the 8 governor; to delete references to the board and executive director of the Health 9 Education Authority of Louisiana; to provide for an effective date; and to provide for 10 related matters. 11 Be it enacted by the Legislature of Louisiana: 12 Section 1. R.S. 17:3052(2), 3053(B), 3053.1, 3054, and 3059 are hereby amended 13 and reenacted, and R.S. 17:3051.1 is hereby enacted to read as follows: 14 §3051.1. Abolition of Health Education Authority of Louisiana; transfer of 15 powers, duties, functions, immunities, restrictions, and 16 exemptions to the office of the governor 17 The Health Education Authority of Louisiana is hereby abolished Page 1 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 224 SLS 17RS-120 REENGROSSED 1 effective July 1, 2017, and all of its powers, duties, functions, immunities, 2 restrictions, and exemptions from taxation under any laws, are transferred to 3 the office of the governor effective July 1, 2017, and after such date the office 4 of the governor is hereby granted the right, power, and authority to do, 5 perform, and exercise for and on behalf of the Health Education Authority of 6 Louisiana all of the executive and administrative functions provided for by the 7 constitution or laws with respect to the Health Education Authority of 8 Louisiana herein abolished, including the right to do, perform, and exercise for 9 and on behalf of the authority all acts and things required to be done and 10 performed in connection with the authorization and issuance of revenue bonds 11 under the provisions of this Chapter. 12 §3052. Definitions 13 The following terms shall have the following meanings, unless the context 14 clearly indicates otherwise: 15 * * * 16 (2) "Authority" shall mean the Health Education Authority of Louisiana, and 17 when used in connection with action authorized to be taken by the authority, shall 18 mean the authority acting by and through its board of trustees the office of the 19 governor. 20 * * * 21 §3053. Health Education Authority of Louisiana; creation; domicile; membership; 22 terms; vacancies; staff 23 * * * 24 B. The power to establish policy to carry out the intent of this Chapter shall 25 be vested in a board of trustees the office of the governor. Effective October 1, 26 2016, the board shall consist of the governor as ex-officio trustee and nine members 27 comprised of one member appointed by the governor from each of the five public 28 service commission districts as established in R.S. 45:1161.5, and four members 29 appointed by the governor from the state at large. Page 2 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 224 SLS 17RS-120 REENGROSSED 1 * * * 2 §3053.1. Laws applicable to the Health Education Authority of Louisiana; audit of 3 records by legislative auditor 4 A. The board and the authority shall be subject to the Public Records Law, 5 R.S. 44:1 et seq.; the Open Meetings Law, R.S. 42:11 et seq.; and the Code of 6 Governmental Ethics, R.S. 42:1101 et seq. 7 B. The board, in its capacity as the governing body of the authority, shall 8 ensure that the books and records of the authority are audited by the legislative 9 auditor in accordance with the provisions of R.S. 24:513. 10 §3054. Meetings; rules; officers; compensation Rules; records 11 A. The board authority shall adopt rules for the transaction of business and 12 shall keep a record of its resolutions, transactions, findings and determinations. A 13 majority of the appointed members shall constitute a quorum for the transaction of 14 business. 15 B. The board shall meet at such times as provided by its rules. 16 C. The governor shall designate one member of the board to serve as 17 chairman. The board shall elect a vice-chairman, secretary, treasurer, and such other 18 officers as it shall determine. Officers elected by the board shall serve a term of one 19 year. 20 D. No member of the authority shall receive compensation or per diem for 21 service on the authority, but shall be reimbursed for actual expenses while attending 22 meetings and other authority business; such payments to be made in accordance with 23 appropriate state regulations. 24 * * * 25 §3059. Hearings 26 Wherever the provisions of this Chapter require the authority to hold a 27 hearing, notice of such hearing shall be given at least ten days in advance by 28 publication in the official journal of the state and in a newspaper having general 29 circulation in Orleans Parish, and by notifying all members of the board of trustees Page 3 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 224 SLS 17RS-120 REENGROSSED 1 and the chairmen of the boards of each of the primary institutions. Such hearings 2 shall be open to the public and shall be conducted in accordance with rules adopted 3 by the board of trustees authority. 4 Section 2. R.S. 36:921(A) is hereby amended and reenacted and R.S. 36:4(BB) is 5 hereby enacted to read as follows: 6 §4. Structure of executive branch of state government 7 * * * 8 (BB) The Health Education Authority of Louisiana, as more specifically 9 provided in R.S. 17:3051 through 3060, is hereby abolished and its powers, 10 duties, functions, and responsibilities are hereby transferred to the office of the 11 governor and hereafter shall be exercised and performed as provided in Part 12 IV of Chapter 22 of this Title. 13 * * * 14 §921. Transfer, merger and consolidation of functions 15 A.(1) The powers, duties, functions, responsibilities, programs, and 16 operations as vested by the constitution and laws of the state of each of the agencies 17 abolished by the provisions of R.S. 36:4(BB), 4.1(E), 109(G), 209(H), 259(F), 18 409(F), 459(C), 509(F), 610(C), 651(H), and (K), 744(E), and 769(E) upon and after 19 the date of each such abolition shall be exercised and performed by and be under the 20 administration and control of the secretary of the department to which such powers, 21 duties, functions, and responsibilities are transferred. The secretary shall assign those 22 functions of each which are required to be performed and administered by the 23 undersecretary of each department, as heretofore provided for each department by 24 this Title, to the undersecretary. 25 (2) With regard to the agency transferred or placed in this Part 26 pursuant to the provisions of R.S. 36:4(BB), the following terms used in R.S. 27 36:921 through 927 shall have the following meanings when used in those 28 Sections: 29 (a) "Department" means the office of the governor. Page 4 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 224 SLS 17RS-120 REENGROSSED 1 (b) "Secretary" means the governor through the commissioner of 2 administration. 3 (c) "Undersecretary" means the commissioner of administration. 4 (3) The term "assistant secretary" shall have no application to the 5 transfer or placement of agencies in the office of the governor provided in this 6 Section and shall not be deemed to grant any power or authority to any officer 7 or employee of the office of the governor with respect to any agency transferred 8 to or placed within the office of the governor by this Section. 9 * * * 10 Section 3. R.S. 17:3052(3) and (5), and 3053(C) through (G), and R.S. 11 36:651(D)(10) are hereby repealed in their entirety. 12 Section 4. All of the equipment, vehicles, supplies, books, records, documents, 13 papers, monies, actions, or any other item of property, and the improvements thereon, both 14 movable and immovable, heretofore owned, held, used, operated, or maintained by the 15 Health Education Authority of Louisiana, in the exercise of functions herein transferred are 16 hereby transferred to the office of the governor. 17 Section 5. The governor or his designee, on behalf of the state of Louisiana, is hereby 18 specifically authorized to execute such documents, contracts, agreements, or other 19 instruments, and to perform such other acts as are necessary to properly effectuate the 20 purposes of this Act. The provisions of this Act shall supersede any other laws in conflict. 21 The provision of this Act shall be liberally construed to effectuate these purposes. 22 Section 6. This Act shall become effective upon signature by the governor or, if not 23 signed by the governor, upon expiration of the time for bills to become law without signature 24 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If 25 vetoed by the governor and subsequently approved by the legislature, this Act shall become 26 effective on the day following such approval. Page 5 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 224 SLS 17RS-120 REENGROSSED The original instrument was prepared by Martha Hess. The following digest, which does not constitute a part of the legislative instrument, was prepared by Tammy Crain-Waldrop. DIGEST SB 224 Reengrossed 2017 Regular Session Peterson Present law creates the Health Education Authority of Louisiana (HEAL or agency) within the Department of Education, as a body corporate and public, constituting an instrumentality of the state and exercising public and essential governmental functions. Present law provides that the HEAL shall operate to assist public and private institutions and organizations that are dedicated to exemplary patient care, health science education and biomedical research, as well as organizations providing facilities or services deemed appropriate to the authority. Present law includes a nine member board of trustees made up of one from each of the five public service commission districts and four at-large members, all appointed by and serving at the pleasure of the governor. Present law further establishes that a majority of the appointed members constitute a quorum. Proposed law repeals present law. Present law further provides that the board shall employ a professionally qualified executive director to carry out the policies established by the board. Proposed law repeals present law. Present law establishes a cap for bond issuances by HEAL in the amount of $800 million. Proposed law retains present law. Present law provides that no bonds of the authority shall be issued or sold by the authority without the prior approval of the State Bond Commission. Proposed law retains present law. Present law places HEAL within the Department of Education. Proposed law abolishes HEAL and transfers all of its powers, duties, functions, immunities, restrictions, and exemptions from taxation under any laws, to the office of the governor effective July 1, 2017. Proposed law further provides that after HEAL is abolished and its powers, duties, functions, immunities, restrictions, and exemptions from taxation are transferred to the office of the governor, thereafter the governor shall have and exercise all of the executive and administrative functions provided by the constitution or laws with respect to HEAL. Proposed law removes reference to the board of the authority and to the executive director of the authority. Effective upon signature of the governor or lapse of time for gubernatorial action. (Amends R.S. 17:3052(2), 3053(B), 3053.1, 3054, and 3059, and R.S. 36:921(A); adds R.S. 17:3051.1 and R.S. 36:4(BB); repeals R.S. 17:3052 (3) and (5), and 3053(C) - (G), and R.S. 36:651(D)(10)) Summary of Amendments Adopted by Senate Senate Floor Amendments to engrossed bill 1. Makes Legislative Bureau technical changes. Page 6 of 6 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.