Provides an exception for a hospital service district commissioner that owns a pharmacy. (8/1/18)
Impact
The implementation of SB121 will impact state laws related to ethics in governance, particularly how conflicts of interest are managed for public servants. By allowing pharmacists serving on hospital service boards to contract with those hospitals, the bill creates a pathway for increased collaboration between service districts and pharmacy entities. However, it requires pharmacists to recuse themselves from any board transactions associated with their contracting activities, maintaining a level of ethical oversight to mitigate potential conflicts.
Summary
Senate Bill 121, introduced by Senator Perry, aims to amend the Code of Governmental Ethics by enacting a specific exception under R.S. 42:1123(44). This new provision allows licensed pharmacists who serve on the board of commissioners for hospital service districts in parishes with populations of 125,000 or less to engage in contracting with the hospitals under their governance and to own interests in entities that do so. This is a significant change from existing regulations that typically prevent public servants from entering into contracts that may present conflicts of interest.
Sentiment
The sentiment surrounding SB121 appears to be largely positive among lawmakers, as indicated by the unanimous approval during voting in the House, where it passed with 92 votes in favor and none against. This indicates an agreement on the importance of enabling pharmacists to participate in hospital governance without falling afoul of ethics regulations, reflecting a legislative priority of balancing public service duties with professional engagement.
Contention
Despite its wide support, some points of contention may arise regarding the potential for conflicts of interest inherent in allowing such exceptions. Opponents may raise concerns about the risk of favoritism or financial impropriety if pharmacists are allowed to influence decisions about contracts that financially benefit them. Although the bill includes provisions for recusal to address these concerns, the long-term effects of these conflicts on public trust in governmental processes remain to be seen.
Authorizes certain transactions between Hospital Service District No. 3 of Vermilion Parish and a board member and legal entities in which a board member owns an interest
Removes certain restrictions relative to contracting, ownership interests, and employment applicable to members and former members of the board of commissioners of the St. Tammany Parish Hospital Service District No. 1