RÉSUMÉ DIGEST
ACT 201 (SB 233) 2019 Regular Session Gary Smith
Prior law provided that all public work exceeding the contract limit, including labor and
materials, to be done by a public entity shall be advertised and let by contract to the lowest
responsible and responsive bidder who bid according to the bidding documents as advertised,
and that no such public work shall be done except as provided in prior law.
Prior law provided, with certain exceptions, that the term "contract limit" shall be equal to
the sum of $150,000 per project, including labor, materials, and equipment as per the rates
in the latest edition of the Associated Equipment Dealers Rental Rate Book and
administrative overhead not to exceed 15%. Provided that beginning February 1, 2015, and
annually on February 1st of each subsequent year, the office of facility planning and control
within the division of administration shall adjust the "contract limit" by an amount not to
exceed the annual percentage increase in the Consumer Price Index in the preceding year.
The contract limit published in the Louisiana Register in the January 2019 edition is
$157,700.
New law provides an exception to the "contract limit" definition for public work related to
drainage projects to be done by regular maintenance employees of the St. Charles Parish
governing authority. Provides that the term "contract limit" shall be equal to the sum of
$250,000 per project, including labor, materials, and equipment as per the rates in the latest
edition of the Associated Equipment Dealers Rental Rate Book and administrative overhead
not to exceed 15%. Provides that beginning February 1, 2021, and annually on February 1st
of each subsequent year, the office of facility planning and control within the division of
administration shall adjust the "contract limit" by an amount not to exceed the annual
percentage increase in the Consumer Price Index in the preceding year. The office of facility
planning and control within the division of administration shall publish the new contract
limit for public works contracts let by the St. Charles Parish governing authority in the
Louisiana Register in January of each year.
New law sunsets "contract limit" exception for St. Charles Parish on December 31, 2020.
Effective August 1, 2019.
(Amends R.S. 38:2212(C)(1); adds R.S. 38:2212(C)(4))