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 151 Original 2020 Regular Session Beaullieu
Abstract: Provides requirements and limitations for use of petty cash by political subdivisions.
Present law (R.S. 39:1301 et seq.—Louisiana Local Government Budget Act) establishes a process
for political subdivisions to use in the preparation and adoption of an annual budget. Provides
procedures and requirements.
Proposed law retains present law and additionally provides that a political subdivision shall not
establish or use a petty cash account unless the petty cash account is provided for within the budget
of the political subdivision and the political subdivision establishes and uses the petty cash account
in accordance with the provisions of proposed law. Provides that the petty cash account shall not
exceed $500 and may be used to make change or pay small obligations when the issuance of check
is not cost effective.
Proposed law requires the political subdivision to designate a custodian of the petty cash account,
who shall be responsible for administering the account in accordance with proposed law. Provides
procedures for the custodian to establish and replenish the petty cash account and for making
expenditures from the account. Prohibits any money from being added to the petty cash account
except to replenish the account as provided in proposed law.
Effective Jan. 1, 2021.
(Adds R.S. 39:1304.1)