The original instrument was prepared by Martha Hess. The following digest, which
does not constitute a part of the legislative instrument, was prepared by LG Sullivan.
DIGEST
SB 132 Reengrossed 2020 Regular Session Henry
Present law provides for the conditions that shall be satisfied prior to the state procurement officer
or an assistant approving professional, personal, consulting, or social services contracts:
(1)All provisions of R.S. 39:1623 have been complied with.
(2)The using agency has statutory authority to enter into the proposed contract.
(3)The contract will not establish an employer/employee relationship between the state or the
using agency and any prospective contractor.
(4)No current state employee will engage in the performance of the proposed contract except
as provided for in R.S. 39:1626.
(5)No using agency has previously performed or contracted for the performance of tasks which
would be substantially duplicated under the proposed contract without appropriate written
justification.
(6)There has been appropriated or otherwise lawfully made available and ready for expenditure
sufficient monies for payment of the services called for in the contract, at least for the
applicable fiscal year.
(7)The contracting using agency has specified the purpose, duration, specific goals and
objectives, measures of performance, and a plan for monitoring the services to be provided
under the contract.
(8)The using agency has a written plan for the monitoring of the contract and such monitoring
plan has been submitted in accordance with rules and regulations adopted by the office of
state procurement.
(9)The provisions of R.S. 12:25(E) have been complied with, if the contract is with a business
corporation, the provisions of R.S. 12:205(E) have been complied with, if the contract is with
a nonprofit corporation, or the provisions of R.S. 12:304(A)(11) have been complied with,
if the contract is with a foreign corporation.
(10)The prospective contractor is current in the filing of all applicable tax returns and reports,
and in payment of all taxes, interest, penalties, and fees owed to the state and collected by
the Department of Revenue in accordance with R.S. 47:1678. Proposed law retains present law and provides that, prior to the state chief procurement officer or
an assistant approving any contract with a value greater than or equal to $25 million annually, the
state chief procurement officer or an assistant shall verify that the following has occurred:
(1)The state agency entering into contract with a value greater than or equal to $25 million
annually has received the approval of the Joint Legislative Committee on the Budget (JLCB)
to enter into the contract.
(2)If the request for proposal process was utilized in the procurement process for a contract with
a value greater than or equal to $25 million dollars annually, the state agency notified the
JLCB of the potential cost of such contract prior to the issuance of the request for proposals,
provided that such cost was reasonably anticipated at the time of issuance.
Present law allows state agencies to enter into contracts for fiscal intermediary services in processing
claims of health care providers. Requires the award process and the final contract to meet certain
criteria, including approval by the House and Senate committees on health and welfare.
Proposed law retains present law and moves the approval authority from the House and Senate
committees on health and welfare to JLCB.
Effective July 1, 2020.
(Amends R.S. 39:198(I)(2), (6), (8)(b) and (c), and (9); adds R.S. 39:1624(C))
Summary of Amendments Adopted by Senate
Senate Floor Amendments to engrossed bill
1. Move approval of fiscal intermediary services contract awards from the House and
Senate committees on health and welfare to JLCB.