RDCSB157 3862 2172
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)]
SB 157 Reengrossed 2020 Regular Session Womack
Present law provides that no funds appropriated in the general appropriations act, the capital
outlay act, or other appropriation act, shall be released or provided to any recipient of an
appropriation if, when, and for as long as, the recipient fails or refuses to comply with the
provisions of present law regarding audit requirements.
Proposed law retains present law and provides that the funds may be appropriated directly
or indirectly and that the source of funds may also be an award from the La. Dept. of Health
Drinking Water Revolving Loan Fund, the La. Dept. of Environmental Quality Clean Water
State Revolving Fund, or office of community development programs for Community
Development Block Grants, local government assistance program, disaster recovery grants,
or the Community Water Enrichment and Other Improvements Fund or similar programs.
Present law provides that any public entity that has failed or refused to comply with the
provisions of the audit laws shall not let any public contract that utilizes any state funds. For
the purposes of present law, the terms "public entity" and "public contract" shall be defined
as in the present law regarding public contracts.
Proposed law retains present law but further provides that the term "public entity" shall
include a local auditee as defined in present law.
Present law prohibits public entities not in compliance with law from letting any public
contract that utilizes any state funds. Further provides that a public entity subject to present
law may only be released from such restrictions after the following actions have been
performed:
(1)The public entity notifies the Legislative Audit Advisory Council, in writing, of their
compliance.
(2)The Legislative Audit Advisory Council confirms that the public entity is in
compliance.
Proposed law retains present law.
Proposed law provides that if the public entity is in compliance with present law regarding
audits at the time the public entity enters into a public contract related to public health,
welfare, or safety, and later becomes noncompliant with those provisions, the legislative
auditor may grant the public entity an extension of time in order that the public entity may
receive appropriated or awarded State funds and shall tender the outstanding payments to
contractors, subcontractors, suppliers, and others due payment by the public entity. Further
provides that the public entity shall abide by any conditions imposed by the legislative
auditor to monitor the proper payment of funds due to contractors, subcontractors, suppliers,
and others.
Effective July 1, 2020.
(Amends R.S. 39:72.1(A); adds R.S. 39:72.1(D))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Finance to the original
bill
Page 1 of 2 RDCSB157 3862 2172
1. Provides that the legislative auditor may grant the public entity an extension
of time to submit an audit if the public contract is related to the public health,
welfare, or safety.
2. Provides that if given an extension of time to submit an audit, the public
entity may receive state funds and shall tender outstanding payments to
contractors, subcontractors, suppliers, and others.
3. If given an extension of time to submit an audit, the public entity shall abide
by any conditions imposed by the legislative auditor to monitor the proper
payment of funds due to contractors, subcontractors, suppliers, and others.
Summary of Amendments Adopted by Senate
Senate Floor Amendments to engrossed bill
1. Make technical changes.
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Appropriations to the
engrossed bill:
1. Make technical changes.
Page 2 of 2