The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by Martha S. Hess.
DIGEST
SB 229 Engrossed 2021 Regular Session Hensgens
Proposed law establishes the Health Care Employment Reinvestment Opportunity (H.E.R.O.) Fund
as a special fund in the state treasury. Monies in the fund shall consist of legislative appropriations
and grants and donations.
Proposed law provides that monies in the fund shall be invested by the state treasurer in the same
manner as monies in the state general fund, and interest earned on the investment of monies in the
fund shall be credited to the fund. All unexpended and unencumbered monies in the fund at the end
of the fiscal year shall remain in the fund.
Proposed law provides that subject to legislative appropriation and the approval of the Board of
Regents, the La. Health Works Commission is directed to determine how monies in the fund are
allocated and expended through a multi-year plan to be expended solely and exclusively for the
following purposes and in the following priorities:
(1)Meet the current and growing employment demands for nursing and allied health
professionals by increasing the capacity of nursing and allied health training programs
through supporting initiatives such as increasing faculty positions and clinical preceptors in
nursing and allied health schools.
(2)Support the nursing and allied health professions by providing incentives that financially
support student financial stipends and tuition forgiveness contingent upon employment in
Louisiana health care facilities or nursing or allied health schools.
(3)Provide incentives for nursing and allied health care professionals to practice in Louisiana
with an emphasis on medically underserved areas of the state.
Proposed law prohibits money in the fund from being used for construction, maintenance, repair, or
improvement of structures.
Proposed law requires the La. Health Works Commission to submit a plan of fund allocation to the
Board of Regents on or before October first of each year.
Proposed law requires the Board of Regents to submit a comprehensive annual report to the Senate
Finance Committee, House Appropriations Committee, Senate Health and Welfare Committee, and
the House Health and Welfare Committee, no later than 60 days after the end of the state fiscal year
in which the monies were appropriated.
Proposed law provides that it will terminate on July 1, 2026, or when all monies in the fund are spent, whichever occurs first. Any remaining monies on July 1, 2026, shall be transferred to the state
general fund.
Effective August 1, 2021.
(Adds R.S. 17:3050.11)
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Finance to the original bill
1. Provides that subject to legislative appropriation and the approval of the Board of
Regents, the La. Health Works Commission is directed to determine how monies in
the fund are allocated and expended through a multi-year plan.
2. Provides that monies in the fund may be expended solely and exclusively to meet the
current and growing employment demands for nursing and allied health
professionals, to support the nursing and allied health professions by providing
incentives that financially support student financial stipends and tuition forgiveness,
and to provide incentives for nursing and allied health care professionals to practice
in Louisiana with an emphasis on medically underserved areas of the state.
3. Prohibits money in the fund from being used for construction, maintenance, repair,
or improvement of structures.
4. Requires the La. Health Works Commission to submit a plan of fund allocation to the
Board of Regents on or before October first of each year.
5. Requires the Board of Regents to submit a comprehensive annual report to the Senate
Finance Committee, House Appropriations Committee, Senate Health and Welfare
Committee, and the House Health and Welfare Committee, no later than 60 days after
the end of the state fiscal year in which the monies were appropriated.
6. Provides that proposed law will terminate on July 1, 2026, or when all monies in the
fund are spent, whichever occurs first. Any remaining monies on July 1, 2026, shall
be transferred to the state general fund.