HLS 22RS-316 ENGROSSED
2022 Regular Session
HOUSE BILL NO. 465
BY REPRESENTATIVE ZERINGUE
APPROPRIATIONS/ANCILLARY: Provides for the ancillary expenses of state
government
1 AN ACT
2To provide for the establishment and reestablishment of agency ancillary funds, to be
3 specifically known as internal service funds, auxiliary accounts, or enterprise funds
4 for certain state institutions, officials, and agencies; to provide for appropriation of
5 funds for Fiscal Year 2022-2023; to provide for an effective date; and to regulate the
6 administration of said funds.
7Be it enacted by the Legislature of Louisiana:
8 Section 1. There are hereby appropriated the amounts shown below, which shall be
9payable out of the state general fund, to the extent of funds deposited, unless otherwise
10specified, for the establishment and reestablishment of agency ancillary funds which shall
11be specifically known as internal service funds, auxiliary accounts, or enterprise funds. The
12monies in each fund shall be used for working capital in the conduct of business enterprises
13rendering public service, auxiliary service, and interagency service.
14 In the conduct of each such business, receipts shall be deposited in the state treasury
15and disbursements made by the state treasurer to the extent of the amount deposited to the
16credit of each ancillary fund, for the current fiscal year. All funds appropriated herein shall
17be expended in compliance with the public bid laws of the state.
18 Section 2.A. Except as otherwise provided by law or as herein otherwise provided,
19any fund equity resulting from prior year operations shall be included as a resource of the
20fund from which the ancillary fund is directly or indirectly derived.
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1 B. Funds on deposit with the state treasury at the close of the fiscal year are
2authorized to be transferred to each fund respectively, as equity for the next fiscal year.
3 All unexpended cash balances as of June 30, 2023, shall be remitted to the state
4treasurer on or before August 14, 2023. If not reestablished in the subsequent year's Act, the
5agency must liquidate all assets and return all advances no later than August 14, 2023.
6 C. The program descriptions contained in this Act are not part of the law and are not
7enacted into law by virtue of their inclusion into this Act.
8 Section 3. All money from federal, interagency transfers, statutory dedications, or
9fees and self generated revenues shall be available for expenditure in the amounts herein
10appropriated.
11 Any increase in such revenues shall be available for allotment and expenditure by
12an agency on approval of an increase in the appropriation by the commissioner of
13administration and the Joint Legislative Committee on the Budget. Any increase in such
14revenues for an agency without an appropriation from the respective revenue source shall
15be incorporated into the agency's appropriation on approval of the commissioner of
16administration and the Joint Legislative Committee on the Budget.
17 Section 4.A. The figures in parentheses following the designation of a budget entity
18are the total authorized positions and authorized other charges positions for that entity. The
19number of employees approved for each agency, as a result of the passage of this Act, may
20be increased by the commissioner of administration when sufficient documentation is
21presented and the request is deemed valid. However, any request which exceeds five
22positions shall be approved by the commissioner of administration and the Joint Legislative
23Committee on the Budget.
24 B. The budget request of any agency with an appropriation level of thirty million
25dollars or more shall include within its existing table of organization positions which
26perform the function of internal auditing, including the position of a chief audit executive.
27The chief audit executive shall be responsible for ensuring that the internal audit function
28adheres to the Institute of Internal Auditors, International Standards for the Professional
29Practice of Internal Auditing. The chief audit executive shall maintain organizational
30independence in accordance with these standards and shall have direct and unrestricted
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1access to the commission, board, secretary, or equivalent head of the agency. The chief
2audit executive shall certify to the commission, board, secretary, or equivalent head of the
3agency that the internal audit function conforms to the Institute of Internal Auditors,
4International Standards for the Professional Practice of Internal Auditing.
5 Section 5. All key and supporting performance objectives and indicators for the
6departments, agencies, programs, and budget units contained in the Governor’s Executive
7Budget Supporting Document shall be adjusted by the commissioner of administration to
8reflect the funds appropriated therein. The commissioner of administration shall report on
9these adjustments to the Joint Legislative Committee on the Budget each year by August
10fifteenth.
11 Section 6. The following definition is provided for the terms of this Act: "Working
12capital" shall be considered the excess of current assets over current liabilities on an accrual
13basis.
14 Section 7. Should any section, subsection, clause, sentence, phrase, or part of the Act
15for any reason be held, deemed, or construed to be unconstitutional or invalid, such decisions
16shall not affect the remaining provisions of the Act, and the legislature hereby declares that
17it would have passed the Act, and each section, subsection, clause, sentence, phrase, or part
18thereof, irrespective of the fact that one or more of the sections, subsections, clauses,
19sentences, phrases, or parts thereof, is declared unconstitutional or invalid. To this end, the
20provisions of this Act are hereby declared severable.
21 Section 8. Internal Service Funds. These funds account for the financing of goods
22or services provided by one department or agency to other departments or agencies of the
23governmental unit, or to other governmental units, on a cost-reimbursement basis. Excess
24cash funds, excluding cash funds arising from working capital advances, shall be invested
25by the state treasurer with the interest proceeds therefrom credited to each account and shall
26not be transferred to the state general fund.
27 Section 9. In conjunction with the continuing assessment of the existing staff, assets,
28contracts, and facilities of each department, agency, program or budget unit’s information
29technology resources and procurement resources, upon completion of this assessment and
30to the extent optimization of these resources will result in the projected cost savings through
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1staff reductions, realization of operational efficiencies, cost avoidance, and elimination of
2asset duplication, the commissioner of administration is authorized to transfer the functions,
3positions, assets, and funds from any other department, agency, program, or budget units
4related to these optimizations to a different department. The provisions of this Section shall
5not apply to the Department of Culture, Recreation and Tourism, or any agency contained
6in Schedule 04, Elected Officials, of the General Appropriation Act.
7 SCHEDULE 21
8 ANCILLARY APPROPRIATIONS
921-800 OFFICE OF GROUP BENEFITS
10EXPENDITURES: FY 22 EOB FY 23 REC
11State Group Benefits -
12Authorized Positions (42) (56)
13 Expenditures $1,809,133,191$1,809,705,404
14Program Description: Provides for the administration of group health and accidental
15insurance and group life insurance for current and former state employees and other
16participating groups.
17 TOTAL EXPENDITURES $1,809,133,191$1,809,705,404
18MEANS OF FINANCE:
19State General Fund by:
20 Interagency Transfers $ 598,733$ 598,733
21 Fees & Self-generated Revenues $1,808,534,458$1,809,106,671
22 TOTAL MEANS OF FINANCING $1,809,133,191$1,809,705,404
2321-804 OFFICE OF RISK MANAGEMENT
24EXPENDITURES: FY 22 EOB FY 23 REC
25Risk Management -
26Authorized Positions (41) (41)
27 Expenditures $358,342,481$324,218,483
28Program Description: Provides for the overall executive leadership and management of
29the office, support services, policy analysis, management direction of the state's self-
30insurance program; provides funding for the payment of losses on medical, malpractice,
31property, comprehensive general liability, personal injury, automobile liability, automobile
32physical damage, bonds, crime, aviation, wet marine boiler and machinery and
33miscellaneous tort claims; provides funding for the payment of contracts issued for
34professional legal defense of claims made against the state; provides funding for the
35reimbursement of the Division of Risk Litigation in the Office of the Attorney General for
36costs incurred for professional legal defense of claims made against the state.
37 TOTAL EXPENDITURES $358,342,481$324,218,483
38MEANS OF FINANCE:
39State General Fund by:
40 Interagency Transfers $265,682,662$275,551,395
41 Fees & Self-generated Revenues $90,659,819$46,667,088
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1 Statutory Dedications:
2 Future Medical Care Fund $ 2,000,000$ 2,000,000
3 TOTAL MEANS OF FINANCING $358,342,481$324,218,483
421-806 LOUISIANA PROPERTY ASSISTANCE
5EXPENDITURES: FY 22 EOB FY 23 REC
6Louisiana Property Assistance -
7Authorized Positions (37) (37)
8 Expenditures $ 7,747,236$ 8,692,368
9Program Description: Provides for the accountability of the state's movable property
10through the development and implementation of sound management practices.
11 TOTAL EXPENDITURES $ 7,747,236$ 8,692,368
12MEANS OF FINANCE:
13State General Fund by:
14 Interagency Transfers $ 1,615,846$ 1,615,846
15 Fees & Self-generated Revenues $ 6,131,390$ 7,076,522
16 TOTAL MEANS OF FINANCING $ 7,747,236$ 8,692,368
1721-807 LOUISIANA FEDERAL PROPERTY ASSISTANCE AG ENCY
18EXPENDITURES: FY 22 EOB FY 23 REC
19Federal Property Assistance -
20Authorized Positions (9) (9)
21 Expenditures $ 3,415,050$ 3,441,308
22Program Description: Seeks to assure the fair and equitable distribution of federal
23property allocated to Louisiana by the General Services Administration to eligible Louisiana
24donees.
25 TOTAL EXPENDITURES $ 3,415,050$ 3,441,308
26MEANS OF FINANCE:
27State General Fund by:
28 Interagency Transfers $ 484,342$ 1,084,342
29 Fees & Self-generated Revenues $ 2,930,708$ 2,356,966
30 TOTAL MEANS OF FINANCING $ 3,415,050$ 3,441,308
3121-811 PRISON ENTERPRISES
32EXPENDITURES: FY 22 EOB FY 23 REC
33Prison Enterprises -
34Authorized Positions (72) (72)
35 Expenditures $33,763,220$34,484,007
36Program Description: Utilizes the resources of the Department of Public Safety and
37Corrections in the production of food, fiber, and other necessary items used by offenders in
38order to lower the cost of incarceration; provides products and services to state agencies
39and agencies of parishes, municipalities, and other political subdivisions; and provides work
40opportunities for offenders. Prison Enterprises conducts both industry operations and
41agriculture operations.
42 TOTAL EXPENDITURES $33,763,220$34,484,007
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1MEANS OF FINANCE:
2State General Fund by:
3 Interagency Transfers $24,933,479$25,447,628
4 Fees & Self-generated Revenues $ 8,829,741$ 9,036,379
5 TOTAL MEANS OF FINANCING $33,763,220$34,484,007
621-815 OFFICE OF TECHNOLOGY SERVICES
7EXPENDITURES: FY 22 EOB FY 23 REC
8Technology Services -
9Authorized Positions (828) (828)
10Authorized Other Charges Positions (9) (9)
11 Expenditures $525,667,324$670,082,509
12Program Description: The mission of the Office of Technology Services (OTS) is to
13establish competitive, cost-effective technology systems and services while acting as the sole
14centralized customer for the acquisition, billing and record keeping of those technology
15services. OTS shall charge respective user agencies for the cost of the technology and
16services provided including the cost of the operation of the office in a fair, equitable, and
17consistent manner, in full compliance with State of Louisiana statutes.
18 TOTAL EXPENDITURES $525,667,324$670,082,509
19MEANS OF FINANCE:
20State General Fund by:
21 Interagency Transfers $524,148,851$668,564,036
22The allocations listed below are provided for informational purposes only and shall not be
23construed to limit the expenditures or means of financing of the Office of Technology
24Services.
25Executive Department $50,528,314
26Department of Transportation and Development $32,108,983
27Department of Public Safety and Corrections- Corrections Services$11,477,406
28Department of Public Safety and Corrections- Public Safety Services$53,964,933
29Department of Public Safety and Corrections- Youth Services$ 9,237,870
30Louisiana Department of Health $263,663,085
31Department of Children and Family Services $94,155,277
32Department of Revenue $29,770,915
33Louisiana Workforce Commission $27,830,125
34Department of Education $34,973,882
35Remaining State Agencies $60,853,246
36 Total Interagency Transfers $668,564,036
37 Fees & Self-generated Revenues $ 1,518,473$ 1,518,473
38Production Support Services to local and other
39 governmental entities $ 255,878
40Telecommunications Services to local and other
41 governmental entities $ 403,408
42IT Support Services to local and other
43 governmental entities $ 859,187
44 Total Fees & Self-generated Revenues $ 1,518,473
45 TOTAL MEANS OF FINANCING $525,667,324$670,082,509
46BY EXPENDITURE CATEGORY:
47 Personal Services $101,336,565
48 Operating Expenses $204,966,990
49 Professional Services $302,124,033
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HB NO. 465
1 Other Charges $52,083,104
2 Acquisitions and Major Repairs $ 9,571,817
3 TOTAL BY EXPENDITURE CATEGORY $670,082,509
421-816 DIVISION OF ADMINISTRATIVE LAW
5EXPENDITURES: FY 22 EOB FY 23 REC
6Administration -
7Authorized Positions (58) (58)
8 Expenditures $ 8,643,902$ 9,829,286
9Program Description: Provides a neutral forum for handling administrative hearings for
10certain state agencies, with respect for the dignity of individuals and their due process
11rights.
12 TOTAL EXPENDITURES $ 8,643,902$ 9,829,286
13MEANS OF FINANCE:
14State General Fund by:
15 Interagency Transfers $ 8,615,005$ 9,800,389
16 Fees & Self-generated Revenues $ 28,897$ 28,897
17 TOTAL MEANS OF FINANCING $ 8,643,902$ 9,829,286
1821-820 OFFICE OF STATE PROCUREMENT
19EXPENDITURES: FY 22 EOB FY 23 REC
20Office of State Procurement -
21Authorized Positions (99) (99)
22 Expenditures $12,255,821$12,873,418
23Program Description: The mission of the Office of State Procurement is to provide cost-
24effective services that satisfy the needs of approved governmental units of the State of
25Louisiana through the management of products and services.
26 TOTAL EXPENDITURES $12,255,821$12,873,418
27MEANS OF FINANCE:
28State General Fund by:
29 Interagency Transfers $ 5,675,334$ 4,920,576
30 Fees & Self-generated Revenues $ 6,580,487$ 7,952,842
31 TOTAL MEANS OF FINANCING $12,255,821$12,873,418
3221-829 OFFICE OF AIRCRAFT SERVICES
33EXPENDITURES: FY 22 EOB FY 23 REC
34Flight Maintenance -
35Authorized Positions (3) (4)
36 Expenditures $ 2,303,789$ 2,324,065
37Program Description: The mission of the Office of Aircraft Services is to manage the
38overall maintenance and provide all needed and required support for safe, proper, and
39economic operation of the State’s various aircraft. Flight Maintenance Operations ensures
40flight safety, maintains high safety standards while minimizing aircraft downtime for repairs,
41and provides high quality, efficient, and economical repair and fueling services for state-
42operated aircraft.
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1 TOTAL EXPENDITURES $ 2,303,789$ 2,324,065
2MEANS OF FINANCE:
3State General Fund by:
4 Interagency Transfers $ 2,124,574$ 2,144,850
5 Fees & Self-generated Revenues $ 179,215$ 179,215
6 TOTAL MEANS OF FINANCING $ 2,303,789$ 2,324,065
721-860 ENVIRONMENTAL STATE REVOLVING LOAN FUNDS
8EXPENDITURES: FY 22 EOB FY 23 REC
9Environmental State Revolving Loan Funds $125,350,000$125,350,000
10Program Description: Helps individual citizens and local governments participate in
11environmental programs by assisting municipalities to finance and construct wastewater
12treatment works. The Clean Water State Revolving Fund is used by the Department of
13Environmental Quality to assist recipients of Environmental Protection Agency and
14construction grants in providing project inspection, construction management, and overall
15program management services, required for the completion of the Environmental Protection
16Agency program, as outlined in the management grant. Regional meetings are held in the
17state’s eight planning districts with one-on-one follow-up meetings to make municipalities
18more aware of the program’s benefits and requirements. The Brownfields Cleanup
19Revolving Loan Fund strives to uphold Comprehensive Environmental Response,
20Compensation, and Liability Act (CERCLA) Section 104(k) to protect the health and welfare
21of the citizens of the state, as well as to enhance the environment of the state by
22administering the Brownfields Cleanup Revolving Loan Fund.
23 TOTAL EXPENDITURES $125,350,000$125,350,000
24MEANS OF FINANCE:
25State General Fund by:
26 Statutory Dedications:
27 Clean Water State Revolving Fund $125,000,000$125,000,000
28 Brownfields Cleanup Revolving
29 Loan Fund $ 350,000$ 350,000
30 TOTAL MEANS OF FINANCING $125,350,000$125,350,000
31Payable out of the State General Fund by
32Statutory Dedications out of the Matching Funds
33Fund to the Environmental State Revolving Loan
34Funds Program to use as state match for the
35Clean Water State Revolving Fund allocations found
36in the federal Infrastructure Investment and Jobs Act,
37in the event that House Bill No. 406 of the 2022
38Regular Session of the Legislature is enacted into law $ 4,256,600
3921-861 DRINKING WATER REVOLVING LOAN FUND
40EXPENDITURES: FY 22 EOB FY 23 REC
41Drinking Water Revolving Loan Fund $47,988,458$47,988,458
42Program Description: Assist public water systems in financing needed drinking water
43infrastructure improvements (e.g. treatment plant, distribution main replacement, storage
44facilities, new wells). The Drinking Water Revolving Loan Fund provides assistance in the
45form of low-interest loans and technical assistance to public water systems in Louisiana to
46assist them with complying with state and federal drinking water regulations, ensuring that
47their customers are provided with safe drinking water thereby protecting the public health.
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1 TOTAL EXPENDITURES $47,988,458$47,988,458
2MEANS OF FINANCE:
3State General Fund by:
4 Statutory Dedication:
5 Drinking Water Revolving Loan Fund $47,988,458$47,988,458
6 TOTAL MEANS OF FINANCING $47,988,458$47,988,458
7Payable out of the State General Fund by Statutory
8Dedications out of the Matching Funds Fund to the
9Drinking Water Revolving Loan Fund Program to
10use as state match for the Drinking Water Revolving
11Loan Fund allocations found in the federal
12Infrastructure Investment and Jobs Act, in the event
13that House Bill No. 406 of the 2022 Regular Session
14of the Legislature is enacted into law $ 2,693,000
15 Section 10. This Act shall become effective on July 1, 2022.
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 465 Engrossed 2022 Regular Session Zeringue
Abstract: Appropriates funds and provides for ancillary expenses of state government,
including internal service funds, auxiliary accounts, and enterprise funds.
Provides $989,727,795 of interagency transfers, $1,883,923,053 of fees and
self-generated revenues, and $182,288,058 of statutory dedications to provide for the
ancillary expenses of state government.
Proposed law provides for the establishment and reestablishment of agency ancillary
funds, to be specifically known as internal service funds, auxiliary accounts, or enterprise
funds for certain state institutions, officials, and agencies. Requires the appropriated
funds, to the extent deposited, unless otherwise specified, to be used for working capital
in the conduct of business enterprises rendering public, auxiliary, and interagency
services. Requires receipts from the conduct of such businesses to be deposited to the
credit of each ancillary fund for FY 2022-2023. Requires all funds to be expended in
accordance with public bid laws.
Proposed law requires, except as otherwise provided, any fund equity resulting from prior
year operations be included as a resource of the fund from which it is derived. Provides
that all funds on deposit with the state treasury at the close of the fiscal year are
authorized to be transferred to each fund as equity for FY 2023-2024. Further provides
that all unexpended cash balances as of June 30, 2023, shall be remitted to the state
treasurer on or before Aug. 14, 2023. Further provides that if not reestablished in the
subsequent year's act, the agency must liquidate all assets and return all advances no later
than Aug. 14, 2023.
Proposed law provides that the program descriptions contained in the Act are not enacted
into law by virtue of their inclusion in the Act.
Proposed law provides that all money from federal, interagency, statutory dedications, or
self-generated revenues of an agency be deemed available for expenditures in the
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HB NO. 465
amounts appropriated, and any increase in such revenues over the amounts appropriated
shall only be available for expenditure by the agency with approval of the division of
administration and the Joint Legislative Committee on the Budget (JLCB).
Proposed law provides that the number of employees approved for each agency may be
increased by the commissioner of administration, subject to JLCB approval, when
appropriate documentation is deemed valid.
Proposed law requires any agency with an appropriation level of $30 million or more to
include positions within its table of organization which perform internal auditing
services, including the position of a chief audit executive responsible for adhering to the
Institute of Internal Auditors, International Standards for the Professional Practice of
Internal Auditing.
Proposed law directs the commissioner of administration to adjust performance
objectives and indicators contained in the Executive Budget Supporting Document to
reflect the funds appropriated and to report such adjustments to the JLCB by Aug. 15,
2022.
Proposed law provides that the treasurer shall invest excess cash funds, excluding those
arising from working capital advances, with the interest earned being credited to the
account.
Proposed law authorizes the commissioner of administration to transfer functions,
positions, assets, and funds between and within departments in conjunction with the
continuing assessment of the existing staff, assets, contracts, and facilities of each
department, agency, program, or budget unit's information technology resources, and
procurement resources, in order to optimize resources and provide cost savings.
Proposed law does not apply to the Dept. of Culture, Recreation and Tourism, or any
agency contained in Schedule 04, Elected Officials, of the General Appropriation Act.
Proposed law provides allocations for the Office of Technology Services for
informational purposes only and are not construed to limit the expenditures or means of
financing of the office.
Proposed law provides additional funding to the Clean Water Revolving Loan Fund and
the Drinking Water Revolving Loan Fund out of the Matching Funds Fund.
Effective July 1, 2022.
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Appropriations to
the original bill:
1. Provides a list of funding allocations for the Office of Technology Services
for informational purposes.
2. Provides $6.9 million out of the Matching Funds Fund for the Drinking Water
Revolving Loan Fund and the Clean Water Revolving Loan Fund.
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