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 392 Engrossed 2023 Regular Session Frieman
Abstract: Requires the House Committee on Ways and Means and the Senate Committee on
Revenue and Fiscal Affairs to approve line of credit recommendations before the division
of administration submits the list to the State Bond Commission for funding.
Present law requires the governor to submit his capital outlay budget which implements the first year
of the five-year capital outlay program and the bond authorization bill for the sale of bonds to fund
projects included in the bond portion of the capital outlay bill to the legislature no later than the 8th
day of each regular session.
Present law requires the Joint Legislative Committee on Capital Outlay (JLCCO) to make
recommendations to the commissioner concerning nonstate entity projects to be granted lines of
credit. Further requires the commissioner to submit the list of projects to be recommended for lines
of credit to the JLCCO a minimum of five days prior to submission of the list to the State Bond
Commission (SBC).
Proposed law changes present law by requiring the commissioner to make recommendations to the
House Committee on Ways and Means and the Senate Committee on Revenue and Fiscal Affairs
(committees) concerning state and nonstate entity projects to be recommended for lines of credit.
Further requires the commissioner to submit the list of recommendations to the committees no later
than 15 days prior to the meeting date of the SBC in which the lines of credit are to be considered
for funding.
Proposed law requires the committees to make final recommendations by either approving the list
of recommendations or making changes to the list. Only projects which receive approval from the
committees can be submitted to the SBC for consideration of funding.
Proposed law requires the division of administration to include an estimate of debt service costs
associated with the sale of debt for the total project cost for each project presented to the SBC for
approval of a general obligation bond cash line of credit.
Applicable to the funding of all nonstate entity projects included in the capital outlay budget for
fiscal years commencing on or after July 1, 2024.
Effective July 1, 2024.
(Amends R.S. 39:122) Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Ways and Means to the original
bill:
1. Change the applicability and effective date for the provisions of proposed law from July
1, 2023, to July 1, 2024.