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 Reengrossed 2023 Regular Session Frieman
Abstract: Requires the Joint Legislative Committee on Capital Outlay (JLCCO) 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 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 JLCCO a minimum of five days prior to submission
of the list to the State Bond Commission (SBC).
Proposed law requires the commissioner to submit the list of recommendations to JLCCO no later
than 15 days prior to submission of the line of credit recommendation list to SBC for a meeting at
which lines of credit are to be considered.
Proposed law requires JLCCO to make final recommendations by either approving the list of
recommendations or making changes to the list. Only projects which receive approval from JLCCO
can be submitted to SBC for consideration of funding.
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. The House Floor Amendments to the engrossed bill:
1. Change the committee that the commissioner of administration is required to make line
of credit recommendations to from the House Committee on Ways and Means and the
Senate Committee on Revenue and Fiscal Affairs to JLCCO.
2. Require the commissioner to submit the list of recommendations to JLCCO no later than
15 days prior to submission of the line of credit recommendation list to SBC rather than
no later than 15 days prior to the meeting date of SBC in which the lines of credit are to
be considered for funding.
3. Remove proposed law requirement that the division of administration include an estimate
of debt service costs associated with the sale of debt for the total project cost for each
project presented to SBC for approval of a general obligation bond cash line of credit.