RÉSUMÉ DIGEST
ACT 8 (HB 5) 2024 Third Extraordinary Session Bacala
New law requires each public school system to provide a salary increase, plus any associated
retirement costs, of at least $2,000 for certificated personnel and at least $1,000 for
noncertificated personnel that shall be applied beginning with the 2025-2026 school year.
Requires each school system to fund the increase and retirement costs using the net savings
realized by the system from the reduction in its employer contribution rate for FY 2025-2026,
attributable to the state's payment of certain unfunded accrued liability of the Teachers'
Retirement System of La. (TRSL) as provided in proposed constitutional amendment (Act
No. 1 of the 2024 3ES).
New law specifies that personnel shall receive the increase if the position is based on the
staffing data submitted to the state Dept. of Education (Dept.) as of Oct. 1st and provides
specific codes as listed in State Bd. of Elementary and Secondary Education rules for
personnel in positions eligible for the increase. Requires each school system to place the
increases on its salary schedule and provides that the increases shall not supplant or offset
compensation to which personnel were entitled prior to the enactment of new law.
New law provides that if the amount of the net savings realized by a school system is
insufficient to fully fund the salary increases in the amounts specified in new law, plus
retirement costs, the school system is not required to provide the increases and costs in
excess of the net savings amount. Provides that the remaining amount necessary to fully
fund such salary increases and costs shall be provided for in the minimum foundation
program (MFP) formula.
New law provides that if the amount of net savings realized by a school system is in excess
of the amount needed to fully fund the salary increases in the amounts specified in new law,
plus retirement costs, the school system shall only expend such excess savings on the
following:
(1)Employing certain personnel in critical shortage areas.
(2)Employing personnel for summer enrichment programs.
(3)Early childhood education programs for at-risk children.
(4)School security enhancements.
New law requires each school system to provide an annual report regarding the
implementation of new law and compliance with new law and requires the Dept. to provide
an annual report to the House and Senate education committees relative to such compliance.
Requires school systems that do not comply with new law to appear before the committees.
New law provides that for new law purposes:
(1)"Personnel" means persons employed in the positions for which an across-the-board
pay raise was proposed in the FY 2023-2024 MFP formula for that fiscal year and for
which a stipend was provided for FY 2024-2025 in Act No. 4 of the 2024 RS (the
employees in positions identified by the aforementioned codes).
(2)"Public school system" means any city, parish, or other local public school board; any
charter school; or any other elementary or secondary school governing authority that
participates in TRSL.
Effective if and when the proposed amendment of Article VII of the Constitution of La.
contained in Act No. 1 of the 2024 3ES of the legislature is adopted at a statewide election
and becomes effective.
(Adds R.S. 17:418.1 and 3996(B)(89))