HLS 25RS-179 ENGROSSED 2025 Regular Session HOUSE BILL NO. 381 BY REPRESENTATIVE BRASS Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. CAPITAL OUTLAY: Increases the population limitation of municipalities for purposes of eligibility for a waiver of the matching funds requirement for capital outlay projects 1 AN ACT 2To amend and reenact R.S. 39:112(E)(2)(e)(i)(introductory paragraph), relative to capital 3 outlay; to provide for requirements for the waiver of matching funds for certain 4 nonstate capital outlay projects; to increase the population threshold under which a 5 municipality may qualify for a waiver; to provide for applicability; to provide for an 6 effective date; and to provide for related matters. 7Be it enacted by the Legislature of Louisiana: 8 Section 1. R.S. 39:112(E)(2)(e)(i)(introductory paragraph) is hereby amended and 9reenacted to read as follows: 10 ยง112. Capital Outlay Act 11 * * * 12 E. 13 * * * 14 (2) Nonstate entity projects shall require a match of not less than twenty-five 15 percent of the total project cost except: 16 * * * 17 (e)(i) The division of administration may, at its discretion, waive the entire 18 match or a portion thereof for an applicant project undertaken by a municipality with 19 a population of less than six nine thousand five hundred or a parish with a population Page 1 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-179 ENGROSSED HB NO. 381 1 of twelve thousand or less, which municipality or parish has demonstrated its 2 inability to provide a local match. In determining the population of a municipality 3 or parish for purposes of the waiver authorized by this Subparagraph, the calculation 4 of the municipality's or parish's population shall exclude the number of correctional 5 facility inmates within the municipality or parish who are committed to the custody 6 of a federal, state, or local corrections or law enforcement agency. The division of 7 administration shall determine which municipalities and parishes meet the 8 population-based qualifications established in this Subparagraph. A municipality or 9 parish shall demonstrate its inability to provide a local match by submitting to the 10 division of administration: 11 * * * 12 Section 2. The provisions of this Act shall apply to the funding of all projects 13included in the capital outlay budget for fiscal years commencing on or after July 1, 2025. 14 Section 3. This Act shall become effective on July 1, 2025. 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 381 Engrossed 2025 Regular Session Brass Abstract: Increases the population threshold from 6,000 to 9,500 for a municipality to qualify for waiver of the matching funds requirement for capital outlay projects. Present law requires the legislature to enact a capital outlay bill which includes appropriations from specified sources, including bond proceeds, to be expended during the ensuing fiscal year for capital projects as defined in present law. Further requires nonstate entity capital outlay projects to have a match of not less than 25% of the total project cost, but provides for certain exceptions to this match requirement. Proposed law retains present law. Present law authorizes the division of administration, at its discretion, to waive all or a portion of the 25% match requirement for a nonstate entity project undertaken by a municipality with a population of less than 6,000 or a parish with a population of 12,000 or less which has demonstrated, through a procedure established in present law, its inability to provide a local match. Proposed law retains present law but increases the threshold in which a municipality may be eligible for the local match waiver for capital outlay projects from 6,000 to 9,500. Page 2 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-179 ENGROSSED HB NO. 381 Proposed law is applicable to the funding of projects included in the capital outlay budget for fiscal years commencing on or after July 1, 2025. Effective July 1, 2025. (Amends R.S. 39:112(E)(2)(e)(i)(intro. para.)) Page 3 of 3 CODING: Words in struck through type are deletions from existing law; words underscored are additions.