The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by Senate Legislative Services. The keyword,
summary, 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)]
DIGEST
SB 184 Original 2025 Regular Session Cloud
Present law provides that any nongovernmental entity which is neither a budget unit nor a political
subdivision of the state that is requesting funding from the state shall transmit certain information
to the legislature in an online, searchable database.
Proposed law retains present law and adds further requirements that entities provide their most recent
financial audit, a sworn statement of public purpose that includes a clearly stated mission that aligns
with the state constitution and laws, and evidence that they perform a specific and critical
government function that state or local governments are unable to perform.
Proposed law also requires that entities submit certificates of compliance prior to the release of any
funds.
Proposed law further provides for requirements necessary for a certificate of compliance, which
include the entity to maintain a physical office in Louisiana, register as a nonprofit with the secretary
of state, and operate continuously for 12 months prior to applying for state funds; that the entity's
administrative costs do not exceed 15% of total expenditures; and that the entity complies with all
reporting requirements and information requests of the state treasurer, the division of administration,
the legislative auditor, and the office of the state inspector general.
Proposed law provides for definitions of "report" and "measurable outcomes".
Proposed law requires each entity to submit a report to the legislature containing measurable
outcomes and benchmarks of funding objectives within six months after the close of the fiscal year
in which appropriated funds have been expended and prior to receiving any other appropriations.
Proposed law states that any entity domiciled in a judicial district that is not in compliance with
provisions relative to Children and Youth Services Advisory Boards shall not be eligible to apply
for or receive state funding.
Proposed law states that any entity receiving state funding for truancy, mental health, or diversion
shall also submit its report to the Children and Youth Services Advisory Board located in its
domicile no later than December 31 of the year in which funding was received; and that such boards
shall compile the information into a report and submit it to the Children's Cabinet no later than
February 1 of each calendar year.
Proposed law provides that any entity that fails to submit any required report shall be ineligible to receive any appropriation or state funding for five years.
Present law provides requirements for disclosure if elected officials or immediate family members
who received compensation from or held ownership of any entity that was requesting to receive
funding or if the entity with elected officials and immediate family members had an existing contract
with the state or other governmental agency.
Proposed law repeals present law and prohibits any public official, public employee, or immediate
family member from serving in a decision-making or compensated role in an entity receiving
appropriated funds. All potential conflicts shall be disclosed in writing as part of the funding request.
Proposed law prohibits a nongovernmental entity from using state funds, directly or indirectly, for
lobbying, including employee time funded by the state, or contracting with third-party lobbyists.
Proposed law provides that knowingly submitting false or misleading information in any required
report or certification shall constitute a criminal violation of present law and may result in civil
penalties, clawback of funds, and disqualification from future appropriations for five years.
Proposed law requires any entity that receives an appropriation to be audited by the legislative
auditor; further requires the entity to comply with any information requests from the legislative
auditor; and provides that failure to comply shall result in an audit finding of noncompliance.
Proposed law provides that beginning in FY 2025-2026 and each fiscal year thereafter, the state
treasurer shall report annually to the legislature on entities that have been appropriated state monies
on whether the cooperative endeavor agreements were completed in the original time frame
contemplated in the agreement.
Proposed law requires the treasurer to create an online, searchable database of each nongovernmental
entity that has been appropriated state monies which includes the name of the entity, the entity's
physical location, the amount it was appropriated, the stated purpose of the appropriation, the date
when the entity originally signed a cooperative endeavor agreement with the state, the current status
of the funding, and whether or not the entity completed the purposes of the agreement.
Proposed law requires that all reports and audits submitted pursuant to proposed law shall be made
publicly available through the state treasurer's online, searchable database within 30 days of receipt.
Proposed law prohibits a nongovernmental entity from receiving state appropriations for more than
three consecutive fiscal years without undergoing a performance-based reapplication and review
process.
Proposed law provides that all state agencies that distribute, appropriate, or award grants to
nongovernmental entities shall comply with the requirements set forth in proposed law and shall
submit all reports and documentation as prescribed herein.
Proposed law provides that this Act shall be known as the "Transparent Responsible Use of State Tax-dollars Act" or "T.R.U.S.T. Act".
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 39:51.1(B)(7) and (8); adds R.S. 39:51.1(I) and (J) and 51.2; repeals R.S.
39:51.1(B)(10) and (11))