Prohibits awards or procurements with individuals convicted of certain felony crimes. (7/1/12) (EG NO IMPACT See Note)
Impact
If passed, SB 464 will impact the existing laws on public contracts in Louisiana by consolidating relevant statutes regarding the prohibition of contracts with convicted individuals. It will repeal previous provisions that allowed for different interpretations and applications under various statutes. Additionally, while this bill does not impose a requirement for criminal background checks on contractors, it mandates that if any allegations of such convictions arise, evidence must be provided to substantiate these claims. This change aims to alleviate the ambiguity in the current law regarding contract awards.
Summary
Senate Bill 464, introduced by Senator Cortez, aims to reform procurement processes in Louisiana by prohibiting public contracts from being awarded to businesses where any individual with a significant ownership stake (5% or more) has been convicted of certain felony crimes. The bill establishes the authority for public entities to reject the lowest bids based on such convictions pertaining to the solicitation or execution of contracts. The intent of the legislation is to enhance the integrity of public contracts and ensure that those involved in the procurement process are held to certain ethical standards.
Sentiment
The legislative sentiment around SB 464 appears to be largely supportive, as indicated by the unanimous House voting outcome (92-0) during its final passage. Proponents of the bill believe it is a necessary step towards ensuring ethical practices in public contracting, championing the idea that public funds should not benefit those with a history of felony convictions relevant to their business operations. However, some concerns may arise regarding the potential unintended consequences such as difficulties for businesses with formerly convicted owners to compete fairly in public contracts.
Contention
Notable points of contention regarding SB 464 may center around the responsibility placed on public entities to investigate allegations of felony convictions. Critics could argue that while the bill aims to maintain ethical standards, it might discourage some businesses from participating in public contracts due to fears of unsubstantiated claims. Furthermore, concerns may also be raised regarding the fairness of penalizing businesses for the actions of individual owners rather than the company as a whole. The debate reflects broader issues of accountability versus opportunity in business practices, particularly for those with criminal backgrounds seeking to reintegrate into society.
Provides relative to the merging of the Professional, Personal, Consulting and Social Services Procurement Code with the Louisiana Procurement Code. (See Act) (EN SEE FISC NOTE GF EX See Note)