Louisiana House Bill HB437

Louisiana 2014 Regular Session

• Introduced: 3/10/14
• Refer: 3/10/14
• Report Pass: 4/7/14
• Engrossed: 4/15/14
• Refer: 4/16/14
• Report Pass: 5/12/14
• Enrolled: 5/27/14
• Vetoed: 6/18/14

Caption

Requires prior approval of the Joint Legislative Committee on the Budget of requests for proposals and contracts over a specific dollar amount (EN SEE FISC NOTE GF EX See Note)

Impact

The bill directly impacts the procurement process related to large contracts within the state, establishing a requirement that all such contracts receive legislative approval before any advertisement for proposals. This requirement aims to prevent the fragmentation of large contracts into smaller ones to evade scrutiny, thereby enforcing adherence to accountability measures on significant expenditures. The bill is designed to assure taxpayers that large allocations are justified and properly vetted.

Summary

House Bill 437 aims to enhance the oversight of state contracts by mandating prior approval from the Joint Legislative Committee on the Budget for contracts related to professional, personal, consulting, or social services that amount to one hundred million dollars or more. This legislative move is intended to ensure that substantial financial commitments made by the state undergo rigorous scrutiny to mitigate the risk of financial mismanagement and promote transparency in government spending.

Sentiment

The sentiment surrounding HB 437 appears to be generally positive among lawmakers concerned with fiscal responsibility and transparency. The legislative discussions reflected a consensus on the need for increased oversight in large public contracts to avoid waste and potential fraud. However, there may be concerns regarding the potential for bureaucratic delays that could arise from the additional requirements imposed by the bill, which some critics may see as a hindrance to government efficiency.

Contention

Despite the overarching support for fiscal oversight, there are notable contentions regarding the possible implications of the bill on the efficiency of governmental operations. Critics may express concerns that requiring legislative approval for large contracts could complicate the procurement process, leading to delays in essential service provisions or government projects. Striking a balance between oversight and operational efficiency is likely to be a focal point of ongoing discussions surrounding the bill's implementation.