Provides for limitations on appropriations to nongovernmental entities (EG NO IMPACT See Note)
Summary
HB 309 changes Louisiana law governing how the state may appropriate money to nongovernmental entities. The bill prohibits the General Appropriation Bill, the capital outlay bill, or any appropriation bill that also funds a budget unit or political subdivision from including an appropriation for a nongovernmental entity that is neither a budget unit nor a political subdivision of the state. In effect, it requires funding for such entities to be separated out rather than included alongside broader state or local appropriations.
The bill also keeps and updates the disclosure process for nongovernmental entities seeking state funding. Those entities must still submit specified information to the legislative fiscal committees by November 1 each year, and late requests may be considered only if approved by the Joint Legislative Committee on the Budget or the Joint Legislative Committee on Capital Outlay before the legislative filing deadline, with all required information submitted before approval. The act is set to take effect July 1, 2025.
Impact
HB 309 amends R.S. 39:51.1 and adds R.S. 39:51(H), narrowing the types of appropriation bills that may include funding for nongovernmental entities. It removes the prior authorization for NGO funding to appear in the General Appropriation Bill, capital outlay bill, or supplemental appropriation bills when those bills also contain appropriations for state budget units or political subdivisions. The practical effect is to require more segregated treatment of NGO appropriations and to reinforce legislative review and transparency requirements for such requests.
Sentiment
The bill appears to have received generally favorable support in the House, passing final passage by a vote of 72 yeas to 22 nays on June 2, 2025. The available record does not include committee testimony or floor debate, so the specific arguments for and against the bill are not documented here. The vote margin suggests majority support, but not unanimity, indicating some members had reservations about the policy change.
Contention
The main point of contention is likely the restriction on how nongovernmental entity funding can be packaged in appropriation bills. Supporters may view the bill as improving transparency, accountability, and separation between government spending and private or nonprofit recipients, while opponents may see it as limiting flexibility in the budget process or making it harder for NGOs to receive state support. Another possible issue is the added procedural burden on entities seeking funding, since the bill preserves and emphasizes detailed reporting and timing requirements.