LouisianaHB 12025 Regular SessionHouseWALLET

APPROPRIATIONS: Provides for the ordinary operating expenses of state government for Fiscal Year 2025-2026

Sponsored By: Jack McFarland (Republican)

Signed by Governor

FinanceAppropriations

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Bill Overview

Analyzed Economic Effects

79 provisions identified: 57 benefits, 13 costs, 9 mixed.

Monthly supplemental pay for public safety workers

Beginning July 1, 2025, eligible municipal police officers, firefighters, and deputy sheriffs get $600 monthly in supplemental pay. That totals $7,200 for 12 eligible months. Eligible constables and justices of the peace get $120 monthly, or $1,440 for 12 eligible months. The law provides about $147.05 million for these payments in fiscal year 2025–2026, up from $145.32 million.

Conditional transfers fund roads and infrastructure

Beginning July 1, 2025, the law directs $1.2 billion in stabilization fund transfers, contingent on HB 461's enactment. Transfers include $709 million for transportation infrastructure and about $272.74 million for economic development initiatives. Water Sector Fund transfers total $70 million for Phase II and $5 million for emergencies. Other transfers provide about $22.95 million for criminal justice and first responders and $43.15 million for campus revitalization. Modernization and security receive about $67.16 million, while voting technology receives $10 million.

Funding for Medicaid care and providers

For fiscal year 2025–2026, the law provides about $1.61 billion in Medicaid directed payments to hospitals and physicians. Hospitals receive about $1.015 billion, and physicians receive about $594.61 million. Separate appropriations provide about $39.67 million for managed care and $8.38 million for dental managed care. Federal funds supply about $38.11 million and $8.12 million, respectively; the Louisiana Medical Assistance Trust Fund supplies the rest. These payments support care programs and providers, not cash payments to patients.

More funding for Medicaid provider payments

Louisiana provides about $18.98 billion for Medical Vendor Payments in fiscal year 2025–2026. That is about $1.60 billion more than the prior year's $17.38 billion. The money covers private and public providers, Medicare buy-ins and supplements, and unpaid care. It does not set a payment for each enrollee.

Public college systems receive operating funds

For FY 2025–2026, the law provides about $514.63 million to the Board of Regents. It provides about $1.362 billion to the Louisiana State University Board and $181.60 million to the Southern University Board. The University of Louisiana System receives $1.002551381 billion: $114.950499 million for required spending and $887.600882 million for discretionary spending. Community and technical colleges receive $344.103044 million: $50.193334 million for required spending and $293.90971 million for discretionary spending. System boards may shift school allocations only as authorized by law, without changing their system's total appropriation.

Health premium support for state workers

When an Office of Group Benefits cost-assessment allocation takes effect during the fiscal year, budget units must fund premium contributions. They must pay at least 75% of total premiums for enrolled active employees and Medicare retirees in the basic indemnity program. Agencies may also use salary-and-benefit appropriations for employee quit-smoking programs, including medicine and counseling. Each agency decides whether to offer that program.

More Medicaid home-care slots and support

The law funds 750 Community Choice Waiver slots for people who qualify in fiscal year 2025–2026. The roughly $9.03 million includes $2.90 million from the Community Options Waiver Fund and $6.13 million federally. The health department must also add support coordination to Medicaid home- and community-based waiver programs, subject to federal approval. Funding these slots does not guarantee a slot for every eligible person.

More funding for homeowner grants

For FY 2025–2026, the law provides $10 million for Louisiana Fortify Homes grants to homeowners. The Department of Insurance issues the grants through its Market Compliance Program. This appropriation does not set individual grant amounts or say who qualifies.

Pay raises funded for state workers

For FY 2025–2026, the law provides $5.960426 million in state general funds for probation and parole officer raises. It also provides $2.82547 million for salary increases in the Office of Motor Vehicles Licensing Program. The licensing money comes from fees and agency-generated revenue and supports employee recruitment and retention. Neither provision states each worker's raise.

School employees receive a pay stipend

The law provides $199.467535 million for school employee stipends and related employer retirement contributions. It covers the same positions and follows the same payment rules as the FY 2024–2025 stipend. School districts must pay eligible employees by December 15, 2025. This provision does not state the amount per employee.

Some health services are not guaranteed

The law says the health department is not required to provide services described in R.S. 46:2116 and related sections. It may provide them using other available revenue. Extra funding for state plan personal assistance services may serve as the state match when federal funds are available. The provision guarantees neither source of money.

State purchasing and personnel budgets shrink

The commissioner of administration must cut direct State General Fund acquisition budgets by about $91.26 million. The cut excludes Schedule 8 purchases financed through the Installment Purchasing Market or Louisiana Equipment Acquisition Fund. The commissioner must also cut personnel-related funding by $10 million. The law does not identify which purchases, jobs, or services absorb these cuts.

Medicaid spending controls can limit services

The health department must control spending and may use prior approval, service limits, or cost sharing allowed by federal law. It can negotiate extra drug rebates and limit brand-name drugs on Medicaid's preferred list. It must preserve access to medically necessary medicines. The department must also continue cost controls intended to keep developmental disability home- and community-based waivers available. These provisions do not specify which services or costs change for each person.

Employee appeal attorney payments are capped

Agencies may use professional-services funds to pay attorney fees ordered after a successful employee civil service appeal. The Civil Service Commission or its designated referee must order the payment. Each individual expenditure is capped at $1,500.

Dental funding for special-needs children

The law provides about $9.34 million for a special-needs children's dental program in fiscal year 2025–2026. This includes $3 million in state funds and about $6.34 million in federal funds. The money supports dental care, but the provision does not set a payment for each family.

Funding for perinatal mental health coverage

For fiscal year 2025–2026, the law provides $180,000 to the Department of Insurance for perinatal behavioral health coverage. The funding concerns qualified health plans sold through the health insurance exchange. It depends on enactment of SB 42 of the 2025 Regular Session. The appropriation does not set an individual payment amount.

Higher Medicaid payments for assistive devices

Louisiana provides about $6.04 million to raise Medicaid payment rates for orthotic and prosthetic devices and services. The funding brings those rates to Medicare levels for fiscal year 2025–2026. This changes provider payments, not a cash benefit paid to patients.

Nursing and family support for disabilities

For fiscal year 2025–2026, the law funds about $7.44 million for professional consulting nursing services in developmental disability waiver programs. This includes about $2.39 million from the Disability Services Fund and $5.05 million in federal funds. Adding these services requires approval from the Centers for Medicare and Medicaid Services. The law also provides $250,000 through the Developmental Disabilities Council for Families Helping Families. Neither appropriation sets a cash payment for an individual household.

Funding supports scholarships and college savings

The law allows up to $2.9 million from student financial assistance funds to support START college savings accounts. The money can pay earnings enhancements and interest on those enhancements under START law and rules. It also provides $3.379202 million for Taylor Opportunity Program for Students scholarships, contingent on enactment of House Bill 77. Another $20,000 in fees and agency-generated revenue funds donor-specific scholarships. This funding does not set individual award or account enhancement amounts; House Bill 77 is from the 2025 Regular Session.

Rehabilitation services receive state and federal funds

For FY 2025–2026, Louisiana Rehabilitation Services receives $4 million in state funds and $14.76 million in federal funds. The money goes through the Workforce Commission's Office of Workforce Development. It supports rehabilitation services but does not set individual eligibility details or payment amounts.

State raises cannot replace local pay

A pay raise or supplement provided by this law cannot replace local or parish pay that covered personnel ordinarily receive. This protection covers both regular salary and local salary supplements.

Supplemental pay covers partial final months

Beginning July 1, 2025, eligible supplemental-pay recipients retain partial-month pay when terminated before the month ends. Payment is based on the number of working days employed that month. The provision does not state a dollar rate for calculating the payment.

Budget funds cannot require contact tracing

Agencies cannot use this law's funds for contact tracing that requires individuals or businesses to participate. The restriction also covers money later authorized through a BA-7 budget adjustment. It does not ban voluntary contact tracing or all contact tracing programs.

Corrections receives funding for replacement buses

For FY 2025–2026, Corrections Services receives $2.8952 million for replacement buses. The money comes through state general fund interagency transfers from the Department of Environmental Quality. It supports agency transportation needs rather than direct household benefits.

Funding for Bridge and Grace Houses

Beginning July 1, 2025, the law provides $100,000 to Bridge House and Grace House. The provision names the recipients but does not specify funded services or household eligibility.

Funding for contracted youth services

The law provides about $1.51 million in state general funds to the Youth Services Program for contract service providers. The provision does not name the services funded or establish individual eligibility rules.

Funding for crime labs and enforcement

For fiscal year 2025–2026, the law provides $3 million for Corrections Services' LeoTech Verus software service. It provides $1 million each for the North Louisiana and Acadiana criminalistics laboratories. State Police receive $1.8 million for expenses related to recapturing fugitive offenders. These four allocations use the Criminal Justice and First Responder Fund and depend on enactment of 2025 HB 461. Separately, beginning July 1, 2025, East Carroll Parish Sheriff's Office receives $50,000 in state general funds for expenses.

Funding for Louisiana outdoor conservation

For fiscal year 2025–2026, the law provides $1 million for the Louisiana Outdoors Forever Program. The money comes from the Louisiana Outdoors Forever Fund through the Department of Wildlife and Fisheries. It supports conservation work, not household payments.

Funding supports Gulf Coast passenger trains

For FY 2025–2026, the law provides $503,808 in state general funds for the Gulf Coast Passenger Train. The route connects New Orleans and Mobile, Alabama. The money goes through the Office of Multimodal Commerce and does not create an individual fare subsidy.

Funding supports public defender contractor services

Beginning July 1, 2025, the law directs a $4.160105 million transfer from state general funds to the Overcollections Fund. It pays for extra State Public Defender contractor services related to changes in the post-conviction relief process. The transfer depends on enactment of House Bill 675 from the 2025 Regular Session. This funding provision does not itself create a household payment.

Funding supports road repairs and mowing

For FY 2025–2026, the law allocates $63 million for extra district road maintenance and $4 million for extra mowing. Both use the Louisiana Transportation Infrastructure Fund and depend on enactment of House Bill 461 from the 2025 Regular Session. State general funds provide $1 million for rut repairs, asphalt repairs, and drainage in Allen, Avoyelles, and Evangeline parishes. Another $110,000 funds resurfacing on LA 677, LA 3156, or other Iberia Parish routes. Another $460,000 covers LA 319 from LA 83 to the maintenance endpoint, or other St. Mary Parish routes.

Funding supports soil and water conservation

For FY 2025–2026, the law provides $209,000 in state general funds for Soil and Water Conservation Program operations. The money funds the program rather than direct household payments.

Higher payments for local adult jails

The law provides $17.4 million for a $3 increase in the daily payment for housing adults in state custody. The Local Housing of Adult Offenders Program pays sheriffs and local governing authorities that house these adults. This is funding for local facilities, not a payment to households.

More funding for local juvenile housing

For FY 2025–2026, local housing for juveniles in state custody receives about $4.07 million, up from $2.76 million. The law provides about $1.69 million for youth housing and $2.31 million for contract service providers. The program supports local jail space for juveniles awaiting transfer to Corrections Services.

State funding for child welfare operations

For fiscal year 2025–2026, the law provides $5 million in state general funds for child welfare operations. The money goes to the Department of Children and Family Services' Division of Child Welfare. It supports agency operations without creating a household payment or changing eligibility.

State funding for domestic violence shelters

For fiscal year 2025–2026, the law provides $7 million in state general funds for domestic violence shelters statewide. The Department of Children and Family Services' Division of Family Support receives the funding. The money supports shelters, not direct household payments.

Funding supports imported seafood safety testing

For FY 2025–2026, the law provides $5,300 for imported seafood testing through Animal Health and Food Safety. This money comes from the Department of Culture, Recreation and Tourism and is removed upon enactment of HB 652. The law also provides $240,608 and one authorized position for testing through Agricultural and Environmental Sciences, contingent on HB 652's enactment. That funding comes from the Imported Seafood Safety Fund.

Funding for Medicaid enrollment technology

For fiscal year 2025–2026, the law provides about $33.46 million for Medicaid eligibility and enrollment technology. That includes about $8.36 million in state general funds and $25.09 million in federal funds. Another $5 million from the Modernization and Security Fund supports a platform for Medicaid operations and eligibility decisions. That $5 million allocation depends on enactment of HB 461 of the 2025 Regular Session. These provisions fund systems, not changes to who qualifies for Medicaid.

More funding for Lallie Kemp hospital

Lallie Kemp Regional Medical Center receives about $73.59 million for FY 2025–2026, up from $72.51 million. The increase is about $1.08 million. The money supports inpatient, outpatient, and related hospital care in Independence.

More funding for regional care services

For FY 2025–2026, Florida Parishes Human Services Authority receives about $28.16 million, an increase of $154,534. It serves Livingston, St. Helena, St. Tammany, Tangipahoa, and Washington parishes. Metropolitan Human Services District receives about $31.22 million, an increase of $203,366. It serves Orleans, Plaquemines, and St. Bernard through behavioral health and developmental disability services. These appropriations do not set individual payments.

Protected funding for poison control services

The law provides about $1.23 million in state general funds to the Louisiana Poison Control Center. This money stays outside the Board of Regents' funding distribution plan and formula. LSU Health Sciences Center-Shreveport cannot reduce the allocation.

School funding cuts need legislative approval

The governor can reduce this law's Minimum Foundation Program school funding only with written legislative consent. Approval must come from two-thirds of the elected members of each legislative house. This protects the appropriation from cuts made by the governor alone.

State funding supports children's school lunches

Public school lunch programs statewide must receive at least $5.041306 million in state funds. This meets the National School Lunch Program's state matching requirement. Local education agencies must send the money to lunch programs each month. The provision supports meal services rather than payments to families.

Universities receive funding for youth programs

The University of New Orleans receives $1.95 million in state general funds for a youth recreation partnership with community partners. McNeese State University receives $150,000 in state general funds for the Governor's Program for Gifted Children. The provisions fund youth programs but do not set participation rules or individual payment amounts.

University support for military and responders

For FY 2025–2026, Northwestern State University receives $2 million in state general funds for military and first responder support. The funding supports university-led services. The provision does not define who qualifies or establish direct household payments.

Agencies can keep unused prior-year money

The law lets several agencies carry forward and spend specified prior-year revenue. State Police can retain fees and revenue from federal and state drug and gaming asset forfeitures. The Fire Marshal can retain transfers, fees, and self-generated revenue; Motor Vehicles can retain fees and self-generated revenue. Alcohol and Tobacco Control and Charitable Gaming can retain self-generated revenue. Agencies can also spend unused prior-year performance-and-efficiency rewards, following the resolution granting each reward.

Funding to modernize motor vehicle technology

The law provides $24.1 million from the Modernization and Security Fund for Office of Motor Vehicles licensing technology projects. The funding depends on enactment of HB 461 of the 2025 Regular Session. It does not specify changes to licensing fees or guarantee service improvements.

Treasury transfers fund designated state programs

Beginning July 1, 2025, the treasurer transfers $47.109668 million to the Public Defender Fund. Transfers also include $1.1 million for Emergency Response, $1.48 million for Innocence Compensation, and $19,640 for the Medicaid Trust Fund for the Elderly. The Cybersecurity Talent Initiative Fund receives $1 million, and the M.J. Foster Promise Program Fund receives $10.5 million. The Higher Education Initiatives Fund receives $5 million, and the Self-Insurance Fund receives $14.939752 million. These transfers fund state accounts without directly changing household payments or eligibility.

Funding for hospice and specialized care

For fiscal year 2025–2026, federal funds provide about $22.66 million for Medicaid hospice and $88.23 million for nursing-home payments. The Central Louisiana Supports and Services Center receives about $1.02 million: $326,593 in state funds and $690,514 federally. Inpatient psychiatric hospitals with an academic training mission receive $2 million for unpaid care. That includes $643,400 in state funds and about $1.36 million federally. These are provider payments, not cash benefits for households.

Higher payments for substance use treatment

For FY 2025–2026, the law provides about $30.67 million in federal funds for higher substance use treatment payments. The money raises reimbursement support for providers of specialized behavioral health services. The provision does not set a rate increase for each service or pay patients directly.

College boards retain authorized tuition-increase revenue

Public college boards' appropriations include revenue from tuition and mandatory attendance fee increases authorized by a separate 2025 session law. This applies only to revenue generated during fiscal year 2025–2026. This budget law does not itself raise tuition or fees.

Community colleges receive targeted funding adjustments

The law provides $2.02 million in fees and agency-generated revenue to address community college enrollment changes. Baton Rouge Community College receives $500,000, Delgado receives $1 million, and L.E. Fletcher Technical Community College receives $520,000. SOWELA Technical Community College also receives $25,515 from the Calcasieu Parish Fund. Delgado receives another $74,028 from the Orleans Parish Excellence Fund. Those two parish-fund allocations align funding with the latest state revenue forecast.

Funding for health research and training

For fiscal year 2025–2026, Pennington Biomedical Research Center receives $1 million in state general funds to offset federal funding reductions. LSU health sciences centers in New Orleans and Shreveport each receive $1.5 million. Shreveport also receives $2.5 million in state general funds for research at its St. Vincent campus. LSU-A&M College receives $900,000 in state general funds for Health Affairs initiatives supporting Louisiana's health workforce and education pipeline. These appropriations do not specify individual grants or change health coverage eligibility.

Funding for LSU graduate assistantships

For fiscal year 2025–2026, the law provides $9 million to LSU-A&M College for graduate assistantships. The money comes from the Higher Education Campus Revitalization Fund. Funding depends on enactment of HB 461 of the 2025 Regular Session. The law does not state individual awards or how many graduate assistants receive funding.

Funding for Southern University campus programs

For fiscal year 2025–2026, state general funds provide $3 million for Southern University-New Orleans operations. Another $2 million supports its weekend and evening college. Southern University Law Center receives $2.5 million for operations, and Southern University-Shreveport receives $500,000 for operations. Southern University-A&M College also receives $6,395 from the Education Excellence Fund, aligned with the latest state revenue forecast. These appropriations do not set student awards or specify tuition changes.

Funding for university agriculture programs

For fiscal year 2025–2026, the LSU Agricultural Center receives $2.5 million in state general funds for support and extension programs. It also receives $1 million in federal funds for operations. Southern University Agricultural Research and Extension Center receives $2.5 million in state general funds for operations. The appropriations support the centers rather than creating direct household payments.

Funding for university purchases and oversight

For fiscal year 2025–2026, LSU-A&M College receives $3.5 million in state general funds to purchase Copper Crowne. It also receives $450,000 in state general funds for a finance and academic audit of the University of New Orleans. LSU-Shreveport receives $2 million for campus safety and security improvements from the Criminal Justice and First Responder Fund. The safety funding depends on enactment of HB 461 of the 2025 Regular Session. These appropriations do not set student payments or change tuition.

Funding supports campus repairs and debt

The University of New Orleans receives $13.46324 million in state general funds for debt payments in FY 2025–2026. Another $2 million for its debt payments depends on enactment of House Bill 461. Its $3 million for overdue maintenance depends on enactment of both House Bill 461 and Senate Bill 202. The law also allocates $1.25 million for Southeastern Louisiana University infrastructure and security. Delgado receives $1 million each for its maritime training center aquatics facility and culinary building. These last three allocations also depend on House Bill 461; all contingent funds use the Higher Education Campus Revitalization Fund and reference 2025 Regular Session bills.

Library network keeps prior-year funding

Prior-year interagency transfers from LOUIS: The Louisiana Library Network remain available to spend. The law does not state how much money carries forward.

Student loan reserves stay protected

The State Treasurer must invest agency reserve and operating funds from administering the Federal Family Education Loan Program. Investment earnings return to those funds. The money cannot move to the state general fund or support uses barred by the Higher Education Act. Unspent year-end balances stay in agency accounts, but spending them the next year requires an appropriation.

Targeted operating funds support university campuses

For FY 2025–2026, state general funds provide $1 million to Louisiana State University-Eunice through its system board. They also provide $4.5 million for University of Louisiana at Monroe operations and $500,000 for Lafayette campus operations. Grambling State University receives $1.5 million for operations, and Nicholls State University's Maritime Academy receives $600,000 for operations. McNeese State University receives $76,545 from the Calcasieu Parish Fund to match the latest state revenue forecast. These allocations fund institutions rather than direct student payments.

Adult Services Program funding falls

For FY 2025–2026, the commissioner of administration must cut Adult Services Program funding by $2.7 million. The cut applies to money received through transfers from other agencies. The provision does not identify which services or people experience changes.

Less funding for local reentry services

For FY 2025–2026, discretionary funding for local reentry services falls from about $6.65 million to $4.85 million. The $1.8 million cut affects contracts with local sheriffs and private providers. These services support people in state custody housed in local correctional facilities. The law does not specify which services are reduced.

Less funding for state traffic enforcement

For FY 2025–2026, the commissioner of administration must cut State Police Traffic Enforcement Program funding by $25.5 million. The cut applies to direct State General Fund support. The law does not identify which activities or services are reduced.

Less funding for care and disability services

For FY 2025–2026, Jefferson Parish Human Services Authority receives about $20.37 million, down $2.40 million from its prior year-end budget. Capital Area Human Services District receives about $32.18 million, down $1.30 million, for its seven-parish service area. Louisiana Developmental Disabilities Council receives about $2.34 million, down $454,071. The law does not identify specific service cuts or eligibility changes from these lower budgets.

Less funding for medical program administration

Medical Vendor Administration receives about $561.95 million for FY 2025–2026, down from $640.42 million. That is a reduction of about $78.48 million. The money funds Louisiana Department of Health administration of medical-vendor programs. This appropriation alone does not specify changes to anyone's eligibility, coverage, or payments.

Public hospitals must certify payment funding

Non-state public hospitals must certify Medicaid matching funds and qualifying unpaid-care costs to the health department by June 30, 2025. The certifications must satisfy the department. Hospitals missing the deadline cannot receive Medicaid claim or unpaid-care payments until they submit the certifications. The department may exclude hospitals covered by specified alternative-payment or funding arrangements, or the specified city- or town-owned hospital designation change.

Nonpublic school assistance funding dips slightly

Louisiana provides about $20.69 million for nonpublic educational assistance in fiscal year 2025–2026, down $4,091 from the prior year. The money reimburses eligible schools for required services provided during the preceding school year. It also supports eligible schools' lunchroom employee salary supplements, textbook administration, books, and instructional materials.

Local tourism funding falls with earmarks

For FY 2025–2026, dedicated sales tax distributions to listed local funds fall from about $65.50 million to $57.65 million. The law earmarks money for named projects and groups in Richland, Jefferson, Lafayette, St. Mary, and the Shreveport area. Richland allocations to Delhi, Mangham, and Rayville are reduced proportionally when fund revenues fall short. When Jefferson's Convention Center Fund exceeds $1.2 million, at least $1.2 million must go to the specified statutory purposes. Specified remaining Jefferson allocations shrink proportionally during shortfalls; money left after required allocations goes to Alario Center maintenance and improvements.

State funding recipients face spending safeguards

Covered state boards and commissions can spend only money appropriated in this law. Exceptions cover bodies funded solely by private donations, port commissions, levee boards, and professional or trade organizations. Louisiana must also withhold this law's funds from recipients failing or refusing to meet state audit requirements. Withholding does not apply during an extension granted by the legislative auditor or Legislative Audit Advisory Council.

Selected college education-fund allocations shrink

The law reduces selected Support Education in Louisiana First Fund allocations for fiscal year 2025–2026. Southern University loses $50,011 across five campuses and centers; the University of Louisiana System loses $280,476 across nine universities. Community and technical colleges lose $90,916 across 12 colleges, with cuts ranging from $2,585 to $22,527 each. The Louisiana Universities Marine Consortium loses $684 to match the latest revenue forecast. These funding adjustments do not themselves set student charges.

Selected Louisiana State University funding shrinks

For fiscal year 2025–2026, Louisiana State University funding from the Tobacco Tax Health Care Fund falls by $228,190. The cuts are $77,091 for the Agricultural Center and $151,099 for Health Sciences Center-Shreveport. Support Education in Louisiana First Fund allocations also fall by $346,486 across eight university campuses and centers. Those include LSU-A&M, Alexandria, Eunice, Shreveport, both health sciences centers, the Agricultural Center, and Pennington Biomedical Research Center. These are cuts to specific funding sources, not stated tuition or scholarship changes.

New deputies face supplemental-pay eligibility review

Beginning July 1, 2025, a three-member review board oversees deputy sheriff supplemental-pay eligibility. It sets criteria for deputies who become eligible after that date. Deputies already receiving supplemental pay before July 1, 2025, are exempt from the new criteria. The law does not state what those criteria are.

Officials' vehicle purchases face budget review

Most statewide elected officials need Joint Legislative Committee on the Budget approval for personally assigned luxury or full-size state vehicles. They must submit the request before the commissioner of administration authorizes the purchase. The requirement does not apply to the governor or lieutenant governor. Vehicle classifications follow Division of Administration rules or guidelines.

Audit staffing required at larger agencies

Agencies with at least $30 million in appropriations must include internal audit positions in their budget requests. These positions, including a chief audit executive, must fit within each agency's existing staffing structure. The chief auditor must remain independent and have direct, unrestricted access to the agency head. The chief auditor must also certify compliance with the specified Institute of Internal Auditors standards.

Spending safeguards for public fund recipients

Before transfers, covered public and quasi-public recipients outside state budget units must provide an approved comprehensive budget. They must agree in writing to report on spending and goals at least every six months. They also face audits, or agency monitoring and evaluation when funding falls below the legal audit threshold. Unspent money must be returned when project timelines or goals are missed, unless state administration and legislative budget officials approve retention. Exemptions cover certain entities that submitted state budget requests and legally authorized transfers to local governing authorities. Qualifying development or tourism subdivisions in parishes with 245,000–350,000 people are also exempt.

Health agencies gain controlled cash flexibility

During fiscal year 2025–2026, Schedule 09 health budget units can pool cash to avoid shortfalls. The Medical Vendor Program can use specified extra funds collected in 2024–2025, plus its refunds and recoveries. Eligible prior-year money includes transfers, fees, federal funds, and surplus dedicated funds. Spending carried-forward money above appropriations requires express approval from the Division of Administration and the Joint Legislative Committee on the Budget. Other Schedule 09 spending above appropriations needs both bodies' approval unless another law permits it.

Agencies must fund retirement cost increases

State budget units must use their appropriations to pay qualifying public retirement cost allocations or increases. The Public Retirement Systems' Actuarial Committee must recommend them through an adopted valuation. That valuation must be submitted to the Joint Legislative Committee on the Budget and both legislative retirement committees. The requirement covers allocations or increases effective before or during the fiscal year. The law states no dollar amount or individual pension increase.

Scholarship funding shifts to dedicated fund

The law shifts about $4.20 million in TOPS scholarship funding from direct general-fund support to the TOPS Fund. The dedicated-fund increase and general-fund reduction are equal, matching the latest state revenue forecast. The provision does not specify a change to individual scholarship awards.

Sponsors & Cosponsors

Sponsor

  • Jack McFarland

    Republican • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 261 • No: 1

House vote • 6/12/2025

Read by title, roll called, yeas 100, nays 1, Senate amendments concurred in.

Yes: 100 • No: 1

Senate vote • 6/9/2025

Rules suspended. Senate floor amendments read and adopted. Read by title, passed by a vote of 39 yeas and 0 nays, and ordered returned to the House. Motion to reconsider tabled.

Yes: 39 • No: 0

House vote • 5/15/2025

Read third time by title, roll called on final passage, yeas 99, nays 0. Finally passed, title adopted, ordered to the Senate.

Yes: 99 • No: 0

House vote • 5/12/2025

Reported with amendments

Yes: 23 • No: 0

Actions Timeline

  1. Signed by the Governor. Becomes Act No. 1.

    6/20/2025House
  2. Sent to the Governor for executive approval.

    6/16/2025House
  3. Called from the calendar.

    6/12/2025House
  4. Read by title, roll called, yeas 100, nays 1, Senate amendments concurred in.

    6/12/2025House
  5. Enrolled and signed by the Speaker of the House.

    6/12/2025House
  6. Signed by the President of the Senate.

    6/12/2025Senate
  7. Read by title, returned to the calendar.

    6/10/2025House
  8. Notice given.

    6/10/2025House
  9. Scheduled for concurrence on 06/12/2025.

    6/10/2025House
  10. Rules suspended. Senate floor amendments read and adopted. Read by title, passed by a vote of 39 yeas and 0 nays, and ordered returned to the House. Motion to reconsider tabled.

    6/9/2025Senate
  11. Received from the Senate with amendments.

    6/9/2025House
  12. Scheduled for concurrence on 06/10/2025.

    6/9/2025House
  13. Rules suspended. Called from the Calendar.

    6/8/2025Senate
  14. Read by title; made Special Order of the Day No. 1 for 6/9/2025.

    6/8/2025Senate
  15. Rules suspended.

    6/3/2025Senate
  16. Read by title and returned to the Calendar, subject to call.

    6/3/2025Senate
  17. Reported without Legislative Bureau amendments. Read by title and passed to third reading and final passage.

    6/2/2025Senate
  18. Reported with amendments. Rules suspended. Committee amendments read and adopted. Read by title and referred to the Legislative Bureau.

    6/1/2025Senate
  19. Read second time by title and referred to the Committee on Finance.

    5/20/2025Senate
  20. Received in the Senate. Read first time by title and placed on the Calendar for a second reading.

    5/19/2025Senate
  21. Read third time by title, roll called on final passage, yeas 99, nays 0. Finally passed, title adopted, ordered to the Senate.

    5/15/2025House
  22. Reported with amendments (23-0).

    5/12/2025House
  23. Rules suspended.

    5/12/2025House
  24. Read by title, amended, ordered engrossed, passed to 3rd reading.

    5/12/2025House
  25. Made Special Order of the day No. 1 for 05/15/2025.

    5/12/2025House

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