Senate Bill No. 275 enacts Chapter 15-B of Title 33 of the Louisiana Revised Statutes, establishing the Local Housing Authority Affiliates and Subsidiaries Self-Insurance Act of 2022. This legislation allows affiliates and subsidiaries of local housing authorities to form risk management organizations for pooling coverage risks, including general liability, workers' compensation, and property coverage. The bill defines key terms such as "affiliate," "risk management organization," and "self-insurance fund," and outlines the governance structure, including the role of the Louisiana Housing Council, Inc. in administering these organizations.

The bill also clarifies that these risk management organizations are not classified as insurance companies and sets forth requirements for financial contributions, governance, and audits. It mandates that a self-insurance fund cannot operate until a minimum annual gross premium is met and limits the liability of members to their contributions. Additionally, it requires risk management organizations to maintain certain levels of excess insurance and allows for audits by the legislative auditor. Overall, the bill aims to enhance the risk management capabilities of local housing authorities while ensuring compliance with state regulations.