The bill enacts a new provision under R.S. 39:112(E)(2)(e) concerning capital outlay procedures, specifically addressing match requirements for non-state entity projects. It establishes that while a match of at least twenty-five percent of the total requested funding is generally required, the division of administration has the discretion to waive this requirement entirely or partially for municipalities with populations under six thousand or parishes with populations of seven thousand five hundred or less. To qualify for this waiver, applicants must demonstrate their inability to provide a local match by submitting their two most recent annual financial reports and, if applicable, a rate study for existing utility systems conducted within the last three years.

Additionally, the bill allows for the possibility of waiving the match contingent upon the applicant increasing utility rates if the project pertains to an existing utility system. This legislative change aims to provide financial relief to smaller municipalities and parishes that may struggle to meet funding match requirements, thereby facilitating their ability to undertake essential projects. The act will take effect upon the governor's signature or after the designated period for bills to become law without signature.