LEGISLATIVE FISCAL OFFICE
Fiscal Note
Fiscal Note On: HB 878 HLS 24RS 1285
Bill Text Version: ENROLLED
Opp. Chamb. Action:
Proposed Amd.:
Sub. Bill For.:
Date: June 5, 2024 3:33 PM Author: RISER
Dept./Agy.: Parish/Municipal Fire Departments & Ambulance Services
Subject: Group Purchasing Agreements Analyst: Chris Henry
PUBLIC CONTRACTS EN SEE FISC NOTE LF EX Page 1 of 1
Provides relative to fire departments and public safety departments or agencies entering into an agreement with group
purchasing organizations
Proposed legislation would allow any municipal or parish fire department, volunteer fire department, fire protection district,
or non-profit corporation under contract with a fire protection district, municipal police department, or related public safety
department or agency to enter into agreements with group purchasing organizations to purchase materials, equipment, and
supplies. A “qualified group purchasing organization” is defined as an organization in which two or more public departments,
agencies, or non-profit corporations enumerated above participate and which organization solicits proposals or bids upon the
execution of a contract for the purchase of materials, equipment, or supplies. Also includes any municipal ambulance
service, parish ambulance service, or ambulance service district.
EXPENDITURES 2024-25 2025-26 2026-27 2027-28 2028-29 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds SEE BELOW SEE BELOW SEE BELOW SEE BELOW SEE BELOW
Annual Total
REVENUES 2024-25 2025-26 2026-27 2027-28 2028-29 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. SEE BELOW SEE BELOW SEE BELOW SEE BELOW SEE BELOW
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total
EXPENDITURE EXPLANATION
Proposed legislation may result in a nominal decrease of local funds expenditures if certain fire protection, public safety,
police authorities, or ambulance services utilize group purchasing to acquire lower prices for materials, equipment, or
supplies. Proposed law expands and clarifies present law, allowing these entities to purchase from group purchasing
organizations without bid if either the price for the item is less than on the state contract/bid list or the items are not under
the state contract/bid list.
REVENUE EXPLANATION
There is the potential for a nominal reduction of SGR revenue to the Office of State Procurement (OSP) from contract
administration fees or rebates paid by contract holders if purchases from state contracts were reduced; however, this
reduction is not anticipated to be significant and could be absorbed.
Senate Dual Referral Rules House
13.5.1 >= $100,000 Annual Fiscal Cost {S & H} 6.8(F)(1) >= $100,000 SGF Fiscal Cost {H & S}
Patrice Thomas
13.5.2 >= $500,000 Annual Tax or Fee 6.8(G) >= $500,000 Tax or Fee Increase
Change {S & H} or a Net Fee Decrease {S} Deputy Fiscal Officer