EXECUTIVE ORDER
BJ 15-3

Executive Branch--Expenditure Reduction

WHEREAS,  pursuant to R.S. 39:75(A)(1), the Division of Administration is directed to submit a monthly budget status report to the Joint Legislative Committee on the Budget (hereafter "the Committee") indicating the balance of the budget for the State General Fund and dedicated funds by comparing the official forecast for these funds to the total authorized appropriations from each fund; once approved by the Committee, the most recent budget status report becomes the official budget status of the State;
WHEREAS,  if the most recently approved budget status report indicates that the total appropriation from any fund will exceed the official forecast for that fund, R.S. 39:75(B) requires the Committee to immediately notify the Governor that a projected deficit exists for that fund;
WHEREAS,  on February 20, 2015, the Committee notified the Governor that it approved a budget status report at its February 20, 2015, meeting, indicating that a projected deficit of One Hundred Three Million Five Hundred Thousand Dollars ($103,500,000) exists in the State General Fund for Fiscal Year 2014-2015, based mainly on the revised official forecast of revenue available for appropriation adopted by the Revenue Estimating Conference on January 26, 2015, compared to total appropriations;
WHEREAS,  once notified that a projected deficit exists, pursuant to Article VII, Section 10, of the Constitution of Louisiana and R.S. 39:75(C)(1)(a), the Governor has interim budget balancing powers to adjust the budget, including the authority to reduce appropriations for the executive branch of government for any program that is appropriated from a fund that is in a deficit posture, not exceeding three percent (3%) in the aggregate of the total appropriations for each budget unit for the fiscal year, and if the Governor does not make necessary adjustments in the appropriations to eliminate the projected deficit within thirty (30) days of the determination of the projected deficit in a fund, R.S. 39:75(D) mandates that the Governor call a special session of the Louisiana Legislature for that purpose;
WHEREAS,  the State General Fund reductions in Executive Order BJ 2014-18 as authorized by R.S. 39:75(C)(1)(a), exceed in the aggregate seven-tenths of one percent of the total of State General Fund allocations or appropriations of $61,304,260, I am further exercising my unilateral interim budget balancing powers to reduce the projected deficit by $67,066,176;
WHEREAS,  after utilizing that authority, $36,433,824 remains of the projected deficit which must be eliminated, therefore I direct the Commissioner of Administration to present to the Committee for its approval a plan to eliminate the remaining amount of the projected deficit pursuant to R. S. 39:75(C)(2);
WHEREAS,  this Executive Order and the plan to be submitted to the Committee may utilize all or a portion of the General Fund dollar savings objective specified in Executive Order BJ 2014-1 and Executive Order BJ 2014-16.
NOW THEREFORE, I, Bobby Jindal, Governor of the State of Louisiana, by virtue of the authority vested by the Constitution and laws of the State of Louisiana, do hereby order and direct as follows:
SECTION 1: The following departments, agencies, and/or budget units (hereafter "Unit" and/or "Units") of the executive branch of the State of Louisiana, as described in and/or funded by appropriations through Acts 15, 25, and 45 of the 2014 Regular Session of the Louisiana Legislature (hereafter "the Acts"), shall reduce expenditure of funds appropriated to the Unit from the State General Fund by the Acts, in the amounts shown below:

Act 15-General Operating Appropriations Act:

Schedule 01-Executive Department State General Fund

01-100

Executive Office

$ 10,000

01-102

Office of the State Inspector General

$ 32,393

01-107

Division of Administration

$ 728,000

01-112

Department of Military Affairs

$ 1,394,617

Schedule 04-Elected Officials

04-139

Secretary of State

$ 931,593

04-146

Lieutenant Governor

$ 74,143

04-160

Agriculture and Forestry

$ 1,277,668

Schedule 06-Culture, Recreation and Tourism

06-261

Office of the Secretary

$ 95,570

06-262

Office of the State Library

$ 234,506

06-263

Office of State Museum

$ 212,486

06-264

Office of State Parks

$ 849,712

06-265

Office of Cultural Development

$ 105,867

06-267

Office of Tourism

$ 47,000

Schedule 08-Corrections Services

08A-400

Corrections Administration

$ 99,625

08A-413

Elayn Hunt Correctional Center

$ 60,558

08A-414

David Wade Correctional Center

$ 896,033

Schedule 08-Youth Services

08C-403

Office of Juvenile Justice

$ 1,528,162

Schedule 09-Health and Hospitals

09-300

Jefferson Parish Human Services Authority

$ 607,189

09-301

Florida Parishes Human Services Authority

$ 322,710

09-302

Capital Area Human Services District

$ 304,482

09-304

Metropolitan Human Services District

$ 872,901

09-305

Medical Vendor Administration

$ 2,286,558

09-306

Medical Vendor Payments

$ 42,925,118

09-307

Office of the Secretary

$ 434,859

09-309

South Central Louisiana Human Services Authority

$ 688,869

09-310

Northeast Delta Human Services Authority

$ 420,855

09-320

Office of Aging and Adult Services

$ 35,000

09-324

Louisiana Emergency Response Network

$ 43,320

09-325

Acadiana Area Human Services District

$ 543,191

09-326

Office of Public Health

$ 1,705,122

09-330

Office of Behavioral Health

$ 186,741

09-340

Office of Citizens with Developmental Disabilities

$ 35,735

09-375

Imperial Calcasieu Human Services Authority

$ 369,921

09-376

Central Louisiana Human Services Authority

$ 495,541

09-377

Northwest Louisiana Human Services District

$ 363,913

Schedule 10-Department of Children and Family Services

10-360

Office of Children and Family Services

$ 146,932

Schedule 19-Education

19D-678

State Activities

$ 280,818

19D-681

Subgrantee Assistance

$ 468,468

19D-682

Recovery School District

$ 150,000

Schedule 20-Other Requirements

20-966

Supplemental Pay to Law Enforcement Personnel

$ 3,000,000

20-977

DOA – Debt Service and Maintenance

$ 1,800,000

SECTION 2:

A.       No later than February 27, 2015, the head of each Unit listed in Section 1 of this Order shall submit to the Commissioner of Administration (hereafter "Commissioner") a mid-year budget reduction plan, on the BA-7 form and questionnaire, which reflects the Unit’s proposed allocation of the expenditure reduction ordered in Section 1 of this Order (hereafter "mid-year budget reduction plan"), and a description of the methodology used to formulate the mid-year budget reduction plan.
B.       In the event that positions of employment will be affected by the mid-year budget reduction, these positions should be included in your mid-year budget reduction plan.
C.       No Unit shall implement the expenditure reduction mandated by Section 1 of this Order without the Commissioner’s prior written approval of the Unit’s mid-year budget reduction plan.
D.       After the Commissioner has given approval of a Unit’s mid-year budget reduction plan, any change to the mid-year budget reduction plan requires prior written approval from the commissioner.

SECTION 3: The Commissioner is authorized to develop additional guidelines as necessary to facilitate the administration of this Order.
SECTION 4: All departments, commissions, boards, offices, entities, agencies, and officers of the State of Louisiana, or any political subdivision thereof, are authorized and directed to cooperate in the implementation of the provisions of this Order.
SECTION 5: This Order is effective upon signature and shall remain in effect through June 30, 2015, unless amended, modified, terminated, or rescinded prior to that date.
IN WITNESS WHEREOF, I have set my hand officially and caused to be affixed the Great Seal of Louisiana, at the Capitol, in the city of Baton Rouge, on this 20th day of February, 2015.

 

Bobby Jindal
Governor

ATTEST BY
THE GOVERNOR
Tom Schedler
Secretary of State