Bill
HB 655
Gives DOTD authority to design, finance, contract, operate, and maintain ferries and related facilities, including cost-plus contracts and intergovernmental partnerships.
HB 655 (Louisiana, 2026) – Summary
Purpose and intent
- Authorizes the Department of Transportation and Development (DOTD) to enter into contracts for the construction, operation, maintenance, and related facilities of ferries and other related transportation assets owned or controlled by the state.
- Clarifies that DOTD can pursue conveyances (franchises or contracts) for ferry services in the name of the state, with possible participation by parishes, municipalities, other states, or their political subdivisions.
- Allows contracting and operation on a cost-plus basis when it is in the best interest of the state, and provides protection to ensure revenue does not exceed the cost of services.
Key provisions and changes
- Expanded authority: DOTD may control, operate, and maintain ferries, barges, and related facilities (in addition to ferries) to provide adequate, safe, and efficient transportation.
- Revenue and pricing: DOTD may prescribe ferry charges or transfer charges at rates reasonably anticipated to generate revenue, with the revenue not exceeding the cost of the services provided.
- Contracting flexibility: DOTD may let franchises or enter into contracts for these services in the state’s name, including joint arrangements with parishes, municipalities, other states, or their subdivisions.
- Cost-plus contracts: Under certain conditions, contracts for operation or maintenance may be let on a cost-plus basis and would be exempt from certain other procurement provisions under present law (R.S. 38:2221 and R.S. 48:255.4) if deemed in the best interest of the state.
Who is affected
- DOTD gains expanded authority to manage ferry-related operations, maintenance, and related facilities beyond what is currently specified.
- Ferry systems owned or controlled by the state could be operated or maintained under new contractual arrangements, including potential private or intergovernmental partnerships.
- Local governments (parishes, municipalities) or other states’ political subdivisions could participate via joint contracts or franchises, where applicable.
Procedural and timeline aspects
- Effective date: Upon signature by the governor or, if not signed, upon lapse of the constitutional period for gubernatorial action.
- If vetoed and subsequently approved by the legislature, the act becomes effective the day after approval.
Administrative notes
- This summary reflects changes to R.S. 48:25 and the bill’s stated language about contracts, cost-plus provisions, and exemptions from specific procurement statutes when in the state’s best interest.
Overall impact
- The bill modernizes and broadens DOTD’s ability to design, finance, operate, and maintain ferry systems and related facilities through contracts and potential cost-plus arrangements, with revenue designed to cover costs and enhanced flexibility for intergovernmental cooperation.
Compiled from official sources — confirm details with the bill’s official record.
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