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Bill

SB 184

FISCAL CONTROLS: Creates the "Transparent Responsible Use of State Tax-dollars (T.R.U.S.T.) Act" to provide for appropriation requirements for nongovernmental entities. (2/3-CA7s2.1(A)) (gov sig) (OR SEE FISC NOTE GF EX)

2025 Regular Session Introduced by Heather Cloud

Louisiana bill establishes fiscal control and transparency requirements for state tax-dollar appropriations to nongovernmental entities through the T.R.U.S.T. Act.

Title of substitute read and adopted; becomes Senate Bill No. 245.
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Bill Summary · SB 184

Legislative bill overview

SB 184, now SB 245, establishes the "T.R.U.S.T. Act" to require appropriation requirements and fiscal controls when Louisiana distributes state tax dollars to nongovernmental entities (nonprofits, private organizations, contractors). The bill aims to create transparency and accountability mechanisms for how public funds are used by private recipients.

Why is this important

State governments regularly award grants, contracts, and subsidies to nongovernmental organizations. Without clear appropriation requirements and oversight standards, public funds can be distributed with minimal accountability or tracking. This bill attempts to establish baseline fiscal controls and transparency requirements that apply across different types of state funding to these entities.

Potential points of contention

  • Definitional scope: The bill's effectiveness depends heavily on how "nongovernmental entities" is defined and which programs fall under these requirements—overly broad definitions could burden small nonprofits, while narrow ones could create loopholes
  • Compliance burden vs. intent: Implementing robust appropriation tracking and transparency requirements could increase administrative costs for recipient organizations and the state, potentially diverting resources from actual program delivery
  • Existing redundancy: Many state funding programs already have their own appropriation and reporting requirements; clarification is needed on whether this creates duplicate bureaucracy or fills actual gaps in oversight

Compiled from official sources — confirm details with the bill’s official record.

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