LAC 4:XXIV.105. State Agency Requirements and Responsibilities

A. State agencies shall comply with applicable requirements in R.S. 39:89.1 through 39.89.4 when administering an appropriation to an NGE. B. A contract shall be executed between the state agency disbursing the appropriated funds and the NGE receiving the appropriated funds. C. Prior to executing a contract, the state agency administering the appropriation shall: 1. obtain an itemized report of the NGE’s budgeted administrative expenses associated with the distribution and utilization of the appropriated funds; 2. verify the NGE is compliant with applicable audit law requirements. A listing of noncompliant entities identified by the legislative auditor is posted on the legislative auditor’s website. No contract shall be executed to disburse appropriations to an NGE that is identified by the legislative auditor as noncompliant with audit law requirements; and 3. If applicable, obtain the NGE’s most recent report posted on the legislative auditor’s website and verify the auditor’s report contains an unqualified opinion on the financial statements and the NGE has resolved, or is actively working to resolve, any audit findings. D. State agencies utilizing the state’s accounting system shall record the required NGE contract information using a purchase order generated within LaGov SRM on all NGE contracts in effect as of June 30, 2025, and all NGE contracts executed subsequent to June 30, 2025. Required information on the NGE contract includes: 1. category of service provided by the NGE; 2. name of the NGE; 3. physical address of the NGE, unless confidential under state or federal law, rule, or regulation; 4. contract or appropriation amount and total means of finance, including state and federal sources, if applicable; 5. contract effective date and end date; 6. purpose of the contract or appropriation; 7. outcome assessment, including whether the NGE has completed the purposes of the contract or achieved defined performance goals. The outcome assessment shall be completed and recorded in the purchase order within 60 days of the contract end date; and 8. compliance status of all reports submitted pursuant to paragraph C above. E. Any state agency not utilizing the state’s accounting system for contracts shall provide the required NGE contract information in paragraph D above to OTS in the format and frequency requested by OTS for inclusion in the NGE database. F. If NGE becomes noncompliant with applicable audit law requirements during performance of the contract, the state agency shall cease disbursements until the NGE has achieved compliance or authorization to release the payment to the noncompliant NGE is received by the legislative auditor in accordance with R.S 39:72.1(D).