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Louisiana lawmakers advance bill to increase oversight of regulatory state

Last updated: May 8, 2025 8:00 pm
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Louisiana lawmakers advance bill to increase oversight of regulatory state
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(The Center Square) − As Louisiana’s legislative session continues, lawmakers are considering multiple bills aimed at increasing oversight of regulatory actions and tightening the rules for how taxpayer money is spent.

One of the early measures gaining traction is Senate Bill 59 by Sen. Mike Reese, R-Leesville, which would require legislative approval before any state agency rule with a significant fiscal impact — defined as at least $200,000 per year or $1 million over five years — could take effect. The bill passed a key Senate vote and now awaits consideration in the House.

Supporters say the bill would improve accountability by ensuring that major regulatory decisions are reviewed by elected officials. The proposal is similar to the so-called “REINS Act” model being promoted in legislatures across the country.

Under current Louisiana law, agencies must include fiscal impact statements with proposed rules, but they are not always subject to legislative approval. SB 59 would expand that oversight, requiring the fiscal office to assess potential costs and trigger committee hearings for high-impact rules. Emergency regulations would also be subject to additional fiscal scrutiny under the bill.

Meanwhile, another piece of legislation — SB184 by Sen. Heather Cloud, R-Allen — would implement new standards for nongovernmental organizations that receive public dollars.

The bill, which is scheduled for further debate in the Senate Finance Committee, would require recipient organizations to provide detailed financial audits, outcome data, and statements of public purpose before receiving state appropriations.

Nonprofits would also need to be registered in Louisiana for at least one year, keep administrative costs under 15% of expenditures, and maintain a physical office in the state. Groups that fail to submit required documentation could face a five-year ban from receiving state funds.

The legislation would consolidate existing data into a searchable portal through Louisiana’s Checkbook platform to allow the public and lawmakers to better monitor how funds are spent.

“These bills are part of a broader effort to increase transparency and ensure responsible stewardship of taxpayer money,” Cloud said during a recent hearing.

In addition to the legislative activity, Governor Jeff Landry has launched a new initiative—the Department of Governmental Efficiency (DOGE)—tasked with identifying ways to reduce waste and improve performance in state government.

Landry appointed Steve Orlando as Fiscal Responsibility Czar, who is expected to work closely with the Louisiana Legislative Auditor.

A news release from the governor’s office says residents are encouraged to submit suggestions for improving government efficiency via email.

The DOGE initiative has drawn both support and criticism. Supporters see it as a step toward greater fiscal accountability, while critics, including some legislators, question whether it duplicates existing oversight functions already handled by the legislature and the state auditor.

“Legislators create and pass the state’s annual budget, which the governor then signs, with a line-item veto,” Rep. Mandie Landry, D-New Orleans, said in a statement. “A new, bureaucratic entity cannot and should not supersede these constitutional powers.”

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