2011 Louisiana Laws
Revised Statutes
TITLE 39 — Public finance
RS 39:1512 — Reimbursement of costs

§1512. Reimbursement of costs

A. All cost-reimbursement type contracts shall contain a provision that only costs recognized as allowable in accordance with cost principles set forth in rules and regulations, issued pursuant to Part IV hereof will be reimbursable.

B. Payments may be made to the contractor in advance of services being performed if the following conditions are met:

(1) The using agency has submitted, in writing, to the Division of Administration, office of contractual review, a certification that an advance is necessary in order to provide the services at the lowest total cost and that there is no other cost effective source of such advance funding. The certification shall include a narrative setting out the facts which necessitate the advance funding.

(2) The advance is approved by the director of the office of contractual review.

(3) Except as may be otherwise provided by law, the amount of such advance shall be limited to a sum not to exceed twenty percent of the total contract amount, excluding travel advances which shall be governed by applicable regulations.

(4) The contractor is a nonprofit corporation.

C. If local matching funds are available to fund the advance, no state monies shall be advanced through the contract.

D. If federal funds are used for the advance, federal regulations and statutes shall govern the use and amounts of advance payments made.

E. Interagency contracts as defined in R.S. 39:1490(C) are exempt from the provisions of Subsections B and C of this Section.

F. The provisions of this Section shall not be construed to authorize payments in advance of services to be performed pursuant to a professional service contract.

G. State funds may be expended to fund the advance only in the same fiscal year in which the funds are appropriated.

Added by Acts 1978, No. 772, §1; Acts 1986, No. 721, §1; Acts 1999, No. 590, §1, eff. June 30, 1999.