HB1233 • 2026

PUBLIC CONTRACT/BIDS: Provides relative to a contract limit for hospital service districts (EN NO IMPACT See Note)

Healthcare

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Kimberly Coates
Last action: 2026-05-26
Official status: Sent to Governor
Effective date: Not listed

Plain English Breakdown

The official source material does not provide details on the consequences if a hospital service district fails to notify state committees about their CMAR projects.

Hospital Service District Contract Limits

This bill changes the contract limit rules for hospital service districts, setting a lower threshold of $1 million for using Construction Management at Risk (CMAR) instead of the general $5 million requirement.

What This Bill Does

Changes the law to say that hospital service districts cannot use Construction Management at Risk (CMAR) for projects costing less than $1 million.

Who It Names or Affects

Hospital service districts that want to use the Construction Management at Risk (CMAR) method for their construction projects.

Terms To Know

Construction Management at Risk (CMAR): A project management approach where the contractor is responsible for managing costs, scheduling, and quality control from an early stage of a construction project.
Hospital Service District: An area designated by law to provide hospital services to its residents through a special taxing district.

Limits and Unknowns

The bill does not specify what happens if a hospital service district fails to notify the state committees about their CMAR projects.
It is unclear how this change will affect existing contracts or ongoing projects that do not meet these new requirements.

Bill History

2026-05-26 H
Sent to the Governor for executive approval.
2026-05-25 S
Signed by the President of the Senate.
2026-05-25 H
Enrolled and signed by the Speaker of the House.
2026-05-25 H
Received from the Senate without amendments.
2026-05-20 S
Rules suspended. Read by title, passed by a vote of 33 yeas and 0 nays, and ordered returned to the House. Motion to reconsider tabled.
2026-05-13 S
Reported without Legislative Bureau amendments. Read by title and passed to third reading and final passage.
2026-05-12 S
Read by title and referred to the Legislative Bureau.
2026-05-11 S
Reported favorably.
2026-04-15 S
Read second time by title and referred to the Committee on Transportation, Highways and Public Works.
2026-04-14 S
Received in the Senate. Rules suspended. Read first time by title and placed on the Calendar for a second reading.
2026-04-14 H
Read third time by title, roll called on final passage, yeas 97, nays 0. Finally passed, title adopted, ordered to the Senate.
2026-04-13 H
Scheduled for floor debate on 04/14/2026.
2026-04-09 H
Read by title, ordered engrossed, passed to 3rd reading.
2026-04-08 H
Read by title, substitute title adopted, lies over in the same order of business, substitute for HB No. 839 reported by the Committee on Transportation, Highways and Public Works (15-0).

Official Summary Text

PUBLIC CONTRACT/BIDS: Provides relative to a contract limit for hospital service districts (EN NO IMPACT See Note)

Current Bill Text

Read the full stored bill text

ENROLLED
2026 Regular Session
HOUSE BILL NO. 1233 (Substitute for House Bill No. 839 by Representative Coates)
BY REPRESENTATIVE COATES
1 AN ACT
2 To amend and reenact R.S. 38:2225.2.4(A)(3), relative to the contract limit for hospital
3 service districts; to provide for a decreased contract limit for hospital service
4 districts; and to provide for related matters.
5 Be it enacted by the Legislature of Louisiana:
6 Section 1. R.S. 38:2225.2.4(A)(3) is hereby amended and reenacted to read as
7 follows:
8 §2225.2.4. Construction management at risk; public entity
9 A.
10 * * *
11 (3) CMAR shall not be used for any project that is estimated to cost less than
12 five million dollars, exclusive of a hospital service district as defined by R.S.
13 46:1072(2)(a) that may not use CMAR for any project estimated to cost less than two
14 one million dollars. At least sixty days prior to proceeding to use CMAR for any
15 project that is estimated to cost less than fifteen million dollars, a public entity shall
16 deliver written notification of the proposed CMAR project by name and description
17 of the project, together with the reason to use CMAR, to the House and Senate
18 transportation, highways, and public works committees for review and approval.
19 * * *
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
Page 1 of 1
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.