§ 47:1678 — Tax clearances; resale certificates; certain procurement contracts

§1678. Tax clearances; resale certificates; certain procurement contracts
A. Notwithstanding any other provision of law to the contrary, no state sales tax
resale certificate shall be issued or renewed for any applicant unless the applicant is current
in filing all tax returns and in payment of all taxes, interest, penalties, and fees owed to the
state of Louisiana.
B. Notwithstanding any other provision of law to the contrary, no contract that
requires the review and approval of the central purchasing agency for the procurement of
personal, professional, consulting, or social services or the purchasing of food, supplies, or
major repairs shall be approved unless the chief procurement officer for the central
purchasing agency has received a tax clearance from the Department of Revenue indicating
the proposed contractor is current in filing all tax returns and in payment of all taxes, interest,
penalties, and fees owed to the state of Louisiana. The tax clearance required by this Section
shall not be required for purposes of bidding on or solicitation of a procurement contract.
For purposes of this Section, the tax clearance shall be required for the approval of all
procurement contracts with this state for purposes including but not limited to the following:
(1) Capital construction.
(2) Any product, good, service, or repair.
(3) Supplies, services, or major repairs, including but not limited to high technology
acquisitions or of complex services.
(4) Consulting, professional, personal, and social services.
(5) Purchase or lease of property as authorized by law.
(6) Medical and laboratory supplies and medical equipment required for the purpose
of diagnosis or direct treatment of a patient by a health care provider in a hospital or clinical
setting, including procurement through a group purchasing organization.
C. An exception to the requirements of this Section for a procurement enumerated
in Subsection B of this Section is authorized in either of the following circumstances:
(1) The state chief procurement officer or his designee if the designee is above the
level of procurement officer may make or authorize others to approve a contract for
emergency procurements when there exists an imminent threat to the public health, welfare,
safety, or public property under emergency conditions as defined in accordance with
regulations.
(2) The state chief procurement officer or his designee if the designee is above the
level of procurement officer determines in writing that there is only one source for the
required product, service, or major repair item.
D. This Section shall not apply to any of the following:
(1) Contracts for construction, maintenance, or repair of highways and streets or to
contracts financed in whole or in part by contributions or loans from any agency of the
United States government.
(2) A procurement contract of an institution of higher education or other agency of
higher education if the state chief procurement officer has delegated authority to procure the
contracted services using private grant funds or federal funds that are available specifically
for purposes of the contract.
E. The state chief procurement officer shall provide the secretary a list of the
prospective contractors that require a tax clearance for approval of a procurement contract.
Such list shall be submitted to the secretary in the manner and form prescribed by the
secretary. The secretary, upon receipt, shall provide the state chief procurement officer with
a signed tax clearance for each applicant indicating whether the proposed contractor is
current in filing all tax returns and in payment of all taxes, interest, penalties, and fees owed
to the state of Louisiana, excluding items under formal appeal pursuant to applicable statutes
or being paid in compliance with the terms of an installment agreement. Where an
assessment against a proposed contractor has become final and collectible by distraint and
sale, such proposed contractor shall not be approved for a procurement contract until such
time as the proposed contractor has filed the applicable tax returns, or resolved the
assessment, or paid or made arrangements to pay the delinquent tax liability and the secretary
notifies the state chief procurement officer of the payment or arrangement to pay.
F. The secretary is authorized to promulgate rules and regulations in accordance with
the Administrative Procedure Act as may be necessary to implement the provisions of this
Section.

Legislative History

Acts 2017, No. 211, §2, eff. June 14, 2017.