§257. Legal representation of certain state agencies

A. Notwithstanding any other law to the contrary and in addition to any other powers, duties, or authority granted to the attorney general and the Department of Justice by the constitution and laws of the state, the attorney general shall represent the state and all departments and agencies of state government in all litigation arising out of or involving tort or contract.

B.(1) In all litigation whereby a state agency, board or commission, including levee boards, appoints, employs, or contracts private legal counsel to represent the state or a state agency, board or commission, including levee boards, pursuant to R.S. 39:1538, R.S. 42:262, R.S. 49:258, or this Section, the secretary of the department, or the head of the state agency, or the board or commission, including levee boards, shall consistently maintain accurate data on legal contracts, legal costs, and all final judgments, all of which shall be reported to the attorney general. At the same time as all final judgments are reported to the attorney general, they shall also be reported to the commissioner of administration, the Senate Committee on Finance, and the House Committee on Appropriations. The report shall be in writing or submitted electronically, as determined by the attorney general, and submitted quarterly. The attorney general, in consultation with the commissioner of administration, shall prepare and submit an annual report to the legislature no later than the first day of the regular session, and shall submit quarterly updates of the report to the division of administration, the Senate Committee on Finance, the House Committee on Appropriations, and the legislative fiscal office. The Department of Justice shall implement procedures to carry out the provisions of this Subsection no later than December 1, 2018.

(2) The attorney of record or the prevailing party shall submit a certified copy of the final judgment to the Senate Committee on Finance and the House Committee on Appropriations for the consideration of an appropriation to pay the judgment.

C. Notwithstanding any other law to the contrary, the attorney general, at his discretion, shall represent or supervise the representation of the interests of the state in any action or proceeding in which the constitutionality of a state statute or of a resolution of the legislature is challenged or assailed.

D. In all litigation referenced in Subsection A of this Section, the governor, the secretary of the department, or head of the state agency as the case may be, and the attorney general shall have authority to determine the purposes of the state, the department, or the state agency, as the case may be, to be served by the litigation or by the making of an offer or the acceptance of an offer to settle or compromise such litigation.

E. Nothing in this Section, in R.S. 49:258, and in Chapter 16-A of Title 39 of the Louisiana Revised Statutes of 1950 shall prohibit any department of state government from employing a general counsel and such other attorneys as may be necessary to provide legal consultation, representation, and such other legal services as are not provided for under such provisions of law. However, all private legal counsel shall be chosen only in accordance with the provisions of R.S. 49:258, and subject to the authority granted to the attorney general by Article IV, Section 8 of the Constitution of Louisiana.

F. Nothing in this Section or in R.S. 39:1533 shall in any way impair, limit, or modify the rights and obligations of any insurer under any policy of insurance nor shall it affect any claims or suits handled pursuant to R.S. 39:1527 et seq.

G.(1)(a) Pursuant to constitutional and statutory authorities granted him, and upon the written request of an agency of the state, the attorney general may undertake debt collection activities to pursue debts owed the agency. Such activities shall be performed in accordance with the terms of a written agreement between the agency and the attorney general, and the attorney general shall receive as compensation an amount not to exceed twenty-five percent of the total monies recovered through activities undertaken pursuant to the agreement. In all such debt collections, the attorney general and the state agency shall determine whether the interests of the state are best served by litigation or by the making of an offer or the acceptance of an offer to settle or compromise litigation or debts owed the state. For purposes of this Subsection, "agency" or "state" shall mean the state, its departments, agencies, boards, and commissions.

(b) The provisions of this Paragraph shall not apply to authorities of the attorney general and collection activities provided for under R.S. 9:4751 et seq., R.S. 18:1400.6, R.S. 46:1 et seq., and R.S. 47:1516.1.

(c) The provisions of this Paragraph with respect to compensation to be paid the attorney general shall not apply to debt collection activities concerning student loans issued pursuant to the Federal Family Education Loan Program, 20 U.S.C. 1071 et seq., the Federal Perkins Loan Program, 20 U.S.C. 1087aa et seq., and all educational debts that are evidenced by a contract or negotiable instrument that provides for the payment of collection costs or attorney fees and are collected by the Louisiana Student Financial Assistance Commission or are collected on behalf of institutions under the jurisdiction of boards created by Article VIII of the Constitution of Louisiana.

(d) The provisions of Subsection G of this Section shall not be construed to authorize the attorney general to execute or enter into contingency fee contracts with private entities with respect to debt collections on behalf of the state.

(2) There is hereby established in the state treasury a special fund to be known as the Department of Justice Debt Collection Fund, hereinafter referred to as the "fund". The fund shall be comprised of monies received by the attorney general as compensation for any debt collection activities undertaken pursuant to the provisions of this Subsection or any other provision of law. Monies in the fund shall be subject to annual appropriation to the Department of Justice solely for support of debt collection activities. Monies so appropriated shall be used to supplement the department's budget and shall not be used to displace, replace, or supplant appropriations from the state general fund for operations of the department below the level of state general fund appropriation for the foregoing year. All unencumbered and unexpended monies in the fund at the end of the fiscal year shall remain in the fund. Monies in the fund shall be invested by the treasurer in the same manner as those in the state general fund, and any interest earned on such investment shall be deposited in and credited to the fund.

Acts 1988, No. 448, §5, eff. July 1, 1988; Acts 2005, No. 435, §2, eff. July 11, 2005; Acts 2006, No. 611, §1; Acts 2018, No. 627, §2.