Authorizes the Department of Transportation and Development to enter into contracts for the operation and maintenance of ferry systems

House Bill 655 amends Louisiana Revised Statute 48:25 to modify the Department of Transportation and Development's authority regarding ferry systems. The bill expands the department's operational scope to include control, operation, and maintenance of any facilities related to ferries and barges, not merely the vessels themselves. It refines the language governing how the department determines what is necessary, replacing subjective discretionary language with a requirement that the department make determinations to provide adequate, safe, and efficient transportation to the public. The bill also modifies the rate-setting authority by specifying that ferry and transfer charges must be set at rates reasonably anticipated to generate revenue that does not exceed the cost of services provided. Most significantly, the bill creates a new exception provision allowing the department to enter into contracts for operation or maintenance of department-owned ferries on a cost-plus basis when the department determines such contracting is in the best interest of the state, and expressly exempts these contracts from compliance with R.S. 38:2221 and R.S. 48:255.4.

The practical effects of this legislation extend to the Department of Transportation and Development, which gains explicit statutory authority to contract for ferry operations and maintenance on alternative cost-plus terms when advantageous to the state. Ferry operators and contractors may be affected by the ability to negotiate cost-plus contracts rather than being bound to fixed-price arrangements. The traveling public benefits from the legislative clarification that rate-setting is tied to actual service costs, preventing rates from exceeding operational expenses. Local governments, parishes, and municipalities that operate ferries jointly with the state may also be affected, as the bill clarifies the contractual mechanisms available for intergovernmental ferry operations. The exemption from R.S. 38:2221 and R.S. 48:255.4 means that certain procurement or procedural requirements that might otherwise apply to state contracts will not govern these specific ferry operation contracts.

This legislation operates within the existing statutory framework of Louisiana's transportation law under Title 48 of the Revised Statutes. R.S. 48:25 previously authorized the department to take over and control ferries necessary to the public and to let franchises or enter into contracts for their operation. The bill does not eliminate these existing authorities but rather clarifies and expands them. The references to R.S. 38:2221 and R.S. 48:255.4 indicate that the legislation intentionally creates a carve-out from other state procurement and contracting statutes, suggesting these exempted provisions normally govern state contracts but will not apply to ferry operation and maintenance contracts meeting the bill's criteria. The constitutional provision cited in the effective date section, Article III, Section 18 of the Louisiana Constitution, governs the standard timeline for bills to become law. The bill is prospective in nature and does not appear to raise constitutional concerns regarding separation of powers or due process.