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2015 Op. La. Att'y Gen. 1 (2015)

handle is hein.sag/sagla2015 and id is 1 raw text is: 















                                     April 7, 2015
                                  OPINION 15-0001
                                          90-A-1 PUBLIC FUNDS & CONTRACTS
                                          La. Const. art. VII, § 14
Yolanda Webb                               La. Const. art. VI, § 23
Executive Director                         La. R.S. 28:864
Metropolitan Human Services District      The Metropolitan Human Services District may not purchase a
                                          membership in the local Chamber of Commerce, as such a
1010 Common Street, Suite 600             purchase would be a prohibited use of public funds in violation
New Orleans, LA 70112                     of La. Const. art. VII, § 14.
                                          The Metropolitan Human Services District may solicit and
                                          accept donations from private entities or individuals.
Dear Ms. Webb:

On behalf of the Metropolitan Human Services District (MHSD), you have requested
an opinion from this office related to the use and receipt of funds by the MHSD.
Specifically, you have asked whether the MHSD may use its funds to become a
member of the local Chamber of Commerce. Additionally, you have asked whether the
MHSD may accept donations from private entities or individuals, and whether MHSD
may solicit such donations.

Your first question relates to the use of MHSD funds to purchase a membership to the
local Chamber of Commerce. Your request indicates that MHSD intends to purchase
the membership with self-generated funds, as part of MHSD's overall strategy in
creating employment opportunities for the individuals it serves.     You have asked
whether such an action would violate La. Const. art. VII, § 14.

As your request notes, this matter concerns the use of public funds, which is governed
by La. Const. art. VII, § 14. La. Const. Art. VII, § 14 states, in relevant part:

       (A) Prohibited Uses. Except as otherwise provided by this constitution,
       the funds, credit, property, or things of value of the state or of any political
       subdivisions shall not be loaned, pledged, or donated to or for any person,
       association, or corporation, public or private.    Except as otherwise
       provided in this Section, neither the state nor a political subdivision shall
       subscribe to or purchase the stock of a corporation or association or for
       any private enterprise.

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