Answer


The Hospital Service District should consult with its legal counsel to determine if any restrictions are placed on the donated wigs.

If no donative restrictions are applicable, the District needs to first declare the unneeded wigs as surplus property.

In most cases, public property cannot be donated pursuant to Article VII, ยง14 of the Louisiana Constitution. This constitutional provision requires that in order for the District to transfer public property under its control it must have the legal authority to make the transfer and satisfy all of the following:

1. The transfer must be for a public purpose for which the District is authorized to carry out;

2. The transfer must not appear on its face to be purely gratuitous (the District should receive something in return for the property it gives up, but it need not be money); and

3. The District should have a reasonable expectation of receiving an equal or greater benefit than the value of the property it is transferring.

In this case, however, the facts indicate that the donation of the wigs is part of a program to supply wigs to those cancer patients who cannot afford their own. Therefore, it appears this transfer may fit within one of the Art. 7, Sec. 14(B) exceptions, which allows for the use of public funds for programs of social welfare for the aid and support of the needy. Art. 7, Sec. 14(B)(1). In order for this exception to be applicable, the Attorney General has opined that it must be a systemic program with objective eligibility requirement to insure the program serves only those individuals that are truly needy. See, AG Op. No. 06-o125 and AG Op. No. 97-0236
Louisiana Legislative Auditor website: 05/18/2024 07:12:11 PM