BATON ROUGE, La. (AP) — The price tag has nearly doubled for Gov. Bobby Jindal's hiring of an outside consulting firm to recommend new ways to balance the state budget.

The contract for Alvarez & Marsal was worth $4.2 million when the New York-based company was hired in December. But the contract since has been bumped up to $7.4 million, according to the Legislative Fiscal Office.

In June, the consulting firm's report outlined proposals to save the state $2.7 billion over five years, either by cutting costs or increasing state revenue.

The fiscal office says the administration's contract costs increased because Alvarez & Marsal is helping state agencies to implement its recommendations.

"Saving $2.7 billion over the next five years requires a sustained, coordinated effort from agency leadership and staff. This contract addition allows A&M to provide project management services throughout the early implementation process to ensure savings goals are met," Jindal's Commissioner of Administration Kristy Nichols said in a statement Thursday.

Costs for the consultant could grow even further, because the contract doesn't end until December 2016 and new tasks could be added.

To post a comment, please log into your IND account. If you do not have an account, click the "register" button to create one. Facebook comments can be used as an alternative to creating an account at theIND.com.

feed-image RSS Feed
Advertisement
Advertisement
Advertisement