REPORT TITLE:
Public employees health fund


DESCRIPTION:
Transfers the responsibility for funding the annual audit of the
public employees health fund from the comptroller to the health
fund.  (SB1102 HD2)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1102
THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 1999                                H.D. 2
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO THE PUBLIC EMPLOYEES HEALTH FUND.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  The purpose of this Act is to transfer the
 
 2 responsibility for funding the annual audit of the public
 
 3 employees health fund from the comptroller to the health fund.
 
 4      SECTION 2.  Section 87-28, Hawaii Revised Statutes, is
 
 5 amended to read as follows:
 
 6      "87-28  Other powers.  In addition to the power to
 
 7 administer the fund, the board of trustees may:
 
 8      (1)  Collect, receive, deposit, withdraw, and invest money
 
 9           [in] on behalf of the fund;
 
10      (2)  Appoint an administrator and staff necessary to carry
 
11           out this chapter, subject to the limitations of
 
12           available appropriations and chapters 76 and 77 and
 
13           section 78-1;
 
14      (3)  Make payments of periodic charges and pay for
 
15           reasonable expenses incurred to [carry]:
 
16           (A)  Perform financial audits of the fund and claims
 
17                audits of its insurance carriers; or
 
18           (B)  Carry out the purposes of the fund;
 
19           or
 
20      (4)  Require any department, agency, or employee of the
 

 
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                                     S.B. NO.           S.D. 1
                                                        H.D. 2
                                                        

 
 1           State and county to furnish information to the board to
 
 2           carry out the purposes of this chapter."
 
 3      SECTION 3.  Section 87-29, Hawaii Revised Statutes, is
 
 4 amended to read as follows:
 
 5      "87-29  Other duties.  The board of trustees shall:
 
 6      (1)  Authorize the director of finance to make periodic
 
 7           charges and payments from the fund only upon vouchers
 
 8           countersigned by the chairperson and such other person
 
 9           as may be designated by the board of trustees;
 
10      (2)  Maintain accurate records and accounts of all financial
 
11           transactions of the fund which shall be audited
 
12           annually and summarized in an annual report by the
 
13           [state] comptroller[;].  The audit costs shall be the
 
14           responsibility of the fund and shall be paid from the
 
15           employers' portion of the fund's reserves;
 
16      (3)  Maintain suitable and adequate records to carry out the
 
17           purpose of the fund; and
 
18      (4)  Procure a fidelity bond of a reasonable amount for the
 
19           chairperson and any other person authorized to handle
 
20           money of the fund."
 
21      SECTION 4.  Statutory material to be repealed is bracketed.
 
22 New statutory material is underscored.
 
23      SECTION 5.  This Act shall take effect upon its approval.