Authorizes real property revenues of the University of Hawaii to
be deposited into a university revolving fund.  (SD1)

HOUSE OF REPRESENTATIVES                H.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 2000                                S.D. 1
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  The legislature finds that while the authority
 2 of the board of regents of the University of Hawaii to sell and
 3 lease land is well-established, there is no special or revolving
 4 fund designated for the deposit of revenues derived from such
 5 transactions.  This Act will assist the university in expanding
 6 and strengthening its revenue base by allowing it to generate
 7 income from the lease or sale of real property owned by the
 8 university.  Because the ceded land rights of the office of
 9 Hawaiian affairs applies to all ceded lands, regardless of
10 ownership, the legislature does not intend for this Act to
11 diminish these rights in any way.
12      The purpose of this Act is to authorize the deposit of
13 revenues derived from the sale or lease of University of Hawaii
14 real property into the existing University of Hawaii facilities
15 use revolving fund.
16      SECTION 2.  Section 304-8.957, Hawaii Revised Statutes, is
17 amended by amending the title and subsection (a) to read as
18 follows:
19      "[[]304-8.957[]]  University of Hawaii real property and

Page 2                                                     2066
                                     H.B. NO.           H.D. 1
                                                        S.D. 1

 1 facilities use revolving fund.(a)  There is established the
 2 University of Hawaii real property and facilities use revolving
 3 fund, into which shall be deposited all revenues collected by the
 4 university for the use of university real property and
 5 facilities, except as otherwise provided by law.  The board of
 6 regents may establish prices, fees, and charges, including those
 7 for the sale, lease, or use of university real property and
 8 facilities, which include land, buildings, grounds, furnishings,
 9 and equipment[.]; provided that the university shall comply with
10 all statutory and common law requirements in the disposition of
11 ceded lands.  The board of regents shall be exempt from the
12 public notice and public hearing requirements of chapter 91 in
13 establishing and amending the fees and charges.  The university
14 may establish separate accounts within the revolving fund for
15 major program activities.  Funds deposited into the revolving
16 fund accounts shall be expended to pay the costs of operating
17 university facilities, including maintenance, administrative
18 expenses, salaries, wages, and benefits of employees; contractor
19 services, supplies, security, furnishings, equipment, janitorial
20 services, insurance, utilities, and other operational expenses.
21 Revenues not expended as provided in this section may be
22 transferred to other university funds to be invested or expended
23 for the administrative or overhead costs of the university.  All 

Page 3                                                     2066
                                     H.B. NO.           H.D. 1
                                                        S.D. 1

 1 expenditures from this fund shall be subject to appropriation."
 2      SECTION 3.  Statutory material to be repealed is bracketed.
 3 New statutory material is underscored.
 4      SECTION 4.  This Act shall take effect upon its approval.