THE SENATE

S.C.R. NO.

90

TWENTY-FIRST LEGISLATURE, 2002

 

STATE OF HAWAII

 
   


SENATE CONCURRENT

RESOLUTION

 

REQUESTING THE GOVERNOR TO HOLD PUBLIC HEARINGS PRIOR TO MAKING MODIFICATIONS TO OR IMPOSING REDUCTIONS ON APPROVED BUDGETS OF ANY STATE DEPARTMENT.

 

WHEREAS, Article VII of the Hawaii State Constitution delineates respective authority over the state budget to the Legislature and to the Governor; and

WHEREAS, Section 5 of Article VII provides that "no public money shall be expended except pursuant to appropriations...and shall not exceed the State's current general fund revenues...except when the Governor publicly declares the public health, safety or welfare is threatened..."; and

WHEREAS, Section 9 of Article VII provides that the Legislature shall establish an expenditure ceiling through the general appropriations bill, which may be exceeded only by two-thirds vote of the Legislature; and

WHEREAS, Chapter 37, Hawaii Revised Statutes (HRS), establishes provisions in law for the execution of the state budget, including an allotment and allocation system to be controlled by the Director of Finance; and

WHEREAS, section 37-36, HRS, provides that the Director of Finance may modify or amend allocations to departments "to avoid an illegal result or in anticipation of a revenue shortfall..."; and

WHEREAS, section 37-37, HRS, further provides that the Director of Finance, may reduce the allocation to any department upon determination that "probable receipts from taxes or any other sources for appropriation will be less than was anticipated"; and

WHEREAS, section 37-37, HRS, further requires the Director of Finance to seek approval from the Governor, and to give notice prior to such reductions to any affected departments as well as the leadership of the Legislature and the chairs of the fiscal committees; and

WHEREAS, as the State is presently facing projected shortfalls in general fund revenues, and the Director of Finance has already announced that departments may be facing budget reductions in FY 2002-2003; and

WHEREAS, due to this anticipated general fund shortfall, the Legislature will be scrutinizing departmental budgets to ensure that appropriations are responsibly made; and

WHEREAS, the Legislature, as the branch of government responsible for making appropriations and setting the general fund expenditure ceiling, should also seek the input of the community regarding any proposed reductions or modifications to the budget after the Legislature has taken such actions; now, therefore,

BE IT RESOLVED by the Senate of the Twenty-First Legislature of the State of Hawaii, Regular Session of 2002, the House of Representatives concurring, that the Governor, through the Director of Finance, is requested to hold public hearings prior to making any modifications or reductions to departmental budgets; and

BE IT FURTHER RESOLVED that the hearings shall be held in all four counties, to assure that statewide input is obtained; and

BE IT FURTHER RESOLVED that the Governor and the Director of Finance shall submit a report of all such modifications and reductions to any departmental budget, no later than twenty days prior to the convening of each regular session; and

BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Governor and the Director of Finance.

 

 

 

OFFERED BY:

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Report Title:

Public Hearings, modifications or reductions to state budget.