Report Title:

Counties; State Indemnification

Description:

Authorizes state agencies to indemnify county agencies.

HOUSE OF REPRESENTATIVES

H.B. NO.

2595

TWENTY-SECOND LEGISLATURE, 2004

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO COUNTIES.

 

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

SECTION 1. Chapter 46, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§46-    Indemnification of counties. (a) To receive county assistance, services, or rights or permission to use county property or to provide services or otherwise act as a vendor to county agencies, a state agency may agree in writing to an indemnity provision by which the State agrees to indemnify, defend, and hold harmless a county agency, its officers, agents, and employees when all of the following conditions are satisfied:

(1) County law expressly or by clear implication requires the indemnity provision;

(2) The governor, following a favorable review by the attorney general, approves the State's proposed indemnification; and

(3) The comptroller, pursuant to chapter 41D, has obtained an insurance policy or policies in an amount sufficient to cover the liability of the State that reasonably may be anticipated to arise under the indemnity provision or has determined that it is not in the best interest of the State to obtain insurance.

(b) Except as otherwise provided by law, an indemnity provision not in strict compliance with this section shall not give rise to a claim against the State under chapter 661 or otherwise waive the State's sovereign immunity.

(c) This section shall not affect any existing indemnification explicitly provided by the State to the counties by law."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:

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