Report Title:

State Budget; Program Execution

 

Description:

Reiterates the legislature's intent that appropriation transfers or changes between programs and agencies be made only pursuant to prior legislative authorization.  (SD1)

 


THE SENATE

S.B. NO.

387

TWENTY-FIFTH LEGISLATURE, 2009

S.D. 1

STATE OF HAWAII

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO THE STATE BUDGET.

 

 

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

 


     SECTION 1.  The legislature finds that section 37‑74(d), Hawaii Revised Statutes, explicitly states that no appropriation transfers or changes between programs or agencies shall be made without legislative authorization, except for certain exempting provisions relating to the University of Hawaii, the department of education, and the Hawaii health systems corporation.  However, the administration has made appropriation transfers and changes without legislative approval, including but not limited to the tourism liaison, and reported these after-the-fact to the legislature.

     The purpose of this Act is to expressly restate, reiterate, and declare that the intent of the legislature in enacting section 37-74(d), Hawaii Revised Statutes, concerning appropriation transfers or changes between programs and agencies is now, and was originally, that these transfers and changes shall not be put into effect without legislative approval.

     SECTION 2.  Section 37-74, Hawaii Revised Statutes, is amended by amending subsection (d) to read as follows:

     "(d)  No appropriation transfers or changes between programs or agencies shall be made without prior legislative authorization; provided that:

    [(1)  Authorized transfers or changes, when made, shall be reported to the legislature;

     (2)] (1)  Except with respect to appropriations to fund financing agreements under chapter 37D, the University of Hawaii shall have the flexibility to transfer appropriated funds and positions for the operating cost category among programs, among cost elements in a program, and between quarters, as applicable; except with respect to appropriations to fund financing agreements under chapter 37D, the department of education shall have the flexibility to transfer appropriated funds and positions for the operating cost category among programs and among cost elements in a program, and between quarters, as applicable; and the Hawaii health systems corporation and its regional system boards shall have the flexibility to transfer special fund appropriations among regional system hospital facilities as applicable and as mutually agreed to by the corporation and the respective regional system board; provided that the Hawaii health systems corporation and the regional system boards shall maintain the integrity and services of each individual regional system and shall not transfer appropriations out of any regional system that would result in a reduction of services offered by the regional system, with due regard for statutory requirements, changing conditions, the needs of the programs, and the effective utilization of resources; and

    [(3)] (2)  The university and the department of education shall account for each transfer implemented under this subsection in quarterly reports to the governor and annual reports at the end of each fiscal year to the legislature and the governor, which shall be prepared in the form and manner prescribed by the governor and shall include information on the sources and uses of the transfer."

     SECTION 3.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect upon its approval.