HOUSE OF REPRESENTATIVES

H.B. NO.

2176

TWENTY-SIXTH LEGISLATURE, 2012

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to efficiency in government.

 

 

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

 


     SECTION 1.  The legislature finds that Lean Six Sigma is a business management strategy that is widely used in many sectors of private industry.  Lean Six Sigma methods also have potential for application to government.  Lean Six Sigma is a rigorous, data-driven, results-oriented approach to process improvement.  The process seeks to find inefficiencies in operations and eliminate those inefficiencies, leaving a more streamlined system for performing government functions and delivering government services.

     The legislature finds that Lean Six Sigma has been successfully used in government to eliminate waste and inefficiency.  In February 2000, Fort Wayne, Indiana, implemented Six Sigma in that city's government.  Since then, costs have decreased, customer service and productivity have improved, and sixty projects have been completed resulting in more than $10,000,000 in savings for the city.  In 2008, Erie County, New York, incorporated Lean Six Sigma into its county government structure by creating a Six Sigma office that trains and advises department heads and agency staff on Lean Six Sigma methods.  Use of Lean Six Sigma in Erie County has shown results by cutting spending and waste among county agencies, which resulted in a modest budget surplus in 2009.

     The legislature finds that in each of the past three fiscal years state revenue has declined, resulting in budget shortfalls.  These economic difficulties present the State with an opportunity to reevaluate and restructure operationally and organizationally to do more with fewer resources.  Lean Six Sigma has the potential to help Hawaii state government identify inefficiencies in its processes and improve its operations and means of delivering services to the public.

     The purpose of this Act is to create a Lean Six Sigma task force to evaluate state government using Lean Six Sigma methods and recommend operational changes that will improve efficiency and create savings.

     SECTION 2.  (a)  There is created the Lean Six Sigma task force, to be placed within the department of accounting and general services for administrative purposes only.

     (b)  The Lean Six Sigma task force shall use Lean Six Sigma methodologies to:

     (1)  Analyze current operations and organization of state government;

     (2)  Identify inefficiencies in government operations; and

     (3)  Recommend improvements that will increase government efficiency and improve the delivery of government services.

     (c)  Members of the Lean Six Sigma task force shall be appointed by the governor and, except as provided in this section, shall consist of a representative of each executive department.  The governor shall appoint, as chairperson of the Lean Six Sigma task force, an individual who is familiar with Lean Six Sigma methods, provided that the chairperson may be appointed from the private sector.

     (d)  The Lean Six Sigma task force shall report its findings and recommendations, including any proposed legislation, to the legislature no later than December 31, 2012.  The task force shall be dissolved on June 30, 2013.

     SECTION 3.  (a)  The legislature shall consider the recommendations of the Lean Six Sigma task force during the regular session of 2013.

     (b)  Notwithstanding any provision of law to the contrary, recommendations of the Lean Six Sigma task force shall be adopted and implemented by the applicable government agencies, unless those recommendations are rejected or invalidated by a concurrent resolution that is adopted by a two-thirds majority of each chamber of the legislature.

     (c)  State government agencies that implement any recommendation of the Lean Six Sigma task force shall retain any cost savings that result from the implementation of the recommendation in their annual operating budget for the year following implementation.

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

 

INTRODUCED BY:

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Report Title:

Government Efficiency

 

Description:

Creates a Lean Six Sigma task force to make recommendations for improving state government efficiency.

 

 

 

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