THE SENATE

S.B. NO.

105

TWENTY-EIGHTH LEGISLATURE, 2015

S.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO THE BUDGET.

 

 

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

 


SECTION 1. The purpose of this Act is to address the state budget.

More specifically, this Act requires information on the estimated future debt service for a proposed capital improvement project to be included in the budget documents submitted to the legislature. The legislature finds that the information is necessary to make the best decisions regarding the funding of proposed capital improvement projects.

The legislature intends that this Act also apply to the judiciary budget by operation of section 601-2, Hawaii Revised Statutes.

SECTION 2. Section 37-68, Hawaii Revised Statutes, is amended to read as follows:

"37-68 Responsibilities of agencies. (a) Under rules as may be prescribed by the director of finance with the approval of the governor:

(1) Each agency assigned the task of developing programs and preparing program and financial plans, budgetary requests, and program performance reports shall develop the programs and prepare the plans, requests, and reports and submit the same to the director of finance at times, on forms, and in a manner as the director may prescribe. For informational purposes, the University of Hawaii shall submit its program and financial plans, budgetary requests, and program performance reports to the legislature at the same time the university submits them to the director of finance. Where new programs are being proposed, each agency shall demonstrate that the program:

(A) Is an appropriate function of state government; and, as applicable

(B) Can be implemented by the public sector as cost-effectively as the private sector while meeting the same plans, goals, objectives, standards, measures of effectiveness, wage, salary, conditions of employment, and employee benefit programs of the State;

(2) Each agency administering state programs and each agency responsible for the formulation of programs and the preparation of program and financial plans, budgetary requests, and program performance reports, shall furnish the department of budget and finance all documents and information as the department may from time to time require. Each agency shall make available all documents and information, as may be requested, to the legislature and any member or committee of either house of the legislature;

(3) The director of finance or any employee of the department of budget and finance, when duly authorized, for the purpose of securing information, shall have access to and may examine any books, documents, papers, or records of any agency; and

(4) Each agency submitting a capital improvement project proposal shall furnish the department of budget and finance with an estimate of operational costs for the proposed capital improvement project and all documents that support the estimate of operational costs. Each agency shall make available all documents and related information, as may be requested, to the legislature and any member or committee of either house.

(b) The director of finance shall include, in the six-year program and financial plan and budget submitted before each odd-numbered year and supplemental budget submitted before each even-numbered year, a summary of the following:

(1) The projected annual debt service for bonds intended to finance capital improvement projects, appropriations for which are proposed during the six fiscal years covered by the financial plan and budget or supplemental budget, as applicable. The information shall be listed from the fiscal year of the first debt service payment on the bonds until the fiscal year of the last debt service payment on the bonds;

(2) The projected annual debt service for bonds used or planned to be used to finance capital improvement projects, appropriations for which were made before the first fiscal year covered by the financial plan and budget or supplemental budget, as applicable. The information shall be listed for the same fiscal years required under paragraph (1); and

(3) The sum of the projected annual debt service under paragraphs (1) and (2) for the same fiscal years required under paragraph (1).

The summary shall categorize the information by program, bond category, and means of financing for the debt service payments.

The summary required by this subsection shall be in addition to any other information on the debt ceiling; authorized, issued, and outstanding bonds; or debt service payment schedule that the director of finance is required to include in the six-year program and financial plan and budget or supplemental budget."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect on July 1, 2016.


 


 

Report Title:

Budget Documents; CIP Estimated Debt Service

 

Description:

Requires the inclusion, in the six-year program and financial plan and budget, of a summary of the annual debt service for bonds issued to finance capital improvement projects. States intent that the provisions also apply to the judiciary budget by operation of existing law. Effective 07/01/16. (SD1)

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.