THE SENATE

S.B. NO.

859

THIRTIETH LEGISLATURE, 2019

S.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO CAPITAL IMPROVEMENT PROJECTS.

 

 

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

 


PART I. GENERAL PROVISIONS

SECTION 1. SHORT TITLE. This Act shall be known and may be cited as the General Improvements Act of 2019.

SECTION 2. DEFINITIONS. Unless otherwise clear from the context, as used in this Act:

"Expending agency" means the executive department, independent commission, bureau, office, board, or other establishment of the state government (other than the legislature, office of Hawaiian affairs, and judiciary), the political subdivisions of the State, or any quasi‑public institution supported in whole or in part by state funds, which is authorized to expend specified appropriations made by this Act.

Abbreviations, where used to denote the expending agency, shall mean the following:

AGR Department of agriculture

AGS Department of accounting and general services

ATG Department of the attorney general

BED Department of business, economic development, and tourism

BUF Department of budget and finance

CCA Department of commerce and consumer affairs

DEF Department of defense

EDN Department of education

GOV Office of the governor

HHL Department of Hawaiian home lands

HMS Department of human services

HRD Department of human resources development

HTH Department of health

LBR Department of labor and industrial relations

LNR Department of land and natural resources

LTG Office of the lieutenant governor

PSD Department of public safety

SUB Subsidies

TAX Department of taxation

TRN Department of transportation

UOH University of Hawaii

CCH City and county of Honolulu

COH County of Hawaii

COK County of Kauai

COM County of Maui

"Means of financing" or "MOF" means the source from which funds are appropriated or authorized to be expended for the programs and projects specified in this Act. All appropriations are followed by letter symbols. The letter symbols, where used, shall have the following meanings:

A General funds

B Special funds

C General obligation bond fund

D General obligation bond fund with debt service cost to be paid from special funds

E Revenue bond funds

J Federal aid interstate funds

K Federal aid primary funds

L Federal aid secondary funds

M Federal aid urban funds

N Federal funds

P Other federal funds

R Private contributions

S County funds

T Trust funds

U Interdepartmental transfers

W Revolving funds

X Other funds

"Program ID" means the unique identifier for the specific program and consists of the abbreviation for the organization responsible for carrying out the program followed by the organization number for the program.

PART II. PROGRAM APPROPRIATIONS

SECTION 3. APPROPRIATIONS. The following sums, or so much thereof as may be sufficient to accomplish the purposes and programs designated herein, are hereby appropriated or authorized, as the case may be, from the means of financing specified to the expending agencies designated for the fiscal biennium beginning July 1, 2019, and ending June 30, 2021. The total expenditures and the number of positions in each fiscal year of the biennium shall not exceed the sums and the position ceilings indicated for each fiscal year, except as provided elsewhere in this Act or as provided by general law.


A. ECONOMIC DEVELOPMENT

1. BED105 - CREATIVE INDUSTRIES DIVISION

INVESTMENT CAPITAL BED 500,000C C

 

2. BED142 - GENERAL SUPPORT FOR ECONOMIC DEVELOPMENT

INVESTMENT CAPITAL BED 10,000,000C C

 

3. AGR131 - RABIES QUARANTINE

INVESTMENT CAPITAL AGS 200,000C C

 

4. AGR132 - ANIMAL DISEASE CONTROL

INVESTMENT CAPITAL AGS 500,000C C

 

5. LNR172 - FORESTRY - RESOURCE MANAGEMENT AND DEVELOPMENT

INVESTMENT CAPITAL LNR 453,000C 450,000C

 

6. AGR141 - AGRICULTURAL RESOURCE MANAGEMENT

INVESTMENT CAPITAL AGR 7,800,000C 10,600,000C

 

7. AGR161 - AGRIBUSINESS DEVELOPMENT AND RESEARCH

INVESTMENT CAPITAL AGR 50,400,000C C

 

8. AGR192 - GENERAL ADMINISTRATION FOR AGRICULTURE

INVESTMENT CAPITAL AGS 3,050,000C C

 

9. LNR153 - FISHERIES MANAGEMENT

INVESTMENT CAPITAL LNR 550,000C C

 

10. BED143 - HAWAII TECHNOLOGY DEVELOPMENT CORPORATION

INVESTMENT CAPITAL BED 70,725,000C C

 

11. BED145 - HAWAII STRATEGIC DEVELOPMENT CORPORATION

INVESTMENT CAPITAL BED 5,000,000C C

 

12. LNR141 - WATER AND LAND DEVELOPMENT

INVESTMENT CAPITAL LNR 3,000,000C 3,000,000C

 

13. BED160 - HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION

INVESTMENT CAPITAL BED 90,400,000C 78,600,000C

 


 

C. TRANSPORTATION FACILITIES

1. TRN102 - DANIEL K. INOUYE INTERNATIONAL AIRPORT

INVESTMENT CAPITAL TRN 184,400,000E 70,900,000E

TRN 70,000,000X X

 

2. TRN104 - GENERAL AVIATION

INVESTMENT CAPITAL TRN 8,450,000E E

TRN 5,001,000N N

 

3. TRN111 - HILO INTERNATIONAL AIRPORT

INVESTMENT CAPITAL TRN 800,000E 23,000,000E

 

4. TRN114 - ELLISON ONIZUKA KONA INTERNATIONAL AIRPORT AT KEAHOLE

INVESTMENT CAPITAL TRN 15,721,000E E

 

5. TRN131 - KAHULUI AIRPORT

INVESTMENT CAPITAL TRN 10,000,000E E

 

6. TRN133 - HANA AIRPORT

INVESTMENT CAPITAL TRN 400,000E 2,000,000E

 

7. TRN141 - MOLOKAI AIRPORT

INVESTMENT CAPITAL TRN 3,500,000E E

 

8. TRN151 - LANAI AIRPORT

INVESTMENT CAPITAL TRN 400,000E 2,000,000E

 

9. TRN161 - LIHUE AIRPORT

INVESTMENT CAPITAL TRN 12,000,000E 11,000,000E

 

10. TRN195 - AIRPORTS ADMINISTRATION

INVESTMENT CAPITAL TRN 4,250,000B B

TRN 198,300,000E 283,000,000E

TRN 3,000N 2,000N

TRN 10,750,000X X

 

11. TRN301 - HONOLULU HARBOR

INVESTMENT CAPITAL TRN 4,000B 4,000B

TRN 81,038,000E 26,488,000E

TRN 4,000N 4,000N

TRN 4,000R 4,000R

 

12. TRN303 - KALAELOA BARBERS POINT HARBOR

INVESTMENT CAPITAL TRN 4,000B 4,000B

TRN 39,988,000E 63,988,000E

TRN 4,000N 4,000N

TRN 4,000R 4,000R

 

13. TRN311 - HILO HARBOR

INVESTMENT CAPITAL TRN 4,000B 4,000B

TRN 4,988,000E 48,938,000E

TRN 4,000N 4,000N

TRN 4,000R 4,000R

 

14. TRN313 - KAWAIHAE HARBOR

INVESTMENT CAPITAL TRN 4,000B 4,000B

TRN 1,988,000E 6,988,000E

TRN 4,000N 4,000N

TRN 4,000R 4,000R

 

15. TRN331 - KAHULUI HARBOR

INVESTMENT CAPITAL TRN 4,000B 4,000B

TRN 41,988,000E 14,488,000E

TRN 4,000N 4,000N

TRN 4,000R 4,000R

 

16. TRN361 - NAWILIWILI HARBOR

INVESTMENT CAPITAL TRN 4,000B 4,000B

TRN 11,988,000E 2,988,000E

TRN 4,000N 4,000N

TRN 4,000R 4,000R

 

17. TRN363 - PORT ALLEN HARBOR

INVESTMENT CAPITAL TRN B 4,000B

TRN E 3,988,000E

TRN N 4,000N

TRN R 4,000R

 

18. TRN395 - HARBORS ADMINISTRATION

INVESTMENT CAPITAL TRN 4,000B 4,000B

TRN 16,992,000E 14,992,000E

TRN 4,000R 4,000R

 

19. TRN501 - OAHU HIGHWAYS

INVESTMENT CAPITAL TRN 5,200,000C C

TRN 18,750,000E 12,100,000E

TRN 44,600,000N 14,400,000N

 

20. TRN531 - MAUI HIGHWAYS

INVESTMENT CAPITAL TRN 4,550,000E 1,350,000E

TRN 7,400,000N 400,000N

 

21. TRN561 - KAUAI HIGHWAYS

INVESTMENT CAPITAL TRN 2,000,000C C

TRN 2,100,000E 5,700,000E

TRN N 6,400,000N

 

22. TRN595 - HIGHWAYS ADMINISTRATION

INVESTMENT CAPITAL TRN 16,000,000B B

TRN 20,800,000E 10,250,000E

TRN 50,801,000N 36,602,000N

 


 

D. ENVIRONMENTAL PROTECTION

1. HTH840 - ENVIRONMENTAL MANAGEMENT

INVESTMENT CAPITAL HTH 4,708,000C 4,708,000C

HTH 23,538,000N 23,538,000N

 

2. LNR402 - NATIVE RESOURCES AND FIRE PROTECTION PROGRAM

INVESTMENT CAPITAL LNR 2,000,000C 1,955,000C

 

3. LNR407 - NATURAL AREA RESERVES AND WATERSHED MANAGEMENT

INVESTMENT CAPITAL LNR 5,980,000C 5,287,000C

 

4. LNR906 - LNR - NATURAL AND PHYSICAL ENVIRONMENT

INVESTMENT CAPITAL LNR 1,500,000C C

 


 

E. HEALTH

1. HTH100 - COMMUNICABLE DISEASE AND PUBLIC HEALTH NURSING

INVESTMENT CAPITAL AGS 2,100,000C C

 

2. HTH211 - KAHUKU HOSPITAL

INVESTMENT CAPITAL HTH 1,055,000C C

 

3. HTH212 - HAWAII HEALTH SYSTEMS CORPORATION REGIONS

INVESTMENT CAPITAL HTH 8,200,000C 6,675,000C

 

4. HTH214 - MAUI HEALTH SYSTEM, A KFH LLC

INVESTMENT CAPITAL HTH 6,000,000C 6,000,000C

 

5. HTH430 - ADULT MENTAL HEALTH - INPATIENT

INVESTMENT CAPITAL AGS 1,920,000C C

 

6. HTH710 - STATE LABORATORY SERVICES

INVESTMENT CAPITAL AGS 4,683,000C 8,172,000C

 

7. HTH907 - GENERAL ADMINISTRATION

INVESTMENT CAPITAL AGS 3,592,000C 21,287,000C

 


 

F. SOCIAL SERVICES

1. HMS503 - HAWAII YOUTH CORRECTIONAL FACILITY (HYCF)

INVESTMENT CAPITAL AGS 2,525,000C C

 

2. DEF112 - SERVICES TO VETERANS

INVESTMENT CAPITAL AGS 31,783,000C C

DEF 1,000,000C C

DEF 8,263,000P P

 

3. HMS220 - RENTAL HOUSING SERVICES

INVESTMENT CAPITAL HMS 35,000,000C 35,000,000C

 

4. HHL602 - PLANNING AND DEVELOPMENT FOR HAWAIIAN HOMESTEADS

INVESTMENT CAPITAL HHL 12,500,000C 12,500,000C

 


 

G. FORMAL EDUCATION

1. EDN100 - SCHOOL-BASED BUDGETING

INVESTMENT CAPITAL AGS 15,980,000C C

EDN 287,810,000C 205,300,000C

 

2. EDN600 - CHARTER SCHOOLS

INVESTMENT CAPITAL EDN 10,100,000C 100,000C

 

3. EDN700 - EARLY LEARNING

INVESTMENT CAPITAL EDN 6,900,000C C

 

4. EDN407 - PUBLIC LIBRARIES

INVESTMENT CAPITAL AGS 13,000,000C 10,000,000C

 

5. UOH100 - UNIVERSITY OF HAWAII, MANOA

INVESTMENT CAPITAL UOH 24,000,000C 6,000,000C

 

6. UOH210 - UNIVERSITY OF HAWAII, HILO

INVESTMENT CAPITAL UOH 11,321,000C 8,000,000C

 

7. UOH700 - UNIVERSITY OF HAWAII, WEST OAHU

INVESTMENT CAPITAL UOH 1,000,000C 1,000,000C

 

8. UOH800 - UNIVERSITY OF HAWAII, COMMUNITY COLLEGES

INVESTMENT CAPITAL UOH 44,000,000C 14,500,000C

 

9. UOH900 - UNIVERSITY OF HAWAII, SYSTEMWIDE SUPPORT

INVESTMENT CAPITAL UOH 60,000,000C 65,000,000C

UOH 20,000,000E E

 


 

H. CULTURE AND RECREATION

1. AGS881 - STATE FOUNDATION ON CULTURE AND THE ARTS

INVESTMENT CAPITAL AGS B 1,200,000B

 

2. LNR802 - HISTORIC PRESERVATION

INVESTMENT CAPITAL LNR 300,000C C

 

3. LNR804 - FOREST AND OUTDOOR RECREATION

INVESTMENT CAPITAL LNR 450,000C 500,000C

 

4. LNR806 - PARKS ADMINISTRATION AND OPERATION

INVESTMENT CAPITAL LNR 3,500,000C 4,450,000C

LNR 500,000N 500,000N

 

5. LNR801 - OCEAN-BASED RECREATION

INVESTMENT CAPITAL LNR 5,000,000C 1,500,000C

 

6. AGS889 - SPECTATOR EVENTS AND SHOWS - ALOHA STADIUM

INVESTMENT CAPITAL AGS 10,000C 10,000C

 


 

I. PUBLIC SAFETY

1. PSD900 - GENERAL ADMINISTRATION

INVESTMENT CAPITAL AGS C 1,000C

 

2. DEF110 - AMELIORATION OF PHYSICAL DISASTERS

INVESTMENT CAPITAL AGS 2,500,000C 3,000,000C

DEF 313,000C 2,223,000C

DEF P 7,456,000P

 


 

K. GOVERNMENT-WIDE SUPPORT

1. AGS130 - ENTERPRISE TECHNOLOGY SERVICES - GOVERNANCE AND INNOVATION

INVESTMENT CAPITAL AGS 1,800,000C C

 

2. AGS131 - ENTERPRISE TECHNOLOGY SERVICES - OPERATIONS AND INFRASTRUCTURE MAINTENANCE

INVESTMENT CAPITAL AGS 2,690,000C 3,000,000C

 

3. AGS111 - ARCHIVES - RECORDS MANAGEMENT

INVESTMENT CAPITAL AGS 1,150,000C C

 

4. LNR101 - PUBLIC LANDS MANAGEMENT

INVESTMENT CAPITAL LNR 1,000,000B 1,500,000B

LNR 3,250,000C 5,850,000C

LNR 1,250,000R 3,000,000R

LNR T 4,000,000T

 

5. AGS221 - PUBLIC WORKS - PLANNING, DESIGN, AND CONSTRUCTION

INVESTMENT CAPITAL AGS 30,089,000C C

 

6. AGS233 - CENTRAL SERVICES - BUILDING REPAIRS AND ALTERATIONS

INVESTMENT CAPITAL AGS 300,000C 2,000,000C

 

7. SUB201 - CITY AND COUNTY OF HONOLULU

INVESTMENT CAPITAL CCH 9,750,000C C

 

8. SUB301 - COUNTY OF HAWAII

INVESTMENT CAPITAL COH 10,700,000C 11,300,000C

 

9. SUB501 - COUNTY OF KAUAI

INVESTMENT CAPITAL COK C 500,000C



PART III. CAPITAL IMPROVEMENT PROJECTS

SECTION 4. CAPITAL IMPROVEMENT PROJECTS AUTHORIZED. The sums appropriated or authorized in part II of this Act for capital improvements shall be expended for the projects listed below. Accounting of the appropriations by the department of accounting and general services shall be based on the projects as the projects are listed in this section. Several related or similar projects may be combined into a single project if the combination is advantageous or convenient for implementation; provided that the total cost of the projects thus combined shall not exceed the total of the sum specified for the projects separately. (The amount after each cost element and the total funding for each project listed in this part are in thousands of dollars).


A. ECONOMIC DEVELOPMENT

 

B. EMPLOYMENT

 

C. TRANSPORTATION FACILITIES

 

D. ENVIRONMENTAL PROTECTION

 

E. HEALTH

 

F. SOCIAL SERVICES

 

G. FORMAL EDUCATION

 

H. CULTURE AND RECREATION

 

I. PUBLIC SAFETY

 

J. INDIVIDUAL RIGHTS

 

K. GOVERNMENT-WIDE SUPPORT

 


PART IV. CAPITAL IMPROVEMENT PROGRAM PROVISIONS

SECTION 5. There is appropriated out of the dwelling unit revolving fund the sum of $4,000,000 or so much thereof as may be necessary for fiscal year 2019-2020 to purchase the ground lease for the Front Street Apartments affordable housing project in Lahaina, Maui.

The sum appropriated shall be expended by the Hawaii housing finance and development corporation for the purposes of this Act.

SECTION 6. Section 30 of part IV, Act 49, Session Laws of Hawaii 2017, as amended and renumbered by section 5 of Act 53, Session Laws of Hawaii 2018, is amended by amending Item A-17.01 to read as follows:

"17.01. AGRICULTURAL LAND, OAHU

 

PLANS, ACQUISITION [OF EASEMENTS FOR DEEP WELLS AND ACQUISITION] OF LANDS ON OAHU: TMK [6-5-002-006; 6-5-002-008; 6-5-002-027; 6-5-002-028 IN KAMANANUI, OAHU, AND DESIGN FOR DEEP WELLS AND LAND ACQUISITIONS FOR CULTIVATION AND IRRIGATION OF GALBRAITH, KAMANANUI, AND PAALAA UKA LANDS.] 6-5-001-044; 6-5-001-014, AND PLANS AND ACQUISITION OF EASEMENTS FOR DEEP WELLS ON OAHU: TMK 6-4-003-022.

PLANS [2,350] 1

LAND [2,350] 4,699

TOTAL FUNDING AGR C 4,700 C"

 

SECTION 7. Any law to the contrary notwithstanding, the appropriations under Act 119, Session Laws of Hawaii 2015, section 47, as amended and renumbered by Act 124, Session Laws of Hawaii 2016, section 5, in the amounts indicated or balances thereof, unallotted, allotted, unencumbered, or encumbered and unrequired, are hereby lapsed:

"Item No. Amount (MOF)

A-5 3,547,371 C"

SECTION 8. Any law to the contrary notwithstanding, the appropriations under Act 162, Session Laws of Hawaii 2009, section 62, as amended and renumbered by Act 180, Session Laws of Hawaii 2010, section 5, in the amounts indicated or balances thereof, unallotted, allotted, unencumbered, or encumbered and unrequired, are hereby lapsed:

"Item No. Amount (MOF)

B-6 675,000 C

B-9.02 326,104 C"

SECTION 9. Any law to the contrary notwithstanding, the appropriations under Act 164, Session Laws of Hawaii 2011, section 36, as amended and renumbered by Act 106, Session Laws of Hawaii 2012, section 5, in the amounts indicated or balances thereof, unallotted, allotted, unencumbered, or encumbered and unrequired, are hereby lapsed:

"Item No. Amount (MOF)

B-5 1,298,000 C"

SECTION 10. Any law to the contrary notwithstanding, the appropriations under Act 134, Session Laws of Hawaii 2013, section 39, as amended and renumbered by Act 122, Session Laws of Hawaii 2014, section 5, in the amounts indicated or balances thereof, unallotted, allotted, unencumbered, or encumbered and unrequired, are hereby lapsed:

"Item No. Amount (MOF)

B-20.11 2,000,000 C

B-20.04 600,000 C

B-20.07 200,000 C

B-20.12 350,000 C"

SECTION 11. Any law to the contrary notwithstanding, the appropriations under Act 119, Session Laws of Hawaii 2015, section 47, as amended and renumbered by Act 124, Session Laws of Hawaii 2016, section 5, in the amounts indicated or balances thereof, unallotted, allotted, unencumbered, or encumbered and unrequired, are hereby lapsed:

"Item No. Amount (MOF)

B-5.04 95,000 C"

SECTION 12. Any law to the contrary notwithstanding, the appropriations under Act 49, Session Laws of Hawaii 2017, section 30, as amended and renumbered by Act 53, Session Laws of Hawaii 2018, section 5, in the amounts indicated or balances thereof, unallotted, allotted, unencumbered, or encumbered and unrequired, are hereby lapsed:

"Item No. Amount (MOF)

B-10 605,000 C"


PART V. ISSUANCE OF BONDS

SECTION 13. AIRPORT REVENUE BONDS. The department of transportation may issue airport revenue bonds for airport capital improvement projects authorized in part II and listed in part III of this Act and designated to be financed by revenue bond funds or by general obligation bond funds with debt service cost to be paid from special funds, in a principal amount as shall be required to yield the amounts appropriated for the capital improvement projects, and, if so determined by the department and approved by the governor, any additional principal amount as may be necessary by the department to pay interest on the airport revenue bonds during the estimated period of construction of the capital improvement projects for which the airport revenue bonds are issued, to establish, maintain, or increase reserves for the airport revenue bonds and to pay the expenses of issuance of the bonds. The airport revenue bonds shall be issued pursuant to the provisions of part III of chapter 39, Hawaii Revised Statutes, as amended. The principal of and interest on airport revenue bonds, to the extent not paid from the proceeds of the bonds, shall be payable solely from and secured solely by the revenues from airports and related facilities under the ownership of the State or operated and managed by the department and the aviation fuel taxes levied and paid pursuant to sections 243-4(a)(2) and 248-8, Hawaii Revised Statutes, or the parts of either thereof as the department may determine, including rents, landing fees, and other fees or charges presently or hereafter derived from or arising through the ownership, operation, and management of airports and related facilities and the furnishing and supplying of the services thereof, and passenger facility charges pursuant to section 261-5.5, Hawaii Revised Statutes, as amended, as determined by the department. The expenses of the issuance of the airport revenue bonds, to the extent not paid from the proceeds of the bonds, shall be paid from the airport revenue fund and passenger facility charge special fund as determined by the department.

The governor, in the governor's discretion, may use the airport revenue fund and passenger facility charge special fund to finance those projects authorized in part II and listed in part III of this Act where the method of financing is designated to be by airport revenue bond funds; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of regular sessions 2020 and 2021.

SECTION 14. RENTAL MOTOR VEHICLE CUSTOMER FACILITY REVENUE BONDS. The department of transportation may issue rental motor vehicle customer facility revenue bonds for airport capital improvement projects relating to consolidated rental car facilities authorized in part II and listed in part III of this Act and designated to be financed by revenue bond funds with debt service cost to be paid from the rental motor vehicle customer facility charge special funds, as authorized by section 261-5.6, Hawaii Revised Statutes, in a principal amount as shall be required to yield the amounts appropriated for the capital improvement projects, and, if so determined by the department and approved by the governor, any additional principal amount as may be necessary by the department to pay interest on the rental motor vehicle customer facility revenue bonds during the estimated period of construction of the capital improvement projects for which the rental motor vehicle customer facility revenue bonds are issued, to establish, maintain, or increase reserves for the rental motor vehicle customer facility revenue bonds and to pay the expenses of issuance of the bonds. The rental motor vehicle customer facility revenue bonds shall be issued pursuant to the provisions of part III of chapter 39, Hawaii Revised Statutes, as amended. The principal of and interest on rental motor vehicle customer facility revenue bonds, to the extent not paid from the proceeds of the bonds, shall be payable solely from and secured solely by the revenues from the rental motor vehicle surcharge tax and the rental motor vehicle customer facility charge special fund pursuant to section 261-5.6, Hawaii Revised Statutes, as amended, as determined by the department. The expenses of the issuance of the rental motor vehicle customer facility revenue bonds, to the extent not paid from the proceeds of the bonds, shall be paid from the rental motor vehicle customer facility charge special fund as determined by the department.

The governor, in the governor's discretion, may use the rental motor vehicle customer facility charge special fund to finance those projects authorized in part II and listed in part III of this Act where the method of financing is designated to be by rental motor vehicle customer facility revenue bond funds; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 15. HARBOR REVENUE BONDS. The department of transportation may issue harbor revenue bonds for harbor capital improvement projects authorized in part II and listed in part III of this Act and designated to be financed by revenue bond funds or by general obligation bond funds with debt service cost to be paid from special funds, in a principal amount as shall be required to yield the amounts appropriated for the capital improvement projects, and, if so determined by the department and approved by the governor, any additional principal amount as may be deemed necessary by the department to pay interest on the revenue bonds during the estimated construction period of the capital improvement projects for which the harbor revenue bonds are issued to establish, maintain, or increase reserves for the harbor revenue bonds or harbor revenue bonds heretofore authorized (whether authorized and issued or authorized and still unissued), and to pay the expenses of issuance of the bonds. The harbor revenue bonds shall be issued pursuant to the provisions of part III of chapter 39, Hawaii Revised Statutes, as amended. The principal of and interest on harbor revenue bonds, to the extent not paid from the proceeds of the bonds, shall be payable solely from and secured solely by the revenues derived from harbors and related facilities under the ownership of the State or operated and managed by the department, including rents, mooring, wharfage, dockage, port entry fees, and other fees or charges presently or hereafter derived from or arising through the ownership, operation, and management of harbor and related facilities and the furnishing and supplying of the services thereof. The expenses of the issuance of the harbor revenue bonds, to the extent not paid from the proceeds of the bonds, shall be paid from the harbor special fund.

The governor, in the governor's discretion, may use the harbor revenue fund to finance those projects authorized in part II and listed in part III of this Act where the method of financing is designated to be by harbor revenue bond funds; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 16. HIGHWAY REVENUE BONDS. The department of transportation may issue highway revenue bonds for highway capital improvement projects authorized in part II and listed in part III of this Act and designated to be financed by revenue bond funds or by general obligation bond funds with the debt service cost to be paid from special funds, in a principal amount as shall be required to yield the amounts appropriated for the capital improvement projects, and, if so determined by the department and approved by the governor, any additional principal amount as may be deemed necessary by the department to pay interest on the highway revenue bonds during the estimated period of construction of the capital improvement projects for which the highway revenue bonds are issued, to establish, maintain, or increase reserves for the highway revenue bonds or highway revenue bonds heretofore authorized (whether authorized and issued or authorized and still unissued), and to pay all or any part of the expenses related to the issuance of the highway revenue bonds. The highway revenue bonds shall be issued pursuant to the provisions of part III of chapter 39, Hawaii Revised Statutes, as amended. The principal of and interest on the highway revenue bonds, to the extent not paid from the proceeds of the highway revenue bonds, shall be payable from and secured by the revenues derived from highways and related facilities under the ownership of the State or operated and managed by the department; from the highway fuel taxes, vehicle weight taxes, and vehicle registration fees levied and paid pursuant to sections 243-4, 248-8, 249-31, and 249-33, Hawaii Revised Statutes; from federal moneys received by the State or any department thereof that are available to pay principal of or interest on indebtedness of the State, or the part of any thereof as the department may determine; and from other user taxes, fees, or charges currently or hereafter derived from or arising through the ownership, operation, and management of highways and related facilities and the furnishing and supplying of the services thereof. The expenses related to the issuance of the highway revenue bonds, to the extent not paid from the proceeds of the bonds, shall be paid from the state highway fund.

The governor, in the governor's discretion, may use the state highway fund to finance those projects authorized in part II and listed in part III of this Act where the method of financing is designated to be by highway revenue bond funds; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

PART VI. SPECIAL PROVISIONS


SECTION 17. GOVERNOR'S DISCRETIONARY POWERS. Any law or provision to the contrary notwithstanding, the governor may replace general obligation bond funds appropriated for capital improvement projects with general obligation reimbursable bond funds, when the expenditure of the general obligation reimbursable bond funds is deemed appropriate for the project; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 18. All general obligation bond funds used for a public undertaking, improvement, or system designated by the letter (D) shall have the bond principal and interest reimbursed from the special fund in which the net revenue, net user tax receipts, or combination of both of the public undertaking, improvement, or system are deposited or credited. Bonds issued for irrigation and housing projects shall be reimbursed as provided by section 174-21 and chapter 201H, Hawaii Revised Statutes, respectively.

The governor, in the governor's discretion, may use the state highway fund, the harbor special fund, the boating special fund, the airport revenue fund, the special land and development fund, or other appropriate special funds to finance the respective public undertaking, improvement, or system described above and authorized in this Act, where the method of financing is designated to be general obligation bond fund with debt service cost to be paid from the funds; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 19. If the authorized appropriations specified for capital improvement projects listed in this Act are insufficient and where the source of funding is designated as special funds, general obligation bond fund with debt service cost to be paid from special funds, revenue bond funds, or revolving funds, the governor may make supplemental allotments from the special fund or revolving fund responsible for cash or debt service payments for the projects or transfer unrequired balances from other unlapsed projects in this Act or prior appropriation acts that authorized the use of special funds, general obligation bond fund with debt service costs to be paid from special funds, revenue bond funds, or revolving funds; provided that the supplemental allotments shall not be used to increase the scope of the project; provided further that the supplemental allotments shall not impair the ability of the fund to meet the purposes for which it was established; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 20. If the authorized appropriations specified for capital improvement projects listed in this Act are insufficient and where the source of funding is designated as airport passenger facility charge funds, the governor may make supplemental allotments from the airport revenue fund or airport revenue bond funds, or transfer unrequired balances from other unlapsed projects in this Act or prior appropriation acts that authorized the use of airport passenger facility charge funds; provided that the supplemental allotments shall not be used to increase the scope of the project; provided further that the supplemental allotments shall not impair the ability of the fund to meet the purposes for which it was established; provided further that the governor, at the governor's discretion, may increase the passenger facility charge fund authorization ceiling for the program to accommodate the expenditure of the funds; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 21. The governor may supplement funds for any cost element for capital improvement projects authorized under this Act by transferring sums as may be needed from the funds appropriated for other cost elements of the same project by this Act or any other prior or future act that has not lapsed; provided that the total expenditure of funds for all cost elements shall not exceed the total appropriations for that project; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 22. After the objectives and purposes of appropriations made in this Act from the general obligation bond fund for capital improvement projects have been met, unrequired balances, except those from university of Hawaii projects, shall be transferred to the project adjustment fund appropriated in part II and described in part III of this Act, and shall be considered a supplementary appropriation thereto; provided that all other unrequired allotment balances, unrequired appropriation balances, and unrequired encumbrance balances shall lapse as of June 30, 2022, as provided in section 27 of this Act; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 23. If authorized appropriations specified for capital improvement projects listed in this Act or in any other act currently authorized by the legislature are insufficient, and where the source of funding for the project is designated as general obligation bond funds, the governor may make supplemental allotments from the project adjustment fund appropriated in part II and described in part III of this Act to supplement any currently authorized capital investment cost elements; provided that the supplemental allotments from the project adjustment fund shall not be used to increase the scope of the project; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 24. If currently authorized appropriations specified for capital investment purposes listed in this Act or in any other act currently authorized by the legislature are insufficient, and where the source of funding for the project is designated as the state educational facilities improvement special fund, the governor may make supplemental allotments from the special funded project adjustment fund for state educational facilities; provided that the supplemental allotments from the special funded project adjustment fund for state educational facilities shall not be used to increase the scope of the project and may only be made to supplement currently authorized capital investment project cost elements; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 25. After the objectives and purposes of appropriations made in this Act from the general obligation bond fund for capital improvement projects for the university of Hawaii have been met, unrequired balances shall be transferred to the university of Hawaii project adjustment fund appropriated in part II and described in part III of this Act, and shall be considered a supplementary appropriation thereto; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 26. If authorized appropriations specified for university of Hawaii capital improvement projects listed in this Act or in any other Act currently authorized by the legislature are insufficient, and where the source of funding for the project is designated as general obligation bond funds, the governor may make supplemental allotments from the university of Hawaii project adjustment fund appropriated in part II and described in part III of this Act to supplement any currently authorized capital investment cost elements; provided that the supplemental allotments from the project adjustment fund shall not be used to increase the scope of the project; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 27. Any provision of this Act to the contrary notwithstanding, the appropriations made for capital improvement projects authorized under this Act shall not lapse at the end of the fiscal biennium for which the appropriation is made; provided that all appropriations made to be expended in fiscal biennium 2019-2021 that are unencumbered as of June 30, 2022, shall lapse as of that date; provided further that this lapsing date shall not apply to:

(1) Appropriations for projects where the means of financing is the state educational facilities improvement special fund, where the appropriations have been authorized for more than three years for the construction or acquisition of public school facilities; or

(2) Nongeneral fund appropriations for projects described in part III of this Act where the appropriations have been deemed necessary to qualify for federal aid financing and reimbursement; provided further that appropriations that are unencumbered as of June 30, 2026, shall lapse as of that date.

SECTION 28. Where it has been determined that changed conditions, such as a reduction in the particular population being served, permit the reduction in the scope of a capital improvement project described in this Act, the governor may authorize a reduction of project scope; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 29. In releasing funds for capital improvement projects, the governor shall consider legislative intent and the objectives of the user agency and its programs; the scope and level of the user agency's intended service; and the means, efficiency, and economics by which the project will meet the objectives of the user agency and the State; provided that agencies responsible for construction shall take into consideration legislative intent, the objectives of the user agency and its programs, and the scope and level of the user agency's intended service and construct the improvement to meet the objectives of the user agency in the most efficient and economical manner possible.

SECTION 30. With the approval of the governor, designated expending agencies for capital improvement projects authorized in this Act may delegate to other state or county agencies the implementation of projects when it is determined advantageous to do so by both the original expending agency and the agency to which expending authority is to be delegated; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 31. Where county capital improvement projects are partially or totally funded by state grants as authorized in this Act or any other act of the legislature, this fact should be appropriately acknowledged during construction and upon completion of these projects.

SECTION 32. The governor may authorize the expenditure of funds for capital improvement projects not previously authorized in this Act to cope with the effects of natural disasters or unforeseen emergencies when the effects of the natural disasters or unforeseen emergencies create an urgent need to pursue a course of action that is in the best interest of the State; provided that no funds shall be expended without a formal declaration of a natural disaster or emergency by the governor; provided further that the governor shall use the project adjustment fund authorized in part II and described in part III to accomplish the purposes of this section; provided further that the governor shall notify the legislature within five days of each use of this authority and submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 33. Any provision in part IV of this Act to the contrary notwithstanding, the governor may transfer savings or unrequired balances as may be available from the appropriated funds of any program in this Act to supplement the appropriation for any other program in this Act to cope with the effects of natural disasters or other unforeseen emergencies; provided that the effects of natural disasters or emergencies create an urgent need to pursue a course of action that is in the best interest of the State; provided further that the use of the funds does not conflict with general law; provided further that no funds shall be expended without a formal declaration of a natural disaster or emergency by the governor; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 34. No appropriation authorized in this Act for expenditure by a political subdivision of this State shall be considered to be a mandate to undertake new programs or to increase the level of services under existing programs of that political subdivision. If any appropriation authorized in this Act constitutes such a mandate within the provisions of section 5 of article VIII of the Hawaii State Constitution, the authorization shall be void and, in the case of capital improvement appropriations designated to be financed from the general obligation bond fund, the total general obligation bonds authorized for the projects shall be correspondingly decreased.

SECTION 35. Whenever the expending agency to which an appropriation is made is changed due to legislation enacted during any session of the legislature that affects the appropriations made by this Act, the governor shall transfer the necessary funds and positions to the proper expending agency as provided by law.

SECTION 36. If the State should assume the direct operation of any non-governmental agency receiving state funds under the provisions of this Act, all related state funds shall constitute a credit to the State against the costs of acquiring all or any portion of the property, real, personal, or mixed, of the non-governmental agency. This credit shall be applicable regardless of when the acquisition takes place.

SECTION 37. If unanticipated federal funding cutbacks diminish or curtail essential, federally funded state programs, the governor may utilize savings as determined to be available from other state programs for the purpose of maintaining the programs until the next legislative session; provided that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 38. The governor may approve the expenditure of all federal funds that are in excess of levels authorized by the legislature; provided that the governor may allow for an increase in the appropriate federal fund authorization ceiling for the program to accommodate the expenditure of the funds; provided further that the governor shall notify the legislature within five days of each use of this authority and submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 39. Any provision of this Act to the contrary notwithstanding, the governor may approve the extension of the lapse dates for federal fund or other federal fund appropriations and appropriations of other means of financing, except general funds, deemed necessary to qualify for federal aid financing or reimbursement, or both, provided in this Act or authorized by the governor pursuant to section 38 of this Act as necessary to meet the intent of the federal grant awards.

SECTION 40. Where an agency is authorized to secure funds or other property from private organizations or individuals to be expended or utilized in connection with any authorized program, the agency, with the governor's approval, may enter into the undertaking; provided that the provisions of the undertaking comply with applicable state constitutional and statutory requirements; provided further that the governor shall submit a report to the legislature of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

SECTION 41. Except as otherwise provided by general law, negotiations for the purchase of land by state agencies shall be subject to the approval of the governor and the department of land and natural resources or other appropriate agency; provided that private lands may be acquired for the purpose of exchange for federal lands when the department of land and natural resources and the governor determine that the acquisition and exchange are necessary for the completion of any project specifically authorized by this Act.

SECTION 42. With the approval of the governor, expending agencies that use appropriations authorized in part II of this Act for planning, land acquisition, design, construction, and equipment for repair and alterations may delegate that responsibility and transfer funds to public works planning, design, and construction (AGS221) for the implementation of the repair and alterations when it is determined by the agencies that it is advantageous to do so; provided that the governor shall submit to the legislature a summary report of all uses of this authority for the previous twelve month period from December 1 to November 30 no later than thirty days prior to the convening of the regular sessions of 2020 and 2021.

PART VII. MISCELLANEOUS AND EFFECTIVE DATE

SECTION 43. If any portion of this Act or its application to any person, entity, or circumstance is held to be invalid for any reason, the legislature declares that the remainder of the Act and each and every other provision thereof shall not be affected thereby. If any portion of a specific appropriation is held to be invalid for any reason, the remaining portion shall be expended to fulfill the objective of the appropriation to the extent possible.

SECTION 44. If manifest clerical, typographical, or other mechanical errors are found in this Act, the governor is hereby authorized to correct the errors.

SECTION 45. This Act shall take effect on January 7, 2059.



 

Report Title:

CIP; General Obligation Bonds; Executive Branch; Appropriations

 

Description:

Authorizes funds for capital improvement projects for the fiscal biennium 2019-2021. Effective 1/7/2059. (SD1)

 

 

 

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