Report Title:

DHS; General Assistance Program; Carryover Funds

 

Description:

Allows DHS to carryover funds from general assistance.

 

HOUSE OF REPRESENTATIVES

H.B. NO.

1568

TWENTY-FIRST LEGISLATURE, 2001

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO THE DEPARTMENT OF HUMAN SERVICES.

 

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

SECTION 1. The legislature finds that Act 166, Session Laws of Hawaii 1995, removed the entitlement status from the general assistance program, appropriated a "block grant" for the department of human services to dispense, and delegated authority to the director of human services to determine the benefit amount for this program, based upon the total appropriation and the number of individuals needing assistance. The legislature recognizes that, because the department serves a constantly fluctuating population needing assistance, the monthly payment to eligible individuals fluctuates based upon the number of individuals requiring assistance per month. The department estimates what the monthly benefit will be, based upon assistance issued in the past three months and the amount of the appropriation remaining unexpended, with a per person per month cap of $418.

The legislature finds that this process has resulted in: administrative problems for the department; insecurities for individuals requiring assistance because they are not able to anticipate the amount of money they will receive from month to month; and the reversion to the general fund at the end of the fiscal year of any fund balance remaining because of the difficulty in determining the monthly assistance payments. The legislature further finds that authorizing the department to carryover funds not expended in each fiscal year would: significantly simplify the administration of this program; provide more stability for the individuals requiring assistance, by reducing the need to adjust the monthly payments; and facilitate the department's ability to provide some much needed services for these individuals.

Accordingly, the purpose of this Act is to allow the department of human services to retain and carryover funds from the general assistance block grant appropriation, not expended in the current fiscal year, for future benefits and services for individuals receiving general assistance.

SECTION 2. Chapter 37, Hawaii Revised Statutes, is amended by adding a new section to part III to be appropriately designated and to read as follows:

"§37-    Department of human services; carryover of funds. (a) The department of human services may retain any appropriation for general assistance to households without minor dependents at the close of each fiscal year and the funds retained shall not lapse until June 30 of the first fiscal year of the next fiscal biennium; provided that the funds shall first be expended on each eligible recipient to the maximum provided by law.

(b) The department of human services shall submit a report to the director of finance, by the close of each fiscal year, identifying the total amount of funds that will carry over to the next fiscal year. The department of human services shall submit a copy of this report to the legislature at least twenty days prior to the convening of the next regular session of the legislature.

(c) Any appropriation retained in accordance with subsection (a) shall be used exclusively for case management general assistance to households without minor dependents; provided that the retention of an appropriation shall not be used as a basis for reducing future budget requirements."

SECTION 3. New statutory material is underscored.

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

INTRODUCED BY:

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