STAND. COM. REP. NO. 158

Honolulu, Hawaii

, 2005

RE: S.B. No. 1272

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Intergovernmental Affairs, to which was referred S.B. No. 1272 entitled:

"A BILL FOR AN ACT RELATING TO THE UTILIZATION OF FEDERAL FUNDS,"

begs leave to report as follows:

The purpose of this measure is to prohibit the Governor and Director of Finance from restricting any state agency's ability to expend federal grant moneys if the moneys have been approved by the granting federal agency.

Your Committee received testimony in opposition to this measure from the Department of Budget and Finance.

Notwithstanding the testimony of the Director of Finance that flexibility in determining whether and which federal funds should be expended on state programs, your Committee believes that federal funds should be expended by the State for its intended purpose. If the State does not desire to implement a program with federal funding, then the State should not apply for the federal grant in the first place.

As affirmed by the record of votes of the members of your Committee on Intergovernmental Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1272 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Intergovernmental Affairs,

____________________________

DAVID Y. IGE, Chair