HOUSE OF REPRESENTATIVES

H.B. NO.

1367

TWENTY-NINTH LEGISLATURE, 2017

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

Related to Homeless Programs.

 

 

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

 


     SECTION 1.  The purpose of this Act is to maintain oversight over the use of state money for homelessness services.  This Act adds organizations which accept state funds for homeless services without a contract to the definition of a "provider agency", and requires annual reports of their effectiveness.

     SECTION 2.  Section 346-361, Hawaii Revised Statutes, is amended by amending the definition of "provider agency" to read as follows:

     ""Provider agency" means an organization, including its governing board, officers, employees, contractors, or agents, contracted by the department or awarded funds to provide labor and services to any homeless facility or any other program for the homeless authorized by this part that is:

     (1)  A for-profit organization incorporated under the laws of the State; or

     (2)  A nonprofit organization determined by the Internal Revenue Service to be exempt from the federal income tax; that has a governing board whose members have no material conflict of interest and who serve without compensation, and that has adopted bylaws or policies that describe the manner in which business is conducted, including policies that relate to nepotism and management of potential conflict of interest situations."

     SECTION 3.  Section 346-371, Hawaii Revised Statutes, is amended to read as follows:

     "§346-371  Annual [financial] audit.  (a)  The department shall require any provider agency that dispensed shelter or assistance for any homeless facility or any other program for the homeless authorized by this part to submit to the department a financial and performance audit when requested, but at least annually.  The audit shall be conducted by a certified public accounting firm.  This audit shall contain information specific to the funds received under state homeless program contracts[.] and other grants.  The audit shall include recommendations to address any problems found.

     (b)  Continuing contracts with, or further funds granted to, provider agencies to participate in any program for the homeless authorized by this part shall require that the provider agency address the recommendations made by the audit, subject to exceptions as set by the department.

     (c)  Failure to carry out the recommendations made by the audit may be grounds for the department to bar a provider agency from further contracts or funds for programs authorized by this part until the barred provider has addressed all deficiencies."

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 2017; provided that the amendments made to 346-371, Hawaii Revised Statutes, by section 3 of this Act shall take effect after that section is amended, pursuant to section 4 of Act 234, Session Laws of Hawaii 2016.

 

INTRODUCED BY:

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Report Title:

Homelessness Service Provider Oversight; Effectiveness Reports

 

Description:

Amends the definition of provider agency for homelessness services to include nonprofits that accept funds without a contract.  Requires annual reports of providers' effectiveness.

 

 

 

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