REPORT TITLE:
Repair special fund

DESCRIPTION:
Creates repairs and maintenance special fund to finance major
repair projects.  (HB2451 HD1)


 
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                                                        2451
HOUSE OF REPRESENTATIVES                H.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO A REPAIRS AND MAINTENANCE SPECIAL FUND.
 


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

 1      SECTION 1.  The legislature finds that state facilities need
 
 2 an on-going source of funds to finance major repairs.  The State
 
 3 cannot continue to construct new facilities while neglecting its
 
 4 investments in existing facilities.  The purpose of this Act is
 
 5 to create a repairs and maintenance special fund to finance major
 
 6 repairs of existing state facilities.
 
 7      SECTION 2.  Chapter 103, Hawaii Revised Statutes, is amended
 
 8 by adding a new section to be appropriately designated and to
 
 9 read as follows:
 
10      "103-      Repairs and maintenance special fund.  (a)
 
11 There is established within the state treasury the repairs and
 
12 maintenance special fund for the executive branch, which shall be
 
13 administered by the department of accounting and general
 
14 services.  One and one-half per cent of all general obligation
 
15 bond and state educational facilities improvement special fund
 
16 appropriations for capital improvements designated for the
 
17 construction cost element shall be transferred to this fund;
 
18 provided that these transfers shall not apply to capital
 

 
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 1 improvement appropriations that are assigned to the judiciary or
 
 2 are designated for transfers to other funds or agencies.
 
 3      (b)  The one and one-half per cent amount, which is included
 
 4 in all general obligation bond and state educational facilities
 
 5 improvement special fund appropriations, shall be calculated at
 
 6 the time the appropriation bills are signed into law.  The moneys
 
 7 shall be transferred into the repairs and maintenance special
 
 8 fund upon allotment of moneys from the appropriations.
 
 9      (c)  The repairs and maintenance special fund shall be used
 
10 for major repairs that extend the useful life of a facility
 
11 through a significant improvement or upgrade, or provide a better
 
12 functional or operational efficiency.  Major repairs include
 
13 reroofing, upgrading power distribution systems, replacing air
 
14 conditioning equipment, and other repairs that have an
 
15 anticipated life that generally reflect the life of the bond.
 
16 The fund shall not be used for repairs that are performed for
 
17 preventive or routine maintenance purposes.
 
18      (d)  The comptroller and user agencies shall decide on the
 
19 specific repair and maintenance projects to be implemented.  The
 
20 comptroller shall make an effort to implement the user agency's
 
21 respective repair and maintenance projects based on the amount
 
22 contributed to the repair and maintenance special fund by the
 
23 user agency.
 

 
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 1      (e)  The comptroller may transfer funds from the repair and
 
 2 maintenance special fund account to agencies which implement
 
 3 their own repair and maintenance program."
 
 4      SECTION 3.  Section 36-27, Hawaii Revised Statutes, is
 
 5 amended to read as follows:
 
 6      "36-27  Transfers from special funds for central service
 
 7 expenses.  Except as provided in this section, and
 
 8 notwithstanding any other law to the contrary, from time to time
 
 9 the director of finance, for the purpose of defraying the
 
10 prorated estimate of central service expenses of government in
 
11 relation to all special funds, except the:
 
12      (1)  Special summer school and intersession fund under
 
13           section 302A-1310;
 
14      (2)  School cafeteria special funds of the department of
 
15           education;
 
16      (3)  Special funds of the University of Hawaii;
 
17      (4)  State educational facilities improvement special fund;
 
18      (5)  Convention center capital and operations special fund
 
19           under section 206X-10.5;
 
20      (6)  Special funds established by section 206E-6;
 
21      (7)  Housing loan program revenue bond special fund;
 
22      (8)  Housing project bond special fund;
 
23      (9)  Aloha Tower fund created by section 206J-17;
 

 
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 1     (10)  Domestic violence prevention special fund under section
 
 2           321-1.3;
 
 3     (11)  Spouse and child abuse special account under section
 
 4           346-7.5;
 
 5     (12)  Spouse and child abuse special account under section
 
 6           601-3.6;
 
 7     (13)  Funds of the employees' retirement system created by
 
 8           section 88-109;
 
 9     (14)  Unemployment compensation fund established under
 
10           section 383-121;
 
11     (15)  Hawaii hurricane relief fund established under chapter
 
12           431P;
 
13     (16)  Hawaii health systems corporation special funds;
 
14     (17)  Boiler and elevator safety revolving fund established
 
15           under section 397-5.5;
 
16     (18)  Tourism special fund established under section 201B-11;
 
17     (19)  Department of commerce and consumer affairs' special
 
18           funds;
 
19     (20)  Compliance resolution fund established under section
 
20           26-9;
 
21     (21)  Universal service fund established under chapter 269;
 
22     (22)  Integrated tax information management systems special
 
23           fund under section 231-3.2;
 

 
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 1     (23)  Insurance regulation fund under section 431:2-215;
 
 2     (24)  Hawaii tobacco settlement special fund under section
 
 3           328L-2; [and]
 
 4     (25)  Emergency budget and reserve fund under section 328L-3;
 
 5           and
 
 6     (26)  Repairs and maintenance special fund established under
 
 7           section 103-  ;
 
 8 shall deduct five per cent of all receipts of all other special
 
 9 funds, which deduction shall be transferred to the general fund
 
10 of the State and become general realizations of the State.  All
 
11 officers of the State and other persons having power to allocate
 
12 or disburse any special funds shall cooperate with the director
 
13 in effecting these transfers.  To determine the proper revenue
 
14 base upon which the central service assessment is to be
 
15 calculated, the director shall adopt rules pursuant to chapter 91
 
16 for the purpose of suspending or limiting the application of the
 
17 central service assessment of any fund.  No later than twenty
 
18 days prior to the convening of each regular session of the
 
19 legislature, the director shall report all central service
 
20 assessments made during the preceding fiscal year."
 
21      SECTION 4.  Section 36-30, Hawaii Revised Statutes, is
 
22 amended by amending subsection (a) to read as follows:
 
23      "(a) Each special fund, except the:
 

 
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                                     H.B. NO.           H.D. 1
                                            
                                                        


 1      (1)  Transportation use special fund established by section
 
 2           261D-1;
 
 3      (2)  Special summer school and intersession fund under
 
 4           section 302A-1310;
 
 5      (3)  School cafeteria special funds of the department of
 
 6           education;
 
 7      (4)  Special funds of the University of Hawaii;
 
 8      (5)  State educational facilities improvement special fund;
 
 9      (6)  Special funds established by section 206E-6;
 
10      (7)  Aloha Tower fund created by section 206J-17;
 
11      (8)  Domestic violence prevention special fund under section
 
12           321-1.3;
 
13      (9)  Spouse and child abuse special account under section
 
14           346-7.5;
 
15     (10)  Spouse and child abuse special account under section
 
16           601-3.6;
 
17     (11)  Funds of the employees' retirement system created by
 
18           section 88-109;
 
19     (12)  Unemployment compensation fund established under
 
20           section 383-121;
 
21     (13)  Hawaii hurricane relief fund established under chapter
 
22           431P;
 

 
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 1     (14)  Convention center capital and operations special fund
 
 2           established under section 206X-10.5; 
 
 3     (15)  Hawaii health systems corporation special funds; 
 
 4     (16)  Tourism special fund established under section 201B-11;
 
 5     (17)  Compliance resolution fund established under section
 
 6           26-9;
 
 7     (18)  Universal service fund established under chapter 269;
 
 8     (19)  Integrated tax information management systems special
 
 9           fund;
 
10     (20)  Insurance regulation fund under section 431:2-215;
 
11     (21)  Hawaii tobacco settlement special fund under section
 
12           328L-2; [and]
 
13     (22)  Emergency and budget reserve fund under section 328L-3;
 
14           and
 
15     (23)  Repairs and maintenance special fund established under
 
16           section 103-  ;
 
17 shall be responsible for its pro rata share of the administrative
 
18 expenses incurred by the department responsible for the
 
19 operations supported by the special fund concerned."
 
20      SECTION 5.  Statutory material to be repealed is bracketed.
 
21 New statutory material is underscored.
 
22      SECTION 6.  This Act shall only be applied to appropriations
 
23 made after June 30, 2001.
 

 
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 1      SECTION 7.  This Act shall take effect on July 1, 2001;
 
 2 provided that the amendments made to section 36-27, Hawaii
 
 3 Revised Statutes by this Act shall not be repealed when the
 
 4 section is reenacted on July 31, 2003, pursuant to section 9 of
 
 5 Act 142, Session Laws of Hawaii 1998.
 

 
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