Utility Lines

Establishes a conversion program and establishes fund to pay for
program facilities. (SB2287 HD1)

THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 2000                                H.D. 1
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  The legislature finds that the conversion of
 2 overhead electric and communication lines to underground lines
 3 and the initial underground installation of the lines are
 4 substantially beneficial to the public safety and welfare, is in
 5 the public interest, and is a public purpose, notwithstanding any
 6 resulting incidental private benefit to any electric or
 7 communication utility affected by the conversion or installation.
 8      SECTION 2.  Chapter 235, Hawaii Revised Statutes, is amended
 9 by adding a new section to be appropriately designated and to
10 read as follows:
11      "235-     Voluntary contributions to the underground
12 conversion fund.  The director shall allow taxpayers to designate
13 and pay a voluntary contribution to the underground conversion
14 fund on their annual income tax return.  The voluntary
15 contribution shall be added to the final income tax due or
16 subtracted from any refund due the taxpayer.  All contributions
17 under this section shall be paid into the underground conversion
18 fund established in section 269-B."

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 1      SECTION 3.  Chapter 269, Hawaii Revised Statutes, is
 2 amended by adding three new sections to be appropriately
 3 designated and to read as follows:
 4      "269-A  Conversion program.  The commission shall establish
 5 a conversion program that allows for the systematic conversion of
 6 overhead utility lines to underground lines.  The conversion
 7 program shall:
 8      (1)  Authorize each county to determine underground zones by
 9           ordinance;
10      (2)  Require any utility that transports or distributes
11           services across utility lines and cables to contribute
12           to the funding of the program; provided that annual
13           contributions from the utilities shall not exceed two
14           per cent of annual gross revenues; and
15      (3)  Establish criteria that allocates funding to each
16           county for its underground conversion zones.
17      The commission shall adopt rules pursuant to chapter 91 for
18 the implementation of and to establish standards for the
19 conversion program.
20      269-B  Underground conversion fund.  (a)  There is
21 established in the state treasury the underground conversion
22 fund, which shall be administered by the commission.  The
23 following revenues shall be deposited into the fund:

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 1      (1)  Legislative appropriations;
 2      (2)  Voluntary contributions including any contributions
 3           paid along with state income tax due or amounts paid in
 4           excess of a utility bill that is part of a "round-up"
 5           program;
 6      (3)  Contributions by a utility by order of the commission;
 7           and
 8      (4)       per cent of moneys in excess of      in the public
 9           utilities special fund at the end of each fiscal year;
10           provided that this sum shall be calculated prior to the
11           application of section 269-33(d).
12      (b)  All moneys from the fund shall be used for the
13 conversion of overhead utility lines to underground facilities.
14 The conversion of overhead utility lines includes the planning,
15 design, and construction of the new facilities and the removal of
16 the old overhead facilities.
17      (c)  The commission shall establish criteria allocating
18 funds to counties that determine undergrounding zones through
19 special improvement districts by ordinance.
20      (d)  The commission shall adopt rules pursuant to chapter 91
21 to carry out the administration of the fund.
22      269-C  Allocation of revenues to underground conversion
23 fund.  The commission may establish an annual allocation of
24 revenues from each utility having above ground facilities.  The

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 1 allocation shall be deposited into the underground conversion
 2 fund established in section 269-B.  Revenues allocated annually
 3 to the fund by each utility shall not exceed two per cent of the
 4 annual gross revenues of the utility."
 5      SECTION 4.  Section 36-27, Hawaii Revised Statutes is
 6 amended to read as follows:
 7      "36-27  Transfers from special funds for central service
 8 expenses.  Except as provided in this section, and
 9 notwithstanding any other law to the contrary, from time to time,
10 the director of finance, for the purpose of defraying the
11 prorated estimate of central service expenses of government in
12 relation to all special funds, except the:
13      (1)  Special summer school and intersession fund under
14           section 302A-1310;
15      (2)  School cafeteria special funds of the department of
16           education;
17      (3)  Special funds of the University of Hawaii;
18      (4)  State educational facilities improvement special fund;
19      (5)  Convention center capital and operations special fund
20           under section 206X-10.5;
21      (6)  Special funds established by section 206E-6;
22      (7)  Housing loan program revenue bond special fund;
23      (8)  Housing project bond special fund;

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 1      (9)  Aloha Tower fund created by section 206J-17;
 2     (10)  Domestic violence prevention special fund under section
 3           321-1.3;
 4     (11)  Spouse and child abuse special account under section
 5           346-7.5;
 6     (12)  Spouse and child abuse special account under section
 7           601-3.6;
 8     (13)  Funds of the employees' retirement system created by
 9           section 88-109;
10     (14)  Unemployment compensation fund established under
11           section 383-121;
12     (15)  Hawaii hurricane relief fund established under chapter
13           431P;
14     (16)  Hawaii health systems corporation special funds;
15     (17)  Boiler and elevator safety revolving fund established
16           under section 397-5.5;
17     (18)  Tourism special fund established under section 201B-11;
18     (19)  Department of commerce and consumer affairs' special
19           funds;
20     (20)  Compliance resolution fund established under section
21           26-9;
22     (21)  Universal service fund established under chapter 269;
23     (22)  Integrated tax information management systems special
24           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)  Underground conversion fund under section 269-B;
 7 shall deduct five per cent of all receipts of all other special
 8 funds, which deduction shall be transferred to the general fund
 9 of the State and become general realizations of the State.  All
10 officers of the State and other persons having power to allocate
11 or disburse any special funds shall cooperate with the director
12 in effecting these transfers.  To determine the proper revenue
13 base upon which the central service assessment is to be
14 calculated, the director shall adopt rules pursuant to chapter 91
15 for the purpose of suspending or limiting the application of the
16 central service assessment of any fund.  No later than twenty
17 days prior to the convening of each regular session of the
18 legislature, the director shall report all central service
19 assessments made during the preceding fiscal year."
20      SECTION 5.  In codifying the new sections added by this Act,
21 the revisor of statutes shall substitute appropriate section
22 numbers for the letters used in the new sections designated in
23 this Act.

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 1      SECTION 6.  Statutory material to be repealed is bracketed.
 2 New statutory material is underscored.
 3      SECTION 7.  This Act shall take effect upon its approval.