REPORT TITLE:
Collective Bargaining


DESCRIPTION:
Redefines scope of collective bargaining.  (SB4 HD2)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        4
THE SENATE                              S.B. NO.           S.D. 2
TWENTIETH LEGISLATURE, 1999                                H.D. 2
STATE OF HAWAII                                            
                                                             
________________________________________________________________
________________________________________________________________


                   A  BILL  FOR  AN  ACT

RELATING TO GOVERNMENT ADMINISTRATION.



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

 1      SECTION 1.  While the years have brought much progress to
 
 2 Hawaii, the legislature finds that the State currently faces an
 
 3 economic downturn that has severely affected government
 
 4 administration.  The legislature further finds that despite this
 
 5 budget crisis, the State can still advance forward through
 
 6 innovative ideas and shared responsibilities from all sectors of
 
 7 the community committed to building the foundation for Hawaii's
 
 8 future.
 
 9      This budget crisis is severe because of the limited
 
10 prospects of an immediate infusion of revenue to cover
 
11 anticipated budget shortfalls. Despite this fiscal crisis, the
 
12 legislature:
 
13      (1)  Remains steadfast in its commitment to protecting the
 
14           public by assuring effective and orderly operations of
 
15           government; and
 
16      (2)  Will pursue policies and implement plans to increase
 
17           the productivity, efficiency, and effectiveness of
 
18           current government programs and operations.
 
19      The legislature gratefully acknowledges the hard work and
 
20 dedication of public employees in ensuring the proper
 

 
Page 2                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 administration of government functions and providing needed
 
 2 public services.  However, significant effort must be made to
 
 3 reconcile contemplated public employees cost item increases with
 
 4 the need for fiscal responsibility in view of uncertain tax
 
 5 revenues. Recognizing major uncertainty regarding the future
 
 6 fiscal condition of the State, the legislature will act to
 
 7 protect the public interest in maintaining efficient, effective
 
 8 and orderly government operations.  At the same time, harmonious
 
 9 and cooperative relations between government employers and public
 
10 employees must continue.
 
11      The legislature believes that there now exists a compelling
 
12 state interest to deal with the fiscal crisis in an expeditious
 
13 and innovative manner, ensuring that the public will experience
 
14 little or no disruption in public services while curtailing or
 
15 holding to a minimum any harmful economic impact on public
 
16 employees.
 
17      State agencies have already made deep cuts in their budgets,
 
18 while attempting to maintain full employment for all of their
 
19 employees.  Yet further downsizing of government may be required
 
20 to reduce the deficit some more.  Inevitably, these budget cuts
 
21 will adversely affect employees, and may eventually require that
 
22 selected employees be laid off or terminated.  The legislature
 
23 believes that before any employee layoff or termination takes
 

 
Page 3                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 place, alternative initiatives must be seriously and judiciously
 
 2 considered.
 
 3      The legislature first enacted chapter 89, Hawaii Revised
 
 4 Statutes, (chapter 89) in 1970 to define the scope and intent of
 
 5 the public employee's right to collectively bargain.  The
 
 6 legislature found that joint decision-making is the modern way of
 
 7 administering government.  Then, as now, the legislature
 
 8 recognized the importance of collective bargaining for public
 
 9 employees as a means to promote harmonious and cooperative
 
10 relations between government and employees, while ensuring
 
11 uninterrupted service to the public and the orderly and effective
 
12 operations of government.  
 
13      To facilitate full and free negotiation between public
 
14 employers and public employees, the legislature chose to give
 
15 itself a limited role in the collective bargaining process.
 
16 Under chapter 89, the scope of negotiation is broadly defined,
 
17 including wages, hours, contributions to the Hawaii public
 
18 employees health fund, and other terms and conditions of
 
19 employment.  The legislature chose to limit its involvement in
 
20 the collective bargaining process to the approval or rejection of
 
21 cost items of collective bargaining agreements ratified by public
 
22 employees.
 

 
 
 
Page 4                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1      During the recent years of fiscal crisis, collective
 
 2 bargaining agreements have not taken into account the limited
 
 3 resources available to fund cost items.  As a result, the
 
 4 legislature has been unable to approve the cost items of ratified
 
 5 collective bargaining agreements.  Some collective bargaining
 
 6 units have gone as long as four years without wage increases
 
 7 negotiated through collective bargaining.
 
 8      Unless the fiscal condition of the State improves, as much
 
 9 as the legislature would like to, the legislature will be unable
 
10 to approve additional cost items negotiated in collective
 
11 bargaining.  The public employer and the public employees must be
 
12 made aware of these limitations as they begin negotiations,
 
13 rather than after concluding negotiations that result in an
 
14 agreement with little chance of approval by the legislature.
 
15      The legislature finds that the failure of the collective
 
16 bargaining agreements to recognize the State's limited revenue
 
17 resources must be addressed until such time as there are
 
18 available resources to pay for additional cost items.
 
19      The purpose of this Act, therefore, is to redefine the scope
 
20 of negotiation in collective bargaining by giving the legislature
 
21 and the county chairpersons an opportunity to participate in the
 
22 collective bargaining process.
 

 
 
 
Page 5                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1      SECTION 2.  Section 89-6, Hawaii Revised Statutes, is
 
 2 amended by amending subsection (b) to read as follows:
 
 3      "(b)  For the purpose of negotiations, the public employer
 
 4 of an appropriate bargaining unit shall mean the governor or the
 
 5 governor's designated representatives of not less than three
 
 6 together with not more than two members of the board of education
 
 7 in the case of units (5) and (6), the governor or the governor's
 
 8 designated representatives of not less than three together with
 
 9 not more than two members of the board of regents of the
 
10 University of Hawaii in the case of units (7) and (8), and the
 
11 governor or the governor's designated representatives together
 
12 with the mayors of all the counties or their designated
 
13 representatives in the case of the remaining units.  The
 
14 designated employer representatives for units (5), (6), (7), and
 
15 (8) shall each have one vote and in the case of the remaining
 
16 units, the governor shall be entitled to four votes and the mayor
 
17 of each county shall each have one vote, which may be assigned to
 
18 their designated representatives.  Any decision to be reached by
 
19 the applicable employer group shall be on the basis of simple
 
20 majority.  For purposes of negotiations, mediation, and
 
21 arbitration of cost items only, the public employer shall also
 
22 include the senate president and speaker of the house of
 
23 representatives, or their designated representatives for the
 

 
Page 6                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 State, and the council chairpersons, or designated
 
 2 representatives for the counties, who shall each have one vote on
 
 3 cost items within the employer group."
 
 4      SECTION 3.  Section 89-9, Hawaii Revised Statutes, is
 
 5 amended by amending subsection (a) to read as follows:
 
 6      "(a)  The employer and the exclusive representative shall
 
 7 meet at reasonable times, including meetings in advance of the
 
 8 employer's budget-making process, and shall negotiate in good
 
 9 faith with respect to wages, hours, the number of incremental and
 
10 longevity steps and movement between steps within the salary
 
11 range, the amounts of contributions by the State and respective
 
12 counties to the Hawaii public employees health fund to the extent
 
13 allowed in subsection (e), and other terms and conditions of
 
14 employment [which] that are subject to negotiations under this
 
15 chapter and [which] that are to be embodied in a written
 
16 agreement, or any question arising thereunder, but such
 
17 obligation does not compel either party to agree to a proposal or
 
18 make a concession[.]; provided that no wage increase shall be
 
19 authorized by the public employer without the prior concurrence
 
20 of a majority of legislators and council chairpersons, or their
 
21 designated representatives, voting on cost items pursuant to
 
22 section 89-6(b)."
 

 
 
 
Page 7                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1      SECTION 4.  Section 89-10, Hawaii Revised Statutes, is
 
 2 amended to read as follows:
 
 3      "89-10  Written agreements; [appropriations for
 
 4 implementation;] enforcement.(a)  Any collective bargaining
 
 5 agreement reached between the employer and the exclusive
 
 6 representative shall be subject to ratification by the employees
 
 7 concerned.  The agreement shall be reduced to writing and
 
 8 executed by both parties.  The agreement may contain a grievance
 
 9 procedure and an impasse procedure culminating in final and
 
10 binding arbitration, and shall be valid and enforceable when
 
11 entered into in accordance with provisions of this chapter.
 
12      [(b)  All cost items shall be subject to appropriations by
 
13 the appropriate legislative bodies.  The employer shall submit
 
14 within ten days of the date on which the agreement is ratified by
 
15 the employees concerned all cost items contained therein to the
 
16 appropriate legislative bodies, except that if any cost items
 
17 require appropriation by the state legislature and it is not in
 
18 session at the time, the cost items shall be submitted for
 
19 inclusion in the governor's next operating budget within ten days
 
20 after the date on which the agreement is ratified.  The state
 
21 legislature or the legislative bodies of the counties acting in
 
22 concert, as the case may be, may approve or reject the cost items
 
23 submitted to them, as a whole.  If the state legislature or the
 

 
Page 8                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 legislative body of any county rejects any of the cost items
 
 2 submitted to them, all cost items submitted shall be returned to
 
 3 the parties for further bargaining.
 
 4      (c)] (b)  Because effective and orderly operations of
 
 5 government are essential to the public, it is declared to be in
 
 6 the public interest that in the course of collective bargaining,
 
 7 the public employer and the exclusive representative for each
 
 8 bargaining unit shall by mutual agreement include provisions in
 
 9 the collective bargaining agreement for that bargaining unit for
 
10 an expiration date which will be on June 30th of an odd-numbered
 
11 year.
 
12      The parties may include provisions for the reopening date
 
13 during the term of a collective bargaining agreement, provided
 
14 that such provisions shall not allow for the reopening of cost
 
15 items as defined in section 89-2.
 
16      [(d)] (c)  All existing rules and regulations adopted by the
 
17 employer, including civil service or other personnel regulations,
 
18 which are not contrary to this chapter, shall remain applicable.
 
19 If there is a conflict between the collective bargaining
 
20 agreement and any of the rules and regulations, the terms of the
 
21 agreement shall prevail; provided that the terms are not
 
22 inconsistent with section 89-9(d)."
 

 
 
 
Page 9                                                     4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1      SECTION 5.  Section 89-11, Hawaii Revised Statutes, is
 
 2 amended as follows:
 
 3      1.  By amending subsection (b) to read:
 
 4      "(b)  A public employer shall have the power to enter into
 
 5 written agreement with the exclusive representative of an
 
 6 appropriate bargaining unit setting forth an impasse procedure
 
 7 culminating in a final and binding decision, to be invoked in the
 
 8 event of an impasse over the terms of an initial or renewed
 
 9 agreement.  In the absence of such a procedure, either party may
 
10 request the assistance of the board by submitting to the board
 
11 and to the other party to the dispute a clear, concise statement
 
12 of each issue on which an impasse has been reached together with
 
13 a certificate as to the good faith of the statement and the
 
14 contents therein.  The board, on its own motion, may determine
 
15 that an impasse exists on any matter in a dispute.  If the board
 
16 determines on its own motion that an impasse exists, it may
 
17 render assistance by notifying both parties to the dispute of its
 
18 intent.
 
19      The board shall render assistance to resolve the impasse
 
20 according to the following schedule:
 
21      (1)  Mediation.  Assist the parties involved in a voluntary
 
22           resolution of the impasse by appointing a mediator or
 
23           mediators, representative of the public, from a list of
 

 
Page 10                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1           qualified persons maintained by the board, within three
 
 2           days after the date of the impasse, which shall be
 
 3           deemed to be the day on which notification is received
 
 4           or a determination is made that an impasse exists.
 
 5      (2)  Fact-finding.  If the dispute continues fifteen days
 
 6           after the date of the impasse, the board shall appoint,
 
 7           within three days, a fact-finding board of not more
 
 8           than three members, representative of the public, from
 
 9           a list of qualified persons maintained by the board.
 
10           The fact-finding board, shall, in addition to powers
 
11           delegated to it by the board, have the power to make
 
12           recommendations for the resolution of the dispute.  The
 
13           fact-finding board, acting by a majority of its
 
14           members, shall transmit its findings of fact and any
 
15           recommendations for the resolution of the dispute to
 
16           both parties within ten days after its appointment.  If
 
17           the dispute remains unresolved five days after the
 
18           transmittal of the findings of fact and any
 
19           recommendations, the board shall publish the findings
 
20           of fact and any recommendations for public information
 
21           if the dispute is not referred to final and binding
 
22           arbitration.
 

 
 
 
Page 11                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1      (3)  Arbitration.  If the dispute continues thirty days
 
 2           after the date of the impasse, the parties may mutually
 
 3           agree to submit the remaining differences to
 
 4           arbitration, which shall result in a final and binding
 
 5           decision.  The arbitration panel shall consist of three
 
 6           arbitrators, one selected by each party, and the third
 
 7           and impartial arbitrator selected by the other two
 
 8           arbitrators.  If either party fails to select an
 
 9           arbitrator or for any reason there is a delay in the
 
10           naming of an arbitrator, or if the arbitrators fail to
 
11           select a neutral arbitrator within the time prescribed
 
12           by the board, the board shall appoint the arbitrator or
 
13           arbitrators necessary to complete the panel, which
 
14           shall act with the same force and effect as if the
 
15           panel had been selected by the parties as described
 
16           above.  The arbitration panel shall take whatever
 
17           actions necessary, including but not limited to
 
18           inquiries, investigations, hearings, issuance of
 
19           subpoenas, and administering oaths, in accordance with
 
20           procedures prescribed by the board to resolve the
 
21           impasse.  If the dispute remains unresolved within
 
22           fifty days after the date of the impasse, the
 
23           arbitration panel shall transmit its findings and its
 

 
Page 12                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1           final and binding decision on the dispute to both
 
 2           parties.  The parties shall enter into an agreement or
 
 3           take whatever action is necessary to carry out and
 
 4           effectuate the decision.  [All items requiring any
 
 5           moneys for implementation shall be subject to
 
 6           appropriations by the appropriate legislative bodies,
 
 7           and the employer shall submit all such items agreed to
 
 8           in the course of negotiations within ten days to the
 
 9           appropriate legislative bodies.]
 
10 The time frame prescribed in the foregoing schedule may be
 
11 altered by mutual agreement of the parties, subject to the
 
12 approval of the board.
 
13      The costs for mediation and fact-finding shall be borne by
 
14 the board.  All other costs, including that of a neutral
 
15 arbitrator, shall be borne equally by the parties involved in the
 
16 dispute."
 
17      2.  By amending subsection (d) to read:
 
18      "(d)  If a dispute between a public employer and the
 
19 exclusive representative of appropriate bargaining unit (2),
 
20 supervisory employees in blue collar positions; appropriate
 
21 bargaining unit (3), nonsupervisory employees in white collar
 
22 positions; appropriate bargaining unit (4), supervisory employees
 
23 in white collar positions; appropriate bargaining unit (6),
 

 
Page 13                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 educational officers and other personnel of the department of
 
 2 education under the same salary schedule; appropriate bargaining
 
 3 unit (8), personnel of the University of Hawaii and the community
 
 4 college system, other than faculty; optional appropriate
 
 5 bargaining unit (9), registered professional nurses; optional
 
 6 appropriate bargaining unit (10), institutional, health, and
 
 7 correctional workers; optional appropriate bargaining unit (11),
 
 8 firefighters; optional appropriate bargaining unit (12), police
 
 9 officers; or optional appropriate bargaining unit (13),
 
10 professional and scientific employees, other than registered
 
11 professional nurses, exists over the terms of an initial or
 
12 renewed agreement more than ninety working days after written
 
13 notification by either party to initiate negotiations, either
 
14 party may give written notice to the board that an impasse exists
 
15 and the board shall assist in the voluntary resolution of the
 
16 impasse by appointing a mediator within three days after the date
 
17 of impasse.  If the dispute continues to exist fifteen working
 
18 days after the date of impasse, the dispute shall be submitted to
 
19 arbitration proceedings as provided herein.
 
20      The board shall immediately determine whether the parties to
 
21 the dispute have mutually agreed upon an arbitration procedure
 
22 and whether the parties have agreed upon a person or persons whom
 

 
 
 
Page 14                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 the parties desire to be appointed as the arbitrator or as a
 
 2 panel of arbitrators, as the case may be.
 
 3      If the board determines that an arbitration procedure
 
 4 mutually agreed upon by the parties will result in a final and
 
 5 binding decision, and that an arbitrator or arbitration panel has
 
 6 been mutually agreed upon, it shall appoint such arbitrator or
 
 7 arbitration panel and permit the parties to proceed with the
 
 8 arbitration procedure mutually agreed upon.
 
 9      If, after eighteen working days from the date of impasse,
 
10 the parties have not mutually agreed upon an arbitration
 
11 procedure and an arbitrator or arbitration panel, the board shall
 
12 immediately notify the employer and the exclusive representative
 
13 that the issues in dispute shall be submitted to a three-member
 
14 arbitration panel who shall follow the arbitration procedure
 
15 provided herein.
 
16      Within twenty-one working days from the date of impasse, two
 
17 members of the arbitration panel shall be selected by the
 
18 parties; one shall be selected by the employer and one shall be
 
19 selected by the exclusive representative.  The impartial third
 
20 member of the arbitration panel shall be selected by the two
 
21 previously selected panel members and shall chair the arbitration
 
22 panel.
 

 
 
 
Page 15                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1      In the event that the two previously selected arbitration
 
 2 panel members fail to select an impartial third arbitrator within
 
 3 twenty-four working days from the date of impasse, the board
 
 4 shall request the American Arbitration Association, or its
 
 5 successor in function, to furnish a list of five qualified
 
 6 arbitrators from which the impartial arbitrator shall be
 
 7 selected.  Within five calendar days after receipt of such list,
 
 8 the parties shall alternately strike names therefrom until a
 
 9 single name is left, who shall be immediately appointed by the
 
10 board as the impartial arbitrator and chairperson of the
 
11 arbitration panel.
 
12      Upon the selection and appointment of the arbitration panel,
 
13 each party shall submit to the panel, in writing, with copy to
 
14 the other party, a final offer which shall include all provisions
 
15 in any existing collective bargaining agreement not being
 
16 modified, all provisions already agreed to in negotiations, and
 
17 all further provisions other than those relating to contributions
 
18 by the State and respective counties to the Hawaii public
 
19 employees health fund which each party is proposing for inclusion
 
20 in the final agreement.
 
21      Within twenty calendar days of its appointment, the
 
22 arbitration panel shall commence a hearing at which time the
 
23 parties may submit either in writing or through oral testimony,
 

 
Page 16                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 all information or data supporting their respective final offers.
 
 2 Nothing in this section shall be construed to prohibit the
 
 3 parties from reaching a voluntary settlement on the unresolved
 
 4 issues, with or without the assistance of a mediator, at any time
 
 5 prior to the conclusion of the hearing conducted by the
 
 6 arbitration panel.
 
 7      Within thirty calendar days after the conclusion of the
 
 8 hearing, a majority of the arbitration panel shall issue a final
 
 9 and binding decision.
 
10      In reaching a decision, the arbitration panel shall give
 
11 weight to the factors listed below and shall include in a written
 
12 opinion an explanation of how the factors were taken into account
 
13 in reaching the decision:
 
14      (1)  The lawful authority of the employer.
 
15      (2)  Stipulations of the parties.
 
16      (3)  The interests and welfare of the public.
 
17      (4)  The financial ability of the employer to meet these
 
18           costs.
 
19      (5)  The present and future general economic condition of
 
20           the counties and the State.
 
21      (6)  Comparison of wages, hours, and conditions of
 
22           employment of the employees involved in the arbitration
 
23           proceeding with the wages, hours, and conditions of
 

 
Page 17                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1           employment of other persons performing similar
 
 2           services, and of other state and county employees in
 
 3           Hawaii.
 
 4      (7)  The average consumer prices for goods or services,
 
 5           commonly known as the cost of living.
 
 6      (8)  The overall compensation presently received by the
 
 7           employees, including direct wage compensation,
 
 8           vacation, holidays and excused time, insurance and
 
 9           pensions, medical and hospitalization benefits, the
 
10           continuity and stability of employment, and all other
 
11           benefits received.
 
12      (9)  Changes in any of the foregoing circumstances during
 
13           the pendency of the arbitration proceedings.
 
14     (10)  Such other factors, not confined to the foregoing,
 
15           which are normally or traditionally taken into
 
16           consideration in the determination of wages, hours, and
 
17           conditions of employment through voluntary collective
 
18           bargaining, mediation, fact-finding, arbitration, or
 
19           otherwise between the parties, in the public service or
 
20           in private employment.
 
21      The decision of the arbitration panel shall be final and
 
22 binding upon the parties on all provisions submitted to the
 
23 arbitration panel.  If the parties have reached agreement with
 

 
Page 18                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 respect to the amounts of contributions by the State and counties
 
 2 to the Hawaii public employees health fund by the tenth working
 
 3 day after the arbitration panel issues its decision, the final
 
 4 and binding agreement of the parties on all provisions shall
 
 5 consist of the panel's decision and the amounts of contributions
 
 6 agreed to by the parties.  If the parties have not reached
 
 7 agreement with respect to the amounts of contributions by the
 
 8 State and counties to the Hawaii public employees health fund by
 
 9 the close of business on the tenth working day after the
 
10 arbitration panel issues its decision, the parties shall have
 
11 five days to submit their respective recommendations for such
 
12 contributions to the legislature, if it is in session, and if the
 
13 legislature is not in session, the parties shall submit their
 
14 respective recommendations for such contributions to the
 
15 legislature during the next session of the legislature.  In such
 
16 event, the final and binding agreement of the parties on all
 
17 provisions shall consist of the panel's decision and the amounts
 
18 of contributions established by the legislature by enactment,
 
19 after the legislature has considered the recommendations for such
 
20 contributions by the parties.  It is strictly understood that no
 
21 member of a bargaining unit subject to this subsection shall be
 
22 allowed to participate in a strike on the issue of the amounts of
 
23 contributions by the State and counties to the Hawaii public
 

 
Page 19                                                    4
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 employees health fund.  The parties shall take whatever action is
 
 2 necessary to carry out and effectuate the final and binding
 
 3 agreement.  The parties may, at any time and by mutual agreement,
 
 4 amend or modify the panel's decision.
 
 5      Agreements reached pursuant to the decision of an
 
 6 arbitration panel and the amounts of contributions by the State
 
 7 and counties to the Hawaii public employees health fund, as
 
 8 provided herein, shall not be subject to ratification by the
 
 9 employees concerned.  [All items requiring any moneys for
 
10 implementation shall be subject to appropriations by the
 
11 appropriate legislative bodies and the employer shall submit all
 
12 such items within ten days after the date on which the agreement
 
13 is entered into as provided herein, to the appropriate
 
14 legislative bodies.]
 
15      The costs for mediation shall be borne by the board.  All
 
16 other costs incurred by either party in complying with these
 
17 provisions, including the costs of its selected member on the
 
18 arbitration panel, shall be borne by the party incurring them,
 
19 except that all costs and expenses of the impartial arbitrator
 
20 shall be borne equally by the parties."
 
21      SECTION 6.  Statutory material to be repealed is bracketed.
 
22 New statutory material is underscored.
 
23      SECTION 7.  This Act shall take effect on July 1, 1999.