Report Title:

Exempt Public Employees; Position Funding Authorization

Description:

Prohibits the expenditure of moneys in the executive budget to fund exempt positions not authorized by the legislature.

HOUSE OF REPRESENTATIVES

H.B. NO.

2157

TWENTY-THIRD LEGISLATURE, 2006

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

relating to public employment.

 

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

SECTION 1. Chapter 37, Hawaii Revised Statutes, is amended by adding a new section to part III to be appropriately designated and to read as follows:

"§37- Positions funded through the expenditure of special fund moneys; legislative authorization required. Notwithstanding any law to the contrary, no program or agency shall transfer personnel or positions exempt from chapter 76, or expend moneys from any special fund appropriated therefor, for any purpose other than:

(1) The purpose for which the personnel were originally hired;

(2) The purpose for which the position was established by the legislature; or

(3) The purpose for which the special fund moneys were appropriated;

without explicit legislative authorization; provided that this section shall not apply to the University of Hawaii or the department of education."

SECTION 2. Section 37-74, Hawaii Revised Statutes, is amended by amending subsection (d) to read as follows:

"(d) No appropriation transfers or changes between programs or agencies shall be made without legislative authorization; provided that:

(1) Authorized transfers or changes, when made, shall be reported to the legislature;

(2) Except with respect to appropriations to fund financing agreements under chapter 37D, the University of Hawaii shall have the flexibility to transfer appropriated funds and positions for the operating cost category among programs, among cost elements in a program, and between quarters, as applicable; except with respect to appropriations to fund financing agreements under chapter 37D, the department of education shall have the flexibility to transfer appropriated funds and positions for the operating cost category among programs and among cost elements in a program, and between quarters, as applicable; and the Hawaii health systems corporation shall have the flexibility to transfer special fund appropriations among community hospitals facilities as applicable; provided that the Hawaii health systems corporation shall maintain the integrity and services of each individual facility and shall not transfer appropriations out of any facility that would result in a reduction of services offered by the facility, with due regard for statutory requirements, changing conditions, the needs of the programs, and the effective utilization of resources; and

(3) The university and the department of education shall account for each transfer implemented under this subsection in quarterly reports to the governor and annual reports at the end of each fiscal year to the legislature and the governor, which shall be prepared in the form and manner prescribed by the governor and shall include information on the sources and uses of the transfer.

Notwithstanding any law to the contrary, no program or agency shall transfer personnel or positions exempt from chapter 76, or expend moneys appropriated therefor, for any purpose other than the purpose for which the personnel were originally hired, the position was established, or the moneys were appropriated, without explicit legislative authorization; provided that this paragraph shall not apply to the University of Hawaii or the department of education."

SECTION 3. Act 178, Session Laws of Hawaii 2005, is amended by amending sections 134 and 135 to read as follows:

"SECTION 134. Unless otherwise provided in this Act, the governor is authorized to transfer operating funds between appropriations within the same fund, within an expending agency, for operating purposes; provided that the governor shall not have the authority to transfer or expend operating funds or any other funds under the governor's control to pay for the costs of transferred personnel whose positions are not subject to chapter 76, Hawaii Revised Statutes, or for the hiring of any personnel who are not subject to chapter 76, Hawaii Revised Statutes, and whose positions are not explicitly authorized by the legislature; provided further that the governor shall submit a report to the legislature within five days of each use of this proviso; provided further that the report shall include the date of the transfer, the amount of the transfer, the program ID from which funds were transferred, the program ID to which funds were transferred, a detailed explanation of the public purposes served by the transfer of resources, and the impact to the department from which the funds were originally assigned; and provided further that the governor shall submit to the legislature a summary report containing the aforementioned information for each use of this proviso for the previous twelve month period from December 1 to November 30 no later than twenty days prior to the convening of the 2006 and 2007 regular sessions.

SECTION 135. Except as otherwise provided in this Act, each department or agency is authorized to transfer civil service positions within its respective authorized position ceiling for the purpose of maximizing the utilization of personnel resources and staff productivity[;], subject to applicable civil service and collective bargaining laws; provided that all actions shall be with the prior approval of the governor and shall be consistent with appropriations and restrictions provided in this Act and with provisions of part II of chapter 37 of the Hawaii Revised Statutes; and provided further that the governor shall submit a report to the legislature within five days of each use of this proviso; provided further that the report shall include the date of the transfer, the civil service position transferred, the program from which the civil service position was transferred, the program to which the civil service position was transferred, responsibilities of the civil service position prior to transfer, the responsibilities of the civil service position after the transfer, and the manner in which the transfer maximizes the utilization of personnel resources and staff productivity; and provided further that the governor shall submit to the legislature a summary report of all uses of this proviso for the previous twelve month period from December 1 to November 30 no later than twenty days prior to the convening of the 2006 and 2007 regular sessions."

SECTION 4. All positions that are:

(1) Funded solely through general or special funds of the State, or a combination thereof or funded through the discretionary use of federal funds by the governor or any agency of the executive branch of government;

(2) Exempt from chapter 76, Hawaii Revised Statutes; and

(3) Affected by this Act;

shall be abolished on the effective date of this Act, unless explicitly authorized by an act of the legislature prior to this Act's effective date; provided that this section shall not apply to federally funded positions that, if not established, would impair the State's ability to receive federal funds in excess of what is required to fund the position.

SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 6. This Act shall take effect on July 1, 2006.

INTRODUCED BY:

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