REPORT TITLE:


DESCRIPTION:


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1105
HOUSE OF REPRESENTATIVES                H.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
________________________________________________________________
________________________________________________________________


                   A  BILL  FOR  AN  ACT

RELATING TO CLAIMS AGAINST THE GOVERNMENT BASED ON YEAR 2000
   ERRORS BY COMPUTER-BASED SYSTEMS.



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

 1      SECTION 1.  Statement of purpose.  The purpose of this Act
 
 2 is to amend the immunity provisions established by Act 213,
 
 3 Session Laws of Hawaii 1998, including the protection afforded to
 
 4 persons affected by a year 2000 error generated by a government
 
 5 computer system.
 
 6      This Act amends the time frame covered by the immunity to
 
 7 beyond June 30, 1999, and the scope of the immunity to afford
 
 8 protection as to claims arising out of or relating to a year 2000
 
 9 error produced, calculated, or generated by a government computer
 
10 system or other computer-based system, regardless of the cause
 
11 for the year 2000 error.
 
12      These amendments are intended to be applied retroactively to
 
13 protect the government from serving as a deep pocket for claims
 
14 based on year 2000 errors produced, calculated, or generated
 
15 computer-based systems.
 
16      SECTION 2.  Section 662-15, Hawaii Revised Statutes, is
 
17 amended to read as follows:
 
18      "§662-15  Exceptions.  This chapter shall not apply to:
 
19      (1)  Any claim based upon an act or omission of an employee
 

 
Page 2                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1           of the State, exercising due care, in the execution of
 
 2           a statute or regulation, whether or not such statute or
 
 3           regulation is valid, or based upon the exercise or
 
 4           performance or the failure to exercise or perform a
 
 5           discretionary function or duty on the part of a state
 
 6           officer or employee, whether or not the discretion
 
 7           involved has been abused;
 
 8      (2)  Any claim arising in respect of the assessment or
 
 9           collection of any tax, or the detention of any goods or
 
10           merchandise by law enforcement officers;
 
11      (3)  Any claim for which a remedy is provided elsewhere in
 
12           the laws of the State;
 
13      (4)  Any claim arising out of assault, battery, false
 
14           imprisonment, false arrest, malicious prosecution,
 
15           abuse of process, libel, slander, misrepresentation,
 
16           deceit, or interference with contract rights;
 
17      (5)  Any claim arising out of the combatant activities of
 
18           the Hawaii national guard and Hawaii state defense
 
19           force during time of war, or during the times the
 
20           Hawaii national guard is engaged in federal service
 
21           pursuant to sections 316, 502, 503, 504, 505, or 709 of
 
22           Title 32 of the United States Code;
 
23      (6)  Any claim arising in a foreign country;
 

 
Page 3                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1      (7)  Any claim arising out of the acts or omissions of any
 
 2           boating enforcement officer; or
 
 3      (8)  Any claim arising out of or [based upon any failure of
 
 4           or error produced, calculated, or generated by a
 
 5           government computer system, which failure or error
 
 6           occurred prior to June 30, 1999 as a result of the
 
 7           system's not being year 2000 compliant, regardless of
 
 8           the cause for the system's not being year 2000
 
 9           compliant.  "Year 2000 compliant" means, with respect
 
10           to a government computer system, that the system
 
11           accurately processes date and time data (including, but
 
12           not limited to, calculating, comparing, projecting, and
 
13           sequencing) from, into, and between the twentieth and
 
14           twenty-first centuries and the years 1999 and 2000, and
 
15           leap year calculations.] relating to a year 2000 error
 
16           produced, calculated, or generated by a government
 
17           computer system or other computer-based system,
 
18           regardless of the cause for the year 2000 error.
 
19           "Government computer system" means a computer-based
 
20           system owned or operated by or on behalf of the State,
 
21           a county or a board.  "Computer-based system" includes
 
22           any computer or other information technology system and
 
23           any electronic device that controls, operates,
 

 
Page 4                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1           monitors, or assists in the operation or functioning of
 
 2           equipment, machinery, plant, or a device using an
 
 3           embedded or installed microprocessor or chip.  "Year
 
 4           2000 error" is the failure of a computer-based system
 
 5           to accurately store, display, transmit, receive,
 
 6           process, calculate, compare, or sequence date and time
 
 7           data from, into, or between the years 1999 and 2000 and
 
 8           beyond, and leap year calculations."
 
 9      SECTION 3.  Chapter 662E, Hawaii Revised Statutes, is
 
10 amended to read as follows:
 
11 
 
12                        CHAPTER [[]662E[]]
 
13      [GOVERNMENT COMPUTER SYSTEMS AND YEAR 2000 COMPLIANCE]
 
14             CLAIMS AGAINST GOVERNMENT ARISING OUT OF
 
15                  OR RELATING TO YEAR 2000 ERRORS
 
16      [[]§662E-1[]]  Definitions.  As used in this chapter:
 
17      "Board" means any agency, board, commission, authority, or
 
18 committee of the State or a county that is created by
 
19 constitution, statute, rule, or executive order to have
 
20 supervision, control, jurisdiction, or advisory power over
 
21 specific matters.
 
22      "Computer-based system" includes any computer or other
 
23 information technology system and any electronic device that
 

 
Page 5                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1 controls, operates, monitors, or assists in the operation or
 
 2 functioning of equipment, machinery, plant, or a device using an
 
 3 embedded or installed microprocessor or chip.
 
 4      "Government computer system" [includes any computer or other
 
 5 information technology system] means a computer-based system
 
 6 owned or operated by or on behalf of the State, a county or a
 
 7 board.
 
 8      "Government employee" includes an officer or employee of the
 
 9 State, its political subdivisions, or a board, including a person
 
10 acting on behalf of a board in an official capacity, temporarily
 
11 or permanently, whether with or without compensation.
 
12      ["Year 2000 compliant" means, with respect to a government
 
13 computer system, that the system accurately processes date and
 
14 time data (including, but not limited to, calculating, comparing,
 
15 projecting, and sequencing) from, into, and between the twentieth
 
16 and twenty-first centuries and the years 1999 and 2000, and leap
 
17 year calculations.]
 
18      "Year 2000 error" is the failure of a computer-based system
 
19 to accurately store, display, transmit, receive, process,
 
20 calculate, compare, or sequence date and time data from, into, or
 
21 between the years 1999 and 2000 and beyond, and leap year
 
22 calculations.
 
23      [[]§662E-2[]]  Immunity against suits.  [No action,
 

 
Page 6                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1 including, without limitation, any action for declaratory or
 
 2 injunctive relief, may be brought against any person including,
 
 3 but not limited to, the State, its political subdivisions, a
 
 4 board, or a government employee, arising out of or based upon any
 
 5 failure of or error produced, calculated, or generated by a
 
 6 government computer system, which failure or error occurred prior
 
 7 to June 30, 1999 as a result of the system's not being year 2000
 
 8 compliant, regardless of the cause for the system's not being
 
 9 year 2000 compliant.]
 
10      (a)  No action, including, without limitation, any action
 
11 for declaratory or injunctive relief, may be brought against the
 
12 State, a county, a board, or a government employee, arising out
 
13 of or relating to a year 2000 error produced, calculated, or
 
14 generated by a government computer system or other computer-based
 
15 system, regardless of the cause for the year 2000 error.  Nothing
 
16 in this subsection shall be deemed to provide a government
 
17 employee with immunity from any action to enforce a mortgage
 
18 obligation or other similar personal obligation of the government
 
19 employee that is unrelated to the government employee's
 
20 employment.
 
21      (b)  No action, including, without limitation, any action
 
22 for declaratory or injunctive relief, may be brought against any
 
23 person arising out of or relating to a year 2000 error produced,
 

 
Page 7                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1 calculated, or generated by a government computer system,
 
 2 regardless of the cause for the year 2000 error.
 
 3      [[]§662E-3[]]  Remedial measures.  Nothing in this chapter
 
 4 shall be deemed to prevent the State, a county, a board, or a
 
 5 government employee, from taking steps to remedy [any failure of
 
 6 or] a year 2000 error produced, calculated, or generated by a
 
 7 government computer system [as a result of the system's not being
 
 8 year 2000 compliant,] once the [failure or] error [is] has been
 
 9 verified.
 
10      [[]§662E-4[]]  Exceptions.  Nothing in this chapter shall be
 
11 deemed to provide immunity or release from liability to any
 
12 person who:
 
13      (1)  Deliberately tampers with a government computer system
 
14           for the purpose of [preventing it from being year 2000
 
15           compliant;] causing the system to produce, calculate,
 
16           or generate a year 2000 error; provided, however, that
 
17           the immunity or release from liability shall remain and
 
18           not be set aside if the year 2000 error arises out or
 
19           is related to a test performed to determine whether a
 
20           government computer system will produce, calculate, or
 
21           generate a year 2000 error; or
 
22      (2)  Receives and fails to immediately return a benefit that
 
23           the person is not legally entitled to [arising out of
 

 
Page 8                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1           or based upon any failure of or error produced,
 
 2           calculated, or generated by a government computer
 
 3           system as a result of the system's not being year 2000
 
 4           complaint], which benefit was provided to the person as
 
 5           a result of a year 2000 error produced, calculated, or
 
 6           generated by a government computer system."
 
 7      SECTION 4.  Effect on insurance.  Nothing in this Act is
 
 8 intended to affect the indemnity and defense coverage rights and
 
 9 obligations under any contract of insurance.
 
10      SECTION 5.  Constitutionality.  If any provision of this
 
11 Act, or the application thereof to any person or circumstance is
 
12 held invalid, the invalidity does not affect other provisions or
 
13 applications of the Act which can be given effect without the
 
14 invalid provision or application, and to this end the provisions
 
15 of this Act are severable.
 
16      SECTION 6.  Preemption.  If any portion of this Act is found
 
17 to be preempted by federal law or regulation, the remainder shall
 
18 remain in full force and effect to the fullest extent consistent
 
19 with the preemption.
 
20      SECTION 7.  No intent to create causes of action.  This Act
 
21 shall not be deemed to impose any increased obligation, duty, or
 
22 standard of care than is otherwise applicable under federal or
 
23 state law.  It is not intended to create any new cause of action
 

 
Page 9                                                     1105
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1 or remedy.
 
 2      SECTION 8.  Retroactive application.  The amendments to
 
 3 Chapter 662E and section 662-15(8) in Sections 2 and 3 of this
 
 4 Act are specifically intended to be and shall be applied
 
 5 retroactively as of the effective date of Act 213, Session Laws
 
 6 of Hawaii 1998.
 
 7      SECTION 9.  Remedial intent.  The intention of this Act is
 
 8 to afford protection against harm which is pervasive,
 
 9 unpredictable in impact, and which was generally unknown to
 
10 government.  For that reason, its provisions are remedial, and
 
11 shall be read to provide the greatest level of protection.
 
12      SECTION 10.  Statutory material to be repealed is bracketed.
 
13 New statutory material is underscored.
 
14      SECTION 11.  This Act shall take effect upon its approval,
 
15 provided Chapter 662E and section 662-15(8), Hawaii Revised
 
16 Statutes, shall be repealed on December 31, 2010.