REPORT TITLE:
Blind Vendors; Private Lawyers


DESCRIPTION:
Allows Randolph-Sheppard revolving account to be used to hire
private attorneys for the state committee of blind vendors only
after the committee first seeks AG representation and the AG is
unwilling to provide counsel, or the committee finds AG
representation inadequate; requires transfer of $30,000 annually
from the account to the state committee's bank account.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        
THE SENATE                              S.B. NO.           2494
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO EMPOWERMENT OF THE BLIND.


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

 1      SECTION 1.  The legislature finds that opportunities for the
 
 2 blind and visually handicapped must be provided to enable them to
 
 3 become self-sufficient and independent.  This can be achieved if
 
 4 they are empowered to make decisions and to care for themselves,
 
 5 such as empowering the state committee of blind vendors with
 
 6 discretionary authority over the funds generated from vending
 
 7 operations.  These funds are part of the Randolph-Sheppard
 
 8 revolving account and involve no state or federal moneys.
 
 9      The purpose of this Act is to establish an account into
 
10 which is deposited $30,000 each fiscal year from the
 
11 Randolph-Sheppard revolving account, from which the state
 
12 committee of blind vendors may expend moneys to hire attorneys if
 
13 the attorney general is unwilling to provide representation, and
 
14 expend funds for the purposes of the revolving account.
 
15      SECTION 2.  Chapter 347, Hawaii Revised Statutes, is amended
 
16 by adding a new section to be appropriately designated and to
 
17 read as follows:
 
18      "§347-    Hiring outside counsel.  (a)  Notwithstanding
 
19 section 28-8.3, the state committee of blind vendors may hire
 
20 private attorneys; provided that:
 

 
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 1      (1)  The state committee of blind vendors first seeks
 
 2           representation by the attorney general, and the
 
 3           attorney general is:
 
 4           (A)  Unwilling to provide representation to the state
 
 5                committee of blind vendors; or
 
 6           (B)  A court determines that the representation of the
 
 7                state committee of blind vendors by the attorney
 
 8                general is directly adverse to another client of
 
 9                the attorney general; or
 
10      (2)  The state committee of blind vendors finds that the
 
11           attorney general's representation of the committee is
 
12           inadequate.
 
13      (b)  For purposes of subsection (a)(1)(A), the attorney
 
14 general shall determine if the attorney general is unwilling to
 
15 provide representation within thirty days upon receipt of the
 
16 request for representation."
 
17      SECTION 3.  Section 28-8.3, Hawaii Revised Statutes, is
 
18 amended by amending subsection (a) to read as follows:
 
19      "(a)  No department of the State other than the attorney
 
20 general may employ or retain any attorney, by contract or
 
21 otherwise, for the purpose of representing the State or the
 
22 department in any litigation, rendering legal counsel to the
 
23 department, or drafting legal documents for the department;
 

 
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 1 provided that the foregoing provision shall not apply to the
 
 2 employment or retention of attorneys:
 
 3      (1)  By the public utilities commission, the labor and
 
 4           industrial relations appeals board, and the Hawaii
 
 5           labor relations board;
 
 6      (2)  By any court, or judicial, or legislative office of the
 
 7           State;
 
 8      (3)  By the legislative reference bureau;
 
 9      (4)  By any compilation commission that may be constituted
 
10           from time to time;
 
11      (5)  By the real estate commission for any action involving
 
12           the real estate recovery fund;
 
13      (6)  By the contractors license board for any action
 
14           involving the contractors recovery fund;
 
15      (7)  By the trustees for any action involving the travel
 
16           agency recovery fund;
 
17      (8)  By the office of Hawaiian affairs;
 
18      (9)  By the department of commerce and consumer affairs for
 
19           the enforcement of violations of chapters 480 and 485;
 
20     (10)  As grand jury counsel;
 
21     (11)  By the Hawaiian home lands trust individual claims
 
22           review panel;
 
23     (12)  By the Hawaii health systems corporation or any of its
 

 
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                                     S.B. NO.           2494
                                                        
                                                        

 
 1           facilities;
 
 2     (13)  By the auditor;
 
 3     (14)  By the office of ombudsman;
 
 4     (15)  By the insurance division;
 
 5     (16)  By the University of Hawaii; [or]
 
 6     (17)  By the state committee of blind vendors, as provided
 
 7           under section 347-  ; or
 
 8    [(17)] (18)  By a department, in the event the attorney
 
 9           general, for reasons deemed by the attorney general
 
10           good and sufficient, declines, to employ or retain an
 
11           attorney for a department; provided that the governor
 
12           thereupon waives the provision of this section."
 
13      SECTION 4.  Section 347-12.5, Hawaii Revised Statutes, is
 
14 amended to read as follows:
 
15      "[[]§347-12.5[]]  Randolph-Sheppard revolving account.(a)
 
16 There is established within the state treasury the Randolph-
 
17 Sheppard revolving account.  The revolving account shall be used
 
18 by the department of human services for:
 
19      (1)  The provision of the following benefits for blind
 
20           vendors:
 
21           (A)  A retirement or pension plan;
 
22           (B)  Health insurance; and
 
23           (C)  Sick and vacation leave;
 

 
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                                     S.B. NO.           2494
                                                        
                                                        

 
 1      (2)  The maintenance and replacement of equipment used in
 
 2           the blind vending program;
 
 3      (3)  The purchase of new equipment to be used in the blind
 
 4           vending program; and
 
 5      (4)  The provision of management services, which shall
 
 6           include[,] but not be limited to:
 
 7           (A)  The hiring of consultants;
 
 8           (B)  The sponsoring of training seminars;
 
 9           (C)  Transportation;
 
10           (D)  Per diem for vendors to attend meetings of the
 
11                state committee of blind vendors;
 
12           (E)  Services for the state committee of blind
 
13                vendors[;] including the hiring of private
 
14                attorneys pursuant to section 347-  ; and
 
15           (F)  Other costs related to the blind vending program.
 
16      (b)  Income from vending [machines] operations, such as
 
17 operations at an airport, on federal, state, and county
 
18 properties that are within reasonable proximity to, and in direct
 
19 competition with, a blind vendor may be deposited into the
 
20 revolving account and then disbursed to the blind vendor.
 
21      (c)  The revolving account shall consist of funds derived
 
22 from:
 
23      (1)  Vending [machine income generated by] operations on
 

 
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                                     S.B. NO.           2494
                                                        
                                                        

 
 1           federal, state, and county [operations;] properties;
 
 2      (2)  Any other legally accepted source of income; and
 
 3      (3)  Donations[.];
 
 4 provided that, beginning on July 1, 2000, any moneys deposited in
 
 5 the revolving account that are derived from vending operations
 
 6 shall be identified as to whether the income is generated from
 
 7 federal, state, or county vending operations, and all moneys from
 
 8 federal vending operations shall be segregated into a federal
 
 9 source subaccount and all other moneys shall be segregated into a
 
10 non-federal source subaccount.
 
11      (d)  Notwithstanding any law to the contrary, the state
 
12 committee of blind vendors may spend not more than $30,000 from
 
13 the non-federal source subaccount for each fiscal year for the
 
14 purposes of this section.  At the beginning of each fiscal year,
 
15 if appropriated by the legislature, the director of human
 
16 services or the director's designee shall transfer $30,000 from
 
17 the non-federal source subaccount to an interest-bearing account
 
18 in a federally-insured financial institution that shall be:
 
19      (1)  Selected by the state committee of blind vendors; and
 
20      (2)  In the name of the state committee of blind vendors.
 
21      The department of human services shall report to the
 
22 legislature no later than sixty days following the close of each
 
23 fiscal year on activities and current balance of the revolving
 

 
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                                     S.B. NO.           2494
                                                        
                                                        

 
 1 account.
 
 2      (e)  The transfer of moneys under subsection (d) shall not
 
 3 affect the expenditure of funds from the revolving account by the
 
 4 department of human services."
 
 5      SECTION 5.  There is appropriated out of the non-federal
 
 6 source subaccount of the Randolph-Sheppard revolving account the
 
 7 sum of $30,000, or so much thereof as may be necessary for fiscal
 
 8 year 2000-2001, to enable the director of human services to
 
 9 transfer the appropriate amount to the account of the blind
 
10 vendors pursuant to section 347-12.5(d), Hawaii Revised Statutes,
 
11 for the uses listed in section 347-12.5(a), Hawaii Revised
 
12 Statutes.  Unexpended and unencumbered amounts on June 30 of each
 
13 fiscal year in the account of the blind vendors pursuant to
 
14 section 347-12.5(d), Hawaii Revised Statutes, shall be returned
 
15 to the non-federal source subaccount of the Randolph-Sheppard
 
16 revolving account.
 
17      SECTION 6.  The sum appropriated shall be expended by the
 
18 department of human services.
 
19      SECTION 7.  If any provision of this Act or application
 
20 thereof to any person or circumstance is held invalid or
 
21 determined to be contrary to any federal law or regulation, the
 
22 invalidity or such determination shall not affect other
 
23 provisions or applications of the Act which can be given effect
 

 
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                                     S.B. NO.           2494
                                                        
                                                        

 
 1 without the provision or application held invalid or determined
 
 2 to be contrary to federal law or regulation, and to this end the
 
 3 provisions of this Act are severable.
 
 4      SECTION 8.  Statutory material to be repealed is bracketed.
 
 5 New statutory material is underscored.
 
 6      SECTION 9.  This Act shall take effect upon its approval;
 
 7 provided that sections 5 and 6 shall take effect on July 1, 2000.
 
 8 
 
 9                           INTRODUCED BY:  _______________________