HB 640

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HOUSE OF REPRESENTATIVES	H.B. NO.	640
TWENTY-FIRST LEGISLATURE, 2001
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO HUMAN RESOURCES.

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

SECTION 1. Act 253, Session Laws of Hawaii 2000, is amended by adding a new section to read as follows:

"SECTION 73A. Chapter 76, part IV, Hawaii Revised Statutes, is repealed."

SECTION 2. Act 253, Session Laws of Hawaii 2000, is amended by adding a new section to read as follows:

"SECTION 73B. Section 76-101, Hawaii Revised Statutes, is repealed."

SECTION 3. Act 253, Session Laws of Hawaii 2000, is amended by adding a new section to read as follows:

"SECTION 73C. Section 76-102, Hawaii Revised Statutes, is repealed."

SECTION 4. Act 253, Session Laws of Hawaii 2000, is amended by adding a new section to read as follows:

"SECTION 73D. Section 76-104, Hawaii Revised Statutes, is repealed."

SECTION 5. Act 253, Session Laws of Hawaii 2000, is amended by adding a new section to read as follows:

"SECTION 73E. Section 76-105, Hawaii Revised Statutes, is repealed."

SECTION 6. Act 253, Session Laws of Hawaii 2000, is amended by adding a new section to read as follows:

"SECTION 73F. Section 76-106, Hawaii Revised Statutes, is repealed."

SECTION 7. Act 253, Session Laws of Hawaii 2000, is amended by adding a new section to read as follows:

"SECTION 73G. Chapter 76, part VI, Hawaii Revised Statutes, is repealed."

SECTION 8. Act 253, Session Laws of Hawaii 2000, section 2, is amended by amending subsection (f) of section 26-5, Hawaii Revised Statutes to read as follows:

"(f) There is [created] established in the state treasury [a] the human resources development special fund[, which shall consist of two separate accounts to be expended by the department as follows:].

[(1) All revenues received by the department as a result of entrepreneurial efforts in securing new sources of funds not provided for in the department's budget for services rendered by the department shall be deposited into the entrepreneurial account and expended for the department's related activities and programs; provided that the department may use the moneys in the fund to employ necessary personnel or for other purposes in support of departmental entrepreneurial initiatives and programs; and

(2) All revenues received by the department from the charging of participant fees for in-service training, that are in addition to general fund appropriations in the department's budget for developing and operating in-service training programs, shall be deposited into the in-service training account and expended for the department's training activities and programs.]

(1) The following shall be deposited into the special fund:

(A) All revenues received by the department as a result of entrepreneurial efforts in securing new sources of funds not provided for in the department's budget for services rendered by the department;

(B) All revenues received by the department from the charging of participant fees for in-service training that are in addition to general fund appropriations in the department's budget for developing and operating in-service training programs;

(D) Moneys directed to the department from any other source, including gifts, grants, and awards.

(2) Moneys in the human resources development special fund shall be used for the following purposes:

(A) Supporting the department's entrepreneurial initiatives, training activities, and programs;

(B) Administrative costs of the department's entrepreneurial initiatives, training activities, and programs; and

(C) Any other purpose deemed necessary by the director for the purpose of facilitating the department's entrepreneurial initiatives, training activities, and programs."

SECTION 9. Act 253, Session Laws of Hawaii 2000, section 12, is amended by amending subsection (c) of section 76-14, Hawaii Revised Statutes, to read as follows:

"(c) The rules adopted by the merit appeals board shall provide for the following:

(1) The merit appeals board shall not act on an appeal, but shall defer to other authority, if the action complained of constitutes a prohibited act that is subject to the jurisdiction of another appellate body or administrative agency or the grievance procedure under a collective bargaining agreement;

(2) The merit appeals board shall not proceed on an appeal or shall hold proceedings in abeyance if there is any controversy regarding its authority to hear the appeal until the controversy is resolved by the Hawaii labor relations board;

(3) The merit appeals board shall prescribe time limits for filing an appeal that require exhaustion of all internal complaint procedures, including administrative review and departmental complaint procedures, before an appeal is filed; and

(4) The merit appeals board shall use the conditions listed in section [76-41(c)] 76-41(b) in reaching a decision on whether actions taken by the appointing authority based on a failure by the employee to meet the performance requirements of the employee's position is with or without merit."

SECTION 10. Act 253, Session Laws of Hawaii 2000, section 19, is amended by amending subsection (d) of section 76-27, Hawaii Revised Statutes, to read as follows:

"(d) A member who is promoted or transferred to another position in the civil service may be required to successfully serve a new probation period as part of the examination process to determine the employee's fitness and ability for the new position but shall be entitled to all the rights and privileges of a member of the civil service, except the right to appeal a [discharge] release from the new position (as distinguished from discharge from the service) for inefficiency during the probationary period, in which case the member shall be returned to the former position or a comparable position."

SECTION 11. Act 253, Session Laws of Hawaii 2000, section 77 is amended by amending subsection (c) of section 78-12, Hawaii Revised Statutes, to read as follows:

"(c) The officer, agent, employee, or other person in the service of the jurisdiction, alleged to be indebted to a jurisdiction, may waive the right to a hearing to determine the indebtedness and instead assign by contract to the officer charged with the duty of collecting debts:

(1) The priority right to payment of the total amount of the alleged indebtedness; and

(2) The right of the officer to deduct from each and every periodic payment normally due the assignor an amount equal to the maximum legally permissible amount deductible under garnishment law until the total amount owing is paid in full.

For purposes of this section, a person shall be deemed to waive the hearing if the person fails to request a hearing within fifteen days from the date the person was notified of the indebtedness and the opportunity to request a hearing."

SECTION 12. Act 253, Session Laws of Hawaii 2000, section 77 is amended by amending subsection (g) of section 78-12, Hawaii Revised Statutes, to read as follows:

"(g) If the determination of indebtedness was contested and is subsequently found to be incorrect:

(1) Any moneys repaid or deducted under subsection (e) for any indebtedness in excess of the correct amount shall be promptly refunded with interest[, to be calculated at a rate and in such manner as the disbursing officer establishes by rules;] as specified by section 103-10; or

(2) All leave or compensatory time credits applied to offset any indebtedness in excess of the correct amount shall be re-credited to the employee's respective leave or compensatory time accounts and shall not result in a cash payment."

SECTION 13. Act 253, Session Laws of Hawaii 2000, is amended by amending section 122 to read as follows:

"SECTION 122. Optional participation by a county, the judiciary, the Hawaii health systems corporation, the office of Hawaiian affairs, or the legislative branch of the State or a county. The city and county of Honolulu, the county of Hawaii, the county of Kauai, the county of Maui, the judiciary, the Hawaii health systems corporation, the office of Hawaiian affairs, or the legislative branch of the State or a county may opt to provide the special retirement incentive benefit under section 115 to their respective employees under a workforce restructuring plan; provided that the special retirement incentive is in lieu of any voluntary severance benefit that may be offered under its plan and is consistent with all of the provisions in section 115. All references to the State in section 115 shall include the [ a] jurisdiction opting to provide the special retirement incentive benefit. The chief executive or other appropriate authority of the respective jurisdictions shall ensure that approval of its respective legislative body is obtained, if required, before offering the special retirement incentive under section 115."

SECTION 14. Act 253, Session Laws of Hawaii 2000, is amended by amending section 152 to read as follows:

"SECTION 152. This Act shall take effect on July 1, 2002; provided that section 26-5(f), Hawaii Revised Statutes, in Section 2 and Parts V and IX of this Act shall take effect on July 1, 2000[.]; and section 78- , Experimental modernization projects, Hawaii Revised Statutes, in section 74 of this Act shall take effect on July 1, 2001."

SECTION 15. There is appropriated out of the human resources development special fund the sum of $600,000, or so much thereof as may be necessary for fiscal year 2001-2002, for the purposes of the fund. The sum appropriated shall be expended by the department of human resources development.

SECTION 16. Statutory material to be repealed is bracketed. New statutory material is underscored.

SECTION 17. This Act shall take effect on July 1, 2001.

INTRODUCED BY:	_____________________________