Report Title:

ELECTRICITY PAYMENT; EMERGENCY APPROPRIATION

Description:

Makes an emergency appropriation for FY 2005-2006 to cover statewide budgetary shortfalls in electricity payments for facilities assigned to DAGS.

HOUSE OF REPRESENTATIVES

H.B. NO.

2275

TWENTY-THIRD LEGISLATURE, 2006

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

MAKING AN EMERGENCY APPROPRIATION FOR ELECTRICITY PAYMENTS STATEWIDE.

 

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

SECTION 1. This Act is recommended by the governor for immediate passage in accordance with section 9 of article VII of the Constitution of the State of Hawaii.

SECTION 2. The purpose of this Act is to make an emergency appropriation to address a $1,276,000 deficit in electricity payments for the department of accounting and general services managed facilities statewide. Since local utility companies are dependent upon oil as the primary source of fuel, the steady rise in world oil prices has directly contributed to this shortfall. Although kilowatt per hour consumption has remained flat or decreased, increased worldwide demand and natural disasters like Hurricane Katrina have increased oil prices. Based on a combination of actual bills paid and projected cost, the shortfall for fiscal year 2005-2006 is as follows: Oahu, $1,000,000; Hawaii, $91,000; Maui, $85,000; and Kauai, $100,000. Without an emergency appropriation, the program must defer payment on its May and June 2006 bills.

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $1,276,000, or so much thereof as may be necessary, for fiscal year 2005-2006 for the purpose of paying electricity bills. The sum appropriated shall be expended by the department of accounting and general services.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

BY REQUEST