Report Title:

Disaster Preparedness

Description:

Establishes civil defense disaster preparedness special fund and makes appropriation to the fund; establishes prepared emergency response commission and enumerates the duties of commission; requires department of defense to develop disaster preparedness emergency shelter plan and to report to legislature; requires hospitals, nursing homes, and hotels to develop disaster preparedness plans; requires department of health to conduct a study of the structural integrity of hospitals and nursing homes in Hawaii; requires counties to locate, designate, and maintain areas to provide emergency shelter for homeless; establishes rebuttable presumption in favor of undergrounding electric utilities in tsunami-prone areas; authorizes governor to expend funds from the emergency and budget reserve fund to provide emergency assistance to residents and businesses of the State after natural disaster; establishes the residential disaster special assistance fund; limits the percentage of National Guard that can be activated by governor for purposes other than disaster relief; establishes class C felony and misdemeanor offenses for price gouging and profiteering after natural disaster. (HD1)

THE SENATE

S.B. NO.

2214

TWENTY-THIRD LEGISLATURE, 2006

S.D. 2

STATE OF HAWAII

H.D. 1

 

A BILL FOR AN ACT

 

RELATING TO disaster preparedness.

 

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

PART I

DISASTER RELIEF PREPAREDNESS - PLANNING AND ASSESSMENT

SECTION 1. Hawaii, as an island state, faces unique problems in dealing with natural hazards. The risks involve a variety of potential natural disasters, including hurricanes, earthquakes, lava inundation, tsunamis, flooding, and rock and earth slides, and the after effects. The tragedy of the Indonesian tsunami of 2004 has demonstrated the massive devastation that a natural disaster can wreak on an island state such as ours.

Having recognized Hawaii's vulnerability to natural disasters, the legislature intends to improve the State's disaster readiness to protect the safety of its citizens and mitigate the potential damage caused by natural hazards. The legislature finds that, based on recent history, government should take a multi-pronged approach to prepare for and respond to disasters.

The purpose of this Act is to establish a unified comprehensive strategy for identifying natural hazards, mitigating the effects of natural disasters, and responding quickly to natural disasters when they strike.

SECTION 2. Chapter 128, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§128-   Civil defense disaster preparedness special fund. (a) There is established in the state treasury the civil defense disaster preparedness special fund, into which shall be deposited:

(1) The moneys provided by the hurricane reserve trust fund under section 431P-16; and

(2) Appropriations made by the legislature.

(b) The civil defense disaster preparedness special fund shall be administered by the department of defense. All moneys in the fund shall be expended by the director of civil defense and are hereby appropriated for the following purposes:

(1) Adopting and implementing the recommendations of the prepared emergency response plan commission, as required by section    -5;

(2) Loss mitigation or reduction efforts or programs, including but not limited to deposits to the loss mitigation grant fund under section 431:22-102;

(3) Providing around-the-clock alert staff for the civil defense division of the department of defense; and

(4) Disaster or emergency response programs including, but not limited to, deposits to the major disaster or emergency fund under section 127-11.

(c) Any amount to be deposited into the civil defense disaster preparedness special fund pursuant to subsection (a) that causes the special fund to exceed $           shall be deposited into the general fund. No further deposits shall be made into the special fund until the balance of the special fund drops below $          , in which event funds shall be deposited into the special fund pursuant to subsection (a) until the balance equals $          ."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ , or so much thereof as may be necessary for fiscal year 2006-2007, for deposit into the civil defense disaster preparedness special fund.

The sum appropriated shall be expended by the department of defense for the purposes of section 2.

SECTION 4. There is appropriated out of the civil defense disaster preparedness special fund the sum of $          , or so much thereof as may be necessary for fiscal year 2006-2007, for the purposes of section 2.

The sum appropriated shall be expended by the department of defense for the purposes of section 2.

SECTION 5. The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

PREPARED EMERGENCY RESPONSE PLAN COMMISSION

§ -1 Definitions. As used in this chapter, unless the context otherwise requires:

"Commission" means the prepared emergency response plan commission established under section -2.

"Mitigation" means any action taken to identify natural hazards and to reduce or eliminate any long-term risk to human life and property loss or damage from natural disasters and any other event warranting major disaster assistance under the Robert T. Stafford Disaster Relief and Emergency Assistance Act.

"Natural hazard" means any hurricane, storm, flood, tsunami, wind-driven water, tidal wave, earthquake, volcanic activity, lava flow, rockslide, earthslide, fire, or other natural catastrophe posing a risk to property or human life within the State.

"Natural disaster" means the occurrence of any hurricane, storm, flood, tsunami, wind-driven water, tidal wave, earthquake, volcanic eruption, lava flow, rockslide, earthslide, fire, or other natural catastrophe resulting in property damage, hardship, suffering, or possible loss of life within the State.

§ -2 Prepared emergency response plan commission; establishment. (a) There is established a prepared emergency response plan commission within the department of defense for administrative purposes. The commission shall consist of a minimum of eleven members and a maximum of seventeen members appointed in the manner prescribed in section 26-34; provided that the commission shall have at least one member from:

(1) Each of the counties of Hawaii, Honolulu, Kauai, and Maui;

(2) The real estate industry;

(3) The insurance industry;

(4) The financial services industry;

(5) The house of representatives, to be appointed by the speaker of the house of representatives; and

(6) The senate, to be appointed by the president of the senate.

The term of office for each member shall be two years. The director of civil defense shall serve as chairperson of the commission.

(b) Each member of the commission shall have experience and an interest in any of the following areas relating to the mitigation of natural hazards:

(1) Environmental studies or protection;

(2) Risk analysis;

(3) Hazard analysis;

(4) Public awareness and education;

(5) Emergency management;

(6) Structural engineering;

(7) Seismology;

(8) Geology;

(9) Public works;

(10) Public utilities;

(11) Insurance;

(12) Planning;

(13) Flood control;

(14) Land utilization;

(15) Waste management;

(16) Sheltering;

(17) Energy;

(18) Construction;

(19) Communications;

(20) Building codes;

(21) Architecture; and

(22) Coastal zone management.

(c) The members of the commission shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties.

§ -3 Duties of commission. (a) The commission shall have the following duties:

(1) To develop a unified management strategy with recommendations concerning state, federal, and county mitigation responsibilities and programs;

(2) To identify vulnerabilities to various natural hazards and evaluate, prioritize, and recommend measures to mitigate the risks associated with those hazards;

(3) To assist state and county governments in obtaining funds to implement mitigation projects;

(4) To develop specific goals on a biennial basis and provide status reports to state departments, county governments, and private organizations represented on the commission;

(5) To recommend policy and program changes to federal, state, and county agencies that are involved in mitigation activities;

(6) To develop and recommend a comprehensive public education program on the activities of the commission, natural hazards, and natural disaster preparedness, including periodically updated evacuation maps in publicly accessible print and electronic form;

(7) To provide reports to the governor and the legislature on special mitigation activities addressed or completed by the commission;

(8) To develop and maintain accurate information, including maps, relating to natural hazards in the State in a manageable and publicly accessible electronic form. Such information shall include, but not be limited to, detailed information about:

(A) Various types of natural hazards;

(B) The areas of the State that are vulnerable to natural hazards and other potentially affected locations;

(C) The probability of the occurrence of natural disasters;

(D) The dangers created by the occurrence of natural disasters; and

(E) Available options and measures that can be taken to reduce and manage risk from natural hazards and natural disasters.

The commission shall consult available knowledgeable sources, in or out of state, including but not limited to the Pacific Disaster Center and the University of Hawaii, to develop and maintain this information, and such information shall be updated at least annually by the commission;

(9) To review the state building code within two years of its adoption and recommend to the counties amendments to the state building code that promote the health, safety, and welfare of occupants and users and mitigate the risk of property damage, injury, or loss of life in the event of a natural disaster;

(10) To recommend the purchase of early warning systems;

(11) To develop and recommend statewide residential safe room design standards and facilitate impact resistance testing and certification of safe room design; provided that safe room prototype models are developed with private sector grants or investments;

(12) To recommend an inventory of emergency supplies to provide immediate relief in the event of a natural disaster, and to periodically review any existing inventory of emergency supplies to ensure maintained quality and sufficiency;

(13) To develop and recommend a strategy for the distribution of emergency supplies and relief services in the event of a natural disaster; and

(14) To recommend improvements for the preparedness of the State or its citizens to respond to a natural disaster.

§ -4 Meetings. All meetings of the commission shall be conducted in accordance with chapter 92.

§ -5 Adoption of recommendations. The department of defense shall adopt and implement the recommendations of the prepared emergency response plan commission."

SECTION 6. There is appropriated out of the civil defense disaster preparedness special fund the sum of $ , or so much thereof as may be necessary for fiscal year 2006-2007, for the operations of the prepared emergency response plan commission.

The sum shall be expended by the department of defense for the purposes of this Act.

SECTION 7. The department of defense, in consultation with the civil defense agency for each county and the appropriate state agencies and the prepared emergency response plan commission shall develop a disaster preparedness emergency shelter plan that provides adequate emergency shelter for all residents, visitors, and persons with disabilities and pets.

(b) The disaster preparedness emergency shelter plan shall include a list of facilities currently designated as emergency public shelters, indicating whether the shelters meet public shelter design criteria standards established pursuant to Act 5, Special Session Laws of Hawaii 2005. If a currently designated emergency public shelter does not meet these standards, the director, in consultation with the department of education or the department of accounting and general services and the prepared emergency response plan commission, as appropriate, shall develop and implement a plan to retrofit the shelter to comply with the public shelter design criteria standards.

(c) The plan shall also identify sites for new emergency public shelters and provide a schedule for the creation of the new emergency public shelters necessary to meet the anticipated needs of both residents and visitors during any natural or manmade disaster; provided that any newly designated or created emergency public shelter shall meet the public shelter design criteria standards established pursuant to Act 5, Special Session Laws of Hawaii 2005.

(d) The disaster preparedness emergency shelter plan shall include criteria, requirements, conditions, and limitations, for providing suitable arrangements for the sheltering of pet animals, as defined in section 711-1100, in public shelters under this section, and to identify existing public and private shelters that are suitable for the sheltering of pet animals;

(e) People with disabilities are self-sufficient under normal circumstances, but may have to rely upon the help and assistance of others in a disaster. For example:

(1) People with disabilities and older people often need more time than others to make necessary preparation in an emergency;

(2) People who are deaf or hard of hearing may not receive early disaster warnings and emergency instructions that are normally disseminated audibly by siren, radio, and television;

(3) People who are blind or visually impaired, particularly the elderly, may be extremely reluctant to leave familiar surroundings in an evacuation;

(4) Guide dogs could become confused or disoriented in a disaster, leaving their dependent owners at greater risk;

(5) Guide dogs may not be allowed to stay at shelters to assist their dependent owners;

(6) People with impaired mobility are concerned about being lifted, carried, and then dropped, causing them injury and further impairment;

(7) People with mental retardation are not always able to understand an emergency situation and could become disoriented and confused;

(8) People with respiratory illness could require oxygen and respiratory equipment in an emergency; and

(9) People with epilepsy, Parkinson's disease, and other conditions have very individualized medication regimens that cannot be interrupted without serious consequences.

The plan shall provide for shelter and evacuation for the population of persons with disabilities and pets, including but not limited to persons such as those enumerated in this subsection.

SECTION 8. The director of civil defense shall submit to the legislature no less than twenty days prior to the convening of the regular session of 2007 a report concerning the disaster preparedness emergency public shelter plan, which includes the status of currently designated emergency public shelters and their compliance with the design criteria established pursuant to Act 5, Special Session Laws of 2005, and a timetable for the creation of new emergency public shelters to meet the anticipated needs of visitors and residents.

SECTION 9. The Hawaii Revised Statutes is amended by adding two new sections to be appropriately designated and to read as follows:

"§   -    Disaster preparedness plans; health care facilities; nursing homes. (a) By January 1, 2007, any existing health care facility that is operating according to a certificate of need pursuant to section 323D-43 shall file with the department of defense a disaster preparedness plan that details the facility's plan to provide adequate emergency shelter for patients and staff, as well as a plan to meet the medical needs of its patients during a natural or manmade disaster.

(b) No certificate of need shall be issued to any proposed health care facility, or renewed for any existing facility, unless the facility has submitted as part of its application a copy of the disaster preparedness plan filed pursuant to subsection (a).

(c) By January 1, 2007, any nursing home that is licensed or certified by the department shall file with the department of defense a disaster preparedness plan that details the facility's plan to provide adequate emergency shelter for patients and staff, as well as a plan to meet the medical needs of their patients during a natural or manmade disaster.

(d) No license or certificate shall be issued to any proposed nursing home, or renewed for an existing one, unless the facility has also submitted as part of its application a copy of the disaster preparedness plan filed pursuant to subsection (c).

(e) Any facility subject to this section, as a part of its required disaster preparedness plan, shall include plans to retrofit its structural facilities using new technologies developed to prevent the progressive collapse of buildings during a natural or manmade disaster. Each plan shall include a timeline detailing the facility's planned implementation of the prospective retrofitting of the structural facilities.

§   -    Disaster preparedness plans; hotels. (a) Pursuant to section 321-11 and no later than July 1, 2007, the department of health shall adopt rules under chapter 91 necessary for public health and safety to require all hotels with at least nine rooming units, in which space is let by the owner or operator, to file with the department of defense a disaster preparedness plan that details the hotel's plan to provide adequate emergency shelter for visitors and staff during a natural or manmade disaster.

(b) The disaster preparedness plan shall be submitted by hotels subject to this section no later than thirty days after the effective date of the rules adopted pursuant to subsection (a).

(c) Any hotel subject to this section, as a part of its required disaster preparedness plan, shall include plans to retrofit its structural facilities using new technologies developed to prevent the progressive collapse of buildings during a natural or manmade disaster. Each plan shall include a timeline detailing the facility's planned implementation of the prospective retrofitting of the structural facilities."

SECTION 10. The department of health shall conduct a study to assess the structural integrity of all hospitals and nursing homes in Hawaii. The study shall be conducted by one or more registered professional engineers qualified to conduct structural analysis and knowledgeable in the effects of hurricanes. The analysis shall include rating each facility based on its ability to survive the likely effects of hurricanes in categories I, II, III, IV, and V, using hurricane shelter criteria as established by the state department of defense pursuant to section 5 of Act 5, Special Session Laws of Hawaii 2005.

Information derived from the analysis shall be provided to facility owners and operators and used to support risk-based disaster plans. The information shall also be provided to county and state civil defense officials and used to support evacuation decisions. Aggregate data shall be provided to the legislature.

SECTION 11. The department of health shall report findings and recommendations, including any proposed legislation, to the legislature no later than twenty days before the convening of the regular session of 2007.

SECTION 12. There is appropriated out of the general revenues of the State of Hawaii the sum of $        , or so much thereof as may be necessary for fiscal year 2006-2007, for a study to assess the structural integrity of all hospitals and nursing homes in Hawaii.

The sum appropriated shall be expended by the department of health for the purposes of section 10.

SECTION 13. Chapter 201G, Hawaii Revised Statutes, is amended by adding a new section to part IV to be appropriately designated and to read as follows:

"§201G-   Temporary emergency housing. (a) In addition to any other duties prescribed by law, the administration shall coordinate with the four counties and the prepared emergency response plan commission to develop a procedure for identifying locations that shall be used for temporary emergency shelters for homeless individuals and families.

(b) Each county shall be responsible for locating, designating, and maintaining the areas that shall be used for temporary emergency shelters. The designated locations may include public parks or established homeless facilities."

SECTION 14. There is appropriated out of the general revenues of the State of Hawaii the following sums, or so much thereof as may be necessary for the fiscal year 2006-2007, as a grant-in-aid to assist the counties in implementing section 13 of this Act:

City and county of Honolulu $

County of Kauai

County of Maui

County of Hawaii

Total $

The sums appropriated to each county shall be expended by that county for the purposes of this section and shall constitute the State's share of the cost of mandated programs under article VIII, section 5, of the state constitution.

SECTION 15. There is appropriated out of the general revenues of the State of Hawaii the sum of $          , or so much thereof as may be necessary for fiscal year 2006-2007, for the planning, design, construction, and equipment costs related to increasing the number of safe emergency shelters located in the community.

The sum appropriated shall be expended by the department of defense for the purposes of this section.

SECTION 16. Act 178, Session Laws of Hawaii 2005, is amended by amending section 67 to read as follows:

"SECTION 67. Provided that of the general fund appropriation for amelioration of physical disasters (DEF 110), the sum of $500,000 for fiscal year 2005-2006 and the sum of $500,000 for fiscal year 2006-2007 shall be expended for relief ($        ) and to establish an emergency cache ($        ), from major disasters pursuant to chapter 127-11, Hawaii Revised Statutes; provided further that the department of defense shall notify the legislature within five business days of any expenditure of these funds by submitting a report detailing the date, reason, and amount of the expenditure; and provided further that any funds not expended for this purpose shall be lapsed to the general fund."

SECTION 17. Section 269-27.6, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) Notwithstanding any law to the contrary, whenever a public utility applies to the public utilities commission for approval to place, construct, erect, or otherwise build a new forty-six kilovolt or greater high-voltage electric transmission system, either above or below the surface of the ground, the public utilities commission shall determine whether the electric transmission system shall be placed, constructed, erected, or built above or below the surface of the ground; provided that in tsunami-prone areas as determined by the state department of defense, there shall be a rebuttable presumption in favor of placement below the surface of the ground; and provided further that in its determination, the public utilities commission shall consider:

(1) Whether a benefit exists that outweighs the costs of placing the electric transmission system underground;

(2) Whether there is a governmental public policy requiring the electric transmission system to be placed, constructed, erected, or built underground, and the governmental agency establishing the policy commits funds for the additional costs of undergrounding;

(3) Whether any governmental agency or other parties are willing to pay for the additional costs of undergrounding;

(4) The recommendation of the division of consumer advocacy of the department of commerce and consumer affairs, which shall be based on an evaluation of the factors set forth under this subsection; and

(5) Any other relevant factors."

PART II

DISASTER RELIEF PREPAREDNESS - RESPONSE AFTER DISASTER

SECTION 18. Section 328L-3, Hawaii Revised Statutes, is amended to read as follows:

"§328L-3 Emergency and budget reserve fund. (a) There is established in the state treasury the emergency and budget reserve fund which shall be a special fund administered by the director of finance, into which shall be deposited:

(1) Twenty-four and one-half per cent of the moneys received from the tobacco settlement moneys under section 328L-2(b)(1);

(2) Appropriations made by the legislature to the fund.

(b) All interest earned from moneys in the emergency and budget reserve fund shall be credited to the general fund.

(c) Expenditures from the emergency and budget reserve fund shall be a temporary supplemental source of funding for the State during times of emergency, economic downturn, or unforeseen reduction in revenues. No expenditures shall be made from the emergency and budget reserve fund except pursuant to appropriations[.] or as provided in subsection (e). The general appropriations bill or the supplemental appropriations bill, as defined in section 9 of article VII of the Constitution of the State of Hawaii, shall not be used to appropriate moneys from the emergency and budget reserve fund. The governor, through an appropriations bill, may recommend expenditures from the emergency and budget reserve fund by setting forth the purposes of the expenditures consistent with subsection (d), the amounts, and the reasons justifying the necessity for the appropriations.

(d) The legislature may make appropriations from the fund for the following purposes:

(1) To maintain levels of programs determined to be essential to public health, safety, welfare, and education;

(2) To provide for counter cyclical economic and employment programs in periods of economic downturn;

(3) To restore facilities destroyed or damaged or services disrupted by disaster in any county; and

(4) To meet other emergencies when declared by the governor or determined to be urgent by the legislature.

Any act making appropriations from the emergency and budget reserve fund shall include a declaration of findings and purposes setting forth the purposes, the amounts, and the reasons why the appropriations are necessary and, except as provided in subsection (e), shall require a two-thirds majority vote of each house of the legislature.

(e) Upon the declaration by the governor of an emergency due to a natural disaster, the governor, by executive order, may authorize the release and expenditure of moneys appropriated from the fund to provide emergency assistance to residents or businesses of the State for damages sustained from a natural disaster, during or immediately after the natural disaster, subject to the following requirements:

(1) The governor shall determine the amount of moneys to be released based upon the recommendations of the State and respective county civil defense agencies; provided that the amount appropriated shall not exceed ten per cent of the balance in the fund earned from interest on principal at the time of the appropriation;

(2) Within seventy-two hours after issuing the executive order, the governor shall provide written notice to the president of the senate and the speaker of the house of representatives describing the intended use of the moneys; and

(3) The governor shall submit a report to the legislature not later than twenty days prior to the convening of the regular session or any special session immediately following the occurrence of the natural disaster, regarding the release and expenditure of moneys from the fund under this subsection; provided that if the natural disaster occurs in the period between thirty days prior to the convening of a regular session and the closing of the regular session, the governor shall submit the report not later than thirty days after issuing the executive order. At a minimum the report shall:

(A) State the amounts released;

(B) Describe the purposes under subsection (d) for which the funds were released;

(C) Explain the factors that necessitated the use of moneys in the fund; and

(D) Provide recommendations for replacing the expended moneys from the fund.

[(e)] (f) Appropriations for the following purposes from the emergency and budget reserve fund are specifically prohibited:

(1) To meet expenses of the legislature;

(2) To provide for salary adjustments for officials appointed pursuant to article V, section 6 or article VI, section 3 of the Constitution of the State of Hawaii and for others whose salaries are directly related to salaries of these officials; and

(3) To fund cost items in any collective bargaining contract."

SECTION 19. There is appropriated out of the general revenues of the State of Hawaii the sum of $          , or so much thereof as may be necessary for fiscal year 2006-2007, to carry out the purposes of section 328L-3, Hawaii Revised Statutes.

The sum appropriated shall be expended by the director of finance for the purposes of section 18.

SECTION 20. Section 127-11, Hawaii Revised Statutes, is amended to read as follows:

"§127-11 Major disaster or emergency fund. The director shall submit requests to the legislature to appropriate from the general revenues of the State sufficient moneys as may be necessary for expenditure by or under the direction of the governor for immediate relief in the event of the occurrence of any major disaster or emergency in any part of the State; provided that:

(1) The governor may not expend in excess of [$1,000,000] $2,000,000 for immediate relief of any single major disaster[;] or emergency; and

(2) [Provided further that in] In addition to the funds in paragraph (1), an additional [$1,000,000] $2,000,000 shall be available solely for the purpose of matching federal disaster or emergency relief funds when these funds become available following a presidential disaster or emergency declaration.

In expending the moneys, the governor may allot any portion thereof to any agency, office, or employee, federal, state, or county, for the more speedy and efficient relief of the conditions created by the disasters[.] or emergencies. The governor may determine whether a major disaster or emergency contemplated by this section has occurred[, and any determination shall be conclusive]."

SECTION 21. Chapter 209, Hawaii Revised Statutes, is amended by adding a new section to part III to be appropriately designated and to read as follows:

"§209-   Residential disaster assistance special fund. (a) There is established within the state treasury a special fund to be known as the residential disaster assistance special fund. The special fund shall be administered and expended by the department of business, economic development, and tourism in accordance with this section.

(b) The department shall expend the special fund to provide reimbursement to applicants who, as a result of a state disaster:

(1) Incurred residential property losses; and

(2) Are not eligible for any other state or federal government assistance program or loan.

(c) An applicant shall be eligible to receive compensation for loss, resulting from a state disaster, under this section if the applicant is a natural person and the owner of the damaged dwelling; provided that an applicant may apply for compensation for not more than one damaged dwelling.

(d) Compensation for loss to any one applicant under this section shall not exceed $          . The department may expend moneys from the fund without an appropriation by the legislature. Any insurance proceeds received by the applicant for a loss as a result of a natural disaster, as defined in section 171-85, shall be deducted from the amount payable to the applicant under this subsection if the applicant's compensation from the special fund exceeds the applicant's insurance compensation, if any. If the compensation from the special fund is not more than the insurance compensation, the applicant shall be entitled to compensation from the special fund in an amount that does not exceed the difference between the amount of the insurance compensation and the actual loss suffered.

(e) For purposes of calculating the amount of compensation to each applicant, the department shall:

(1) Determine the amount of total potential compensation based upon all eligible applications resulting from a single state disaster; and

(2) Make compensation to each applicant in the pro rata proportion that the applicant's compensation bears to the total available moneys appropriated under subsection (g).

(f) The department shall establish procedures and a deadline for filing an application after the occurrence of a state disaster by adopting rules pursuant to chapter 91.

(g) The special fund shall consist of moneys appropriated for deposit into the fund for purposes of this section; provided that no unexpended or unencumbered moneys shall lapse into the general fund."

SECTION 22. Section 121-30, Hawaii Revised Statutes, is amended to read as follows:

"§121-30 Order to active service[.]; governor's duty. In case of war, insurrection, invasion, riot, or imminent danger thereof, or any forcible obstruction to the execution of the laws, or reasonable apprehension thereof, or for assistance to civil authorities in disaster relief or civil defense, the governor may order the national guard or other component of the militia or any part thereof into active service. The governor or the governor's designated representative also may order the national guard into active service in nonemergency situations for duty and training in addition to the drill and instruction required by section 121-28.

(b) The governor shall not order the national guard or other component of the militia or any part thereof into active service pursuant to subsection (a), other than for assistance to civil authorities in disaster relief or civil defense if, as a result, more than      per cent of the members of the Hawaii national guard would be in active federal or state service at any one time.

(c) If, as a result of an order by the President of the United States directing any members of the Hawaii national guard to report to active federal service for deployment outside of the State, the percentage under subsection (b) would be exceeded, the governor, with the assistance of the adjutant general, shall immediately:

(1) Advise the President of the United States, Secretary of Defense, and Secretary of the Army, or Secretary of the Air Force, as appropriate, of the provisions of this section as well as the dire social, economic, and civil defense consequences to the State of the activation and deployment; and

(2) Urge the reduction in the number of troops to be ordered into active federal service."

SECTION 23. Section 209-1, Hawaii Revised Statutes, is amended by adding a new definition to be appropriately inserted and to read as follows:

""Services" shall mean any work, labor, or services furnished in connection with the sale or renovation of real or personal property."

SECTION 24. Section 209-9, Hawaii Revised Statutes, is amended as follows:

1. By amending subsection (a) to read:

"(a) Whenever the governor declares a state disaster for the entire State or any portion thereof, or when the State, or any portion thereof, is the subject of a severe weather warning:

(1) There shall be prohibited any excessive increase in the selling price of any commodity[,] or service, whether at the retail or wholesale level, in the area that is the subject of the disaster declaration or the severe weather warning[; and]. It is prima facie evidence that a price is an excessive increase if:

(A) The amount charged for the commodity or service that is the subject of the offer or transaction exceeds by       per cent the average price at which that commodity or service was leased or sold or offered for lease or sale in the usual course of business during the thirty days immediately prior to a declaration of a state of disaster, and the increase in the amount charged is not attributable to additional costs incurred in connection with the lease or sale of that commodity or service, or any national or international trends; or

(B) The amount charged exceeds by       per cent the average price at which the same or similar commodity or service was readily obtainable in the trade area during the thirty days immediately prior to a declaration of a state of natural disaster, and the increase is not attributable to additional costs incurred in connection with the lease or sale of that commodity or service, or any national or international trends;

[(2)] (3) No landlord shall terminate any tenancy for a residential dwelling unit in the area that is the subject of a disaster declaration or a severe weather warning, except for a breach of a material term of a rental agreement or lease, or if the unit is unfit for occupancy as defined in this chapter, provided that:

(A) Nothing in this chapter shall be construed to extend a fixed term lease beyond its termination date, except that a periodic tenancy for a residential dwelling unit may be terminated by the landlord upon forty-five days written notice:

(i) When the residential dwelling unit is sold to a bona fide purchaser for value; or

(ii) When the landlord or an immediate family member of the landlord will occupy the residential dwelling unit; or

(B) Under a fixed term lease or a periodic tenancy, upon forty-five days written notice, a landlord may require a tenant or tenants to relocate during the actual and continuous period of any repair to render a residential dwelling unit fit for occupancy provided that:

(i) Reoccupancy shall first be offered to the same tenant or tenants upon completion of the repair; and

(ii) The term of the fixed term lease or periodic tenancy shall be extended by a period of time equal to the duration of the repair; and

(iii) It shall be the responsibility of the tenant or tenants to find other accommodations during the period of repair.

As used in this section, "breach of a material term" means the failure of a party to perform an obligation under the rental agreement which constitutes the consideration for entering into the contract and includes the failure to make a timely payment of rent. For the purpose of this subsection:

"Fixed term lease" means a lease for real property that specifies its beginning date and its termination date as calendar dates, or contains a formula for determining the beginning and termination dates; and the application of the formula as of the date of the agreement will produce a calendar date for the beginning and termination of the lease.

"Periodic tenancy" means a tenancy wherein real property is leased for an indefinite time with monthly or other periodic rent reserved. A periodic tenancy may be created by express agreement of the parties, or by implication upon the expiration of a fixed term lease when neither landlord nor tenant provides the other with written notice of termination and the tenant retains possession of the premises for any period of time after the expiration of the original term.

"Unfit for occupancy" means that a residential dwelling unit has been damaged to the extent that the appropriate county agency determines that the unit creates a dangerous or unsanitary situation and is dangerous to the occupants or to the neighborhood."

2. By amending subsection (e) to read:

"(e) Any violation of this section [shall]:

(1) Shall constitute unfair methods of competition and unfair and deceptive acts or practices in the conduct of any trade [[]or[]] commerce under section 480-2 and shall be subject to a civil penalty as provided in section 480-3.1. Each [item sold] sale of a commodity or services at a price that is prohibited by this section shall constitute a separate violation[.];"

(2) Shall be a class C felony if the profit unlawfully received exceeds $300; and

(3) Shall be a misdemeanor if the profit unlawfully received is $300 or less."

SECTION 25. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 26. This Act shall take effect on July 1, 2006.