Raises the ceiling on expenditures from the major disaster fund from $1 million to $2 million to provide for additional disaster relief. Returns the interest earned on the hurricane reserve trust fund to the hurricane reserve trust fund when the Hawaii hurricane relief fund has policyholders. Creates a civil defense disaster preparedness special fund to build or improve public shelters, improve early warning systems, conduct public education on disaster preparedness, promote loss mitigation efforts, provide around the clock alert staff, update evacuation maps in phone books, develop statewide residential safe room design standards, fund disaster or emergency response programs, establish and maintain emergency supplies.

A BILL FOR AN ACT

PART 1

SECTION 1. Natural disasters appear to be increasing in frequency and intensity. Costs of response and recovery efforts have significantly increased. The Major Disaster Fund was established in 1957 authorizing the Governor to expend up to $500,000 for immediate relief of any single major disaster. This amount was increased to $750,000 in 1981 and $1,000,000 in 1989. The purpose of this part is to raise the ceiling and authorization for the use of the Major Disaster Fund from $1,000,000 to $2,000,000 and to bring it in conformity with the amendments provided in the preceding part.

SECTION 2. Section 127-11, Hawaii Revised Statutes, is amended to read as follows:

"§127-11 Major disaster 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:

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. The governor may determine whether a major disaster or emergency contemplated by this section has occurred, and any determination shall be conclusive."

PART 2

SECTION 3. 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:

(b) The civil defense disaster preparedness special fund shall be administered by the department of defense and may be used for any of the following purposes:

SECTION 4. Section 431:22-102, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) There is established a special fund to be designated as the loss mitigation grant fund. Moneys [transferred] deposited to the loss mitigation grant fund may be expended by the commissioner to carry out the commissioner's duties and obligations under this article. Disbursements from the loss mitigation grant fund shall not be subject to chapter 42F or 91."

SECTION 5. Section 431P-16, Hawaii Revised Statutes, is amended by amending subsection (i) to read as follows:

"(i) Moneys in the hurricane reserve trust fund may be:

provided that all interest earned from the principal in the hurricane reserve trust fund shall be transferred and deposited into the general fund each year that the hurricane reserve trust fund remains in existence.] pursuant to legislative appropriation.

Prior to dissolution of the Hawaii hurricane relief fund and in the event that the Hawaii hurricane relief fund has no policyholders, the annual net investment income earned from the principal in the hurricane reserve trust fund shall be deposited to the credit of the civil defense disaster preparedness fund; provided that the first $2,000,000 of the annual net investment income in fiscal years 2006-2007 and 2007-2008 shall be deposited into the loss mitigation grant fund."

SECTION 6. Act 5, Special Session Laws of Hawaii 2005, is amended by amending section 4 to read as follows:

"SECTION 4. There is appropriated out of the hurricane reserve trust fund the sum of $2,000,000 or so much thereof as may be necessary for fiscal year 2005-2006, [and the sum of $2,000,000 or so much thereof as may be necessary for fiscal year 2006-2007] for tsunami and hurricane preparedness efforts, including installing and maintaining new siren systems, updating evacuation maps in telephone books, constructing additional shelter space and retrofitting existing public buildings that could serve as emergency shelters, developing statewide residential safe room design standards by January 1, 2006, providing around-the-clock alert staff for the civil defense division of the department of defense, and expanding public education campaigns emphasizing the need for tsunami and hurricane preparedness.

The sum appropriated in this part shall be expended by the department of defense for the purposes of this part."

SECTION 7. Act 5, Special Session Laws of Hawaii 2005, is amended by amending section 12 to read as follows:

"SECTION 12. There is appropriated out of the hurricane reserve trust fund of the State of Hawaii the sum of $2,000,000, or so much thereof as may be necessary for fiscal year 2005-2006, [and the sum of $2,000,000, or so much thereof as may be necessary for fiscal year 2006-2007,] for the deposit into the loss mitigation grant fund."

SECTION 8. There is appropriated out of the civil defense disaster preparedness special fund the sum of $4,000,000, or so much thereof as may be necessary, for fiscal year 2006-2007 for the purposes of the civil defense disaster preparedness special fund. The sum appropriated shall be expended by the department of defense.

SECTION 9. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 10. This Act shall take effect upon its approval.