Report Title:

Emergency Appropriation; Deposit Beverage Container Program

 

Description:

Makes an emergency appropriation for the deposit beverage container program.  (HB1943 HD1)

 

HOUSE OF REPRESENTATIVES

H.B. NO.

1943

TWENTY-FOURTH LEGISLATURE, 2007

H.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

making an emergency appropriation for the deposit beverage container program.

 

 

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 meet the increased expenses of the deposit beverage container program to increase the spending ceiling of the deposit beverage container deposit special fund by $10,000,000 from $52,255,620 to $62,255,620 for fiscal year 2006-2007.

     This fiscal year, expenses will exceed the deposit beverage container deposit special fund appropriation ceiling because the number of deposit beverage containers actually sold (approximately 960,000,000) will greatly exceed estimates of two years ago (approximately 800,000,000).  Increased container numbers plus the current redemption rate of about sixty-eight per cent result in more deposits to refund and more redemption center handling fees for the department to pay; refunds and handling fees will easily exceed $58,000,000.  There are also increased administrative expenses, due in part to more staff and miscellaneous expenses.

     The deposit beverage container deposit special fund has enough moneys to pay the emergency appropriation.

     SECTION 3.  There is appropriated out of the deposit beverage container deposit special fund the sum of $10,000,000 or so much thereof as may be necessary for fiscal year 2006-2007 for the purpose of reimbursing deposit beverage container refund values, for paying handling fees to redemption centers, and for the operating costs of the deposit beverage container program activities described.

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

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