SB1679 HD1.DOC

SECTION 1. In 1999, the legislature established the emergency and budget reserve fund as a temporary supplemental source of funding for the State of Hawaii in times of emergency, economic downturn, or unforeseen reduction in revenues. As set forth in section 328L-3, Hawaii Revised Statutes, specific purposes for the fund include the maintaining of levels of programs determined to be essential to public health, safety, welfare, and education.

The legislature finds that the national and global economic crisis has caused significant economic problems in numerous industries in the state, including the airline, cruise ship, tourist, and construction industries. Mass layoffs have been reported by an increasing number of Hawaii businesses statewide, from the agricultural sector to the medical services sector. Hawaii's automobile dealers have cut fifteen per cent of their workforce and that percentage could double in the future. Financial uncertainty has caused decreased visitor arrivals and low hotel occupancy rates leading to layoffs and reductions in employee hours. Furthermore, recent forecasts show that the situation will worsen with a continued decline in jobs, personal income, and visitor arrivals, and with rising inflation.

Difficult economic times and declining tax revenues have resulted in budget cuts for all state services. State departments have been asked to lower their budget proposals by up to twenty per cent. The department of education faces a possible $70,000,000 shortfall for the next academic year and funding has discontinued for science textbooks and materials, programs for literacy training for learning-disabled children, as well as for speech pathologists, occupational and physical therapists, and more than two hundred other positions.

The department of health has projected a $25,000,000 shortfall for mental health services and a $5,400,000 shortfall for developmental disabilities services in the current fiscal year. Funding has been eliminated for the healthy start program, totaling approximately $22,000,000 for the biennium. Additionally, the governor has discontinued funding for the keiki care program, which may leave an estimated one thousand five hundred gap group children without access to affordable health care.

The current and impending situation jeopardizes the safety net of basic human services, health, and education needs for Hawaii's residents and families. And while all of Hawaii's residents will be affected by the situation, gap group families and families closest to the poverty line will suffer the most.

The legislature finds that expenditures from the emergency and budget reserve fund established by section 328L-3, Hawaii Revised Statutes, are needed to meet the conditions of emergency, economic downturn, and unforeseen reduction in revenues that the State currently faces. Further, the legislature finds that the appropriations in this Act are consistent with the purposes of the emergency and budget reserve fund.

The purpose of this Act is to appropriate moneys from the emergency and budget reserve fund of the State of Hawaii to maintain the levels of programs determined to be essential to education, public health, and public welfare.

SECTION 2. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the department of health, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 3. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the department of human services, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

The sums appropriated shall be expended by the department of human services for the purposes of this Act.

SECTION 4. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the department of education, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

The sums appropriated shall be expended by the department of education for the purposes of this Act.

SECTION 5. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and the sum of $ or so much thereof as may be necessary for fiscal year 2010-2011, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes, to supplement the development of Ke Ola Pono, the Chronic Disease Self-Management Program, and Enhanced Fitness statewide.

The sums appropriated shall be expended by the executive office on aging for the purposes of this Act.

SECTION 6. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and the sum of $ or so much thereof as may be necessary for fiscal year 2010-2011 for implementation of a respite services program, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 7. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and the sum of $ or so much thereof as may be necessary for fiscal year 2010-2011 to supplement the healthy start program, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 8. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and the same sum or so much thereof as may be necessary for fiscal year 2010-2011, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes, to provide funding for grants pursuant to chapter 42F, Hawaii Revised Statutes, to be distributed as follows:

(1) Catholic Charities Hawaii $

(2) Kapahulu center $

(3) Moiliili community center $

(4) Waikiki community center $

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

SECTION 9. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the purposes of maintaining kupuna care services at the level of service provided statewide in fiscal year 2007-2008, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 10. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and the sum of $ or so much thereof as may be necessary for fiscal year 2010-2011, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes, to supplement the development of the aging and disability resource center program as follows:

(1) Provide start-up funds for two new pilot sites for Maui and Kauai, and continue the coordination of Hawaii and Honolulu counties, which have also initiated plans for additional satellite sites on their respective islands. This includes aging and disability resource center staff positions for each county pilot site for project coordination and management, and administrative support;

(2) Purchase additional management information system products and expand telephone systems. This includes software licensing renewals, server clusters, installation, staff training, computer hardware, technical support, and consultation for website and management information system maintenance and enhancements;

(3) Coordinate and implement the aging and disability resource center consumer education and outreach campaigns. This includes outreach coordination, the production and printing of aging and disability resource center brochures and printed materials, posters, media advertisements (print, television, and radio), presentations and exhibits at senior and disability events or focal centers, bilingual translation, and other promotional activities that will educate consumers and the public about aging and disability resource center services; and

(4) Continue the state-level coordination and evaluation activities of the project. This includes an appropriation for the positions of project coordinator, project evaluator consultant, research assistant, and administrative support.

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

SECTION 11. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the developmental disabilities medicaid waiver program, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 12. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for mental health services, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 13. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the partnerships in community living program, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 14. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for direct health care to the uninsured, which may include primary medical, dental, and behavioral health care, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 15. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for substance abuse treatment, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 16. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the healthy aging partnership program, pursuant to section 328L-3(d)(1), Hawaii Revised Statutes.

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

SECTION 17. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the Hawaii children's health care program, established pursuant to Act 236, Session Laws of Hawaii 2007.

The sums appropriated shall be expended by the department of human services for the purposes of this Act.

SECTION 18. There is appropriated out of the emergency and budget reserve fund of the State of Hawaii as a grant pursuant to chapter 42F, Hawaii Revised Statutes, the sum of $ or so much thereof as may be necessary for fiscal year 2009-2010 and $ or so much thereof as may be necessary for fiscal year 2010-2011 for the Hawaii Immigrant Health Initiative Program services administered by the Kalihi-Palama Health Center.

The sums appropriated shall be expended by the department of human services for the purposes of this Act.

SECTION 19. This Act shall take effect on July 1, 2020.

THE SENATE	S.B. NO.	1679
TWENTY-FIFTH LEGISLATURE, 2009		S.D. 2
STATE OF HAWAII		H.D. 1