Report Title:

SECTION 1. The severe recession of 2008 swept across the nation and many parts of the world with unanticipated force and brought with it enormous challenges for governments at all levels. Its effects on businesses and employment are still being felt today. This has had a profound impact on Hawaii in terms of tax revenues and the state budget.

The legislature finds that due to the extraordinary fiscal circumstances the State is facing, non-general funds must be reviewed and scrutinized to determine if there are excess balances available to be transferred to the general fund.

The legislature further finds that transfers of excess balances are needed to help address the critical budget shortfall in fiscal year 2009-2010.

The legislature further finds that section 37-53, Hawaii Revised Statutes, provides the governor nearly unlimited authority to transfer non-general funds to the general fund. Section 37-53 provides that:

At any time during a fiscal year, notwithstanding any other law to the contrary, any department may, with the approval of the governor or the director of finance if so delegated by the governor, transfer from any special fund relating to such department to the general revenues of the State all or any portion of moneys determined to be in excess of fiscal year requirements for such special fund, except for special funds under the control of the department of transportation relating to highways, airports, transportation use, and harbors activities, special funds under the control of the Hawaii health systems corporation or subaccounts under the control of its regional system boards, and special funds of the University of Hawaii. At any time the department of transportation, with the approval of the governor or the director of finance if so delegated by the governor, may transfer from any special fund under the control of the department of transportation, or from any account within any such special fund, to the general revenues of the State or to any other special fund under the control of the department of transportation all or any portion of moneys determined to be in excess of requirements for the ensuing twelve months determined as prescribed by rules adopted pursuant to chapter 91; provided that no such transfer shall be made which would cause a violation of federal law or federal grant agreements.

The purpose of this Act is to help address the fiscal year 2009-2010 budget shortfall by transferring a total of $95,950,000 in excess balances from various non-general funds.

SECTION 2. The legislature determines that there is in the state motor pool revolving fund at least $500,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the state motor pool revolving fund to the general fund the sum of $500,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 3. The legislature determines that there is in the state risk management revolving fund at least $1,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the state risk management revolving fund to the general fund the sum of $1,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 4. The legislature determines that there is in the medicaid investigations recovery fund at least $1,500,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the medicaid investigations recovery fund to the general fund the sum of $1,500,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 5. The legislature determines that there is in the University of Hawaii housing assistance revolving fund at least $2,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the University of Hawaii housing assistance revolving fund to the general fund the sum of $2,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 6. The legislature determines that there is in the agricultural reserve fund at least $500,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the agricultural reserve fund to the general fund the sum of $500,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 7. The legislature determines that there is in the agricultural loan revolving fund at least $1,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the agricultural loan revolving fund to the general fund the sum of $1,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 8. The legislature determines that there is in the agricultural park special fund at least $200,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the agricultural park special fund to the general fund the sum of $200,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 9. The legislature determines that there is in the aloha tower special fund at least $750,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the aloha tower special fund to the general fund the sum of $750,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 10. The legislature determines that there is in the clean air special fund at least $5,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the clean air special fund to the general fund the sum of $5,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 11. The legislature determines that there is in the community health centers special fund at least $1,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the community health centers special fund to the general fund the sum of $1,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 12. The legislature determines that there is in the convention center enterprise special fund at least $2,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the convention center enterprise special fund to the general fund the sum of $2,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 13. The legislature determines that there is in the drinking water treatment revolving loan fund at least $2,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the drinking water treatment revolving loan fund to the general fund the sum of $2,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 14. The legislature determines that there is in the emergency medical services special fund at least $6,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the emergency medical services special fund to the general fund the sum of $6,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 15. The legislature determines that there is in the environmental management special fund at least $1,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the environmental management special fund to the general fund the sum of $1,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 16. The legislature determines that there is in the Hawaii cancer research special fund at least $15,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the Hawaii cancer research special fund to the general fund the sum of $15,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 17. The legislature determines that there is in the high technology special fund at least $500,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the high technology special fund to the general fund the sum of $500,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 18. The legislature determines that there is in the neurotrauma special fund at least $750,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the neurotrauma special fund to the general fund the sum of $750,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 19. The legislature determines that there is in the research and training revolving fund at least $10,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the research and training revolving fund to the general fund the sum of $10,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 20. The legislature determines that there is in the systemwide information technology services special fund at least $750,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the systemwide information technology services special fund to the general fund the sum of $750,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 21. The legislature determines that there is in the trauma system special fund at least $1,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the trauma system special fund to the general fund the sum of $1,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 22. The legislature determines that there is in the tuition and fee special fund at least $20,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the tuition and fee special fund to the general fund the sum of $20,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 23. The legislature determines that there is in the university revenue-undertakings fund at least $11,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the university revenue-undertakings fund to the general fund the sum of $11,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 24. The legislature determines that there is in the vital statistics improvement special fund at least $500,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the vital statistics improvement special fund to the general fund the sum of $500,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 25. The legislature determines that there is in the water pollution control revolving fund at least $10,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the water pollution control revolving fund to the general fund the sum of $10,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 26. The legislature determines that there is in the works of art special fund at least $2,000,000 in excess of the requirements of the fund. On June 1, 2010, the director of finance is authorized to transfer from the works of art special fund to the general fund the sum of $2,000,000 or so much thereof as may be necessary for fiscal year 2009-2010.

SECTION 27. This Act shall take effect upon its approval.

THE SENATE	S.B. NO.	2695
TWENTY-FIFTH LEGISLATURE, 2010		S.D. 1
STATE OF HAWAII		H.D. 1
		Proposed