THE SENATE

S.B. NO.

2849

TWENTY-FIFTH LEGISLATURE, 2010

S.D. 2

STATE OF HAWAII

H.D. 1

 

C.D. 1

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO THE HAWAII EMPLOYER-UNION HEALTH BENEFITS TRUST FUND.

 

 

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

 


     SECTION 1.  Chapter 37, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

"PART    .  HAWAII EMPLOYER-UNION HEALTH

BENEFITS TRUST FUND APPROPRIATION

     §37-    Restriction on Hawaii employer-union health benefits trust fund appropriations.  All moneys appropriated by the legislature that are designated as contributions to the Hawaii employer-union health benefits trust fund to pay trust fund benefits shall be transferred directly to the Hawaii employer-union health benefits trust fund and not be subject to the allotment procedures under chapter 37 or subject to the powers granted to the governor and the director of finance under sections 37-32 through 37-41."

     SECTION 2.  Section 87A-11, Hawaii Revised Statutes, is amended to read as follows:

     "[[]§87A-11[]]  Quorum; board actions; voting.  (a)  Six trustees, three of whom represent the public employer and three of whom represent employee-beneficiaries, shall constitute a quorum for the transaction of business.

     (b)  [Trustees representing the public employers shall collectively have one vote.  Trustees representing the employee-beneficiaries shall collectively have one vote.

     For any vote of the trustees representing the public employers to be valid, three of these trustees must concur to cast such a vote.  In the absence of such concurrence, the trustees representing the public employers shall be deemed to have abstained from voting.

     For any vote of the trustees representing the employee-beneficiaries to be valid, three of these trustees must concur to cast such a vote.  In the absence of such concurrence, the trustees representing the employee-beneficiaries shall be deemed to have abstained from voting.Each trustee of the board shall have one vote for matters concerning board actions.

     An abstention shall not be counted as either a vote in favor or against a matter before the board.

     (c)  Any action taken by the board shall be by the concurrence of at least [two] six votes.  In the event of a tie vote on any motion, the motion shall fail.  Upon the concurrence of six trustees, the board shall participate in dispute resolution."

     SECTION 3.  Section 87A-30, Hawaii Revised Statutes, is amended to read as follows:

     "§87A-30  Hawaii employer-union health benefits trust fund; establishment.  There is established outside the state treasury, a trust fund to be known as the "Hawaii Employer-Union Health Benefits Trust Fund".  The fund shall consist of contributions, interest, income, dividends, refunds, rate credits, and other returns.  It is hereby declared that any and all sums contributed or paid from any source to the fund created by this part, and all assets of the fund including any and all interest [and], earnings, or surplus on the same, are and shall be held in trust by the board for the exclusive use and benefit of the employee-beneficiaries and dependent-beneficiaries and shall not be subject to appropriation or transfer for any other purpose whatsoever.  The fund shall be under the control of the board and placed under the department of budget and finance for administrative purposes."

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect upon its approval.

 



 

Report Title:

Hawaii EUTF; Allotment; Trust Fund Benefits; Trustee; Vote

 

Description:

Restricts all appropriations by the legislature for contributions to the Hawaii employer-union health benefits trust fund from being subject to the allotment procedures under chapter 37 or the powers of the governor and director of finance under sections 37-32 through 37-41; provides each of the six trustees of the Hawaii employer-union health benefits trust fund with one vote; requires any action by the board to receive at least six votes from the trustees; clarifies that funds designated to pay trust fund benefits shall not be transferred.  (CD1)

 

 

 

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