THE SENATE	S.B. NO.	2498
TWENTY-SIXTH LEGISLATURE, 2012		S.D. 1
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO CLAIMS AGAINST THE STATE.

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

     SECTION 1.  Section 661-8, Hawaii Revised Statutes, is amended to read as follows:

"§661-8  Interest. (a)  No interest shall be allowed on any claim up to the time of the rendition of judgment thereon by the court, unless upon a contract expressly stipulating for the payment of interest, or upon a refund of a payment into the "litigated claims fund" as provided by law.

(b)  Only in the instance where the appropriations bill for money due on any settlement of claims against the State, its officers, or its employees, including claims for legislative relief, is not enacted, either because of failure to approve by the governor or failure of passage by the legislature by the end of its regular session, interest at a rate of four per cent shall be allowed to commence on July 1 of the same calendar year that the appropriations bill was not enacted, until July 1, of the following calendar year, and remain until a bill for these appropriations is enacted, or until payment is made, whichever comes first."

     SECTION 2.  New statutory material is underscored.

     SECTION 3.  This Act shall take effect upon its approval.

Report Title:

Interest; Claims Against the State; Legal Settlements

Description:

Allows interest to be collected on unfunded settlements against the State, its officers, or its employees.  (SD1)

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