Report Title:

PART I

SECTION 1. The legislature finds that hiring students at universities benefits both the student and the university. Hired students have the ability to earn income as they learn from jobs either on-campus or off-campus. Many campus programs are highly dependent on entry-level, as well as experienced and specialized, flexible staff. At the University of Hawaii, approximately four thousand students work an average of twelve hours per week while enrolled as full-time students. These student employees depend on part-time work to help pay for tuition fees and educational and living expenses. The University of Hawaii spends approximately $22,000,000 system-wide for undergraduate and graduate student employees, funded by general funds, tuition and fees, and federal work-study funds.

The purpose of this part is to provide funds for the University of Hawaii to pay student employee salaries at new or expanded worksites on each campus.

SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2014-2015 to fund students employed at new or expanded worksites at each University of Hawaii campus; provided that:

(1) The vice chancellor for students at each University of Hawaii campus shall be allocated funds in proportion to full-time student enrollment; and

(2) Funding priority may be given to students employed through university programs supporting access, retention, and diversity.

The sum appropriated shall be expended by the University of Hawaii for the purposes of this part.

PART II

SECTION 3. Section 304A-2603, Hawaii Revised Statutes, is repealed.

["~~[§304A-2603] Revenue bonds.~~ ~~The board of regents is authorized to issue sufficient amounts of revenue bonds pursuant to [subpart D] for the purpose of providing adequate parking structures or other facilities.~~"]

SECTION 4. Chapter 304A, part VI, subpart D, Hawaii Revised Statutes, is repealed.

PART III

SECTION 5. Section 37-74, Hawaii Revised Statutes, is amended by amending subsections (c) and (d) to read as follows:

"(c) The department of budget and finance shall:

(1) Review each operations plan to determine:

(A) That it is consistent with the policy decisions of the governor and appropriations by the legislature;

(B) That it reflects proper planning and efficient management methods; and

(C) That appropriations have been made for the planned purpose and will not be exhausted before the end of the fiscal year;

[provided that the department of budget and finance shall review the operations plan submitted by the University of Hawaii solely for consistency with the allotment ceilings established by the governor under section 37-34, appropriations by the legislature, the requirements of chapter 37D, and the status of revenues to support operations plans for all state programs;]

(2) Approve the operations plan if satisfied that it meets the requirements under paragraph (1). Otherwise, the department of budget and finance shall require revision of the operations plan in whole or in part; and

(3) Modify or withhold the planned expenditures at any time during the appropriation period if the department of budget and finance finds that the expenditures are greater than those necessary to execute the programs at the level authorized by the governor and the legislature, or that state receipts and surpluses will be insufficient to meet the authorized expenditure levels[~~; provided that the planned expenditures for the University of Hawaii may be modified or withheld only in accordance with sections 37-36 and 37-37~~].

(d) No appropriation transfers or changes between programs or agencies shall be made without legislative authorization; provided that:

(1) Authorized transfers or changes, when made, shall be reported to the legislature;

(2) Except [with respect to appropriations to fund financing agreements under chapter 37D, the University of Hawaii shall have the flexibility to transfer appropriated funds and positions for the operating cost category among programs, among cost elements in a program, and between quarters, as applicable; except] with respect to appropriations to fund financing agreements under chapter 37D, the department of education shall have the flexibility to transfer appropriated funds and positions for the operating cost category among programs and among cost elements in a program, and between quarters, as applicable; and the Hawaii health systems corporation and its regional system boards shall have the flexibility to transfer special fund appropriations among regional system hospital facilities as applicable and as mutually agreed to by the corporation and the respective regional system board; provided that the Hawaii health systems corporation and the regional system boards shall maintain the integrity and services of each individual regional system and shall not transfer appropriations out of any regional system that would result in a reduction of services offered by the regional system, with due regard for statutory requirements, changing conditions, the needs of the programs, and the effective utilization of resources; and

(3) The [~~university and the~~] department of education shall account for each transfer implemented under this subsection in quarterly reports to the governor and annual reports at the end of each fiscal year to the legislature and the governor, which shall be prepared in the form and manner prescribed by the governor and shall include information on the sources and uses of the transfer."

PART IV

SECTION 6. The University of Hawaii acquired lands for the University of Hawaii at West Oahu through a land exchange approved in Act 294, Session Laws of Hawaii 1996. Subsequently, the University of Hawaii at West Oahu campus has grown and continues to grow according to the university's long-range development plans. However, the legislature finds that there remains significant acreage that could be used for revenue-generating purposes for the support of the University of Hawaii at West Oahu. As such, the legislature further finds that the disposition of such lands is an issue of statewide concern.

Accordingly, the purpose of this part is to prohibit the sale or gift of the University of Hawaii at West Oahu land acquired pursuant to Act 294, Session Laws of Hawaii 1996, without the prior consent of the legislature.

SECTION 7. Section 304A-2166, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

"(b) The following shall be deposited into the special fund:

(1) Appropriations by the legislature to the special fund;

(2) All net proceeds from the sale of public lands, all net rents from leases, licenses, and permits, or all net proceeds derived from development rights for public lands:

(A) Proposed for large lot subdivision as a five hundred acre parcel and designated as Lot 10077 in Land Court Application 1069; and

(B) Obtained from the Campbell Estate in the land exchange described in section 2 of Act 294, Session Laws of Hawaii 1996, located mauka of the H-1 Freeway and consisting of nine hundred forty-one acres, more or less; [~~and~~]

provided that notwithstanding section 304A-105 to the contrary, no sale of lands that are described in this paragraph in fee simple, including land sold for roads and streets, or gift of lands that are described in this paragraph in fee simple, to the extent such gift is otherwise permitted by law, shall occur without the prior approval of the sale or gift by the legislature by concurrent resolution to be adopted by at least a two-thirds majority vote of both houses; and

(3) Interest earned or accrued on moneys in the special fund."

SECTION 8. Section 304A-2274, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) There is established the University of Hawaii real property and facilities use revolving fund into which shall be deposited all revenues collected by the university for the use of university real property and facilities, except as otherwise provided by law. The board of regents may establish prices, fees, and charges, including those for the sale, lease, or use of university real property and facilities, which include land, buildings, grounds, furnishings, and equipment; provided that the university shall comply with all statutory and common law requirements in the disposition of ceded lands[.] and those lands described in section 304A-2166(b)(2)(A) and (B). The board of regents shall be exempt from the public notice and public hearing requirements of chapter 91 in establishing and amending the fees and charges. The university may establish separate accounts within the revolving fund for major program activities. Funds deposited into the revolving fund accounts shall be expended to pay the costs of operating university facilities, including maintenance, administrative expenses, salaries, wages, and benefits of employees, contractor services, supplies, security, furnishings, equipment, janitorial services, insurance, utilities, and other operational expenses. Revenues not expended as provided in this section may be transferred to other university funds to be invested or expended for the administrative or overhead costs of the university. All expenditures from this revolving fund shall be subject to legislative appropriation."

PART V

SECTION 9. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 10. This Act shall take effect on July 1, 2014.

THE SENATE	S.B. NO.	2906
TWENTY-SEVENTH LEGISLATURE, 2014		S.D. 2
STATE OF HAWAII		H.D. 1
		Proposed