STAND. COM. REP. NO.  1084

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 286

      S.D. 2

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred S.B. No. 286, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE OFFICE OF THE STATE INSPECTOR GENERAL,"

begs leave to report as follows:

The purpose of this measure is to establish the Office of the State Inspector General to investigate complaints alleging fraud, waste, abuse, or corruption by a state agency, quasi-public agency, or the officers or employees of those agencies.  The Office of the State Inspector General will promote integrity and accountability, and maximize efficiency and effectiveness of state and quasi-public agencies through the conduct of independent investigations and performance reviews.  

Several concerned individuals testified in support of this measure.  The Judiciary, Department of the Attorney General, and Grassroot Institute of Hawaii provided comments.

     Your Committee has amended this measure to:

(1)  Clarify that the term "quasi-public agency" means any entity, except for individuals, but including those individuals doing business as sole proprietors, that receives or is paid state funds;

(2)  Establish the Office of the State Inspector General within the Department of Accounting and General Services for administrative purposes only, instead of within the Judiciary;

(3)  Clarify the scope of the State Inspector General's subpoena powers;

(4)  Change the effective date of this measure to July 1, 2015; and

(5)  Make technical, nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 286, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 286, S.D. 2, H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Judiciary,

____________________________

KARL RHOADS, Chair