THE SENATE	S.B. NO.	1137
THIRTY-FIRST LEGISLATURE, 2021		S.D. 2
STATE OF HAWAII		H.D. 1

A BILL FOR AN ACT

RELATING TO THE SPOUSE AND CHILD ABUSE SPECIAL FUND.

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

SECTION 1. The legislature finds that Congress passed the Family First Prevention Services Act (Family First) as part of the Bipartisan Budget Act of 2018, Public Law 115-123. Family First changes the way states may spend and claim funds pursuant to title IV-E of the Social Security Act (title IV-E funds). Previously, title IV-E funds could only be used for foster care maintenance, adoption assistance, kinship guardianship assistance, and related training and administrative expenses. Family First provides reimbursement of title IV-E funds for child abuse and prevention services. The State will soon submit its Family First Hawaii Plan for federal review, and upon approval, the State will have the option to use state and title IV‑E funds for prevention services that would allow children who have been abused or neglected or are at risk of being abused or neglected to remain with their parents or relatives.

The legislature further finds that section 346-7.5, Hawaii Revised Statutes, currently allows no more than $3,000,000 in unencumbered and unexpected moneys to be retained in the spouse and child abuse special fund. To maximize Hawaii's ability to draw additional federal fund reimbursement available through Family First, the department of human services needs a significant source of sustainable non-federal revenue to support spouse and child abuse and neglect prevention and intervention services, including personnel costs. With the projected loss of state revenue due to the coronavirus disease 2019 (COVID-19) pandemic and the resulting economic crisis, an increase in the amount the spouse and child abuse special fund is allowed to retain is necessary to meet the projected decrease in general fund appropriations.

The legislature also finds that the department of human services is seeking to retain unencumbered and unexpended moneys in the spouse and child abuse special fund of up to $5,000,000, including Family First federal reimbursements and title IV-E federal reimbursements received in the fiscal year following the year in which the funds were expended, to secure a stable source of funding for spouse abuse, child abuse and neglect prevention, intervention, and other services.

The purpose of this Act is to allow the spouse and child abuse special fund to retain unencumbered and unexpended moneys.

SECTION 2. Section 346-7.5, Hawaii Revised Statutes, is amended by amending subsection (e) to read as follows:

"(e) All unencumbered and unexpended moneys in excess of [$3,000,000] $           in the spouse and child abuse special fund shall lapse to the credit of the general fund. Upon dissolution of the spouse and child abuse special fund, any unencumbered moneys in the fund shall lapse to the general fund."

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect on July 1, 2060.

Report Title:

Spouse and Child Abuse Special Fund; Department of Human Services; Federal Reimbursements

Description:

Amends the spouse and child abuse special fund to allow up to an unspecified amount of federal reimbursements received from the U.S. Department of Health and Human Services, Administration for Children and Families, in the year following the fiscal year in which Family First Prevention Services funds and the title IV-E funds were expended to be deposited and retained. Effective 7/1/2060. (HD1)

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