THE SENATE	S.B. NO.	3283
THIRTY-FIRST LEGISLATURE, 2022
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO THE DEPARTMENT OF TAXATION.

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

SECTION 1. The legislature finds that having an efficient and effective tax department is essential to keep up with the fast-paced changes in our economy and the tax administration landscape.

The purpose of this Act is to increase the efficiency of tax administration and protect state revenues through a no-cost internal reorganization of certain functions and offices to address aging accounts receivable and quality control.

SECTION 2. To effectively address aging accounts receivable, a new division to be known as the "tax collection program" shall be established within the department of taxation from the existing Oahu collection branch that is located within the compliance division of the department of taxation. The tax collection program shall report to the director of taxation. The tax collection program shall be assigned a new program identification number, TAX103.

SECTION 3. To effectively address quality control and business analysis issues, the current quality control office is renamed as the "business analysis section" and placed within the system administration office of the department of taxation.

SECTION 4. This Act does not affect the rights, duties, or compensation of employees of the divisions of the department of taxation affected by this Act, except as otherwise provided by this Act.

All employees who occupy civil service positions and whose functions are transferred or reorganized within the department of taxation by this Act shall retain their civil service status, whether permanent or temporary. Employees shall be transferred without loss of salary, seniority (except as prescribed by applicable collective bargaining agreements), retention points, prior service credit, any vacation and sick leave credits previously earned, and other rights, benefits, and privileges, in accordance with state personnel laws and this Act; provided that the employees possess the minimum qualifications and public employment requirements for the class or position to which transferred or appointed, as applicable; provided further that subsequent changes in status may be made pursuant to applicable civil service and compensation laws.

Any employee who, prior to this Act, is exempt from civil service and is transferred as a consequence of this Act may retain the employee's exempt status, but shall not be appointed to a civil service position as a consequence of this Act. An exempt employee who is transferred by this Act shall not suffer any loss of prior service credit, vacation or sick leave credits previously earned, or other employee benefits or privileges as a consequence of this Act; provided that the employees possess legal and public employment requirements for the position to which transferred or appointed, as applicable; provided further that subsequent changes in status may be made pursuant to applicable employment and compensation laws. The director of taxation may prescribe the duties and qualifications of these employees and fix their salaries without regard to chapter 76, Hawaii Revised Statutes.

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

INTRODUCED BY:

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Report Title:

Department of Taxation; Tax Administration

Description:

Makes certain no-cost organizational changes within the Department of Taxation.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.