STAND. COM. REP. NO. 2695

Honolulu, Hawaii

RE: S.B. No. 2829

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committees on Government Operations and Labor and Technology, to which was referred S.B. No. 2829 entitled:

"A BILL FOR AN ACT RELATING TO EXEMPT POSITIONS,"

beg leave to report as follows:

The purpose and intent of this measure is to allow the Department of Accounting and General Services to employ persons exempt from chapter 76 and 89, Hawaii Revised Statutes.

Your Committees received testimony in support of this measure from the Department of Accounting and General Services.

Your Committees received testimony in opposition to this measure from United Public Workers, AFSCME Local 646, AFL-CIO and Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO.

Your Committees find that the Department of Accounting and General Services (Department) is a central support agency that provides services to agencies and departments statewide, with many programs that are essential to keeping the government functioning. The Department is often tasked with critical enterprise-level projects that necessitate the expedient hiring of uniquely-skilled and specialized staff needed to meet the required timelines, objectives, and outcomes of these projects. This measure will allow the Department to effectively respond to the new and growing needs of those it serves while also increasing the Department's long-term capabilities to effectively carry out the many critical state functions assigned to the Department.

Your Committees have amended this measure by:

(1) Inserting language allowing the Department of Accounting and General Services to employ persons exempt from chapters 76 and 89, Hawaii Revised Statutes, within the Comptroller's office in support of communications, change management, and business process improvement programs as part of the State's information technology modernization efforts; provided that the persons are members of the State Employees' Retirement System and eligible to receive the benefits of any state employee benefit program applicable to officers and employees of the State;

(2) Inserting an effective date of July 1, 2112, to encourage further discussion; and

(3) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

As affirmed by the records of votes of the members of your Committees on Government Operations and Labor and Technology that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2829, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2829, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Government Operations and Labor and Technology,

________________________________ HENRY J.C. AQUINO, Chair

________________________________ ANGUS L.K. MCKELVEY, Chair