STAND. COM. REP. NO. 1775

Honolulu, Hawaii

RE: H.B. No. 1424

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 1424, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO APPROPRIATIONS,"

begs leave to report as follows:

The purpose and intent of this measure is to increase legislative oversight over appropriated funds.

More specifically, this measure requires the Director of Finance to report to the Legislature after approving the transfer of funds that were originally appropriated to fund positions but are instead used to pay for operating expenses, and vice versa, for any state department or agency.

Your Committee received written comments on this measure from the Grassroot Institute of Hawaii.

Your Committee finds that, for fiscal year 2025, the Executive Branch had requested approximately $3,600,000,000 to fund more than forty-seven thousand permanent and three thousand six hundred temporary authorized positions. Your Committee further finds that there has been a high vacancy rate in public employment positions and that funds appropriated for these positions are often either transferred or used for purposes that are not consistent with the purpose for which the appropriation was authorized.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1424, H.D. 1, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair