STAND. COM. REP. NO. 197

Honolulu, Hawaii

RE: S.B. No. 336

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Labor and Technology, to which was referred S.B. No. 336 entitled:

"A BILL FOR AN ACT RELATING TO THE DEFENSE OF STATE EMPLOYEES,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Require the Attorney General, on behalf of the State, to defend professionally licensed or certified state employees from civil actions when the employee's actions were within the scope of employment and were not grossly negligent or wanton, as long as the employee is cooperating with the State's defense;

(2) Clarify that professionally licensed or certified state employees may employ their own attorneys at their own expense; and

(3) Establish a process for the Attorney General to transfer or withdraw representation if the Attorney General declines to defend a professionally licensed or certified state employee.

Your Committee received testimony in support of this measure from the Hawaiʻi State Teachers Association; Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO; and Hawaii State AFL-CIO.

Your Committee finds that state employees currently must seek their own counsel should legal issues arise in the course of their assigned duties. This measure will provide legal protections to licensed or certified professional employees when exercising their professional judgment in their capacity as public employees. This additional protection allows professionals to more confidently practice their craft and make effective, efficient decisions independent of outside influences. The transparent process established in this measure for legal representation will also aid the State in attracting and retaining qualified talent in fields where applicants may otherwise fear facing liability.

As affirmed by the record of votes of the members of your Committee on Labor and Technology that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 336 and recommends that it pass Second Reading and be referred to your Committees on Judiciary and Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Labor and Technology,

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HENRY J.C. AQUINO, Chair