Bill Text: HI SB2598 | 2018 | Regular Session | Introduced
Bill Title: Relating To Salary Overpayments.
Spectrum: Partisan Bill (Democrat 10-0)
Status: (Engrossed - Dead) 2018-03-23 - Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) C. Lee, Lowen, McDermott, Souki, Tokioka excused (5). [SB2598 Detail]
Download: Hawaii-2018-SB2598-Introduced.html
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THE SENATE |
S.B. NO. |
2598 |
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TWENTY-NINTH LEGISLATURE, 2018 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to salary overpayments.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The
legislature finds that salary overpayments have been an ongoing issue
throughout many departments and agencies of the State. From November 2016 to October 2017, state
departments and agencies in Hawaii overpaid salaries in an amount exceeding
$415,000 each month. The highest amount
of overpayment occurred in November 2016, at $622,266.14. Greater accountability by state departments
and agencies and increased ability to correct overpaid salaries will reduce
overpayment waste.
The purpose of this Act is to:
(1) Require each department to deduct the department's total salary overpayment from the department's budget request for the following fiscal biennium;
(2) Require that employees who exhaust their sick leave be placed on a manual accounting system;
(3) Remove the two-year statute of limitations on the determination and notice of salary or wage overpayment; and
(4) Allow officers charged with collecting debt due to salary or wage overpayment to garnish the pension of former employees, including former employees who have not been employed by the State for over two years.
SECTION 2. Chapter 26, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§26- Salary and wage overpayments deducted from budget requests. Any department that has an outstanding wage or salary overpayment balance at the end of a fiscal biennium shall deduct the amount of the balance from the department's budget request in the following fiscal biennium."
SECTION 3. Chapter 78, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§78- Manual accounting systems; employee sick leave. Each department shall establish a manual accounting system to record the wages or salary and leave of any employee who exhausts the employee's sick leave. Each department may adopt rules pursuant to chapter 91 for the purposes of this section."
SECTION 4. Section 78-12, Hawaii Revised Statutes, is amended by amending subsection (e) to read as follows:
"(e)
If the indebtedness has occurred as a result of salary or wage
overpayment, the disbursing officer shall determine the amount of indebtedness
and notify the employee in writing of the indebtedness[; provided that, to
be an actionable cause of action, the determination and notice to the employee
shall be made within two years from the date of the salary or wage overpayment,
and not after]. If the employee
contests the disbursing officer's determination of indebtedness, the employee
may request a hearing pursuant to chapter 91.
Notwithstanding any other law to the contrary, if the indebted person
is a former employee who is entitled to a pension pursuant to chapter 88, the
officer charged with collecting the indebtedness may garnish the former
employee's pension."
SECTION 5. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.
SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 7. This Act shall take effect upon its approval.
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INTRODUCED BY: |
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Report Title:
Wage and Salary Overpayment; State Agencies and Departments; Employees; Budget Requests; Pensions
Description:
Requires each department to deduct the department's total salary overpayment from the department's budget request for the following fiscal biennium. Requires that employees who exhaust their sick leave be placed on a manual accounting system. Removes the two-year statute of limitations on determination and notice to an employee of salary and wage overpayment. Allows officers charged with collecting debt due to salary or wage overpayment to garnish the pension of former employees.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
