Bill Text: HI SB2806 | 2010 | Regular Session | Amended
Bill Title: Emergency and Budget Reserve Fund; General Fund Balance
Spectrum: Partisan Bill (Democrat 15-0)
Status: (Passed) 2010-05-25 - (S) Act 138, 5/25/2010 (Gov. Msg. No. 596). [SB2806 Detail]
Download: Hawaii-2010-SB2806-Amended.html
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THE SENATE |
S.B. NO. |
2806 |
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TWENTY-FIFTH LEGISLATURE, 2010 |
S.D. 2 |
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STATE OF HAWAII |
H.D. 1 |
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A BILL FOR AN ACT
RELATING TO THE EMERGENCY AND BUDGET RESERVE FUND.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 328L-3, Hawaii Revised Statutes, is amended by amending subsections (a), (b), and (c) to read as follows:
"(a) There is established in the state treasury the emergency and budget reserve fund which shall be a special fund administered by the director of finance, into which shall be deposited:
(1) Moneys received from the tobacco settlement
moneys under section 328L-2; [and]
(2) Appropriations made by the legislature to the
fund[.]; and
(3) Five per cent of the state general fund balance at the close of the fiscal year, whenever state general fund revenues for each of two successive fiscal years exceeds revenues for each of the preceding fiscal years by five per cent, pursuant to article VII, section of the Hawaii Constitution. For the purpose of this section, the general fund balance at the close of the fiscal year shall be calculated before any tax refund or tax credit is authorized by the legislature, pursuant to article VII, section 6 of the Hawaii Constitution, that is provided during the same regular session as the transfer depositing such moneys to the emergency and budget reserve fund; provided that transfers shall not be made to the emergency and budget reserve fund whenever the balance of the emergency and budget reserve fund is equal to or more than ten per cent of general fund revenues for the preceding fiscal year. The transfer shall be executed by the director of finance;
provided that all moneys deposited into the emergency and budget reserve fund under paragraphs (1) and (2) and all moneys deposited under paragraph (3) shall be kept in separate and distinct accounts.
(b) All interest earned from moneys in the emergency
and budget reserve fund shall be credited to the [general] emergency
and budget reserve fund.
(c)
Expenditures from the emergency and budget reserve fund shall be a temporary supplemental
source of funding for the State during times of emergency, severe
economic downturn, or unforeseen reduction in revenues. No expenditures shall
be made from the emergency and budget reserve fund except pursuant to
appropriations. The general appropriations bill or the supplemental
appropriations bill, as defined in section 9 of article VII of the Hawaii
Constitution [of the State of Hawaii], shall not be used to appropriate
moneys from the emergency and budget reserve fund. The governor, through an
appropriations bill, may recommend expenditures from the emergency and budget
reserve fund by setting forth the purposes of the expenditures consistent with
subsection (d), the amounts, and the reasons justifying the necessity for the
appropriations."
SECTION 2. Act 119, Session Laws of Hawaii 2009, is amended by amending section 6 to read as follows:
"SECTION 6. This Act shall take effect on
July 1, 2009, and shall be repealed on June 30, 2015; provided that section 328L-2,
Hawaii Revised Statutes, shall be reenacted in the form in which it read on the
day before the effective date of Act 264, Session Laws of Hawaii 2007[.];
provided further that section 328L-3, Hawaii Revised Statutes, shall be
reenacted in the form in which it read on the day before the effective date of
this Act."
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 2020, and upon ratification of a constitutional amendment requiring the deposit of excess revenues from the general fund into the emergency and budget reserve fund; provided that the amendments made to section 328L-3, Hawaii Revised Statutes, by section 1 of this Act shall not be repealed when section 328L‑3, Hawaii Revised Statutes, is reenacted on June 30, 2015, pursuant to section 6 of Act 119, Session Laws of Hawaii 2009.
Report Title:
Emergency and Budget Reserve Fund; General Fund Balance
Description:
Allows moneys from the excess general fund balance to be deposited into the emergency and budget reserve fund as a temporary source of funding for the State during times of emergency, severe economic downturn, and unforeseen reduction in revenues. Requires that moneys transferred from the general fund and other moneys in the emergency and budget reserve fund be kept in separate accounts. Effective July 1, 2020. (SB2806 HD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
