– NOT FOR DISTRIBUTION CONFIDENTIAL 2011

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CONFIDENTIAL – NOT FOR DISTRIBUTION
2011 Summary of Legislative Proposals Affecting the University of Hawai‘i
Update as of 8:29am, February 23, 2011
Legislative Timetable
February 24 thru March 2 – Mandatory 5-Day Recess
March 4 – First Decking
March 10 – First Crossover
University of Hawai‘i Legislative Package
Consolidation of Funds
SB814 SD1 (Tokuda)
UOH-01(11)
RELATING TO CERTAIN FUNDS OF THE UNIVERSITY OF
HAWAII
Converts certain revolving funds of the University of Hawaii into
special funds; repeals and amends certain funds of the University
of Hawaii and transfers the remaining balances to the University
of Hawaii auxiliary enterprises special fund. (SD1) ($)
Effective Date: July 1, 2011
Lead: CFO
Referral: EDU, WAM – WAM decision making on 2/25 at 9am
HB1322 HD1 (Nishimoto)
RELATING TO CERTAIN FUNDS OF THE UNIVERSITY OF
HAWAII
Converts certain revolving funds of the University of Hawaii into
special funds; repeals certain funds of the University of Hawaii
and transfers the remaining balances to specified alternate funds.
(HB1322 HD1)
Effective Date: July 1, 2011
Lead: CFO
Referral: HED, FIN – FIN hearing on 2/24 at 12:30pm
Revenue Bond Authorization
UOH-02(11)
SB809 (Tokuda)
RELATING TO THE UNIVERSITY OF HAWAII
HB1603 (Nishimoto)
Increase by $100,000,000 the University of Hawaii's authorization
to issue revenue bonds to a total principal amount not to exceed
$300,000,000 for the purpose of financing the construction and
maintenance of qualifying capital improvement projects.
Appropriates $100,000,000 in revenue bond proceeds. ($)
Effective Date:
SB1331: upon approval
SB809: July 1, 2011
Lead: CFO
Referral:
SB809 - EDU, WAM – WAM decision making on 2/25 at 9am
HB1603 – HED, FIN – FIN hearing on 2/24 at 12:30pm
Carryover Funds
HB1325 HD1 (Nishimoto)
UOH-03(11)
RELATING TO THE UNIVERSITY OF HAWAII
Allows the University of Hawaii to retain up to five per cent of its
appropriated general funds and carry it over to the subsequent
fiscal year. Requires reports to the Department of Budget and
Finance and the Legislature. (HB1325 HD1)
Effective Date: upon approval
Lead: CFO
-1-
Referral: HED, FIN – HED passed HD1 on 2/10
SB238 SD1 (Tokuda)
RELATING TO THE UNIVERSITY OF HAWAII
Allows the University of Hawaii to retain up to five per cent of its
appropriated general funds and carry it over to the subsequent
fiscal year. Requires an annual report to the legislature on funds
carried over to the subsequent fiscal year. (SD1)
Effective Date: upon approval
Lead: CFO
Referral: EDU, WAM – WAM decision making on 2/25 at 9am
Tobacco Settlement Funds
UOH-04(11)
SB239 SD1 (Tokuda)
RELATING TO THE HAWAII TOBACCO SETTLEMENT
SPECIAL FUND
Extends the appropriation by a decreasing annual amount of a
portion of Hawaii tobacco settlement special fund moneys for
annual operating expenses of JABSOM until June 30, 2015.
Increases the portion of Hawaii tobacco settlement special fund
moneys going to the general fund until June 30, 2015; and adds
annual reporting requirements for JABSOM. (SD1) ($)
Effective Date: June 29, 2011, and shall be repealed on June 30,
2015; provided that section 328L-2, Hawaii Revised Statutes,
shall be reenacted in the form in which it read on the day before
the effective date of Act 264, Session Laws of Hawaii 2007.
Lead: Mānoa
Referral: EDU/HTH, WAM – WAM decision making on 2/25 at
9am
HB1330 HD1 (Nishimoto)
RELATING TO THE HAWAII TOBACCO SETTLEMENT
SPECIAL FUND
Extends the appropriation of a portion of Hawaii Tobacco
Settlement Special Fund moneys for annual operating expenses
of the John A. Burns School of Medicine until June 30, 2015, and
adds annual reporting requirements. (HB1330 HD1)
Effective Date: July 1, 2050.
Lead: Mānoa
Referral: HLT, HED, FIN – HED passed unamended on 2/15
Physician Workforce Assessment
UOH-05(11)
SB240 SD1 (Tokuda)
RELATING TO PHYSICIAN WORKFORCE ASSESSMENT
Permanently establishes the physician workforce assessment fee.
Requires a portion of the assessment fees be deposited into the
John A. Burns school of medicine special fund to support
physician workforce assessment and planning, including
recruitment and retention of physicians for rural and medically
underserved areas of the State. Requires the University of Hawaii
at Manoa to report annually to the legislature, the state health
planning and development agency, and the Hawaii medical board.
(SD1) ($)
Effective Date: upon approval
Lead: Mānoa
Referral: EDU/HTH, WAM – WAM decision making on 2/25 at
9am
-2-
HB1203 HD1 (Yamane)
RELATING TO PHYSICIAN WORKFORCE ASSESSMENT
Makes the physician workforce assessment fee permanent.
Specifies what excess funds from the workforce assessment fee
shall be used for. (HB1203 HD1)
Effective Date: upon approval Lead: Mānoa
Referral: HLT, FIN – HLT passed HD1 on 2/8
Others
Benchmarks
SB244 (Tokuda)
HB1326 HD1 (Nishimoto)
Board of Regents
HB1327 HD1 (Nishimoto)
SB1386 SD1 (Tokuda)
RELATING TO THE UNIVERSITY OF HAWAII
Amends provisions relating to benchmark reporting. Requires the
University of Hawaii to periodically review state needs related to
higher education outcomes and indicators and monitor and report
biennially on its progress toward achieving performance
outcomes in a manner that is transparent and linked to state
higher education needs.
Effective Date: upon approval
Lead: EVPAAP
Referral: HED, FIN
RELATING TO THE UNIVERSITY OF HAWAII
Requires the University of Hawaii Board of Regents to periodically
review the priority guidelines for quality education and
recommend amendments to the Legislature, develop a functional
plan that includes strategic goals, outcomes, and performance
indicators, and report biennially to the Legislature. (HB1326 HD1)
Effective Date: upon approval
Lead: EVPAAP
Referral: HED, FIN – HED passed HD1 on 2/15
RELATING TO THE BOARD OF REGENTS OF THE
UNIVERSITY OF HAWAII
Allows for the election of up to two vice-chairpersons of the
University of Hawaii board of regents and requires the board to
elect any vice-chairperson and chairperson at a meeting held
before July 1. Amends the start date of the term of a board
chairperson and vice-chairperson. Makes housekeeping
amendments to Board of Regents statutes. (HB1327 HD1)
Effective Date: upon approval
Lead: BOR
Referral: HED, FIN – FIN hearing on 2/24 at 12:30pm
RELATING TO THE BOARD OF REGENTS OF THE
UNIVERSITY OF HAWAII
Allows for the election of up to two vice-chairpersons of the
University of Hawaii board of regents and requires the board to
elect any vice-chairperson and chairperson at a meeting held
before July 1. Clarifies the start dates of the terms of a board
chairperson and vice-chairperson. (SD1)
Effective Date: upon approval
Lead: BOR
Referral: HED, FIN
-3-
Education Commission
SB1382 SD1 (Tokuda)
Procurement
SB1332 SD1 (Tsutsui)
Reporting/Kuali
SB1331 SD1 (Tokuda)
Report Repeal
SB242 (Tokuda)
RELATING TO EDUCATION
Creates a task force to examine the Higher Education Act of
1965, as amended, and regulations pursuant to that Act, make
recommendations to ensure the State's compliance with
provisions relating to the state authorization of institutions that
offer educational programs beyond secondary education, and
make recommendations as to whether existing functions relating
to the licensing or authorization of any educational institutions in
the State, and administrators and instructors thereof, should be
consolidated and tasked to one state agency that would be
responsible for the licensing and authorization of all educational
institutions in the State and their related operations. Requires the
task force to report to the legislature. Requires the legislative
reference bureau to provide research and administrative support
to the task force. (SD1)
Effective Date: upon approval
Lead: EVPAAP/SA
Referral: EDU, WAM – EDU passed SD1 on 2/14
RELATING TO THE UNIVERSITY OF HAWAII
Extends the exemption granted to the University of Hawaii from
certain provisions of the Hawaii public procurement code to
July 1, 2015. Requires additional reporting to the legislature.
(SD1)
Effective Date: upon approval
Lead: CFO
Re-referred: EDU, PGM – EDU passed SD1 on 2/14
RELATING TO THE UNIVERSITY OF HAWAII
Amends section 304A-2007(b), HRS, to require additional
reporting until 6/30/2016 by the University of Hawaii on
special and revolving funds that carry an unencumbered cash
balance of $1,000,000 or more or a cash deficit of $1,000,000 or
more, at the end of the previous fiscal year, where that balance or
deficit is greater than twenty-five per cent of the previous fiscal
year's expenditures. Makes an appropriation to the University of
Hawaii to complete and implement the Kuali financial system.
(SD1)
Effective Date: upon its approval; provided that section 2 shall
take effect on July 1, 2011; and provided further that section 1
shall be repealed on June 30, 2016, and section 304A-2007(b),
Hawaii Revised Statutes, shall be reenacted in the form in which it
read on the day before the approval of this Act.
Lead: CFO
Referral: EDU, WAM – WAM decision making on 2/25 at 9am
RELATING TO THE UNIVERSITY OF HAWAII
Repeals certain UH reports to the legislature. Makes western
regional education compact report to legislature biennial, to be
submitted in each odd-numbered year. Repeals section 2, Act
-4-
188, Session Laws of Hawaii 2008, relating to annual incentive
and performance reports. ($)
Effective Date: July 1, 2011
Lead: EVPAAP
Referral: EDU, WAM – WAM decision making on 2/25 at 9am
WICHE
HB1323 HD1 (Nishimoto)
SB243 SD1 (Tokuda)
RELATING TO THE WESTERN INTERSTATE COMMISSION
FOR HIGHER EDUCATION
Establishes the Hawaii Western Interstate Commission of Higher
Education (Hawaii WICHE). Allows Hawaii WICHE to establish a
repayment policy for students who receive financial support from
certain funds appropriated for the Hawaii commission. Establishes
a professional student exchange program special fund. (HB1323
HD1)
Effective Date: July 1, 2050
Lead: SA
Referral: HED, FIN – FIN hearing on 2/24 at 12:30pm
RELATING TO THE WESTERN INTERSTATE COMMISSION
FOR HIGHER EDUCATION
Establishes the Hawaii Western Interstate Commission of Higher
Education (Hawaii WICHE). Allows Hawaii WICHE to establish a
repayment policy for students who receive financial support from
certain funds appropriated for the Hawaii commission. Establishes
a professional student exchange program special fund. (SD1) ($)
Effective Date: upon approval
Lead: SA
Referral: EDU, WAM – WAM decision making on 2/25 at 9am
Bills of Interest
Board of Regents
SB1512 (Wakai)
RELATING TO THE UNIVERSITY OF HAWAII
Reduces the minimum number of required annual meetings of the
UH board of regents.
Effective Date: upon approval
Lead: BOR
Referral: EDU
Digital Media Enterprise Zones
SB1132 SD1 (Gabbard)
RELATING TO DIGITAL MEDIA
Establishes digital media enterprise subzones as unspecified
geographic areas surrounding University of Hawaii campuses that
are also designated as enterprise zones. Establishes tax benefits
for digital media businesses that employ Hawaii residents.
Effective 7/1/2050. Repeals the digital media enterprise subzone
and related development tax credit on 6/30/2021. (SD1) ($)
Effective Date: July 1, 2050; provided that:
(1) Sections 2 and 3 shall be repealed on June 30, 2021;
(2) Section 6 shall be effective until June 30, 2021; and
(3) Section 7 shall take effect on July 1, 2021
-5-
Lead: EVPAAP
Referral: EDT/EDU, WAM – EDT/EDU passed SD1 on 2/11
SB1133 SD1 (Gabbard)
Funding
HB79 (Choy)
RELATING TO DIGITAL MEDIA
Establishes digital media enterprise subzones as unspecified
geographic areas surrounding University of Hawaii campuses that
are also designated as enterprise zones. Establishes tax benefits
for digital media infrastructure development and operation.
Repeals digital media enterprise subzones and the related
infrastructure tax credit on 6/30/2021. (SD1) ($)
Effective Date: July 1, 2050; provided that:
(1) Sections 2, 3, and 4 shall be repealed on June 30, 2021;
(2) Section 7 shall be effective until June 30, 2021; and
(3) Section 8 shall take effect on July 1, 2021.
Lead: EVPAAP
Referral: EDT/EDU, WAM – EDT/EDU passed SD1 on 2/11
RELATING TO STATE FUNDS
Repeals, terminates, or closes certain revolving and trust funds.
Establishes provisions for automatic repeal of certain special and
revolving funds beginning on 6/30/12.
Effective Date: upon approval
Lead: CFO
Referral: FIN – FIN deferred
SB120 (Solomon)
RELATING TO STATE FUNDS
Repeals certain special funds and transfers balances to the state
general fund. ($)
Effective Date: July 1, 2011
Lead: CFO
Referral: WAM – WAM deferred
SB1419 (Kouchi)
RELATING TO FUNDS
Establishes provisions for automatic repeal of certain special and
revolving funds beginning on June 30, 2011. Makes clarifying
amendments to provisions pertaining to new special or revolving
funds.
Effective Date: July 1, 2011
Lead: CFO
Referral: WAM
HB1457 (Chong)
RELATING TO HIGHER EDUCATION
Requires the University of Hawaii to report annually to the
Director of Finance the number of students in the previous
academic year who attended and were in excess of the necessary
credits for graduation or prior to declaring a major. Authorizes the
Director of Finance to assess and transfer the costs.
Effective Date: upon approval
Lead: EVPAAP
Referral: HED, FIN – FIN hearing on 2/24 at 12:30pm
-6-
Security Breach
SB1162 (Fukunaga)
RELATING TO SECURITY BREACHES OF PERSONAL
INFORMATION
Requires government agencies to develop mandatory training
programs for agency personnel to whom disclosures of personal
information are made or to whom access to the personal
information may be granted; in the event of a government security
breach, requires the government agency to be responsible for the
cost of credit report or credit monitoring services any individual
affected by the breach for two years following the discovery of the
security breach; requires reports of security breaches to be
submitted to the information privacy and security council; requires
the council to be responsible for coordination of the
implementation of guidelines by government agencies; makes the
comptroller or state chief information office chair of the council;
authorizes the information and communication services division to
provide training; appropriates funds for the council. ($)
Effective Date: July 1, 2011
Lead: CIO/UGC
Referral: EDT/JDL, WAM – EDT/JDL passed SD1
HB1220 HD1 (Takai)
RELATING TO INFORMATION PRIVACY
Requires a business or government entity to implement a security
program. Provides increased damages for a victim who, as a
result of an information security breach provided by an entity
without a security program, suffers harm from identity theft.
Amends the type of notice that must be given to a person affected
by a security breach. Defines identity theft. (HB1220 HD1).
Effective Date: January 1, 2050
Lead: CIO/UGC
Referral: CPC/JUD, FIN – CPC/JUD passed HD1 on 2/14
HB678 HD2 (Ito)
RELATING TO INFORMATION
Requires any government agency responsible for a security
breach to pay for the costs of providing each person whose
personal information was disclosed with, at a minimum, a threeyear subscription to a nationwide consumer reporting agency's
services. (HB678 HD2)
Effective Date: upon approval
Lead: CIO/UGC
Referral: ERB, CPC, FIN – CPC passed HD2 on 2/14
SB796 SD1 (Ige)
RELATING TO INFORMATION
Requires a business that maintains personal information about
residents of Hawaii to implement a comprehensive written
information security program; exempts financial institutions
subject to certain federal guidelines; requires that a consumer
credit reporting agency not charge a victim of identity theft or a
security breach a fee for placing, lifting, or removing a security
freeze on a credit report. (SD1)
Effective Date: upon approval
Lead: CIO/UGC
Referral: EDT/CPN/JDL, WAM – WAM decision making on 2/25
at 9am
-7-
Resolutions of Interest
HCR28 (Nishimoto)
REQUESTING A FINANCIAL AUDIT OF THE SPECIAL FUNDS
ADMINISTERED BY THE UNIVERSITY OF HAWAII.
Lead: CFO
Referral: HED, LMG, FIN
HCR50/HR43 (Takai)
REQUESTING THE UNIVERSITY OF HAWAII BOARD OF
REGENTS TO STUDY THE REINTEGRATION OF THE OFFICE
OF THE CHANCELLOR OF THE UNIVERSITY OF HAWAII AT
MANOA WITH THE OFFICE OF THE PRESIDENT OF THE
UNIVERSITY OF HAWAII SYSTEM.
Lead: BOR
Referral: HED, FIN
-8-
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