HB 2472: Hawaii EUTF; Assistant Administrator; Salary Determination

A BILL FOR AN ACT

RELATING TO THE HAWAII EMPLOYER-UNION HEALTH BENEFITS TRUST FUND STAFF SALARIES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that salaries for management professionals in the private sector far outpace those offered in state employment, making it difficult to attract and retain quality upper management staff.  The legislature further finds that in order for the board of trustees of the Hawaii employer‑union health benefits trust fund to recruit and retain the most qualified individuals, the board should be allowed to establish appropriate salaries for upper management staff.

     Accordingly, the purpose of this Act is to authorize the board of trustees of the Hawaii employer-union health benefits trust fund to establish the salary for the trust fund assistant administrator; provided that the board shall first conduct a market analysis of commensurate salaries in the private sector.

     SECTION 2.  Section 87A-24, Hawaii Revised Statutes, is amended to read as follows:

     "§87A-24  Other powers.  In addition to the power to administer the fund, the board may:

     (1)  Collect, receive, deposit, and withdraw money on behalf of the fund;

     (2)  Invest moneys in the same manner specified in section 88-119;

     (3)  Hold, purchase, sell, assign, transfer, or dispose of any securities or other investments of the fund, as well as the proceeds of those investments and any money belonging to the fund;

     (4)  Appoint, and at pleasure dismiss, an administrator and other fund staff.  The administrator shall be exempt from chapter 76.  Other fund staff may be exempt from chapter 76 as determined by the board.  The administrator and staff who are exempt from chapter 76 shall serve under and at the pleasure of the board; provided that civil service exempt positions under this section that are created after July 1, 2014, shall be exempt from section 76-16(b)(17)(A); provided further that the salaries of the administrator, assistant administrator, and chief investment officer shall be set by the board; provided further that before the board sets the salary of the assistant administrator, the board shall first conduct a market analysis of commensurate salaries in the private sector;

     (5)  Make payments of periodic charges and pay for reasonable expenses incurred in carrying out the purposes of the fund;

     (6)  Contract for the performance of financial audits of the fund and claims audits of its insurance carriers;

     (7)  Retain auditors, actuaries, investment firms and managers, benefit plan consultants, or other professional advisors to carry out the purposes of this chapter, including the retaining of an actuary to determine the annual required public employer contribution for the separate trust fund established under section 87A-42;

     (8)  Establish health benefits plan and long-term care benefits plan rates that include administrative and other expenses necessary to effectuate the purposes of the fund; and

     (9)  Require any department, agency, or employee of the State or counties to furnish information to the board to carry out the purposes of this chapter."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect on July 1, 3000.

Report Title:

Hawaii EUTF; Assistant Administrator; Salary Determination

Description:

Authorizes the Board of Trustees of the Hawaii Employer-Union Health Benefits Trust Fund to establish the salary for the Assistant Administrator.  Requires the board to first conduct a market analysis of commensurate salaries in the private sector.  Effective 7/1/3000.  (SD1)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

A BILL FOR AN ACT

RELATING TO THE HAWAII EMPLOYER-UNION HEALTH BENEFITS TRUST FUND STAFF SALARIES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that salaries for management professionals in the private sector far outpace that of state employment, making attracting and retaining quality upper management staff difficult.  The legislature further finds that in order for the board of trustees of the Hawaii employer‑union health benefits trust fund to recruit and retain the most qualified individuals, the board should be allowed to establish appropriate salaries for upper management staff.

     Accordingly, the purpose of this Act is to allow the board of trustees of the Hawaii employer-union health benefits trust fund to establish the salary for the trust fund assistant administrator that is commensurate with the private sector.

     SECTION 2.  Section 87A-24, Hawaii Revised Statutes, is amended to read as follows:

     "§87A-24  Other powers.  In addition to the power to administer the fund, the board may:

     (1)  Collect, receive, deposit, and withdraw money on behalf of the fund;

     (2)  Invest moneys in the same manner specified in section 88-119;

     (3)  Hold, purchase, sell, assign, transfer, or dispose of any securities or other investments of the fund, as well as the proceeds of those investments and any money belonging to the fund;

     (4)  Appoint, and at pleasure dismiss, an administrator and other fund staff.  The administrator shall be exempt from chapter 76.  Other fund staff may be exempt from chapter 76 as determined by the board.  The administrator and staff who are exempt from chapter 76 shall serve under and at the pleasure of the board; provided that civil service exempt positions under this section that are created after July 1, 2014, shall be exempt from section 76-16(b)(17)(A); provided further that the salaries of the administrator, assistant administrator, and chief investment officer shall be set by the board;

     (5)  Make payments of periodic charges and pay for reasonable expenses incurred in carrying out the purposes of the fund;

     (6)  Contract for the performance of financial audits of the fund and claims audits of its insurance carriers;

     (7)  Retain auditors, actuaries, investment firms and managers, benefit plan consultants, or other professional advisors to carry out the purposes of this chapter, including the retaining of an actuary to determine the annual required public employer contribution for the separate trust fund established under section 87A-42;

     (8)  Establish health benefits plan and long-term care benefits plan rates that include administrative and other expenses necessary to effectuate the purposes of the fund; and

     (9)  Require any department, agency, or employee of the State or counties to furnish information to the board to carry out the purposes of this chapter."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect on July 1, 3000.

Report Title:

Hawaii Employer-Union Health Benefits Trust Fund; Assistant Administrator; Salary Determination

Description:

Authorizes the Board of Trustees of the Hawaii Employer-Union Health Benefits Trust Fund to establish the salary for the Assistant Administrator.  Effective 7/1/3000.  (HD1)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

A BILL FOR AN ACT

relating to the hawaii employer-union health benefits trust fund staff salaries.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that salaries for management professionals in the private sector far outpace that of state employment, making attracting and retaining quality upper management staff difficult.  The legislature further finds that in order for the board of trustees of the Hawaii employer‑union health benefits trust fund to recruit and retain the most qualified individuals, the board should be allowed to establish appropriate salaries for upper management staff.

     Accordingly, the purpose of this Act is to allow the board of trustees of the Hawaii employer-union health benefits trust fund to establish the salary for the trust fund assistant administrator that is commensurate with the private sector.

     SECTION 2.  Section 87A-24, Hawaii Revised Statutes, is amended to read as follows:

     "§87A-24  Other powers.  In addition to the power to administer the fund, the board may:

     (1)  Collect, receive, deposit, and withdraw money on behalf of the fund;

     (2)  Invest moneys in the same manner specified in section 88-119;

     (3)  Hold, purchase, sell, assign, transfer, or dispose of any securities or other investments of the fund, as well as the proceeds of those investments and any money belonging to the fund;

     (4)  Appoint, and at pleasure dismiss, an administrator and other fund staff.  The administrator shall be exempt from chapter 76.  Other fund staff may be exempt from chapter 76 as determined by the board.  The administrator and staff who are exempt from chapter 76 shall serve under and at the pleasure of the board; provided that civil service exempt positions under this section that are created after July 1, 2014, shall be exempt from section 76-16(b)(17)(A); provided further that the salaries of the administrator, assistant administrator, and chief investment officer shall be set by the board;

     (5)  Make payments of periodic charges and pay for reasonable expenses incurred in carrying out the purposes of the fund;

     (6)  Contract for the performance of financial audits of the fund and claims audits of its insurance carriers;

     (7)  Retain auditors, actuaries, investment firms and managers, benefit plan consultants, or other professional advisors to carry out the purposes of this chapter, including the retaining of an actuary to determine the annual required public employer contribution for the separate trust fund established under section 87A-42;

     (8)  Establish health benefits plan and long-term care benefits plan rates that include administrative and other expenses necessary to effectuate the purposes of the fund; and

     (9)  Require any department, agency, or employee of the State or counties to furnish information to the board to carry out the purposes of this chapter."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect upon its approval.

Report Title:

Hawaii Employer-Union Health Benefits Trust Fund; Assistant Administrator; Salary Determination

Description:

Authorizes the Board of Trustees of the Hawaii Employer-Union Health Benefits Trust Fund to establish the salary for an assistant administrator.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

STAND. COM. REP. NO.  791-26

Honolulu, Hawaii

                , 2026

RE:   H.B. No. 2472

      H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

     Your Committee on Finance, to which was referred H.B. No. 2472, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII EMPLOYER-UNION HEALTH BENEFITS TRUST FUND STAFF SALARIES,"

begs leave to report as follows:

     The purpose of this measure is to authorize the Board of Trustees of the Hawaii Employer-Union Health Benefits Trust Fund to establish the salary for the Assistant Administrator.

     Your Committee received testimony in support of this measure from the Hawaii Employer-Union Health Benefits Trust Fund Board of Trustees; Hawaiʻi State Teachers Association; and University of Hawaii Professional Assembly.

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2472, H.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

STAND. COM. REP. NO.  644-26

Honolulu, Hawaii

                , 2026

RE:   H.B. No. 2472

      H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

     Your Committee on Labor, to which was referred H.B. No. 2472 entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII EMPLOYER-UNION HEALTH BENEFITS TRUST FUND STAFF SALARIES,"

begs leave to report as follows:

     The purpose of this measure is to authorize the Board of Trustees of the Hawaii Employer-Union Health Benefits Trust Fund (Board) to establish the salary for the Assistant Administrator at a level commensurate with private‑sector compensation.

     Your Committee received testimony in support of this measure from the Board of Trustees of the Hawaii Employer-Union Health Benefits Trust Fund and Hawaiʻi State Teachers Association.

     Your Committee finds that compensation for management professionals in state service lags significantly behind comparable private‑sector salaries, making it difficult for the Hawaii Employer-Union Health Benefits Trust Fund (Trust Fund) to attract and retain highly qualified upper level staff.  This compensation gap affects the Trust Fund's ability to maintain experienced leadership capable of managing complex benefit programs that serve a large statewide workforce.  Your Committee believes that allowing the Board to set a competitive salary for the Assistant Administrator will strengthen the Trust Fund's recruitment and retention efforts and enhance long-term operational stability.

     Your Committee has amended this measure by changing the effective date to July 1, 3000, to encourage further discussion.

     As affirmed by the record of votes of the members of your Committee on Labor that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2472, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2472, H.D. 1, and be referred to your Committee on Finance.

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