SB 1254: RELATING TO THE BOARD OF REGENTS.

A BILL FOR AN ACT

relating to the board of regents.

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

     SECTION 1.  The legislature finds that appointing a university employee to the board of regents may create a conflict of interest, as an employee may have personal or departmental interests that could raise ethical concerns, compromise the impartiality of decisions made by the board of regents, and erode the public's trust in the governance of the university.  An employee serving on the board of regents may have, or create the perception of having, divided loyalties and prioritize their department's interests over the broader needs of the university, thus undermining the board's responsibility to act in the best interest of the institution.  Furthermore, the dual roles of employee and regent could lead to confusion regarding duties and responsibilities, hindering effective decision-making.

     The legislature further finds that prohibiting individuals who are employees of the university of Hawaii from serving on the board of regents ensures impartial governance, objective decision-making, prevents potential conflicts of interest, and maintains public trust in the university of Hawaii's leadership.

     The legislature also finds that prohibiting active employees of the university of Hawaii and the research corporation of the university of Hawaii from serving on the board of regents is a matter of statewide concern pursuant to article X, section 6, of the Hawaii State Constitution.

     Therefore, the purpose of this Act is to ensure that only individuals without a current employment relationship with the university of Hawaii shall be eligible for appointment to the board of regents.

     SECTION 2.  Section 304A-104, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  The affairs of the university shall be under the general management and control of the board of regents.  The board shall consist of eleven members who shall be appointed by the governor from lists of qualified candidates presented to the governor by the candidate advisory council, pursuant to section 304A-104.6, and shall be confirmed by the senate; provided that if the list of qualified candidates includes fewer than three candidates at any time during the nomination and confirmation process, the governor may request that the candidate advisory council reopen recruitment for qualified candidates.  Members may be removed by the governor.  No active employee of the university or the research corporation of the university of Hawaii shall be eligible for appointment to the board of regents.  Except as otherwise provided by law, state officers shall be eligible for appointment and membership.

     The term of each member shall be five years, except as provided for the initial appointment in section 26-11; provided that the term of the student member shall be two years.  Every member may serve beyond the expiration date of the member's term of appointment as a holdover member until the member's successor has been appointed by the governor and confirmed by the senate in accordance with article X, section 6 of the Hawaii State Constitution; provided that, notwithstanding any law to the contrary, a holdover member shall not serve as a member of the board beyond the end of the first regular session of the legislature following the expiration of the member's term.  Members shall serve no more than two consecutive five-year terms; provided that the members who are initially appointed to terms of two years or less pursuant to section 26-11(a) may be reappointed to two ensuing five-year terms.  If a member is to be appointed to a second term of five years, the senate shall consider the question of whether to reconfirm the member at least one hundred twenty days prior to the conclusion of a member's first five-year term; provided that if the senate is not in session within one hundred twenty days prior to the conclusion of the member's first five-year term, the member shall continue to serve until the senate convenes for the next regular session or the next special session for which the senate is authorized to consider the question of reconfirmation."

     SECTION 3.  New statutory material is underscored.

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

Report Title:

UH; BOR; RCUH; Membership; Qualifications

Description:

Prohibits active employees of the University of Hawaii and the Research Corporation of the University of Hawaii from serving on the Board of Regents.

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. 229

Honolulu, Hawaii

RE:    S.B. No. 1254

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Higher Education, to which was referred S.B. No. 1254 entitled:

"A BILL FOR AN ACT RELATING TO THE BOARD OF REGENTS,"

begs leave to report as follows:

     The purpose and intent of this measure is to ensure that only individuals without an active employment relationship with the University of Hawaii shall be eligible for appointment to the Board of Regents.

     Your Committee received testimony in support of this measure from one individual.

     Your Committee received testimony in opposition to this measure from the Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO and one individual.

     Your Committee finds that appointing a current employee of the University of Hawaii to the Board of Regents may raise a conflict of interest as the employee may have personal or departmental interests that could raise ethical concerns, compromise the impartiality of decisions made by the Board of Regents, and erode the public's trust in the governance of the University.  Your Committee further finds that an individual concurrently filling the roles of employee and regent could lead to confusion regarding duties and responsibilities, hindering effective decision-making.  This measure prohibits active employees of the University of Hawaii or the Research Corporation of the University of Hawaii (RCUH) from serving on the Board of Regents to ensure greater accountability, transparency, and fairness in the University's governance.

     Your Committee notes the concerns raised regarding the student member of the Board of Regents who may have an active employment relationship with the University or RCUH, and therefore, be subject to the same conflict of interest issues as non-student members.  Your Committee finds that this issue raises concerns that merit further consideration and respectfully requests that subsequent Committees to which this measure is referred examine the matter.

     As affirmed by the record of votes of the members of your Committee on Higher Education that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1254 and recommends that it pass Second Reading and be referred to your Committee on Judiciary.

Respectfully submitted on behalf of the members of the Committee on Higher Education,