SB 1447: RELATING TO ADMINISTRATIVE ORDERS.

A BILL FOR AN ACT

RELATING TO ADMINISTRATIVE ORDERS.

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

     SECTION 1.  Section 321-20, Hawaii Revised Statutes, is amended to read as follows:

     "[[]§321-20[]]  Remedies.  Notwithstanding other penalties, the director may enforce this chapter in either administrative or judicial proceedings:

     (1)  Administrative.  If the director determines that any person is violating any provision of this chapter, any rule adopted thereunder, or any variance or exemption or waiver issued pursuant thereto, the director may have that person served with a notice of violation and an order.  The notice shall specify the alleged violation.  The order may require that the alleged violator do any or all of the following:  cease and desist from the violation, pay an administrative penalty not to exceed $1,000 for each day of violation, correct the violation at the alleged violator's own expense, or appear before the director at a time and place specified in the order and answer the charges complained of.  The order shall become final twenty days after service unless within those twenty days the alleged violator requests in writing a hearing before the director.  Upon such request the director shall specify a time and place for the alleged violator to appear.  When the director issues an order for immediate action to protect the public health from an imminent and substantial danger, the department shall provide an opportunity for a hearing within twenty-four hours after service of the order.  Any hearing before the director shall not stay any order to cease and desist issued pursuant to this paragraph.  After a hearing pursuant to this [subsection,] paragraph, the director may affirm, modify, or rescind the order as appropriate.  The director may institute a civil action in any court of appropriate jurisdiction for the enforcement of any order issued pursuant to this [subsection.] paragraph.

              Factors to be considered in imposing the administrative penalty include the nature and history of the violation and any prior violation and the opportunity, difficulty, and history of corrective action.  It is presumed that the violator's economic and financial conditions allow payment of the penalty and the burden of proof to the contrary is on the violator.  In any judicial proceeding to enforce the administrative penalty imposed pursuant to this chapter, the director need only show that notice was given, a hearing was held or the time granted for requesting a hearing had expired without such a request, the administrative penalty imposed, and that the penalty imposed remains unsatisfied.

              This section does not supersede specific administrative penalties provided elsewhere.

     (2)  Judicial.  The director may institute a civil action in any court of appropriate jurisdiction for injunctive relief to prevent violation of any order issued or rule adopted pursuant to this chapter, in addition to any other remedy or penalty provided for under this chapter."

     SECTION 2.  This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that began before its effective date.

     SECTION 3.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

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

Report Title:

Department of Health; Remedies; Administrative Orders; Administrative Hearings

Description:

Requires any order to cease and desist issued by the Director of Health that is administratively appealed to remain in effect during the appeals process.

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.  1755

Honolulu, Hawaii

                , 2025

RE:   S.B. No. 1447

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

     Your Committee on Judiciary & Hawaiian Affairs, to which was referred S.B. No. 1447 entitled:

"A BILL FOR AN ACT RELATING TO ADMINISTRATIVE ORDERS,"

begs leave to report as follows:

     The purpose of this measure is to require any cease and desist order issued by the Director of Health that is administratively appealed to remain in effect during the appeals process.

     Your Committee received testimony in support of this measure from the Department of Health and one individual.

     Your Committee finds that the Director of Health is authorized to issue orders to cease and desist to certain state-licensed facilities due to concerns over the health and safety of patients.  This measure ensures that cease and desist orders remain in effect during the administrative appeals process, preventing facilities that have received such orders from continuing operations while the appeals process is underway.

     As affirmed by the record of votes of the members of your Committee on Judiciary & Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1447 and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Judiciary & Hawaiian Affairs,

STAND. COM. REP. NO.  1307

Honolulu, Hawaii

                , 2025

RE:   S.B. No. 1447

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

     Your Committee on Health, to which was referred S.B. No. 1447 entitled:

"A BILL FOR AN ACT RELATING TO ADMINISTRATIVE ORDERS,"

begs leave to report as follows:

     The purpose of this measure is to require any cease and desist order issued by the Director of Health that is administratively appealed to remain in effect during the appeals process.

     Your Committee received testimony in support of this measure from the Department of Health.

     Your Committee finds that existing law authorizes the Director of Health to issues cease and desist orders to certain state-licensed facilities due to concerns regarding patient health and safety.  Your Committee further finds that to ensure the personal safety of patients at these facilities, it is necessary to clarify that these cease and desist orders remain in place during the administrative appeal process, which may take weeks or months.

     As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1447 and recommends that it pass Second Reading and be referred to your Committee on Judiciary & Hawaiian Affairs.

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

STAND. COM. REP. NO. 1066

Honolulu, Hawaii

RE:    S.B. No. 1447

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred S.B. No. 1447 entitled:

"A BILL FOR AN ACT RELATING TO ADMINISTRATIVE ORDERS,"

begs leave to report as follows:

     The purpose and intent of this measure is to require any order to cease and desist issued by the Director of Health that is administratively appealed to remain in effect during the appeals process.

     Your Committee received testimony in support of this measure from the Department of Health.

     Your Committee finds that the Director of Health is authorized to issue cease and desist orders to certain state-licensed facilities to protect the health and safety of patients.  However, clarification is needed to specify that facilities may not continue to operate during the administrative appeal process following the receipt of an order to cease and desist.  This measure closes a potential enforcement gap to safeguard patients' best interests.

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1447 and recommends that it pass Third Reading.

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

STAND. COM. REP. NO. 498

Honolulu, Hawaii

RE:    S.B. No. 1447

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Health and Human Services, to which was referred S.B. No. 1447 entitled:

"A BILL FOR AN ACT RELATING TO ADMINISTRATIVE ORDERS,"

begs leave to report as follows:

     The purpose and intent of this measure is to require any cease and desist order issued by the Director of Health that is administratively appealed to remain in effect during the appeals process.

     Your Committee received testimony in support of this measure from the Department of Health.

     Your Committee finds that the Director of Health is authorized to issue cease and desist orders to certain state-licensed facilities, when concerns arise regarding threats to the health and safety of patients.  Your Committee further finds that clarification to existing law is necessary to prevent a facility that has received a cease and desist order from continuing operations during the administrative appeal process, which may take weeks or months.  This measure prevents non-compliance with Department of Health cease and desist orders and protects the public from potential health risks in the timeframe leading up to an administrative appeal hearing.

     As affirmed by the record of votes of the members of your Committee on Health and Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1447 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 Health and Human Services,