SB 1473: Central Service Expenses; Transfers; Central Services Assessment; Central Service Expenses of Government; State Highway Fund; Airport Revenue Fund; Harbor Special Fund
- Session Year: 2025-2026
- House: Senate
- Latest Version Date: 2025-03-17
Current Status:
Failed
(2025-12-08: Carried over to 2026 Regular Session.)
Introduced
In Committee
First Chamber
In Committee
Second Chamber
Final Decking
Enacted
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund. Effective 7/1/3000. (HD1)
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund by limiting the deduction to 2.5 per cent of all receipts and deposits in the fund, or up to a certain amount, whichever is less, and creating a process to deduct additional amounts based on the Consumer Price Index. Effective 7/1/2050. (SD2)
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund by limiting the deduction to five per cent of all receipts and deposits in the fund, or $5,000,000, whichever is less, and creating a process to deduct additional amounts based on the Consumer Price Index. Effective 7/1/2050. (SD1)
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund by: (1) limiting the deduction to five per cent of all receipts and deposits in the fund, or $5,000,000, whichever is less, and (2) creating a process to deduct additional amounts based on the Consumer Price Index
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THE SENATE |
S.B. NO. |
1473 |
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THIRTY-THIRD LEGISLATURE, 2025 |
S.D. 2 |
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STATE OF HAWAII |
H.D. 1 |
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A BILL FOR AN ACT
RELATING TO CENTRAL SERVICES ASSESSMENT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 36-28, Hawaii Revised Statutes, is amended to read as follows:
"§36-28 Transfers from state highway fund for central
service expenses. (a) Except as hereinafter provided, and
notwithstanding any other law to the contrary, there shall be deducted from
time to time by the director of finance, for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
state highway fund created by section 248-8, [five] 2.5 per cent
of all receipts and deposits in the fund, after deducting therefrom any amounts
pledged, charged, or encumbered for the payment of bonds or interest thereon
during the current year, from which receipts or deposits no deduction of [five]
2.5 per cent has been previously made, [which] or $ ,
whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the state highway fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that if in any year the percentage adjustment based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in a negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the state highway fund and deduct any additional amounts.
(c)
The deductions shall be transferred to the general fund of the State
and become general realizations of the State.
The [state] department of transportation shall cooperate with the
director of finance in effecting these transfers."
SECTION 2. Section 36-28.5, Hawaii Revised Statutes, is amended to read as follows:
"[[]§36-28.5[]] Transfer from airport revenue fund. (a)
Any law to the contrary notwithstanding, there shall be deducted from
time to time by the director of finance for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
airport revenue fund [five] 2.5 per cent of all receipts and
deposits in the airport revenue fund after deducting therefrom any amounts
pledged, charged, or encumbered for the payment of bonds or interest thereon
during the current year, from which receipts or deposits no deduction of [five]
2.5 per cent has previously been made[.], or $ ,
whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the airport revenue fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that if in any year the percentage adjustment based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in a negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the airport revenue fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d)
For the purpose of this section, [the term] "any amounts
pledged, charged, or encumbered for the payment of bonds or interest thereon
during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations; and
(3) Amounts required by law to be paid from the airport revenue fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for airport purposes.
(e) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 3. Section 36-29, Hawaii Revised Statutes, is amended to read as follows:
"§36-29 Transfer from harbor special fund. (a)
Any other law to the contrary notwithstanding, there shall be deducted
from time to time by the director of finance for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
harbor special fund [five] 2.5 per cent of all receipts and
deposits in the harbor special fund after deducting therefrom any amounts
pledged, charged, or encumbered for the payment of bonds or interest thereon
during the current year, from which receipts or deposits no deduction of [five]
2.5 per cent has previously been made[.], or $ ,
whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the harbor special fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that if in any year the percentage adjustment based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in a negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the harbor special fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d) For the purposes of this section, the term "any amount pledged, charged, or encumbered for the payment of bonds or interest thereon during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations;
(3) Amounts required to be paid into a separate special fund for the payment of principal of and interest on revenue bonds or other revenue obligations payable from the second separate special fund; and
(4) Amounts required by law to be paid from the harbor special fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for harbor purposes.
(e) The second separate special fund maintained by deposits from the harbor special fund shall not be deemed to be a special fund within the meaning of section 36-27 or section 36-30.
(f) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 4. If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the Act that can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.
SECTION 5.
Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 6. This Act shall take effect on July 1, 3000.
Report Title:
Central Service Expenses; Transfers; Central Services Assessment; Central Service Expenses of Government; State Highway Fund; Airport Revenue Fund; Harbor Special Fund
Description:
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund. 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.
|
THE SENATE |
S.B. NO. |
1473 |
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THIRTY-THIRD LEGISLATURE, 2025 |
S.D. 2 |
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STATE OF HAWAII |
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|
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|
|
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||
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A BILL FOR AN ACT
RELATING TO CENTRAL SERVICES ASSESSMENT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 36-28, Hawaii Revised Statutes, is amended to read as follows:
"§36-28 Transfers from state highway fund for central
service expenses. (a) Except as hereinafter provided, and
notwithstanding any other law to the contrary, there shall be deducted from
time to time by the director of finance, for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
state highway fund created by section 248-8, [five] 2.5 per cent
of all receipts and deposits in the fund, after deducting therefrom any amounts
pledged, charged, or encumbered for the payment of bonds or interest thereon
during the current year, from which receipts or deposits no deduction of [five]
2.5 per cent has been previously made, [which] or $ , whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the state highway fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the state highway fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State. The state department of transportation shall cooperate with the director of finance in effecting these transfers."
SECTION 2. Section 36-28.5, Hawaii Revised Statutes, is amended to read as follows:
"[[]§36-28.5[]] Transfer from airport revenue fund. (a)
Any law to the contrary notwithstanding, there shall be deducted from
time to time by the director of finance for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
airport revenue fund [five] 2.5 per cent of all receipts and
deposits in the airport revenue fund after deducting therefrom any amounts
pledged, charged, or encumbered for the payment of bonds or interest thereon
during the current year, from which receipts or deposits no deduction of [five]
2.5 per cent has previously been made[.], or
$ , whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the airport revenue fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in a negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the airport revenue fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d) For the purpose of this section, the term "any amounts pledged, charged, or encumbered for the payment of bonds or interest thereon during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations; and
(3) Amounts required by law to be paid from the airport revenue fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for airport purposes.
(e) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 3. Section 36-29, Hawaii Revised Statutes, is amended to read as follows:
"§36-29 Transfer from harbor special fund. (a)
Any other law to the contrary notwithstanding, there shall be deducted
from time to time by the director of finance for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
harbor special fund [five] 2.5 per cent of all receipts and
deposits in the harbor special fund after deducting therefrom any amounts
pledged, charged, or encumbered for the payment of bonds or interest thereon
during the current year, from which receipts or deposits no deduction of [five]
2.5 per cent has previously been made[.], or
$ , whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the harbor special fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the harbor special fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d) For the purposes of this section, the term "any amount pledged, charged, or encumbered for the payment of bonds or interest thereon during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations;
(3) Amounts required to be paid into a separate special fund for the payment of principal of and interest on revenue bonds or other revenue obligations payable from the second separate special fund; and
(4) Amounts required by law to be paid from the harbor special fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for harbor purposes.
(e) The second separate special fund maintained by deposits from the harbor special fund shall not be deemed to be a special fund within the meaning of section 36-27 or section 36-30.
(f) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 4. If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the Act that can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.
SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 6. This Act shall take effect on July 1, 2050.
Report Title:
Central Service Expenses; Transfers; Central Services Assessment; Central Service Expenses of Government; State Highway Fund; Airport Revenue Fund; Harbor Special Fund
Description:
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund by limiting the deduction to 2.5 per cent of all receipts and deposits in the fund, or up to a certain amount, whichever is less, and creating a process to deduct additional amounts based on the Consumer Price Index. Effective 7/1/2050. (SD2)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
|
THE SENATE |
S.B. NO. |
1473 |
|
THIRTY-THIRD LEGISLATURE, 2025 |
S.D. 1 |
|
|
STATE OF HAWAII |
|
|
|
|
|
|
|
|
||
|
|
||
A BILL FOR AN ACT
RELATING TO CENTRAL SERVICES ASSESSMENT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 36-28, Hawaii Revised Statutes, is amended to read as follows:
"§36-28 Transfers from state highway fund for central
service expenses. (a) Except as hereinafter provided, and
notwithstanding any other law to the contrary, there shall be deducted from
time to time by the director of finance, for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
state highway fund created by section 248-8, five per cent of all receipts and
deposits in the fund, after deducting therefrom any amounts pledged, charged,
or encumbered for the payment of bonds or interest thereon during the current
year, from which receipts or deposits no deduction of five per cent has been
previously made, [which] or $5,000,000, whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the state highway fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the state highway fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State. The state department of transportation shall cooperate with the director of finance in effecting these transfers."
SECTION 2. Section 36-28.5, Hawaii Revised Statutes, is amended to read as follows:
"[[]§36-28.5[]] Transfer from airport revenue fund. (a)
Any law to the contrary notwithstanding, there shall be deducted from
time to time by the director of finance for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
airport revenue fund five per cent of all receipts and deposits in the airport
revenue fund after deducting therefrom any amounts pledged, charged, or
encumbered for the payment of bonds or interest thereon during the current
year, from which receipts or deposits no deduction of five per cent has
previously been made[.], or $5,000,000, whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the airport revenue fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in a negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the airport revenue fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d) For the purpose of this section, the term "any amounts pledged, charged, or encumbered for the payment of bonds or interest thereon during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations; and
(3) Amounts required by law to be paid from the airport revenue fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for airport purposes.
(e) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 3. Section 36-29, Hawaii Revised Statutes, is amended to read as follows:
"§36-29 Transfer from harbor special fund. (a)
Any other law to the contrary notwithstanding, there shall be deducted
from time to time by the director of finance for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
harbor special fund five per cent of all receipts and deposits in the harbor
special fund after deducting therefrom any amounts pledged, charged, or
encumbered for the payment of bonds or interest thereon during the current
year, from which receipts or deposits no deduction of five per cent has
previously been made[.], or $5,000,000, whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the harbor special fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, would result in negative percentage, the governor may approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the harbor special fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d) For the purposes of this section, the term "any amount pledged, charged, or encumbered for the payment of bonds or interest thereon during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations;
(3) Amounts required to be paid into a separate special fund for the payment of principal of and interest on revenue bonds or other revenue obligations payable from the second separate special fund; and
(4) Amounts required by law to be paid from the harbor special fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for harbor purposes.
(e) The second separate special fund maintained by deposits from the harbor special fund shall not be deemed to be a special fund within the meaning of section 36-27 or section 36-30.
(f) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 4. If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the Act that can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.
SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 6. This Act shall take effect on July 1, 2050.
Report Title:
Central Service Expenses; Transfers; Central Services Assessment; Central Service Expenses of Government; State Highway Fund; Airport Revenue Fund; Harbor Special Fund
Description:
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund by limiting the deduction to five per cent of all receipts and deposits in the fund, or $5,000,000, whichever is less, and creating a process to deduct additional amounts based on the Consumer Price Index. Effective 7/1/2050. (SD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
|
THE SENATE |
S.B. NO. |
1473 |
|
THIRTY-THIRD LEGISLATURE, 2025 |
|
|
|
STATE OF HAWAII |
|
|
|
|
|
|
|
|
||
|
|
||
A BILL FOR AN ACT
RELATING TO CENTRAL SERVICES ASSESSMENT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 36-28, Hawaii Revised Statutes, is amended to read as follows:
"§36-28 Transfers from state highway fund for central
service expenses. (a) Except as hereinafter provided, and
notwithstanding any other law to the contrary, there shall be deducted from
time to time by the director of finance, for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
state highway fund created by section 248-8, five per cent of all receipts and
deposits in the fund, after deducting therefrom any amounts pledged, charged,
or encumbered for the payment of bonds or interest thereon during the current
year, from which receipts or deposits no deduction of five per cent has been
previously made, [which] or $5,000,000, whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the state highway fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Urban Honolulu Consumer Price Index, or a successor index, would result in negative percentage, the governor can approve a zero per cent adjustment or no adjustment. Upon governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the state highway fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State. The state department of transportation shall cooperate with the director of finance in effecting these transfers."
SECTION 2. Section 36-28.5, Hawaii Revised Statutes, is amended to read as follows:
"[[]§36-28.5[]] Transfer from airport revenue fund. (a)
Any law to the contrary notwithstanding, there shall be deducted from
time to time by the director of finance for the purpose of defraying the
prorated estimate of central service expenses of government in relation to the
airport revenue fund five per cent of all receipts and deposits in the airport
revenue fund after deducting therefrom any amounts pledged, charged, or
encumbered for the payment of bonds or interest thereon during the current
year, from which receipts or deposits no deduction of five per cent has
previously been made[.], or $5,000,000, whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the airport revenue fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Urban Honolulu Consumer Price Index, or a successor index, would result in negative percentage, the governor can approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the airport revenue fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d) For the purpose of this section, the term "any amounts pledged, charged, or encumbered for the payment of bonds or interest thereon during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations; and
(3) Amounts required by law to be paid from the airport revenue fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for airport purposes.
(e) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 3. Section 36-29, Hawaii Revised Statutes, is amended to read as follows:
"§36-29 Transfer from harbor special fund. (a) Any
other law to the contrary notwithstanding, there shall be deducted from time to
time by the director of finance for the purpose of defraying the prorated
estimate of central service expenses of government in relation to the harbor
special fund five per cent of all receipts and deposits in the harbor special
fund after deducting therefrom any amounts pledged, charged, or encumbered for
the payment of bonds or interest thereon during the current year, from which
receipts or deposits no deduction of five per cent has previously been made[.],
or $5,000,000, whichever is less.
(b) Beginning September 30, 2025, and every year thereafter, the director of transportation shall propose to the governor an adjustment to the amount transferred from the harbor special fund by calculating a percentage based on the Consumer Price Index for All Urban Consumers in the Honolulu area, or a successor index, for the twelve months prior to September 1 of each year, less food and energy, as calculated by the United States Bureau of Labor Statistics; provided that, if in any year the percentage adjustment based on the Urban Honolulu Consumer Price Index, or a successor index, would result in negative percentage, the governor can approve a zero per cent adjustment or no adjustment. Upon the governor's approval of the percentage adjustment, the director of finance shall apply the percentage adjustment to the amount deducted from the harbor special fund and deduct any additional amounts.
(c) The deductions shall be transferred to the general fund of the State and become general realizations of the State.
(d) For the purposes of this section, the term "any amount pledged, charged, or encumbered for the payment of bonds or interest thereon during the current year" shall include:
(1) Amounts
[which] that are so pledged, charged, or encumbered;
(2) Amounts otherwise required to be applied to the payment of principal of and interest on revenue bonds or other revenue obligations;
(3) Amounts required to be paid into a separate special fund for the payment of principal of and interest on revenue bonds or other revenue obligations payable from the second separate special fund; and
(4) Amounts required by law to be paid from the harbor special fund into the general fund of the State to reimburse the general fund for bond requirements for general obligation bonds issued for harbor purposes.
(e) The second separate special fund maintained by deposits from the harbor special fund shall not be deemed to be a special fund within the meaning of section 36-27 or section 36-30.
(f) The director of transportation shall cooperate with the director of finance in effecting the transfer."
SECTION 4. If any portion of this Act or its application to any person, entity, or circumstance is held to be invalid for any reason, then the legislature declares that the remainder of the Act and each and every other provision thereof shall not be affected thereby.
SECTION 5. If manifest clerical, typographical, or other mechanical errors are found in this Act, the governor may correct such errors.
SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 7. This Act, upon its approval, shall take effect on July 1, 2025.
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INTRODUCED BY: |
_____________________________ |
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BY REQUEST |
Report Title:
Central Service Expenses; Transfers; Central Services Assessment; Central Service Expenses of Government; State Highway Fund; Airport Revenue Fund; Harbor Special Fund
Description:
Amends the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund by: (1) limiting the deduction to five per cent of all receipts and deposits in the fund, or $5,000,000, whichever is less, and (2) creating a process to deduct additional amounts based on the Consumer Price Index
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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Date
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Status
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| Dec 8, 2025 | Carried over to 2026 Regular Session. |
| Apr 2, 2025 | The committee(s) on FIN recommend(s) that the measure be deferred. |
| Mar 31, 2025 | Bill scheduled for decision making on Wednesday, 04-02-25 3:31PM in conference room 308 VIA VIDEOCONFERENCE. |
| Mar 27, 2025 | The committee(s) on FIN recommend(s) that the measure be deferred until 04-02-25. |
| Mar 24, 2025 | Bill scheduled to be heard by FIN on Thursday, 03-27-25 2:00PM in House conference room 308 VIA VIDEOCONFERENCE. |
| Mar 18, 2025 | Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Ward excused (2). |
| Mar 18, 2025 | Reported from TRN (Stand. Com. Rep. No. 1302) as amended in HD 1, recommending passage on Second Reading and referral to FIN. |
| Mar 11, 2025 | The committee on TRN recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 8 Ayes: Representative(s) Kila, Grandinetti, Evslin, Kitagawa, La Chica, Miyake, Muraoka, Pierick; Ayes with reservations: none; Noes: none; and 1 Excused: Representative(s) Cochran. |
| Mar 7, 2025 | Bill scheduled to be heard by TRN on Tuesday, 03-11-25 9:00AM in House conference room 430 VIA VIDEOCONFERENCE. |
| Mar 6, 2025 | Referred to TRN, FIN, referral sheet 19 |
| Mar 6, 2025 | Pass First Reading |
| Mar 4, 2025 | Received from Senate (Sen. Com. No. 348) in amended form (SD 2). |
| Mar 4, 2025 | Report adopted; Passed Third Reading, as amended (SD 2). Ayes, 25; Aye(s) with reservations: none . Noes, 0 (none). Excused, 0 (none). Transmitted to House. |
| Feb 28, 2025 | 48 Hrs. Notice 03-04-25. |
| Feb 28, 2025 | Reported from WAM (Stand. Com. Rep. No. 913) with recommendation of passage on Third Reading, as amended (SD 2). |
| Feb 27, 2025 | The committee(s) on WAM recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in WAM were as follows: 13 Aye(s): Senator(s) Dela Cruz, Moriwaki, Aquino, DeCoite, Elefante, Hashimoto, Inouye, Kanuha, Kidani, Kim, Lee, C., Wakai, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none. |
| Feb 24, 2025 | The committee(s) on WAM will hold a public decision making on 02-27-25 10:26AM; Conference Room 211 & Videoconference. |
| Feb 11, 2025 | Report adopted; Passed Second Reading, as amended (SD 1) and referred to WAM. |
| Feb 11, 2025 | Reported from TCA (Stand. Com. Rep. No. 248) with recommendation of passage on Second Reading, as amended (SD 1) and referral to WAM. |
| Feb 6, 2025 | The committee(s) on TCA recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in TCA were as follows: 4 Aye(s): Senator(s) Lee, C., Elefante, Kanuha, DeCorte; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Inouye. |
| Feb 3, 2025 | The committee(s) on TCA has scheduled a public hearing on 02-06-25 3:00PM; Conference Room 224 & Videoconference. |
| Jan 27, 2025 | Referred to TCA, WAM. |
| Jan 23, 2025 | Introduced and passed First Reading. |
| Jan 21, 2025 | Pending Introduction. |
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Date
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Description
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Location
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Votes
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| Mar 11, 2025 | The committee on TRN recommend that the measure be PASSED, WITH AMENDMENTS | House Standing Committee on Transportation |
Passed |
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| Mar 4, 2025 | Third Reading | Senate Floor |
Passed |
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| Feb 27, 2025 | The committee(s) on WAM recommend(s) that the measure be PASSED, WITH AMENDMENTS | Senate Standing Committee on Ways and Means |
Passed |
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| Feb 6, 2025 | The committee(s) on TCA recommend(s) that the measure be PASSED, WITH AMENDMENTS | Senate Standing Committee on Transportation and Culture and the Arts |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
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Organization
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Position
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Date
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| Department of Transportation | ** Support | |
| Department of Budget and Finance | *** Against | Feb 6, 2025 |
| Department of Transportation | ** Support | |
| Hawaii Department of Transportation | *** Support | Mar 27, 2025 |
STAND. COM. REP. NO. 1302
Honolulu, Hawaii
, 2025
RE: S.B. No. 1473
S.D. 2
H.D. 1
Honorable Nadine K. Nakamura
Speaker, House of Representatives
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Madame:
Your Committee on Transportation, to which was referred S.B. No. 1473, S.D. 2, entitled:
"A BILL FOR AN ACT RELATING TO CENTRAL SERVICES ASSESSMENT,"
begs leave to report as follows:
(1) Limiting the deduction of all receipts and deposits into the funds to 2.5 percent or an unspecified dollar amount, whichever is less; and
(2) By September 30, 2025, creating a process to deduct additional amounts based on the Consumer Price Index.
Your Committee finds that a set percentage is deducted from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund, but there is no way to know in advance how much will be available to pay for central service expenses. This measure provides certainty by setting an amount that will be deducted from each fund while also addressing increases in the cost of government services due to inflation by allowing for additional deductions from each fund based on the Consumer Price Index.
Your Committee has amended this measure by:
(1) Changing the effective date to July 1, 3000, to encourage further discussion; and
(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.
Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider limiting the base deductions to $5,000,000, as requested by the Department of Transportation.
As affirmed by the record of votes of the members of your Committee on Transportation that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1473, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1473, S.D. 2, H.D. 1, and be referred to your Committee on Finance.
Respectfully submitted on behalf of the members of the Committee on Transportation,
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____________________________ DARIUS KILA, Chair |
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STAND. COM. REP. NO. 913
Honolulu, Hawaii
RE: S.B. No. 1473
S.D. 2
Honorable Ronald D. Kouchi
President of the Senate
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Sir:
Your Committee on Ways and Means, to which was referred S.B. No. 1473, S.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO CENTRAL SERVICES ASSESSMENT,"
begs leave to report as follows:
The purpose and intent of this measure is to address the deduction and transfer of funds for central service expenses from the state highway fund, airport revenue fund, and harbor special fund.
Specifically, this measure:
(1) Limits transfers to five per cent of all receipts and deposits in each fund, or $5,000,000, whichever is less; and
(2) Creates a process to adjust for additional amounts based on the Consumer Price Index.
Your Committee received written comments in support of this measure from the Department of Transportation.
Your Committee received written comments on this measure from the Department of Budget and Finance.
Your Committee finds that the purpose of the central services assessment is to defray the cost of central government services. Your Committee further finds that while the concept in this measure attempts to equitably reduce the departmental contribution disparity for central services expenses, the five per cent deduction amount may be too high.
Your Committee has amended this measure by:
(1) Changing the statutory deduction from the state highway fund, airport revenue fund, and harbor special fund to 2.5 per cent; and
(2) Changing the deduction cap from $5,000,000 to an unspecified amount to facilitate further discussion on the measure.
As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1473, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1473, S.D. 2.
Respectfully submitted on behalf of the members of the Committee on Ways and Means,
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________________________________ DONOVAN M. DELA CRUZ, Chair |
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STAND. COM. REP. NO. 248
Honolulu, Hawaii
RE: S.B. No. 1473
S.D. 1
Honorable Ronald D. Kouchi
President of the Senate
Thirty-Third State Legislature
Regular Session of 2025
State of Hawaii
Sir:
Your Committee on Transportation and Culture and the Arts, to which was referred S.B. No. 1473 entitled:
"A BILL FOR AN ACT RELATING TO CENTRAL SERVICES ASSESSMENT,"
begs leave to report as follows:
The purpose and intent of this measure is to amend the transfer of funds for central service expenses from the State Highway Fund, Airport Revenue Fund, and Harbor Special Fund by:
(1) Limiting the deduction to five percent of all receipts and deposits in the fund, or $5 million, whichever is less; and
(2) Creating a process to deduct additional amounts based on the Consumer Price Index.
Your Committee received testimony in support of this measure from the Department of Transportation.
Your Committee received comments on this measure from the Department of Budget and Finance.
Your Committee finds that the contributions made by the Department of Transportation (Department) to the Central Services Assessment (CSA) are larger than those made by other state departments. Your Committee further finds that limiting the base deductions to the CSA from each of the Department's modal programs would reduce the disparity between the Department's contributions to the CSA and those made by other state departments. Accordingly, this measure limits the deduction of all receipts and deposits in the fund.
Your Committee has amended this measure by:
(1) Inserting an effective date of July 1, 2050, to encourage further discussion; and
(2) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.
As affirmed by the record of votes of the members of your Committee on Transportation and Culture and the Arts that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1473, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1473, S.D. 1, and be referred to your Committee on Ways and Means.
Respectfully submitted on behalf of the members of the Committee on Transportation and Culture and the Arts,
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________________________________ CHRIS LEE, Chair |
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Date
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Testimony PDF
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| Mar 27, 2025 | SB1473_HD1_TESTIMONY_FIN_03-27-25_.PDF |
| Mar 11, 2025 | SB1473_SD2_TESTIMONY_TRN_03-11-25_.PDF |
| Feb 26, 2025 | SB1473_SD1_TESTIMONY_WAM_02-27-25_.PDF |
| Feb 6, 2025 | SB1473_TESTIMONY_TCA_02-06-25_.PDF |
Discussed in Hearing
House Standing Committee on Finance
Senate Standing Committee on Transportation and Culture and the Arts
Bill Author
Bill Co-Author(s):