SB 3264: Hawaii Employer-Union Health Benefits Trust Fund; 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 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 an assistant administrator of the Trust 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.

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 January 1, 2077.

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 of the Trust Fund.  Effective 1/1/2077.  (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 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. 2743

Honolulu, Hawaii

RE:     S.B. No. 3264

        S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B. No. 3264, S.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 and intent of this measure is to authorize the Hawaii Employer-Union Health Benefits Trust Fund Board of Trustees to set the salary of the Assistant Administrator of the Hawaii Employer-Union Health Benefits Trust Fund.

     Your Committee received written comments in support of this measure from the Hawaii Employer-Union Health Benefits Trust Fund Board of Trustees, University of Hawaii Professional Assembly, Hawaii State Teachers Association, and one individual.

     Your Committee finds that current pay adjustments for the Assistant Administrator generally mirror those applicable to Bargaining Unit 13 members.  This measure would grant the Board more direct oversight of the position, enhance accountability, and support the recruitment and retention of a highly qualified individual through a competitive salary.

     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. 3264, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

STAND. COM. REP. NO. 2540

Honolulu, Hawaii

RE:     S.B. No. 3264

        S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

     Your Committee on Labor and Technology, to which was referred S.B. No. 3264 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 and intent of this measure is to authorize the Board of Trustees of the Hawaii Employer-Union Health Benefits Trust Fund (Trust Fund) to establish the salary for an assistant administrator.

     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 salaries for assistant administrators in the private sector far outpace that of state employment.  Your Committee further finds that the Board of Trustees should be allowed to set the salaries for the Trust Fund to effectively recruit and retain the most capable employees to administer the day-to-day operations of the Trust Fund when the Trust Fund Administration is unavailable, of its assistant administrator.  This measure will allow the Trust Fund to retain quality staff to ensure the continued strengths of the Trust Fund.

     Your Committee has amended this measure by inserting an effective date of January 1, 2077, to encourage further discussion.

     As affirmed by the record of votes of the members of your Committee on Labor and Technology that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3264, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3264, S.D. 1, and be referred to your Committee on Ways and Means.

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