Hawaii Senate Bill SB1351

Hawaii 2025 Regular Session

• Introduced: 1/23/25
• Refer: 1/27/25
• Report Pass: 2/7/25
• Refer: 2/7/25

Caption

Relating To Public Employment Cost Items.

Summary

SB1351 is an appropriations measure for Hawaii public employment cost items for fiscal biennium 2025-2027. It provides funding authority for collective bargaining statewide (BUF 102) to cover all negotiated cost items for members of bargaining unit 6, as well as salary increases and other cost adjustments for excluded state officers and employees who are in the same compensation plans as unit 6 employees. The bill is structured in multiple parts and includes standard provisions directing the director of finance to allot funds to the appropriate departments, requiring that costs paid from federal, special, or other funds be charged to those sources as appropriate, and providing that unspent funds lapse at the end of each fiscal year. The bill also includes a constitutional expenditure-ceiling declaration, stating that the state general fund expenditure ceiling for FY 2025-2026 has already been exceeded and that the appropriations in the bill would further exceed it, with the legislature finding the spending necessary to serve the public interest. Although the bill text shown contains zero-dollar placeholders for the funding amounts, its stated purpose is to authorize the funding mechanism for negotiated labor costs rather than to create a new program or regulatory scheme. The effective date is set far in the future, July 1, 2050, which is unusual and may reflect drafting or placeholder language in the version provided. In terms of legal impact, SB1351 would amend state spending authority for the relevant fiscal years by appropriating or authorizing funds for bargaining unit 6 compensation items and corresponding excluded employees under chapter 89C, Hawaii Revised Statutes. It affects state budget law, collective bargaining appropriations, and the administration of payroll and compensation for affected state employees, but it does not appear to change substantive employment rights or bargaining rules. The bill also implicates the state general fund expenditure ceiling under the Hawaii Constitution and related statutes. The general sentiment around the bill appears favorable and noncontroversial based on the available vote history: the Senate Labor and Technology Committee passed the measure unanimously, 4-0, with amendments. No committee transcript is provided, so there is no recorded debate to indicate opposition or concern. The main point of potential contention is fiscal, particularly the expenditure-ceiling exceedance and the cost of negotiated salary adjustments, but the available record does not show active resistance in committee. Notable issues include the bill’s focus on bargaining unit 6, its parallel treatment of excluded employees in the same compensation plans, and the constitutional finding that the spending exceeds the general fund ceiling. The unusual 2050 effective date may also draw attention as a drafting anomaly or placeholder, though the bill’s substantive purpose is clearly tied to the 2025-2027 biennium.

Impact

SB1351 would authorize state funding for collective bargaining cost items for bargaining unit 6 and for excluded employees in the same compensation plans, using the statewide collective bargaining appropriation mechanism (BUF 102). It would affect state budget administration, payroll funding, and the allocation of costs across general, special, federal, and other funds, while also formally acknowledging that the appropriations contribute to exceeding the state general fund expenditure ceiling for FY 2025-2026. The bill does not appear to alter labor law rights or bargaining procedures, but it does implement negotiated compensation obligations under chapter 89C, HRS.

Sentiment

The available legislative history suggests broad support and little visible controversy. The Senate Labor and Technology Committee passed the bill 4-0 with amendments, indicating consensus on the need to fund negotiated public employee compensation items. No hearing testimony or transcript is provided, so the record does not show detailed debate, but the unanimous committee vote points to a generally favorable reception.

Contention

The main substantive concern is fiscal: the bill expressly states that the state general fund expenditure ceiling has already been exceeded and that this measure would exceed it further. That makes the appropriations and their budgetary impact the likely point of contention, especially for lawmakers focused on spending limits or fiscal restraint. Another possible issue is the unusual zero-dollar funding placeholders and the July 1, 2050 effective date, which may reflect drafting or placeholder language and could raise questions about the bill version rather than the policy itself.