Relating To Funding Adjustments For State Programs.
Summary
SB1472 would restore budget special provisions that were present in earlier Hawaii appropriations acts but omitted from the 2023 and 2024 budget laws. The bill authorizes the governor to make supplemental allotments and transfer unrequired balances for certain capital improvement program projects when appropriated amounts are insufficient, so long as the changes do not expand a project’s scope or undermine the fund’s original purpose. It applies to projects funded by special funds, general obligation bond funds with debt service paid from special funds, revenue bond funds, revolving funds, and airport passenger facility charge funds.
The bill also creates a protocol fund for each principal state department by setting aside $7,000 from each department’s operating appropriation for fiscal year 2024-2025. These funds would be placed in separate accounts and expended at the discretion of the department’s executive head, such as a director, chairperson, comptroller, adjutant general, superintendent, president, or attorney general. The measure takes effect upon approval.
Impact
If enacted, SB1472 would amend Part VII of Act 164 (the 2023 General Appropriations Act, as amended by the 2024 Supplemental Appropriations Act) by adding new authority for the governor to shift funds among eligible capital improvement projects and to make supplemental allotments from designated funding sources. It would also allow the governor, at discretion, to raise the passenger facility charge fund authorization ceiling to accommodate expenditures. In addition, it would require each principal state department to reserve a small protocol fund within its operating appropriation, changing how a portion of departmental funds may be administered.
Sentiment
The bill appears to be a technical and administrative budget fix rather than a controversial policy change. Its stated purpose is to correct the omission of prior special provisions that departments relied on to manage capital project funding, suggesting support for restoring flexibility in state financial administration. No committee transcripts or recorded votes were provided, so there is no direct evidence of opposition or support beyond the bill text itself.
Contention
The main potential point of contention is the degree of discretion given to the governor and department heads to move money between projects and spend protocol funds. Critics could view this as reducing legislative control over appropriations or creating too much executive flexibility, while supporters would likely argue it is necessary to avoid operational problems when project costs change or appropriations prove insufficient. Another possible issue is the airport passenger facility charge provision, which allows the authorization ceiling to be increased at the governor’s discretion, though the bill limits use of the funds and prohibits expanding project scope.