REPORT TITLE:
ERS


DESCRIPTION:
Requires the Employees' Retirement System (ERS) Board of Trustees
to appoint a chief investment officer and an assistant
administrator not subject to civil service.  Allows ERS to hire
its own legal counsel. (SD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1035
HOUSE OF REPRESENTATIVES                H.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 1999                                S.D. 1
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM.


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

 1      SECTION 1.  Section 28-8.3, Hawaii Revised Statutes, is
 
 2 amended by amending subsection (a) to read as follows:
 
 3      "(a)  No department of the State other than the attorney
 
 4 general may employ or retain any attorney, by contract or
 
 5 otherwise, for the purpose of representing the State or the
 
 6 department in any litigation, rendering legal counsel to the
 
 7 department, or drafting legal documents for the department;
 
 8 provided that the foregoing provision shall not apply to the
 
 9 employment or retention of attorneys:
 
10      (1)  By the public utilities commission, the labor and
 
11           industrial relations appeals board, and the Hawaii
 
12           labor relations board;
 
13      (2)  By any court or judicial or legislative office of the
 
14           State;
 
15      (3)  By the legislative reference bureau;
 
16      (4)  By any compilation commission that may be constituted
 
17           from time to time;
 
18      (5)  By the real estate commission for any action involving
 
19           the real estate recovery fund;
 
20      (6)  By the contractors license board for any action
 

 
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 1           involving the contractors recovery fund;
 
 2      (7)  By the trustees for any action involving the travel
 
 3           agency recovery fund;
 
 4      (8)  By the office of Hawaiian affairs;
 
 5      (9)  By the department of commerce and consumer affairs for
 
 6           the enforcement of violations of chapters 480 and 485;
 
 7     (10)  As grand jury counsel;
 
 8     (11)  By the Hawaiian home lands trust individual claims
 
 9           review panel;
 
10     (12)  By the Hawaii health systems corporation or any of its
 
11           facilities;
 
12     (13)  By the auditor;
 
13     (14)  By the office of ombudsman;
 
14     (15)  By the insurance division;
 
15     (16)  By the University of Hawaii; [or]
 
16     (17)  By the employees' retirement system; or
 
17    [(17)] (18)  By a department, in the event the attorney
 
18           general, for reasons deemed by the attorney general
 
19           good and sufficient, declines, to employ or retain an
 
20           attorney for a department; provided that the governor
 
21           thereupon waives the provision of this section."
 
22      SECTION 2.  Section 88-29, Hawaii Revised Statutes, is
 
23 amended to read as follows:
 

 
Page 3                                                     1035
                                     H.B. NO.           H.D. 1
                                                        S.D. 1
                                                        

 
 1      "§88-29  Officers, employees, legal adviser.  The board of
 
 2 trustees shall elect from its membership a chairperson, and by a
 
 3 majority vote of all its members, shall appoint an administrator,
 
 4 assistant administrator, and a chief investment officer who shall
 
 5 be exempt from chapters 76 and 77 and serve under and at the
 
 6 pleasure of the board.  Effective July 1, 1992, the salary of the
 
 7 administrator shall be set by the board within the range
 
 8 established for deputy directors.  The board shall engage
 
 9 actuarial and other services as shall be required to transact the
 
10 business of the system.  The compensation for all services
 
11 engaged by the board, and all other expenses of the board
 
12 necessary for the operation of the system, shall be paid at rates
 
13 and in amounts the board shall approve.
 
14      The attorney general or an appointed representative may
 
15 serve as legal adviser to the board of trustees or the board of
 
16 trustees may select its own legal counsel."
 
17      SECTION 3.  Statutory material to be repealed is bracketed.
 
18 New statutory material is underscored.
 
19      SECTION 4.  This Act shall take effect upon its approval.