REPORT TITLE:

Attorney General; collections.

DESCRIPTION:

Allows the attorney general to establish fees for collection of
delinquent accounts; establishes civil recoveries special fund.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO THE DEPARTMENT OF THE ATTORNEY GENERAL. 



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

 1      SECTION 1.  Chapter 28, Hawaii Revised Statutes, is amended
 
 2 by adding three new sections to Part I to be appropriately
 
 3 designated and to read as follows:
 
 4      "§28-  Collections fees.  (a)  Notwithstanding any other law
 
 5 to the contrary, the attorney general may set, by agreement with
 
 6 state agencies, fees, charges, or other payments for the pursuit
 
 7 and collection of delinquent accounts.
 
 8      (b)  All moneys collected pursuant to this section shall be
 
 9 deposited into the civil recoveries special fund established by
 
10 section 28- .
 
11      §28-    Civil recoveries special fund.  (a)  There is
 
12 established in the state treasury the civil recoveries special
 
13 fund, into which shall be deposited:
 
14      (1)  All moneys collected pursuant to section 28-  due and
 
15           owing to the State;
 
16      (2)  Interest earned on moneys in the fund;
 
17      (3)  Appropriations made by the legislature to the fund; and
 
18      (4)  Any other moneys that may be received by the department
 
19           of the attorney general relating to the collection of
 
20           delinquent accounts.
 

 
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 1      (b)  The civil recoveries special fund shall be administered
 
 2 by the department of the attorney general.  The department shall
 
 3 transfer the net amount due to each client from the civil
 
 4 recoveries special fund.  Moneys in the civil recoveries special
 
 5 fund shall be expended for the following purposes:
 
 6      (1)  Fees, charges, or other payments for pursuing and
 
 7           collecting delinquent accounts;
 
 8      (2)  Personnel, equipment, and other operating expenses
 
 9           necessary for pursuing and collecting delinquent
 
10           accounts; and
 
11      (3)  Any other purpose deemed necessary by the department
 
12           for the purpose of pursuing and collecting delinquent
 
13           accounts.
 
14      §28-    Collection of traffic-related fines.  The attorney
 
15 general shall pursue and collect delinquent accounts for moneys
 
16 due and owing to the State by any person for a violation of
 
17 chapter 291.  The department of the attorney general shall retain
 
18       per cent of the revenues collected from traffic-related
 
19 fines, which shall be deposited into the civil recoveries special
 
20 fund for expenditure by the department."
 
21      SECTION 2.  Chapter 40, Hawaii Revised Statutes, is amended
 
22 by adding a new section to be appropriately designated and to
 
23 read as follows:
 

 
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 1      "§40-    Delinquent accounts; collection costs.  Fees,
 
 2 charges, or other payments incurred for the pursuit and
 
 3 collection of delinquent accounts from any special or revolving
 
 4 fund shall be a permitted expenditure of that fund."
 
 5      SECTION 3.  Section 36-27, Hawaii Revised Statutes, is
 
 6 amended to read as follows:
 
 7      "§36-27  Transfers from special funds for central service
 
 8 expenses.  [Except as provided in this section, and
 
 9 notwithstanding] Notwithstanding any other law to the contrary,
 
10 from time to time the director of finance, for the purpose of
 
11 defraying the prorated estimate of central service expenses of
 
12 government in relation to all special funds, except the:
 
13      (1)  Special summer school and intersession fund under
 
14           section 302A-1310;
 
15      (2)  School cafeteria special funds of the department of
 
16           education;
 
17      (3)  Special funds of the University of Hawaii;
 
18      (4)  State educational facilities improvement special fund;
 
19      (5)  Convention center capital special fund under section
 
20           206X-10.5 and the convention center operations special
 
21           fund under section 206X-10.6;
 
22      (6)  Special funds established by section 206E-6;
 
23      (7)  Housing loan program revenue bond special fund;
 

 
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 1      (8)  Housing project bond special fund;
 
 2      (9)  Aloha Tower fund created by section 206J-17;
 
 3     (10)  Domestic violence prevention special fund under section
 
 4           321-1.3;
 
 5     (11)  Spouse and child abuse special account under section
 
 6           346-7.5;
 
 7     (12)  Spouse and child abuse special account under section
 
 8           601-3.6;
 
 9     (13)  Funds of the employees' retirement system created by
 
10           section 88-109;
 
11     (14)  Unemployment compensation fund established under
 
12           section 383-121;
 
13     (15)  Hawaii hurricane relief fund established under chapter
 
14           431P;
 
15     (16)  Hawaii health systems corporation special funds;
 
16     (17)  Boiler and elevator safety revolving fund established
 
17           under section 397-5.5;
 
18     (18)  Tourism special fund established under section [[]201B-
 
19           11[]]; [and]
 
20     (19)  Department of commerce and consumer affairs' special
 
21           funds; and
 
22     (20)  Civil recoveries special fund established under section
 
23           28-   ;
 

 
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 1 shall deduct five per cent of all receipts of all other special
 
 2 funds; which deduction shall be transferred to the general fund
 
 3 of the State and become general realizations of the State.  All
 
 4 officers of the State and other persons having power to allocate
 
 5 or disburse any special funds shall cooperate with the director
 
 6 in effecting these transfers.  To determine the proper revenue
 
 7 base upon which the central service assessment is to be
 
 8 calculated, the director shall adopt rules pursuant to chapter 91
 
 9 for the purpose of suspending or limiting the application of the
 
10 central service assessment of any fund.  No later than twenty
 
11 days prior to the convening of each regular session of the
 
12 legislature, the director shall report all central service
 
13 assessments made during the preceding fiscal year."
 
14      SECTION 4.  Section 36-30, Hawaii Revised Statutes, is
 
15 amended by amending subsection (a) to read as follows:
 
16      "(a)  Each special fund, except the:
 
17      (1)  Transportation use special fund established by section
 
18           261D-1;
 
19      (2)  Special summer school and intersession fund under
 
20           section 302A-1310;
 
21      (3)  School cafeteria special funds of the department of
 
22           education;
 
23      (4)  Special funds of the University of Hawaii;
 

 
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 1      (5)  State educational facilities improvement special fund;
 
 2      (6)  Special funds established by section 206E-6;
 
 3      (7)  Aloha Tower fund created by section 206J-17;
 
 4      (8)  Domestic violence prevention special fund under section
 
 5           321-1.3;
 
 6      (9)  Spouse and child abuse special account under section
 
 7           346-7.5;
 
 8     (10)  Spouse and child abuse special account under section
 
 9           601-3.6;
 
10     (11)  Funds of the employees' retirement system created by
 
11           section 88-109;
 
12     (12)  Unemployment compensation fund established under
 
13           section 383-121;
 
14     (13)  Hawaii hurricane relief fund established under chapter
 
15           431P;
 
16     (14)  Convention center capital special fund established
 
17           under section 206X-10.5 and the convention center
 
18           operations special fund established under section 206X-
 
19           10.6;
 
20     (15)  Hawaii health systems corporation special funds; [and]
 
21     (16)  Tourism special fund established under section
 
22           [[]201B-11[]]; and
 

 
 
 
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 1     (17)  Civil recoveries special fund established under section
 
 2           28-  ;
 
 3 shall be responsible for its pro rata share of the administrative
 
 4 expenses incurred by the department responsible for the
 
 5 operations supported by the special fund concerned."
 
 6      SECTION 5.  Act 216, Session Laws of Hawaii 1997, is amended
 
 7 by amending section 13 to read as follows:
 
 8      "SECTION 13.  This Act shall take effect on July 1, 1997,
 
 9 and shall be repealed on June 30, 2000; provided that [any]:
 
10      (1)  Any statutory or session law material in this Act in
 
11           existence on June 30, 1997, shall be reenacted on
 
12           July 1, 2000, in the same form in which it existed on
 
13           June 30, 1997[.]; and
 
14      (2)  Sections 36-27 and 36-30, Hawaii Revised Statutes,
 
15 shall be reenacted in the form in which they read as of June 30,
 
16 1997, as further amended by sections 5 and 6 of Act   , Session
 
17 Laws of Hawaii 1999."
 
18      SECTION 6.  Act 142, Session Laws of Hawaii 1998, is amended
 
19 by amending section 9 to read as follows:
 
20      "SECTION 9.  This Act shall take effect upon its approval
 
21 and shall be repealed on July 31, 2003, except that section 3 of
 
22 this Act shall not be repealed; provided that [sections 36-27
 
23 and] section 397-5(b), Hawaii Revised Statutes, shall be
 
24 reenacted in the form in which [they] it read on the day before
 

 
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 1 the approval of this [Act.], and provided further that section
 
 2 36-27, Hawaii Revised Statutes, shall be reenacted in the form in
 
 3 which it read on the day before the approval of this Act, as
 
 4 further amended by section 6 of Act      , Session Laws of Hawaii
 
 5 1999."
 
 6      SECTION 7.  There is appropriated out of the general
 
 7 revenues of the State of Hawaii the sum of $        , or so much
 
 8 thereof as may be necessary, for fiscal year 1999-2000 to be
 
 9 deposited into the civil recoveries special fund for the purposes
 
10 of the fund.
 
11      SECTION 8.  There is appropriated out of the civil
 
12 recoveries special fund the sum of $        , or so much thereof
 
13 as may be necessary, for fiscal year 1999-2000 for the purposes
 
14 of the fund.
 
15      SECTION 9.  The sums appropriated by this Act shall be
 
16 expended by the department of the attorney general.
 
17      SECTION 10.  In printing this Act, the revisor of statutes
 
18 shall insert the appropriate number of this Act in section 6. 
 
19      SECTION 11.  Statutory material to be repealed is bracketed.
 
20 New statutory material is underscored.
 
21      SECTION 12.  This Act shall take effect on July 1, 1999.