Report Title:
Hawaii Tourism Authority
Description:
Increases and amends membership of the HTA board; limits to department head salary level, the amount used for ERS calculations of the avg. final compensation for the executive director of the HTA, retroactive to 1/18/02;clarifies that HTA is a policy-making board; amends powers and activities of the HTA; requires legislative notice for HTA contracts of $25,000 or more; requires periodic audit of all contracts over $15,000,000. (SB2421 HD1)
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THE SENATE |
S.B. NO. |
2421 |
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TWENTY-FIRST LEGISLATURE, 2002 |
S.D. 2 |
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STATE OF HAWAII |
H.D. 1 |
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A BILL FOR AN ACT
RELATING TO TOURISM.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 23, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§23- Hawaii tourism authority; audit. (a) The auditor shall conduct at least once in every five years a management and financial audit of all contracts or agreements awarded by the Hawaii tourism authority valued at over $15,000,000 to ensure that the authority and its major contractors are in compliance with all relevant programmatic and financial requirements. These audits shall include but not be limited to a review of the following:
(1) The responsibilities, services, and activities of all major contractors;
(2) The propriety of expenditures and compliance by all major contractors with any laws and rules that may be in effect;
(3) The management and oversight of all major contractors by the authority; and
(4) Any additional audit issues that the auditor deems appropriate.
(b) The authority and any private companies or agencies receiving state funds shall fully cooperate with and provide assistance to the auditor as needed with respect to its audit, and shall respond promptly to the auditor's requests in conducting this audit, including but not limited to requests for records and other information requested in the course of the audit.
(c) The auditor shall submit its findings and recommendations to the legislature no later than twenty days before the convening of the regular session following the year in which the audit is conducted."
SECTION 2. Section 88-81, Hawaii Revised Statutes, is amended to read as follows:
"§88-81 Average final compensation. (a) Average final compensation is (1) for employees who have become members prior to January 1, 1971, the average annual compensation pay or salary upon which a member has made contributions as required by sections 88-45 and 88-46, (A) during the member's five highest paid years of credited service, (B) at the option of the member, during the member's three highest paid years of credited service; provided that no payment of salary in lieu of vacation shall be included in the computation, or (C) if the member has less than three years of credited service, then during the member's actual years of credited service; or (2) for employees who become [[]members[]] on or after January 1, 1971, the average annual compensation pay or salary upon which a member has made contributions as required by sections 88-45 and 88-46, (A) during the member's three highest paid years of credited service; provided that no payment of salary in lieu of vacation shall be included in the computation, or (B) if the member has less than three years of credited service, then during the member's actual years of credited service.
(b) In computing the compensation of a judge, the compensation paid to the judge by the United States as well as by the Territory shall be included.
(c) For service rendered as a member of the legislature from and after November 5, 1968, the actual annual salary of a member shall be the only amount used for determining the member's average final compensation. For service rendered as a member of the legislature prior to November 5, 1968, and after admission of this State into the Union, the annual compensation of a member shall be computed, for the purpose of determining the member's average final compensation, as follows: during a year in which a general session was held, it shall be deemed to have been an amount equal to four times the salary of a member of the legislature for a general session; and during a year in which a budget session was held, it shall be deemed to have been an amount equal to six times the salary of a member of the legislature for a budget session. For service rendered as a member of the legislature prior to the admission of this State into the Union, the annual compensation of a member shall be deemed to have been four times the salary of a member of the legislature for a regular session for each year during the member's term of office.
(d) If a member has credited service rendered as an elective officer or as a legislative officer, the member's average final compensation shall be computed separately for each category of service as follows:
(1) For the three highest paid years of credited service as an elective officer, or if the member has less than three years of credited service in that capacity, then the member's actual years of credited service;
(2) For the three highest paid years of credited service as a legislative officer, or if the member has less than three years of credited service in that capacity, then the member's actual years of credited service;
(3) For the three highest paid years of credited service as a judge, or if the member has less than three years of credited service in that capacity, then the member's actual years of credited service; and
(4) For the three highest paid years of credited service not included in paragraph (1), (2), or (3), or if the member has less than three years of credited service in that capacity, then the member's actual years of credited service.
(e) Notwithstanding any other law to the contrary, for the executive director of the Hawaii tourism authority, at the time a calculation of average final compensation is made under this section, the salary figure used shall be limited to the level of the salary established for state department heads in section 26-52(3)."
SECTION 3. Section 201B-2, Hawaii Revised Statutes, is amended to read as follows:
"[[]§201B-2[]] Hawaii tourism authority; establishment; board; staff. (a) There is established the Hawaii tourism authority, which shall be a body corporate and a public instrumentality of the State, for the purpose of implementing this chapter. The authority shall be placed within the department of business, economic development, and tourism for administrative purposes only.
(b) The authority shall be headed by a policymaking board of directors, which consists of [ten] twelve public, voting members, [one public, nonvoting member,] appointed by the governor as provided in section 26-34, except as otherwise provided by law, one ex officio voting member, and [one] two ex officio nonvoting [member;] members; provided that:
[(1) Ten public, voting members shall be appointed by the governor as provided in section 26-34, except as otherwise provided by law;
(2) The ten] (1) At least four public, voting members shall be appointed by the governor and shall be composed of at least one representative each from the city and county of Honolulu and the counties of Hawaii, Kauai, and Maui; [the remaining public members shall be appointed at-large;
(3) Of the ten] (2) Two public, voting members[, two] shall be appointed by the governor from a list of three names nominated by the president of the senate[, and two];
(3) Two public, voting members shall be appointed by the governor from a list of three names nominated by the speaker of the house of representatives;
(4) Four public, voting members shall be appointed by the governor at-large;
[(4)] (5) At least six of the [ten] twelve public, voting members shall have knowledge, experience, and expertise in the area of visitor industry management, marketing and promotion[;], transportation, retail, entertainment, or visitor attractions, and at least one shall have knowledge, experience, and expertise in the area of Hawaiian cultural practices;
[(5)] (6) The governor shall make appointments to ensure the fulfillment of all requirements; provided that any appointments made after the effective date of this Act shall be made to fulfill the requirements in place when the appointments are made;
[(6)] (7) The director of business, economic development, and tourism[,] or a designated representative[,] shall be an ex officio voting member;
[(7)] (8) The director of transportation or a designated representative[,] shall be an ex officio nonvoting member; and
[(8) The governor shall appoint a public, nonvoting member.]
(9) The chairperson of the board of land and natural resources or a designated representative shall be an ex officio nonvoting member.
(c) The public members shall be appointed by the governor for terms of four years[, except that the terms of the members first appointed shall be for two and four years, respectively, as designated by the governor at the time of appointment]. Each public member shall hold office until the member's successor is appointed and qualified. Section 26-34 shall be applicable insofar as it relates to the number of terms and consecutive number of years a member may serve on the board.
(d) The board shall elect a chairperson from among the voting members. The director of business, economic development, and tourism or the designated representative shall not be chairperson of the board.
(e) [Six] Seven voting members shall constitute a quorum[, whose] and a minimum of seven affirmative [vote] votes shall be necessary for all actions by the authority. The members shall serve without compensation, but shall be reimbursed for expenses, including traveling expenses, necessary for the performance of their duties.
(f) The board shall appoint an executive director, exempt from [chapters] chapter 76 [and 77], who shall oversee the authority staff[
(g) The authority may employ persons not subject to chapters 76[, 77,] and 78 to perform and execute the functions of the authority.
(h) The board may establish ad hoc advisory committees of not fewer than five members with special expertise in visitor industry operations, management, advertising and promotion, recreation, sports, transportation, Hawaiian cultural practices, and other matters that may be under consideration by the board."
SECTION 4. Section 201B-3, Hawaii Revised Statutes, is amended to read as follows:
"[[]§201B-3[]] Powers. Except as otherwise limited by this chapter, the [board] authority may:
(1) Sue and be sued;
(2) Have a seal and alter the same at pleasure;
(3) Make and execute contracts and all other instruments necessary or convenient for the exercise of its powers and functions under this chapter, provided that the authority may enter into contracts and agreements for a period of up to [five] ten years[;], subject to the availability of funds;
(4) Make and alter bylaws for its organization and internal management;
(5) [Adopt] Unless otherwise provided in this chapter, adopt rules in accordance with chapter 91 with respect to its projects, operations, properties, and facilities;
(6) Through its executive director represent the authority in communications with the governor and with the legislature;
(7) Through its executive director appoint officers, agents, and employees, prescribe their duties and qualifications, and fix their salaries, without regard to chapters 76[, 77,] and 78;
(8) Through its executive director purchase supplies, equipment, or furniture;
(9) Through its executive director allocate the space or spaces which are to be occupied by the authority and appropriate staff;
(10) Engage the services of qualified persons to implement the State's tourism marketing plan or portions thereof as determined by the [board;] authority;
(11) Engage the services of consultants on a contractual basis for rendering professional and technical assistance and advice;
(12) Procure insurance against any loss in connection with its property and other assets and operations in such amounts from such insurers as it deems desirable;
(13) Contract for[, and] or accept revenues, compensation, proceeds, and gifts or grants in any form from any public agency or any other source;
(14) Create a vision and develop a long range plan for tourism in Hawaii[, including product development, infrastructure, and diversification issues];
(15) Develop, coordinate, and implement state policies and directions for tourism and related activities taking into account the economic, social, and physical impacts of tourism on the State[;] and its natural resources infrastructure; provided that the authority shall support the efforts of other state and county departments or agencies to manage, improve, and protect Hawaii's natural environment and areas frequented by visitors;
(16) Develop and implement the state tourism strategic marketing plan, which shall be updated every three years, to promote and market the State as a desirable leisure and business visitor destination;
(17) Have a permanent, strong focus on marketing and promotion;
(18) Conduct market development-related research as necessary;
(19) Coordinate all agencies and advise the private sector in the development of tourism-related activities and resources;
(20) Work to eliminate or reduce barriers to travel in order to provide a positive and competitive business environment, including coordinating with the department of transportation on issues affecting airlines and air route development;
(21) Market and promote sports-related activities and events;
(22) Coordinate the development of new products with the counties and other public and private sectors, including the development of sports, culture, health, education, business, and eco-tourism;
(23) Establish a public information and educational program to inform the public of tourism and tourism-related problems;
(24) Encourage the development of tourism educational, training, and career counseling programs;
(25) Establish a program to monitor, investigate, and respond to complaints about problems resulting directly or indirectly from the tourism industry and taking appropriate action as necessary; and
(26) Do any and all things necessary to carry out its purposes and exercise the powers given and granted in this chapter."
SECTION 5. Section 201B-7, Hawaii Revised Statutes, is amended to read as follows:
"§201B-7 Tourism-related activities. (a) The authority may enter into contracts and agreements that include the following:
(1) Tourism promotion, marketing, and development;
(2) Market development-related research;
(3) Product development and diversification issues[;] with a focus for visitors;
(4) Promotion, development, and coordination of sports-related activities and events;
(5) Promotion of Hawaii, through a coordinated statewide effort, as a place for business meetings, conventions, and incentive travel; [
(6) Reduction of barriers to travel;
(7) Tourism public information and educational programs;
(8) Programs to monitor and investigate complaints about the problems resulting from the tourism industry in the State; and
(9) Any and all other activities necessary to carry out the intent of this chapter;
provided that for [the purposes of continuity, the Hawaii Visitors and Convention Bureau shall be the designated agency to conduct the marketing and promotion of the State until the end of fiscal year 1998-1999 or until a date specified by the board.] any contract or agreement valued at $25,000 and over, the authority shall provide notice to the speaker of the house of representatives and the president of the senate on the same day that such notification is given to the governor.
(b) The authority may delegate to staff [shall be responsible for] the responsibility for soliciting, awarding, and executing contracts, and monitoring and facilitating any and all functions developed in accordance with subsection (a)."
SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 7. This Act shall take effect on July 1, 2002; provided that section 2 of this Act shall take effect retroactive to January 18, 2002.