Report Title:

OHA; Lands and Revenues

 

Description:

Allows the Office of Hawaiian Affairs to award grants. Appropriates funds as interim revenues to the Office of Hawaiian Affairs. (SD1)

THE SENATE

S.B. NO.

2477

TWENTY-FIRST LEGISLATURE, 2002

S.D. 1

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO THE OFFICE OF HAWAIIAN AFFAIRS.

 

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

SECTION 1. Chapter 10, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§10-    Grants; conditions and qualifications. (a) Applications for grants shall be made to the office and contain such information as the office shall require by rules adopted pursuant to chapter 91. At a minimum, the applicant must show that:

(1) The grant shall be used for activities that are consistent with the purposes of this chapter;

(2) The applicant shall have applied for or received all applicable licenses and permits;

(3) The applicant will comply with applicable federal and state laws;

(4) The grant shall not be used for purposes of entertainment or perquisites;

(5) The applicant shall comply with other requirements as the office may prescribe;

(6) All activities and improvements undertaken with funds received shall comply with all applicable federal, state, and county statutes and ordinances, including applicable building codes and agency rules; and

(7) The applicant will indemnify and save harmless the office, the State of Hawaii, its officers, agents, and employees from and against any and all claims arising out of or resulting from activities carried out or projects undertaken with funds provided hereunder, and procure sufficient insurance to provide this indemnification if requested to do so by the office.

(b) To receive a grant hereunder, an applicant shall:

(1) Be either:

(A) A profit subsidiary of a nonprofit organization incorporated under the laws of the State; or

(B) A nonprofit community-based organization determined to be exempt from federal income taxation by the Internal Revenue Service; or

(C) A cooperative association.

(2) In the case of a nonprofit organization, have a governing board whose members have no material conflict of interest and serve without compensation, have bylaws or policies which describe the manner in which business is conducted and policies relating to nepotism and management of potential conflict of interest situations, and employ or contract with no two or more members of a family or kin of the first or second degree unless specifically permitted by the office;

(3) Agree to make available to the office all records the applicant may have relating to the operation of the applicant's activity, business, or enterprise, to allow state agencies to monitor the applicant's compliance with the purpose of this chapter; and

(4) Establish, to the satisfaction of the office, that sufficient funds are available for the effective operation of the activity, business, or enterprise for the purpose for which the grant is awarded."

SECTION 2. Section 10-5, Hawaii Revised Statutes, is amended to read as follows:

"§10-5 Board of trustees; powers and duties. The board shall have the power in accordance with law to:

(1) Manage, invest, and administer the proceeds from the sale or other disposition of lands, natural resources, minerals, and income derived from whatever sources for native Hawaiians and Hawaiians, including all income and proceeds from that [pro rata] portion of the trust referred to in section 10-3[, of this chapter];

(2) Exercise control over real and personal property set aside to the office by the State of Hawaii, the United States of America, or any private sources, and transferred to the office for native Hawaiians and Hawaiians;

(3) Collect, receive, deposit, withdraw, and invest money and property on behalf of the office;

(4) Formulate policy relating to the affairs of native Hawaiians and Hawaiians, provided that such policy shall not diminish or limit the benefits of native Hawaiians under article XII, section 4, of the state Constitution;

(5) Otherwise act as a trustee as provided by law;

(6) Delegate to the administrator, its officers and employees such powers and duties as may be proper for the performance of the powers and duties vested in the board;

(7) Provide grants to public or private agencies [for pilot projects, demonstrations, or both, where such projects or demonstrations fulfill criteria established by the board;] to better the conditions of native Hawaiians and Hawaiians consistent with the standards set out in section 10- ;

(8) Make available technical and financial assistance and advisory services to any agency or private organization for native Hawaiian and Hawaiian programs, and for other functions pertinent to the purposes of the office of Hawaiian affairs. Financial assistance may be rendered through contractual arrangements as may be agreed upon by the board and any such agency or organization; and

(9) Adopt and use a common seal by which all official acts shall be authenticated."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $17,000,000, or so much thereof as may be necessary for fiscal year 2002-2003, to provide funds pursuant to sections 10-2 and 10-13.5, Hawaii Revised Statutes.

SECTION 4. The sum appropriated shall be expended by the office of Hawaiian affairs for the betterment of the conditions of native Hawaiians.

SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 6. This Act shall take effect upon its approval; provided that sections 3 and 4 shall take effect on July 1, 2002.