STATEMENT OF OBJECTIONS TO HOUSE BILL NO

EXECUTIVE CHAMBERS

HONOLULU

June 20, 2003

STATEMENT OF OBJECTIONS TO HOUSE BILL NO. 282

Honorable Members

Twenty-Second Legislature

State of Hawaii

Pursuant to Section 16 of Article III of the Constitution of the State of Hawaii, I am returning herewith, without my approval, House Bill No. 282, entitled "A Bill for an Act Relating to the Auditor."

The purposes of this bill are to enable the Legislative Auditor to be reimbursed for all or part of the costs of an audit the Auditor conducts, when moneys for such costs have been appropriated or generated by any department, office, or agency of the State or its political subdivision, and to establish a revolving fund in which to deposit such moneys and legislative appropriations.

While this bill has a commendable intent, to provide funds to enable the Legislative Auditor to conduct audits, the mechanism selected to achieve that intent is unduly cumbersome and potentially wasteful. By allowing the Legislative Auditor to decide unilaterally when to conduct or contract for financial audits of executive branch agencies, and then to claim reimbursement for the cost of all such audits, this bill invites duplication and waste of limited resources for the many departments, offices, agencies, and political subdivisions that must budget for and schedule their own audits. If the Legislature wants the Legislative Auditor to conduct more audits of executive branch agencies, it should appropriate sufficient funds directly to the Legislative Auditor for that purpose.

For the foregoing reasons, I am returning House Bill No. 282 without my approval.

Respectfully,

 

 

LINDA LINGLE

Governor of Hawaii