SECTION 1. The legislature finds that the devastating wildfires brought on by winds from Hurricane Dora on August 8, 2023, resulted in one of the worst natural disasters in the State's history. The wildfires caused loss of life and displacement of thousands on the island of Maui. The disaster also destroyed nearly all of Lahaina.

The people of Hawaii and the world responded compassionately by coming together with donation drives and relief efforts to support those on Maui who had survived the devastation. Federal, state, and county agencies worked together with nonprofit organizations, including the American Red Cross, Hawaii Community Foundation, Maui United Way, and many others, on the emergency response and recovery efforts.

The legislature further finds that to support response and recovery efforts and address immediate 2023 wildfire funding needs, the governor, through the seventh emergency proclamation relating to wildfires, dated September 8, 2023, and executive memorandum no. 23-08, redirected $164.1 million, after adjustments, from selected general fund operating appropriations from Act 164, Session Laws of Hawaii 2023, originally intended for specific purposes and capital improvement projects, to the department of budget and finance. The department of budget and finance subsequently transferred $65 million to the major disaster fund and set aside the remaining $99.1 million for the State's share of noncongregate housing and debris clean-up costs initially being paid by the Federal Emergency Management Agency. These steps, among others, allowed the State to address response and recovery expenses incurred thus far without cutting positions and departmental base budgets.

The legislature notes that this Act is a vital component to funding wildfire recovery. In addition to significant funding in this Act, the Supplemental Appropriations Act of 2024 appropriates $96,560,000 for various infrastructure projects on Maui that include:

(1) $4,560,000 for a final disposition site;

(2) $11,000,000 for wastewater collection system repairs;

(3) $9,000,000 for wastewater collection system laterals and cleanouts;

(4) $3,000,000 for traffic signal replacement;

(5) $10,000,000 for fire flow improvements to water systems;

(6) $10,000,000 for water supply infrastructure repairs and replacements;

(7) $8,000,000 for storm drainage, flood control, and water quality improvements;

(8) $8,000,000 for roadway connectivity for disaster evacuation; and

(9) $33,000,000 for the repair and rehabilitation of highways in Lahaina.

The legislature further finds that the status of Federal Emergency Management Agency eligible and ineligible expenses remains uncertain, making accurate appropriations an extreme challenge.

The purpose of this Act is to appropriate additional moneys to continue the State's recovery efforts in response to the Maui wildfires and to accelerate statewide wildfire mitigation and response capabilities.

SECTION 2. (a) In accordance with section 9 of article VII of the Constitution of the State of Hawaii and sections 37‑91 and 37‑93, Hawaii Revised Statutes, the legislature has determined that the appropriations contained in H.B. No. 40, S.D. 1, C.D. 1, will cause the state general fund expenditure ceiling for fiscal year 2024‑2025 to be exceeded by $323,323,869 or 3.1 per cent. In addition, the appropriations contained in this Act will cause the general fund expenditure ceiling for fiscal year 2024‑2025 to be further exceeded by $221,189,453 or 2.1 per cent. The combined total amount of general fund appropriations contained in only these two Acts will cause the state general fund expenditure ceiling for fiscal year 2024-2025 to be exceeded by $544,513,322 or 5.2 per cent.

(b) In accordance with section 9 of article VII of the Constitution of the State of Hawaii and sections 37‑91 and 37‑93, Hawaii Revised Statutes, the legislature has determined that the appropriations contained in this Act will cause the state general fund expenditure ceiling for fiscal year 2024‑2025 to be exceeded by $221,189,453 or 2.1 per cent.

(1) The appropriations made in this Act are necessary to serve the public interest; and

(2) The appropriations made in this Act meet the needs addressed by this Act.

SECTION 3. There is appropriated out of the state risk management revolving fund established by section 41D-4, Hawaii Revised Statutes, the sum of $200,000,000 or so much thereof as may be necessary for fiscal year 2024-2025 for insurance claim payments related to the Maui wildfires disaster that began on August 8, 2023; provided that the department of accounting and general services shall submit to the legislature, on the seventh day of each month, the following information associated with the Maui wildfires disaster that began on August 8, 2023:

(1) The date of insurance proceeds allocation;

(2) The amount of proceeds allocated;

(3) The date of each expenditure;

(4) The amount of each expenditure;

(5) The purpose of each expenditure;

(6) Any contracts executed for the expenditure of funds;

(7) All liquidation dates for contracts or liabilities; and

(8) A detailed explanation of the public purposes served by the expenditure of resources.

Notwithstanding any law to the contrary, the governor shall submit to the legislature, no later than thirty days prior to the convening of the regular session of 2025, a summary report containing the aforementioned information for the previous twelve-month period from December 1 to November 30.

The sum appropriated shall be expended by the department of accounting and general services, state risk management and insurance administration (AGS 203), for the purposes of this section, with the approval of the comptroller.

SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $186,160,000 or so much thereof as may be necessary for fiscal year 2024-2025 as a set-aside for recovery costs for the Maui wildfires disaster that began on August 8, 2023; provided that notwithstanding any law to the contrary the governor may authorize the transfer of up to $186,160,000 in general funds to other state agencies for recovery costs for the Maui wildfires disaster that began on August 8, 2023; provided further that the governor shall provide notice to the legislature fourteen days prior to the date of any transfer and submit a report to the legislature within five days of each use of this authority; provided further that the report shall include the date of transfer, the amount of the transfer, the program ID to which funds were transferred, and an explanation of the purpose of the transfer of resources.

Notwithstanding any law to the contrary, the governor shall submit to the legislature, no later than thirty days prior to the convening of the regular sessions of 2025 and 2026, a summary report containing the aforementioned information for each use of this authority for the previous twelve-month period from December 1 to November 30.

The sum appropriated shall be expended by the department of budget and finance, departmental administration and budget division (BUF 101), for the purposes of this Act.

SECTION 5. Notwithstanding any law to the contrary, the department of budget and finance or any department or agency receiving funds transferred by the governor under this Act shall submit to the legislature, on the seventh day of each month, the following information associated with the Maui wildfires disaster that began on August 8, 2023:

(1) The date of each expenditure;

(2) The amount of each expenditure, for expenses that are Federal Emergency Management Agency eligible; and separately, for expenses that are Federal Emergency Management Agency ineligible;

(3) The purpose of expenditures;

(4) Any contracts executed for the expenditure of funds;

(5) All liquidation dates for contracts or liabilities; and

(6) A detailed explanation of the public purposes served by the expenditure of resources.

Notwithstanding any law to the contrary, the governor shall submit to the legislature, no later than thirty days prior to the convening to the regular session of 2025, a summary report containing the aforementioned information for the previous twelve-month period from December 1 to November 30.

SECTION 6. There is appropriated out of the general revenues of the State of Hawaii the sum of $62,500 or so much thereof as may be necessary for fiscal year 2024-2025 for a temporary library located in Lahaina, Maui.

The sum appropriated shall be expended by the Hawaii state public library system, public libraries (EDN 407) for the purposes of this section.

SECTION 7. (a) The department of human services is authorized to fund six full-time equivalent (6.0 FTE) temporary positions to be funded by federal funds.

(b) There is appropriated out of the general revenues of the State of Hawaii the sum of $13,370,000 or so much thereof as may be necessary for fiscal year 2024-2025, and the sum of $12,751,554 or so much thereof as may be necessary for fiscal year 2024-2025 in federal funds for emergency management related to the Maui wildfires that began on August 8, 2023.

(c) The sums appropriated shall be expended by the department of human services, general administration – DHS (HMS 904), for the purposes of this section.

SECTION 8. There is appropriated out of the conservation and resources enforcement special fund established by section 199-1.5, Hawaii Revised Statutes, the sum of $521,473 or so much thereof as may be necessary for fiscal year 2024-2025 for the department of land and natural resources, division of conservation and resources enforcement, for Maui wildfire recovery efforts.

The sum appropriated shall be expended by the department of land and natural resources, division of conservation and resources enforcement (LNR 405), for the purposes of this section.

SECTION 9. There is appropriated out of the general revenues of the State of Hawaii the sum of $424,344 or so much thereof as may be necessary for fiscal year 2024-2025 to establish six full-time equivalent (6.0 FTE) permanent positions in the Hawaii emergency management agency for Maui wildfire recovery and emergency support functions.

The sum appropriated shall be expended by the Hawaii emergency management agency (DEF 118) for the purposes of this section.

SECTION 10. There is appropriated out of the public utilities commission special fund established by section 269-33, Hawaii Revised Statutes, the sum of $1,000,000 or so much thereof as may be necessary for fiscal year 2024-2025 for consultant contracts for utility dockets.

The sum appropriated shall be expended by the public utilities commission (CCA 901) for the purposes of this section.

SECTION 11. There is appropriated or authorized for expenditure out of federal moneys received by the State of Hawaii the sum of $20,000,000 or so much thereof as may be necessary for fiscal year 2024-2025 for wildfire response, recovery, and prevention measures.

The sum appropriated shall be expended by the department of Hawaiian home lands, administration and operating support (HHL 625), for the purposes of this section.

SECTION 12. There is appropriated out of the general revenues of the State of Hawaii the sum of $7,425,000 or so much thereof as may be necessary for fiscal year 2024-2025 for fire response and rehabilitation and wildfire fuels reduction contracts for the department of land and natural resources, division of forestry and wildlife.

The sum appropriated shall be expended by the department of land and natural resources, native resources and fire protection program (LNR 402), for the purposes of this section.

SECTION 13. There is appropriated out of the general revenues of the State of Hawaii the sum of $1,412,928 or so much thereof as may be necessary for fiscal year 2024-2025 for twenty-two full-time equivalent (22.0 FTE) positions within the native resources and fire protection program of the department of land and natural resources.

The sum appropriated shall be expended by the department of land and natural resources, native resources and fire protection program (LNR 402), for the purposes of this section.

SECTION 14. There is appropriated out of the general revenues of the State of Hawaii the sum of $10,000,000 or so much thereof as may be necessary for fiscal year 2024-2025 for fire and emergency response equipment.

The sum appropriated shall be expended by the department of land and natural resources, native resources and fire protection program (LNR 402), for the purposes of this section.

SECTION 15. There is appropriated or authorized for expenditure out of federal moneys received by the State of Hawaii the sum of $3,549,000 or so much thereof as may be necessary for fiscal year 2024-2025 for fire and emergency response equipment.

The sum appropriated shall be expended by the department of land and natural resources, native resources and fire protection program (LNR 402), for the purposes of this section.

SECTION 16. There is appropriated out of the public utilities commission special fund established under section 269‑33, Hawaii Revised Statutes, the sum of $900,000 or so much thereof as may be necessary for fiscal year 2024-2025 for consultant contracts for utility dockets.

The sum appropriated shall be expended by the division of consumer advocacy (CCA 103) for the purposes of this section.

SECTION 17. Act 164, Session Laws of Hawaii 2023, as amended by House Bill 1800, H.D. 1, S.D. 1, C.D. 1, passed by the legislature during the regular session of 2024, is amended as follows:

1. By amending Part II, section 3, item A-24 to read:

"24. BED160 - HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION

OPERATING BED 150,000,000A [~~230,000,000A~~]

BED 3,100,000N 3,100,000N

23.00* 23.00*

45.00# 45.00#

BED 13,533,889W 14,046,265W

BED 3,000,000P 3,000,000P

INVESTMENT CAPITAL BED 45,000,000C C"

2. By adding two new sections to Part III to read:

"SECTION . Provided that of the general fund appropriation for the Hawaii association of conservation districts (LNR141), the sum of $400,000 or so much thereof as is necessary for fiscal year 2024‑2025 shall be expended in accordance with chapter 180, Hawaii Revised Statutes, in areas affected by Hurricane Dora in 2023; provided further that:

(1) The moneys shall be used to match extramural funding for stormwater management for drought resiliency and reducing wildfire risk;

(2) No later than thirty days prior to the convening of the regular session of 2025, the department of land and natural resources shall submit a report to the legislature accounting for the usage of funds; and

(3) These funds are deemed necessary to qualify for federal aid financing or reimbursement.

SECTION . Provided that of the general fund appropriation for amelioration of natural disasters (DEF110), the sum of $194,000 or so much thereof as is necessary for fiscal year 2024‑2025 shall be expended for civilian auxiliary aviation services, which may include search and rescue efforts, damage assessments, aerial photography of impacted areas, alerts and notifications, and transportation of supplies."

3. By adding a new section to Part V to read:

"SECTION . Provided that the sums appropriated to the county of Maui (SUB401) for wildfire recovery projects in this act denoted in section 7 as items K-18.1, K-18.2, K-18.3, K‑18.4, K-18.5, K-18.6, K-18.7, and K-18.8 shall be expended by the county of Maui for the purposes of this Act; provided further that the county of Maui shall reimburse the State for all debt service including principal, interest, and any other debt-related costs for the reimbursable general obligation bonds; provided further that any debt service reimbursements received by the State may be paid from tax revenue or any other source received by the county of Maui, and from reimbursements to the county of Maui by the Federal Emergency Management Agency as allowed by law."

SECTION 18. There is appropriated out of the general revenues of the State of Hawaii the sum of $2,334,681 or so much thereof as may be necessary for fiscal year 2024-2025 for the university of Hawaii economic research organization, which shall be allocated as follows:

(1) $1,500,000 to conduct a multiethnic cohort study on the health effects of the August 2023 Maui wildfires; and

(2) $834,681 to develop and maintain a registry of those affected by the wildfires to assess their long-term health and well-being and the impacts on communities.

The sum appropriated shall be expended by the university of Hawaii for the purposes of this Act.

SECTION 19. Act 257, Session Laws of Hawaii 2022, as amended by Act 175, Session Laws of Hawaii 2023, is amended by amending sections 1 and 2 to read as follows:

"SECTION 1. [There is appropriated out of the general revenues of the State of Hawaii the sum of $200,000,000 or so much thereof as may be necessary for fiscal year 2023-2024 to be deposited into the school facilities special fund.] Repealed.

SECTION 2. [There is appropriated out of the school facilities special fund the sum of $200,000,000 or so much thereof as may be necessary for fiscal year 2023-2024 for the school facilities authority to expand access to pre-kindergarten to eligible children of the State. The school facilities authority may expend the moneys appropriated in this section on:

~~(1)~~ ~~The construction of new school facilities;~~

~~(2)~~ ~~The renovation, improvement, and expansion of existing school facilities to increase pre-kindergarten student capacity; and~~

~~(3)~~ ~~Any other costs the school facilities authority deems appropriate to increase pre-kindergarten student capacity within the State.~~

The sum appropriated shall be expended by the school facilities authority for the purposes of this Act; provided that the appropriation authorized by this Act shall not lapse at the end of the fiscal biennium for which the appropriation is made; provided further that the appropriation authorized by this Act shall lapse on June 30, 2024.] Repealed."

SECTION 20. Any law to the contrary notwithstanding, the appropriations authorized by this Act that are unencumbered as of June 30, 2025, shall lapse as of that date.

SECTION 21. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 22. This Act shall take effect on July 1, 2024.

THE SENATE	S.B. NO.	3068
THIRTY-SECOND LEGISLATURE, 2024		S.D. 1
STATE OF HAWAII		H.D. 1
		C.D. 2