HB2250 SD1

PART I

SECTION 1. The following sums or so much thereof as may be necessary for fiscal year 2025-2026 are appropriated out of the general revenues of the State of Hawaii to the department of the attorney general for the purpose of satisfying claims for legislative relief as to the following named persons, firms, corporations, and entities, for claims against the State or its officers or employees, for the overpayment of taxes, or for refunds, reimbursements, payments of judgments or settlements, or other liabilities, in the amounts set forth opposite their names:

JUDGMENTS AGAINST THE STATE AMOUNT

AND SETTLEMENTS OF CLAIMS:

1. MISCELLANEOUS CLAIMS:

Joan Arakawa and Kevin Arakawa $ 1,494.72

Steve Boucher and Judy Boucher $ 1,102.00

Citibank NA $ 780.72

Silvia Frumento $ 1,425.12

Clarice H. Kam $ 724.11

Maria Lundblad $ 104,460.50

U.S. Department of the Treasury and the $ 1,223,732.22

Treasury Office of Inspector General (Reimbursement)

Reminding All Emergency Rental Assistance

Award Recipients of Responsibilities and

Requirements for Reporting Fraud and

Reimbursing Fraud Losses and Unallowable

Costs dated October 4, 2024

______________

SUBTOTAL: $ 1,333,719.39

2. DEPARTMENT OF THE ATTORNEY GENERAL:

Roynes J. Dural II v. State of Hawaii $ 420,833.00

Civil No. 1CCV-21-0001461, First Circuit (Settlement)

Roynes J. Dural II $

(Interest)

Alvin F. Jardine, III v. State of Hawaii $ 600,000.00

Civil No. 2SP16-1-000056, Second Circuit (Settlement)

Alvin F. Jardine, III $

(Outstanding statutory amount owed)

Alvin F. Jardine, III $

(Interest)

______________

SUBTOTAL: $ 1,020,833.00

3. DEPARTMENT OF CORRECTIONS AND REHABILITATION:

Judith M. Gatioan v. State of Hawaii $ 800,000.00

Civil No. 1CCV-24-0001719, First Circuit (Settlement)

Susan O'Gorman v. State of Hawaii, $ 600,000.00

Department of Public Safety (Settlement)

Civil No. 1CCV-24-0000912, First Circuit

______________

SUBTOTAL: $ 1,400,000.00

4. DEPARTMENT OF EDUCATION:

D.C. v. State of Hawaii, $ 400,000.00

Department of Education (Settlement)

Civil No. 1CCV-20-0000657, First Circuit

DOE Parents v. State of Hawaii, $ 500,000.00

Department of Education (Settlement)

Civil No. 1CCV-22-0001456, First Circuit

In the Matter of K.P. v. Department of $ 8,000,000.00

Education, State of Hawaii (Settlement)

Impartial Due Process

Hearing No. DOE-SY2425-041

Victoria Ramos v. Hawaii State $ 36,951.86

Department of Education (Settlement)

Civil No. 3CCV-23-0000394, Third Circuit

South Point Investment Group, LLC v. $ 100,000.00

State of Hawaii (Settlement)

Civil No. 3CCV-20-0000040, Third Circuit

United Public Workers v. Keith Hayashi $ 75,000.00

Case No. CE-01-539 (Settlement)

______________

SUBTOTAL: $ 9,111,951.86

5. DEPARTMENT OF HAWAIIAN HOME LANDS:

William Kaholoaʻa Jr. v. Hawaiian Homes $ 1,330,000.00

Commission, State of Hawaii (Settlement)

Civil No. 2CCV-24-0000037, Second Circuit

______________

SUBTOTAL: $ 1,330,000.00

6. DEPARTMENT OF HEALTH:

HELG Administrative Services, LLC v. $ 100,000.00

Department of Health (Settlement)

Civil No. 1CC191000332, First Circuit

______________

SUBTOTAL: $ 100,000.00

7. DEPARTMENT OF HUMAN SERVICES:

Tera Graves v. State of Hawaii, $ 600,000.00

Department of Human Services (Settlement)

Civil No. 3CCV-19-0000022, Third Circuit

______________

SUBTOTAL: $ 600,000.00

8. DEPARTMENT OF LAND AND NATURAL RESOURCES:

Lolita Silva v. Nelson Alana $ 2,000,000.00

Civil No. 2CC121000778, Second Circuit (Settlement)

______________

SUBTOTAL: $ 2,000,000.00

9. DEPARTMENT OF LAW ENFORCEMENT:

Thomas Cayetano v. $ 47,500.00

Department of Public Safety (Settlement)

Civil No. 1CCV-22-0000179, First Circuit

______________

SUBTOTAL: $ 47,500.00

10. OFFICE OF THE PUBLIC DEFENDER:

Joshua Spriestersbach v. Office of the $ 200,000.00

Public Defender (Settlement)

Civil No. 1CCV-24-0000470, First Circuit

______________

SUBTOTAL: $ 200,000.00

TOTAL (SECTION 1): $17,144,004.25

The sums appropriated shall be expended by the department of the attorney general for the purposes of this Act.

PART II

SECTION 2. The following sums or so much thereof as may be necessary for fiscal year 2025-2026 are appropriated out of the state highway fund for the purpose of satisfying claims for legislative relief as to the following named persons, for claims against the State or its officers or employees for payments of judgments or settlements, or other liabilities, in the amount set forth opposite their names:

JUDGMENTS AGAINST THE STATE AMOUNT

AND SETTLEMENTS OF CLAIMS:

DEPARTMENT OF TRANSPORTATION, HIGHWAYS DIVISION:

Anacleto R. Battad v. Lawrence J. Dill $ 1,100,000.00

Civil No. 5CC181000177, Fifth Circuit (Settlement)

Pualani Kanakaʻole Kanahele v. $ 68,186.76

State of Hawaii (Judgment)

Civil No. 1CCV-20-0000235, First Circuit

The Estate of Matthew Louis Perreira v. $ 300,000.00

State of Hawaii (Settlement)

Civil No. 2CCV-22-0000045, Second Circuit

Cransten Takayama v. Aaron Napoleon $ 600,000.00

Civil No. 1CCV-22-0000040, First Circuit (Settlement)

Shauntel Takayama v. Aaron Napoleon

Civil No. 1CCV-22-0000110, First Circuit

Maximum Legal Services Corp. v. Aaron Napoleon

Civil No. 1CCV-22-0000094, First Circuit

Donoven Ruiz v. Aaron Napoleon

Civil No. 1CCV-22-0000109, First Circuit

______________

SUBTOTAL: $ 2,068,186.76

TOTAL (SECTION 2): $ 2,068,186.76

The sums appropriated shall be expended by the department of transportation, highways division, for the purposes of this Act.

PART III

SECTION 3. Section 37-77, Hawaii Revised Statutes, is amended to read as follows:

"§37-77 Claims for legislative relief. All claims for refunds, reimbursements, or other payments, authorization for which is sought from the legislature, shall, as a condition to their being considered by the legislature, be filed with the attorney general together with all data and documents in support thereof within six years from the date on which the claim for payment matured. Claims that have exceeded the time limitations of section 40-68 may not be presented under this section. In the absence of a showing of sufficient reason therefor, failure to comply with this paragraph shall be deemed sufficient cause for refusal of the legislature to consider the claims.

The attorney general shall, immediately upon receipt thereof, refer any claim and data so received by the attorney general to the agency concerned or the comptroller, and the agency to which the reference is made or the comptroller shall immediately investigate the claim, secure all available data and documents bearing thereon, and refer the same back to the attorney general with its recommendations thereon. The attorney general shall review the claim and make a recommendation to the legislature as to the disposition of the claim.

The attorney general shall, within five days after the opening of the session, transmit to the legislature the claims which are then recommended for approval in an appropriate legislative bill form, together with an explanation for each claim. Additional recommendations for approval may be transmitted later in the session. All claims for which there is a recommendation of denial shall also be reported to the legislature with an explanation. The data and documents submitted by claimants shall be available for inspection by the legislature.

The attorney general shall, within five days after the opening of the session, transmit to the speaker of the house of representatives, president of the senate, and chairs of the house and senate judiciary committees a report that provides a good faith estimate of each possible judgment against the State that has not yet settled. The report shall be deemed confidential and privileged communication to the legislature and shall not be disclosed pursuant to sections 92F-13 and 92F‑19(b).

The attorney general shall consult with the governor prior to entering into any settlement agreement for awards exceeding $75,000 that are subject to legislative approval."

SECTION 4. Section 37-77.5, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

"(b) The attorney general shall submit a report to the speaker of the house of representatives, the president of the senate, and the chairs of the house and senate judiciary committees no later than [~~twenty~~] forty days prior to the convening of each regular legislative session describing the claims and the attendant circumstances therein and containing the advice for corrective action rendered to the agency. The report shall also contain [~~the remedial measures which the attorney general shall take or recommended that the legislature take if an agency fails to take corrective action within a reasonable period of time.~~], for each settled claim for which payment is sought, the following information:

(1) The action taken by the employee or department that led to the claim;

(2) The attorney general's recommended action to prevent similar types of claims from occurring in the future;

(3) After consulting with the department, the attorney general's recommended timeline to complete the recommended action;

(4) Whether the department implemented the recommended action in a timely fashion and any responses from the agency to the attorney general's recommended action; and

(5) The remedial measures that the attorney general takes or recommends the legislature take if an agency fails to take corrective action within a reasonable period of time.

The attorney general shall submit a report to the speaker of the house of representatives, the president of the senate, and the chairs of the house and senate judiciary committees no later than forty days prior to the convening of the regular session of 2027, and prior to each regular session every five years thereafter, on whether there were any further incidents that occurred in an agency that led to a claim after the actions were implemented and why recommended actions were inadequate to prevent the incident.

The [~~report~~] reports shall be deemed a confidential and privileged communication to the legislature and shall not be disclosed pursuant to sections 92F-13 and 92F-19(b)."

PART IV

SECTION 5. The sums hereinabove may be paid to the respective persons, firms, corporations, or entities for the satisfaction or settlement of the respectively identified cases, and in several amounts hereinabove set forth or in lesser amounts deemed appropriate, upon checks issued by the comptroller; provided that departments shall obtain the approval of the attorney general before payment of any claim may be made.

SECTION 6. Notwithstanding the sums hereinabove stated as interest upon judgments against the State, payment of interest shall be limited to the period from the date of the judgment, if applicable, to thirty days after the effective date of this Act, as provided in section 662-8, Hawaii Revised Statutes, for those cases to which the statute applies.

SECTION 7. The appropriations made by this Act shall not lapse at the end of the fiscal period for which the appropriations are made; provided that all moneys from the appropriations that are unexpended and unencumbered as of June 30, 2027, shall lapse as of that date.

SECTION 8. If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the Act that can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.

SECTION 9. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 10. This Act shall take effect on March 22, 2075.

HOUSE OF REPRESENTATIVES	H.B. NO.	2250
THIRTY-THIRD LEGISLATURE, 2026		H.D. 2
STATE OF HAWAII		S.D. 1