HOUSE OF REPRESENTATIVES

H.B. NO.

2106

THIRTY-THIRD LEGISLATURE, 2026

H.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO FINANCIAL DISCLOSURES.

 

 

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

 

     SECTION 1.  The purpose of this Act is to strengthen public trust in government by expanding the categories of boards and commissions whose members are required to file public financial disclosure statements under section 84-17, Hawaii Revised Statutes, and by including in public disclosure requirements the executive directors and executive officers for those boards and commissions.  Under existing law, public financial disclosure is required for members of certain state boards and commissions whose duties involve significant regulatory authority, fiduciary responsibility, or oversight of substantial public resources.  However, several boards and commissions that manage large sums of public funds, exercise significant financial discretion, or make decisions with substantial economic impact are not currently included in the statute's public disclosure requirements.

     This Act addresses that gap.  It adds to the public disclosure list:

     (1)  Members of additional boards and commissions that oversee or control substantial state moneys, investments, or expenditures; and

     (2)  The executive directors or executive officers of those same boards and commissions, who, as state employees entrusted with day-to-day financial or operational authority, should be subject to the same transparency expectations.

     By including both members and chief executive officers of influential boards and commissions, this Act ensures that the individuals exercising the greatest influence over high-value public resources are covered by uniform disclosure standards.  Public financial disclosure helps identify and prevent conflicts of interest, promotes accountability, and reinforces the public's confidence that state decision-makers act in the public interest.

     Accordingly, the purpose of this Act is to require public financial disclosure statements from members and executive leadership of specified boards and commissions having broad budgetary, investment, or expenditure authority.

     SECTION 2.  Section 84-17, Hawaii Revised Statutes, is amended by amending subsections (b), (c), and (d) to read:

     "(b)  The disclosure of financial interests required by this section shall be filed:

     (1)  By any person enumerated in subsection (c), except a member of the legislature, between January 1 and May 31 of each year;

     (2)  By a member of the legislature between January 1 and January 31 of each year;

     (3)  Within thirty days of a person's election or appointment to a state position enumerated in subsection (c); or

     (4)  Within thirty days of separation from a state position if a prior financial disclosure statement for the position was not filed within [the one hundred eighty days] twelve months preceding the date of separation;

provided that candidates for state elective offices or the constitutional convention shall file the required statements no later than ten days after the nomination filing deadline established pursuant to section 12-6.

     (c)  The following persons, regardless of the titles by which the foregoing persons are designated, shall file annually with the state ethics commission a disclosure of financial interests:

     (1)  The governor, lieutenant governor, members of the legislature, and delegates to the constitutional convention; provided that delegates to the constitutional convention shall only be required to file initial disclosures;

     (2)  The directors and their deputies, the division chiefs, the executive directors, and the executive [secretaries] officers and their deputies, the purchasing agents, and the fiscal officers[, regardless of the titles by which the foregoing persons are designated,] of every state agency and department;

     (3)  The permanent employees of the legislature and its service agencies, other than persons employed in clerical, secretarial, or similar positions;

     (4)  The administrative director of the State, and the assistants in the office of the governor and lieutenant governor, other than persons employed in clerical, secretarial, or similar positions;

     (5)  The hearings officers of every state agency and department;

     (6)  The president, vice presidents, assistant vice presidents, chancellors, and provosts of the [University] university of Hawaii and its community colleges;

     (7)  The superintendent, deputy [superintendent,] superintendents, assistant superintendents, and complex area superintendents[,] of the department of education, and the state librarian[,] and deputy state librarian of the [department of education;] public library system;

     (8)  The administrative director and deputy director of the courts;

     (9)  The members of every state board or commission whose original terms of office are for periods exceeding one year and whose functions are not solely advisory;

    (10)  Candidates for state elective offices, including candidates for election to the constitutional convention; provided that candidates shall only be required to file initial disclosures;

    (11)  The [administrator and assistant administrator] chief executive officer and executive administrators of the office of Hawaiian affairs; and

    (12)  The Hawaii unmanned aerial systems test site chief operating officer[; and

    (13)  The members of the school facilities board appointed by the governor].

     (d)  The financial disclosure statements of the following persons shall be public records and available for inspection and duplication:

     (1)  The governor, lieutenant governor, members of the legislature, candidates for and delegates to the constitutional convention, trustees of the office of Hawaiian affairs, and candidates for state elective offices;

     (2)  The directors of the state departments and their deputies, regardless of the titles by which the foregoing persons are designated; provided that with respect to the department of the attorney general, the foregoing shall apply only to the attorney general and the first deputy attorney general;

     (3)  The administrative director of the State;

     (4)  The president, vice presidents, assistant vice presidents, chancellors, members of the board of regents, and provosts of the [University] university of Hawaii;

     (5)  The members of the board of education, superintendent, and deputy [superintendent,] superintendents of the department of education, and the state librarian[,] and [deputy state librarian of the department of education;] the special assistant to the state librarian of the public library system;

     (6)  The administrative director and deputy director of the courts;

     (7)  The [administrator and assistant administrator] chief executive officer and executive administrators of the office of Hawaiian affairs; and

     (8)  The executive directors or executive officers, if applicable, and board or commission members of the following [state boards, commissions, and agencies]:

          (A)  The [board of directors of the] agribusiness development corporation established under section 163D-3;

          (B)  The board of agriculture and biosecurity established under section 26-16;

          (C)  The state ethics commission established under section 84-21;

          (D)  The Hawaii community development authority established under section 206E-3;

          (E)  The Hawaiian homes commission established under the Hawaiian Homes Commission Act of 1920, as amended, and section 26-17;

          (F)  The [board of directors of the] Hawaii housing finance and development corporation established under section 201H-3;

          (G)  The board of land and natural resources established under section 171-4;

          (H)  The state land use commission established under section 205-1;

          (I)  The legacy land conservation commission established under section 173A-2.4;

          (J)  The natural area reserves system commission established under section 195-6;

          (K)  The [board of directors of the] natural energy laboratory of Hawaii authority established under section 227D-2;

          (L)  The [board of directors of the] Hawaii public housing authority established under section 356D‑3;

          (M)  The public utilities commission established under section 269-2;

          (N)  The commission on water resource management established under section 174C-7; [and]

          (O)  The stadium authority established under section 109-1[.];

          (P)  The employees' retirement system;

          (Q)  The Hawaii employer-union health benefits trust fund;

          (R)  The Hawaii green infrastructure authority;

          (S)  The Hawaii technology development corporation; and

          (T)  The school facilities authority."

     SECTION 3.  This Act shall apply only to financial disclosure statements filed on or after July 1, 2027.  Financial disclosure statements that were confidential at the time of filing shall remain confidential notwithstanding any amendments made by this Act.

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 2027.

 

 

Report Title:

State Ethics Commission Package; Financial Disclosures; Requirements

 

Description:

Expands the scope of persons who are subject to public financial disclosure requirements.  Effective 7/1/2027.  (HD1)

 

 

 

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