STAND. COM. REP. NO. 2664

Honolulu, Hawaii

RE: S.B. No. 2862

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Government Operations, to which was referred S.B. No. 2862 entitled:

"A BILL FOR AN ACT RELATING TO GUBERNATORIAL APPOINTMENTS,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Require any person appointed by the Governor to serve in the executive branch in a position that is not subject to the civil service law to obtain the advice and consent of the Senate if that person's salary is greater than $160,000 and is not paid from the budget of the Office of the Governor; and

(2) Require persons currently serving in positions made subject to the advice and consent of the Senate by this measure to obtain the advice and consent of the Senate during the Regular Session of 2027.

Your Committee received testimony in support of this measure from one individual.

Your Committee received testimony in opposition to this measure from the Office of the Governor and Hawaii Correctional System Oversight Commission.

Your Committee finds that individuals appointed by the Governor pursuant to section 346-381.5, Hawaii Revised Statutes (HRS), should be subject to the advice and consent of the Senate. This measure will promote accountability of government officials and ensure that they are answerable to the needs of the entire State.

Your Committee has amended this measure by:

(1) Requiring all individuals appointed by the Governor to serve in salaried positions not subject to chapter 76, HRS, in the executive branch, rather than just individuals with certain salary specifications, to obtain advice and consent of the Senate;

(2) Specifying that any person appointed pursuant to section 346-381.5, HRS, is required to obtain the advice and consent of the Senate;

(3) Specifying that any person currently serving who was appointed pursuant to section 346-381.5, HRS, is required to obtain the advice and consent of the Senate during the Regular Session of 2027;

(4) Clarifying that gubernatorial appointees who were subject to the advice and consent of the Senate and are still serving in their appointed positions are not required to obtain the advice and consent of the Senate during the Regular Session of 2027;

(5) Updating legislative findings;

(6) Amending section 1 to reflect its amended purpose;

(7) Inserting an effective date of January 1, 2525, to encourage further discussion; and

(8) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

As affirmed by the record of votes of the members of your Committee on Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2862, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2862, S.D. 1, and be referred to your Committee on Judiciary.

Respectfully submitted on behalf of the members of the Committee on Government Operations,

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ANGUS L.K. MCKELVEY, Chair