Report Title:
Economic Emergency; Gubernatorial Powers
Description:
Authorizes the governor to declare an economic emergency during the period from 9/11/01 to 6/30/02. Empowers the governor to suspend any statute, rule, or order and adopt rules to provide relief to residents of the State to facilitate continuity of business activity and services, minimize employee layoffs, and prevent endangerment of public health, safety, or welfare. Empowers the governor to suspend, waive, defer, or modify contract obligations owed to the State. Authorizes the governor to waive landing fees and airport system support charges. Requires the governor to convene an advisory committee composed of the president of the senate and the speaker of the house, to inform the public and the legislature of actions taken during an economic emergency. Requires public notices and detailed monthly reports to the legislature of any power exercised.
HOUSE OF REPRESENTATIVES |
H.B. NO. |
17 |
TWENTY-FIRST LEGISLATURE, 2001 |
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THIRD SPECIAL SESSION |
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STATE OF HAWAII |
A BILL FOR AN ACT
relating to economic emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The September 11, 2001, terrorist attacks on the United States have severely impacted Hawaii’s economy. Business experienced catastrophic revenue losses as a result of decreases in the number of visitors to Hawaii. The nation has been warned to expect the continuation of the war on terrorism as well as continued losses due to lagging consumer confidence. With the increased risk of further terrorist attacks around the world, the economic welfare of the State is further threatened.
The purpose of this Act is to confer temporarily upon the governor certain powers to provide immediate relief to facilitate continuity of business activities and services, minimize employee layoffs, and prevent endangerment of public health, safety, or welfare, during a period of economic emergency.
SECTION 2. (a) Declaration of economic emergency. The governor may issue a proclamation declaring an economic emergency for the period from September 11, 2001, to June 30, 2002, if the governor finds that, during this time period, in addition to any determination that the slowdown of business activity in the State poses an imminent or present danger to the public health, safety, or welfare, there has been a two hundred per cent statewide increase in initial claims filed for unemployment benefits, other than claims resulting from a labor dispute, when compared with initial claims filed in the corresponding week of the preceding calendar year.
(b) Upon the declaration of the economic emergency, the governor may exercise emergency powers under this Act to provide relief during the period of the economic emergency to residents of the State who, as a result of the September 11, 2001, terrorist attacks have experienced substantial monetary losses. The relief provided under this Act shall be to facilitate continuity of business activities and services, minimize employee layoffs, and prevent endangerment of public health, safety, or welfare.
(c) Upon the declaration of an economic emergency, the governor shall convene an advisory committee composed of the president of the senate and the speaker of the house of representatives. The governor, through the advisory committee, shall inform the legislature and the public on the exercise of emergency powers under this Act.
SECTION 3. Suspension of statutes and rules. (a) The governor may suspend, in whole or in part, any statute, rule, or order of any agency of the State that regulates or imposes any obligations on any business in the State, or prescribes procedures to conduct business in the State during the economic emergency period, when the governor determines that:
(1) Strict compliance with any statute, rule, or order would prevent, hinder, or delay the governor's efforts to facilitate continuity of business activities and services; or
(2) Written evidence is submitted by the appropriate state department or agency showing that the health or living standards of a substantial number of individuals are immediately at risk requiring relief such as welfare assistance, unemployment compensation, or health insurance.
(b) The governor shall provide public notice whenever a statute, rule, or order is suspended in the same manner required for the publication of rules under section 1-28.5, Hawaii Revised Statutes.
(c) The governor shall not suspend any provision of this Act.
SECTION 4. Adoption of rules. The governor may adopt rules that are required for fair, just, nondiscriminatory, and orderly administration of the emergency powers granted in this Act to provide immediate relief during the economic emergency period; provided that reasonable classifications, exceptions, and exemptions may be made and granted to effectuate the emergency powers. Chapter 91, Hawaii Revised Statutes, shall not apply to these rules. Rules authorized by this Act shall be adopted by the governor and become effective on a specified date. Prior to the effective date, the rules shall be published pursuant to section 1-28.5, Hawaii Revised Statutes, or in lieu of publication and when immediate adoption of rules is necessary, by radio or television broadcast, on an official state website on the Internet, or such other means as may be available; provided that the rules shall be published thereafter pursuant to section 1-28.5, Hawaii Revised Statutes, at the earliest practicable date.
SECTION 5. Existing state contracts. (a) The governor may suspend, waive, defer, or modify any contract obligations owed to the State for up to a six-month period within the period of the economic emergency and upon such terms and conditions as shall be necessary to minimize losses that are attributable to the economic emergency. For the purposes of this section, the term "contracts" includes contracts, leases, land licenses, land permits, easements, concessions, subsidies and grants, and agreements for the purchase of goods, services, and construction that have been awarded, extended, or renewed pursuant to law and rules.
(b) A person under contract with the State may be eligible for consideration for relief if the person requests such relief and satisfies the following conditions:
(1) The person under contract with the State submits written evidence proving the amount and the extent of any losses attributable to the economic emergency;
(2) The losses, at a minimum, must be at least a fifteen per cent reduction in the volume of business covered by the contract (including the volume of any business upon which the person under contract with the State must pay to the State rents, fees, or other amounts to the department or agency attributable to such volume of business) for a period of at least thirty days, computed on the average monthly gross income attributable to the business covered by the contract for the shorter of the following periods:
(A) The six months just prior to September 11, 2001; or
(B) As long as the person under contract with the State has had the contract with the State.
The written evidence required to be submitted to the department or agency by the person under contract with the State seeking relief under this paragraph must include at least a weekly submission of daily sales and activity data, clearly indicating sales and activity volume, the revenue received, derived, or realized from or attributable to the sales and activities, and such other sales and activity data deemed appropriate by the department or agency; and
(3) If the person under contract with the state department of transportation is an airline or air carrier, the person shall qualify for the relief described in this section if the person satisfies paragraph (1) and, in lieu of paragraph (2), the following conditions:
(A) The losses suffered by the airline or air carrier comprise at least a fifteen per cent reduction in the volume and number of passengers enplaned and deplaned or cargo handled, at state airports by the airline or air carrier for a period of at least thirty days, computed on the average monthly volume of passengers enplaned and deplaned or cargo handled, as appropriate, for the six months just prior to September 11, 2001; and
(B) Each such airline and air carrier submits at least weekly to the department of transportation traffic reports on aircraft operations, including the daily flight schedules and the following for each aircraft landing and taking off from a state airport: volume and number of passengers enplaned and deplaned, volume and
SECTION 6. Notwithstanding section 261-7, Hawaii Revised Statutes, and section 5 of this Act, the governor may waive airport landing fees and airport system support charges during the period of economic emergency. Each airline and air carrier receiving relief under this section shall submit at least weekly to the department of transportation traffic reports on aircraft operations, including the daily flight schedules and for each aircraft landing and taking off from a state airport, the volume and number of passengers enplaned and deplaned, volume and type of cargo handled, type of aircraft, passenger and cargo capacity, the date of landing or take-off, and origin and destination.
SECTION 7. The powers and authority conferred upon the governor by this Act are in addition to any other powers or authority conferred upon the governor by the laws of the United States and of the State for the same or like purpose, and shall not be construed as abrogating, limiting, or modifying any such power or authority.
SECTION 8. Monthly reports to the legislature. The governor shall submit a monthly report to the legislature, or if the legislature is not in session, to its presiding officers, to keep the legislature apprised of all actions taken under this Act. The monthly reports shall include detailed information, by department or agency, on each action taken under this Act, including the reasons for such action, the names of all businesses and contractors benefiting by such actions, the benefit provided, amounts expended, and the source of funding for each expenditure.
SECTION 9. Effect of this Act on other laws and obligations. (a) All laws inconsistent with this Act or any rule adopted under the authority of this Act, shall be suspended during the period of the economic emergency and to the extent that the suspension is necessary to effectuate the purposes of this Act.
(b) All actions taken under this Act shall comply with applicable federal laws and regulations and shall not jeopardize the receipt of any federal aid or impair the obligation of the State or any agency thereof to the holders of any bond issued by the State or any such agency.
(c) The State and any agency thereof shall remain obligated to collect and realize sufficient revenue to meet the expenditures of the State or any agency thereof in carrying out its public duties.
SECTION 10. Upon the repeal of this Act:
(1) Any relief granted, including any benefit or privilege resulting from any action taken by the governor under this Act, shall cease;
(2) All statutes, rules, or orders suspended, and all contract obligations that were waived, suspended, deferred, or modified by the governor under this Act shall be reinstated in the form that existed on the day before the effective date of this Act; and
(3) All rules adopted by the governor under this Act shall terminate.
SECTION 11. 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, which can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.
SECTION 12. This Act shall take effect upon its approval and shall be repealed on June 30, 2002.
INTRODUCED BY: |
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