Bill Text: HI SB2014 | 2022 | Regular Session | Introduced

Hawaii Senate Bill 2014 (Prior Session Legislation)

HI State Legislature page for SB2014

Introduced

Bill Title: Relating To The Reduced Ignition Propensity Cigarette Program.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2022-01-20 - Referred to PSM, WAM. [SB2014 Detail]

Download: Hawaii-2022-SB2014-Introduced.html

THE SENATE	S.B. NO.	2014
THIRTY-FIRST LEGISLATURE, 2022
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO THE REDUCED IGNITION PROPENSITY CIGARETTE PROGRAM.

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

SECTION 1. The legislature finds that the reduced ignition propensity cigarette law took effect on September 30, 2009. As stated in section 132C-1, Hawaii Revised Statutes, the intent of this law is "to require that only reduced ignition propensity cigarettes be sold in the State."

As required by section 132C-4(a), Hawaii Revised Statutes, "[e]ach manufacturer shall submit to the state fire council written certification attesting that each cigarette has been tested in accordance with, and has met the performance standard required under section 132C-3." The statute further states that "[e]ach cigarette certified under this subsection shall be recertified every three years. For each cigarette listed in a certification, a manufacturer shall pay to the state fire council a $375 fee to be deposited into the reduced ignition propensity cigarette program special fund under section 132C-9. The state fire council is authorized to annually adjust this fee to ensure it defrays the actual costs of the administration and staffing requirements and processing, testing, enforcement, inspection, and oversight activities required by this chapter."

In 1979, the legislature abolished the state fire marshal's office and created the state fire council, which comprises the four county fire chiefs and is administratively attached to the department of labor and industrial relations. The goal of the state fire council is to develop and maintain a comprehensive fire service emergency management network for the protection of life, property, and the environment throughout the State of Hawaii. The state fire council is tasked with reviewing and adopting the state fire code, providing administrative oversight of the reduced ignition propensity cigarette program, providing assistance with the application and administration of federal grants for the fire service, assisting and coordinating with the statewide delivery of fire training programs, coordinating the collection of fire data, and supporting contingency planning needs for firefighters. The council may establish statewide qualifications for testing, certifying, and credentialing individuals who perform maintenance and testing of portable fire extinguishers, fire protection systems, and fire alarm systems. The council may also advise the governor and the legislature on matters related to fire prevention, fire protection, and life safety. The state fire council is a voting member of the state building code council, whose responsibilities are delineated in section 107-24, Hawaii Revised Statutes.

From its inception until 2001, the state fire council had no funding for staff to fulfill its responsibilities. The state fire council relied upon county personnel to perform its duties along with their normal functions within their fire departments. In 2001, the governor directed the department of labor and industrial relations to allocate $35,000 in its budget to fund the first part-time employee. In 2011, an additional $71,000 was appropriated by the legislature to hire two additional personnel. With the transfer of certification fees from the reduced ignition propensity cigarette program special fund, the state fire council could hire additional personnel to oversee the coordination of statewide fire data collection and analysis and administer federal fire-related grants. The state fire council would also be able to fund statewide educational efforts for the protection of life, property, and the environment, such as the statewide firefighter's safety guide program for Hawaii's youth and the residential smoke alarm installation program for Hawaii's at-risk senior population.

This Act authorizes an annual transfer of $40,000 from the reduced ignition propensity cigarette program special fund to be used to assist the state fire council with its overall objectives. The following is an overview of the effect this transfer will have on the reduced ignition propensity cigarette program objectives, the impact it will have on the special fund balance, and a proposal to ensure that this transfer does not hinder the objectives of the reduced ignition propensity cigarette program for the future:

(1) Estimated reduced ignition propensity cigarette certification fees to be collected annually is $108,000. Estimated operational expenses for the reduced ignition propensity cigarette program is $138,000. The result is a $30,000 overage for the program annually;

(2) Upon approval of this Act, the department of labor and industrial relations shall transfer $40,000 annually from the reduced ignition property cigarette program special fund to assist the state fire council with their programs. Estimated operational expenses for the reduced ignition propensity cigarette program would now be $178,000. And, this would now result in an overage of approximately $70,000 annually; and

(3) The special fund balance as of September 30, 2021, was more than $700,000. The special fund balance could accommodate this $70,000 overage for approximately ten years.

As stated previously, "[t]he state fire council is authorized to annually adjust [the reduced ignition propensity cigarette certification] fee to ensure it defrays the actual costs of the administration and staffing requirements and processing, testing, enforcement, inspection, and oversight activities required by this chapter". Prior to exhausting the $700,000 special fund balance noted above, this Act increases the current certification fee that a cigarette manufacturer pays for each brand/style cigarette from $375 to $750 every three years. Based on the approximately eight hundred cigarette brand/styles currently certified for sale in Hawaii, this would result in a total of $600,000 in fees collected every three years, or $200,000 annually, which would be sufficient to compensate annual reduced ignition propensity cigarette program operational expenses estimated at $178,000.

The purpose of this Act is to:

(1) Authorize the use of the reduced ignition propensity cigarette program special fund to support the duties and responsibilities of the state fire council in addition to administering and enforcing the reduced ignition propensity cigarette program; and

(2) Appropriate $70,000 from the reduced ignition propensity cigarette program special fund for fiscal year 2022-2023 for those purposes.

SECTION 2. Section 132C-9, Hawaii Revised Statutes, is amended to read as follows:

"[[]§132C‑9[]] Reduced ignition propensity cigarette program special fund. (a) There is established in the state treasury a reduced ignition propensity cigarette program special fund, into which shall be deposited all moneys collected by the state fire council from the reduced ignition propensity cigarette program pursuant to section 132C-4. All interest earned or accrued on moneys deposited in the fund shall become part of the fund.

(b) Moneys in the reduced ignition propensity cigarette program special fund shall be administered and expended by the state fire council to defray the actual cost of activities and requirements of section 132C-4, including employing one full‑time administrator and one full-time assistant whose duties include:

(1) Adopting administrative rules for program implementation, establishing compliance inspections, and approving forms and enforcement procedures and guidelines;

(2) Receiving certifications for approximately [~~six~~] eight hundred different brands and styles of cigarettes from the manufacturers;

(3) Compiling a list of the cigarette brands and styles for which manufacturers have submitted certifications, verifying tax stamp compliance with the department of the attorney general, and posting the list of certified brands and styles on a state website for informational purposes only;

(4) Reviewing and approving, as needed, any alternative test methods or fire standard compliance markings submitted by the manufacturer; and

(5) If needed, submitting certified cigarettes to an accredited laboratory for testing to verify that performance standards have been met.

(c) Moneys in the special fund may also be administered and expended by the state fire council to defray the cost of statewide fire prevention, education, life safety, and preparedness programs, especially as they relate to youth, seniors, and persons with disabilities, including the hiring of administrative personnel."

SECTION 3. There is appropriated out of the reduced ignition propensity cigarette program special fund the sum of $70,000 or so much thereof as may be necessary for fiscal year 2022-2023 for the purposes described in section 132C-9(c), Hawaii Revised Statutes, as amended by section 2 of this Act.

The sum appropriated shall be expended by the state fire council for the purposes of 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, 2022.

INTRODUCED BY:	_____________________________
	By Request

Report Title:

State Fire Council Package; Fire Protection; Reduced Ignition Propensity Cigarette Program Special Fund; Appropriation

Description:

Authorizes additional uses for moneys in the reduced ignition propensity cigarette program special fund to support the State Fire Council and its programs and activities. Appropriates moneys.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.