Bill Text: HI SB3344 | 2024 | Regular Session | Amended

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Bill Title: Relating To Wildfires.

Spectrum: Strong Partisan Bill (Democrat 14-1)

Status: (Engrossed - Dead) 2024-04-25 - Received notice of appointment of House conferees (Hse. Com. No. 816). [SB3344 Detail]

Download: Hawaii-2024-SB3344-Amended.html

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THE SENATE	S.B. NO.	3344
THIRTY-SECOND LEGISLATURE, 2024		S.D. 2
STATE OF HAWAII		H.D. 2

A BILL FOR AN ACT

 

 

RELATING TO WILDFIRES.

 

 

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

 

PART I

     SECTION 1.  The legislature finds that as the risk of catastrophic wildfires in Hawaii has increased, so has the threat of property damage from these fires.  Although most property owners have insurance, some do not, and others have insurance that may not fully cover their losses.

     The legislature further finds that when the cause of a wildfire is uncertain or contested, costly and protracted litigation ensues.  Litigation regarding wildfire damages can impose massive costs, including on the State, counties, utilities, landowners, and other defendants that may be alleged to have contributed to catastrophic wildfires.  Those costs can overwhelm major institutions in the community, undermining their ability to make investments that the State needs.  Indeed, even the possibility of litigation regarding a future catastrophic wildfire can create a cloud of uncertainty that can impair an entity's ability to attract capital on reasonable terms--capital that is vital for making investments in wildfire prevention, among other priorities that may affect the health and safety of the State's residents.

     The legislature also finds that the risk of property damage stemming from catastrophic wildfires may lead property insurers to raise rates or refuse to provide coverage for certain losses or certain high-risk areas of Hawaii--as occurred in the wake of hurricane Iniki with respect to hurricane insurance.

     The legislature additionally finds that it is in the public interest to take steps to ensure that property insurance remains available to cover losses associated with wildfires by providing benefits to property insurers.  Furthermore, the legislature finds that it is in the public interest to ensure that the threat of wildfires does not make investment in Hawaii's public utilities so financially risky that it becomes too costly or impossible for them to raise capital to implement vital plans, including plans to mitigate wildfire risk, and to provide safe, reliable, and affordable service to the people of the State.

     Moreover, the legislature finds that it is in the public interest to avoid the costs of litigation arising out of catastrophic wildfires in order to protect Hawaii's economy and encourage investment in the State.  Therefore, the purpose of this Act is to serve the public interest in the event of a devastating wildfire by establishing a means to provide compensation for property damage resulting from wildfires.

     SECTION 2.  The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

WILDFIRE RELIEF FUND

     §   -1  Definitions.  As used in this chapter:

     "Administrator" means the wildfire relief fund administrator appointed pursuant to section    -5.

     "Board" means the wildfire relief fund corporation board of directors created pursuant to section    -4.

     "Catastrophic wildfire" means a wildfire occurring on or after the operation date that damages or destroys more than five hundred commercial structures or residential structures designed for habitation.

     "Contributor" means any person who contributes to the wildfire relief fund as provided in section    -8.

     "Cooperative utility" means an electric utility owned by customers and overseen by a board of directors elected by customers.

     "Corporation" means the wildfire relief fund corporation established pursuant to section    -3.

     "Electric utility" means a public utility that exists for the furnishing of electrical power.

     "Eligible claim" means a claim made by a property owner, or the property owner's designated representative, for real or personal property lost or damaged due to a catastrophic wildfire.

     "Investor-owned utility" means an electric utility that is owned by shareholders and overseen by a board of directors elected by shareholders.

     "Operation date" means the date by which all of the following have occurred prior to the initial date of operation of the wildfire relief fund:

     (1)  The deadline for property owners to submit a request to opt out under section    -13(b);

     (2)  The deadline for property insurers to submit elections under section    -14(a); and

     (3)  The date for contributors to elect to participate in the wildfire relief fund under section    -7(b);

provided that the administrator shall take all reasonable steps necessary to ensure that the operation date is no later than February 14, 2025.

     "Other governmental entities" refers to governmental entities, including county government agencies, other than state government agencies.

     "Property insurer" means an insurer licensed to provide insurance in the State that, as of the date it elects to participate in the wildfire relief fund, provides insurance coverage for real or personal property loss in the State caused by a catastrophic wildfire.

     "Property owner" means an owner of real property in the State.

     "Public utility" has the same meaning as in section 269-1.

     "Upfront", when used regarding payments or contributions under this chapter, means the portion of a contribution, whether initial or supplemental, by a contributor that is paid in a lump sum on a date designated by the administrator or this chapter, in contrast to annual payments or contributions, which are deferred over multiple years.

     "Wildfire relief fund" means the wildfire relief fund established pursuant to section    -2.

     "Wildfire risk mitigation plan" means a plan approved by the public utilities commission pursuant to section    -7.

     §   -2  Wildfire relief fund; establishment.  (a)  There is established outside the state treasury a wildfire relief fund and any accounts thereunder to carry out the purposes of this chapter.

     (b)  The wildfire relief fund shall be placed within the department of commerce and consumer affairs for administrative purposes.  The fund shall be a public body corporate and politic.

     (c)  Moneys deposited in the wildfire relief fund and any accounts thereunder shall be held by the fund, as trustee, in a depository, as defined in section 38-1, or according to a similar arrangement at the discretion of the board.

     (d)  All moneys received by the corporation under this chapter shall be paid immediately to the director of finance and shall become a part of the wildfire relief fund.

     (e)  All payments authorized to be made by the corporation under this chapter, including all payments for claims for catastrophic wildfire damages, all salaries, and all other expenses, shall be made from the wildfire relief fund.

     (f)  The moneys in the wildfire relief fund shall be invested according to the same investment plans developed for the Hawaii retirement savings special fund pursuant to chapter 389, and the earnings from the investments shall be credited to the wildfire relief fund.

     (g)  All moneys in the wildfire relief fund shall be appropriated and expended exclusively for the uses and purposes set forth in this chapter; provided that this section shall not be deemed to amend or impair the force or effect of any law of this State specifically authorizing the investment of moneys from the wildfire relief fund.

     (h)  The wildfire relief fund shall not be subject to chapter 431.

     §   -3  Wildfire relief fund corporation; establishment; purposes; duties.  (a)  There is established the wildfire relief fund corporation, which shall be an independent public body and a body corporate and politic.

     (b)  The corporation shall be established within the department of commerce and consumer affairs for administrative purposes.

     (c)  The purpose of the corporation shall be to administer the payment of:

     (1)  Eligible claims arising from catastrophic wildfires from the wildfire relief fund; and

     (2)  Contributions of contributors to the wildfire relief fund.

     (d)  The corporation shall:

     (1)  Receive, process, and determine payments for eligible claims for property damage arising from catastrophic wildfires from the wildfire relief fund;

     (2)  Determine and enforce the collection of contributions from contributors to the wildfire relief fund;

     (3)  Retain, employ, or contract with officers; experts; employees; accountants; actuaries; financial professionals; and other advisers, consultants, attorneys, and professionals, as may be necessary in the administrator's judgment, for the efficient operation, management, and administration of the corporation;

     (4)  Enter into contracts and other obligations related to the operation, management, and administration of the corporation;

     (5)  Purchase insurance or take other actions to maximize the claims-paying resources of the wildfire relief fund;

     (6)  Pay costs, expenses, and other obligations of the corporation from the wildfire relief fund's assets;

     (7)  Take any actions necessary to collect any amounts owed to the wildfire relief fund; and

     (8)  Undertake other activities related to the operation, management, and administration of the wildfire relief fund, as approved by the board.

     §   -4  Wildfire relief fund corporation; board of directors.  (a)  There is established a wildfire relief fund corporation board of directors, which shall consist of five members appointed by the governor in accordance with section 26-34.  The board shall be the policy-making body of the corporation.  The board shall be responsible for adopting policies for the administration and operation of the wildfire relief fund and the performance of other duties and functions assigned to the fund, to the degree not specified in this chapter.

     (b)  The members of the board shall serve staggered terms, with three members' initial terms ending four years after the initial appointment, and two members' initial terms ending six years after the initial appointment.  Thereafter, each member shall serve four-year terms.  Vacancies shall be filled for the remainder of any unexpired term in the same manner as the original appointments.

     (c)  The chairperson of the board shall be elected from among the appointed members of the board.  A majority of all members currently appointed to the board shall constitute a quorum to conduct business, and the concurrence of a majority of all members currently appointed to the board shall be necessary to make any action valid, unless otherwise specified in this chapter.

     (d)  Members of the board shall be appointed to ensure:

     (1)  A broad and balanced representation, with proper judgment, character, expertise, skills, and knowledge useful to the oversight of the corporation; and

     (2)  Diversity with regard to viewpoints, background, work experience, and demographics.

     The members of the board shall serve without compensation but shall be reimbursed for actual and necessary expenses, including travel expenses, incurred in the discharge of their duties.

     (e)  The board shall meet at least once every three months at a time and place determined by the board.  The board shall meet at other times and places as determined by the call of the chairperson or by a majority of the members of the board.

     (f)  No later than twenty days before the convening of each regular session, the board shall submit to the legislature and governor a report regarding the activities and operations of the corporation during the preceding year.  The report shall include, at a minimum, a description of:

     (1)  The effectiveness of the wildfire relief fund's claims-payment process; and

     (2)  The level of participation in the wildfire relief fund by all eligible participants, including property owners, property insurers, and contributors.

     The legislature shall consider the report in determining whether any adjustments to the wildfire relief fund are necessary.

     (g)  Each member of the board shall retain all immunities and rights provided to a member pursuant to section 26-35.5.

     §   -5  Wildfire relief fund corporation; administrator.  (a)  The board shall appoint an administrator and oversee the administrator's management and administration of the corporation.

     (b)  The administrator shall serve at the pleasure of the board and shall be exempt from chapter 76.

     (c)  The administrator shall have powers as are necessary to carry out the functions of the corporation, subject to the policy direction of the board.

     (d)  The administrator may employ, terminate, and supervise employees, including assistants, experts, field personnel, and clerks, as may be necessary in the administration of the corporation.

     (e)  The board may overturn any decision of the administrator through a majority vote.

     (f)  At the direction of the board, the administrator shall prepare and present for approval a plan of operations related to the operations, management, and administration of the wildfire relief fund on an annual basis.  At least annually and at the direction of the board, the administrator shall present the plan of operations to the appropriate committees of the legislature.  The plan shall include but not be limited to reporting on the wildfire relief fund's assets and projections for the duration of the fund.

     (g)  At the direction of the board, the administrator shall at least annually prepare and publish on the corporation's website a public-facing report that describes the operations and activities of the corporation and wildfire relief fund during the preceding year, including a description of the financial condition of the wildfire relief fund.

     §   -6  Wildfire relief fund and corporation; audit.  (a)  The auditor shall conduct an annual financial audit of the corporation and wildfire relief fund pursuant to chapter 23.  As part of this audit, the auditor may contract with a firm qualified to perform an independent actuarial review.

     (b)  The auditor shall determine the scope of the review required by this section, which shall include but not be limited to:

     (1)  A review of the sources and uses of the moneys in the wildfire relief fund;

     (2)  A reconciliation of changes in actuarial assumptions and reserve values from the preceding year;

     (3)  An examination of the development of claim reserve inadequacies or redundancies over time; and

     (4)  An assessment of the future financial viability of the wildfire relief fund.

     (c)  The corporation shall cooperate with the actuarial firm in all respects and shall permit the firm full access to all information the firm deems necessary for a true and complete review.  Information provided to the actuarial firm conducting the annual review shall be subject to the same limitations on public inspections as are required for the records of the corporation.

     (d)  The audit required by this section shall be conducted using both generally accepted accounting principles and the statutory accounting principles published by the National Association of Insurance Commissioners.

     (e)  The cost of the audit required by this section shall be paid by the corporation.

     (f)  The auditor shall issue an annual report to the legislature and governor on the results of the audit and review.  The audit and report of the review performed by the independent actuarial firm shall be available for public inspection, in accordance with the auditor's established rules and procedures governing public disclosure of audit documents.

     (g)  The legislature shall consider, after reviewing the annual report required by subsection (f), whether any adjustments to the wildfire relief fund should be implemented.

     §   -7  Wildfire relief fund; participation.  (a)  The following entities may participate in the wildfire relief fund as contributors:

     (1)  The State;

     (2)  Electric utilities;

     (3)  Public utilities that are not electric utilities that contribute to the risk of occurrence or severity of a catastrophic wildfire, including public utilities for the production, conveyance, transmission, delivery, or furnishing of gas;

     (4)  Other governmental entities; and

     (5)  Private property owners who own, or whose affiliated persons or entities own in the aggregate, at least one thousand acres of land in Hawaii.

     (b)  To participate in the wildfire relief fund, an entity shall:

     (1)  Notify the administrator that it intends to participate in the wildfire relief fund by a date set by the administrator in the year preceding the year in which the entity seeks to participate in the wildfire relief fund; and

     (2)  Make required contributions to the wildfire relief fund pursuant to section    -8.

By making the election under paragraph (1), a participant shall be required to make an initial contribution.

     (c)  A contributor that is also a property owner may make a claim to the wildfire relief fund for compensation in the same manner provided for in section    -13 as other property owners; provided that the contributor:

     (1)  Retains all of the rights, privileges, and obligations of a contributor; and

     (2)  Notwithstanding any other provisions of this chapter and regardless of the existence of a depletion event under section    -16(c), is bound by the limitation on claims under section    -18.

     (d)  Any person or entity that poses a risk of causing or exacerbating the severity of a catastrophic wildfire that is not eligible to participate as a contributor in the wildfire relief fund may submit an application to the board for participation.

     (e)  The board shall adopt rules pursuant to chapter 91 and issue criteria for applications submitted under subsection (d).

     (f)  The board shall include in its annual report to the legislature and governor under section    -4 all applications submitted under subsection (d) and shall recommend to the legislature whether participation criteria for contributors should be broadened.

     (g)  Notwithstanding any provision to the contrary, an electric utility that is a defendant in a civil action, as of the effective date of this chapter, related to an event that, if it occurred on or after the operation date, would qualify as a catastrophic wildfire, may participate in the fund only if the utility provides, and the commission approves, a plan that satisfies the following conditions:

     (1)  The plan minimizes the burden on the ratepayers of the electric utility;

     (2)  The plan provides for a review of the organizational structure of the electric utility and its lines of business;

     (3)  The plan provides for a review of local governance and accountability, including a potential modification of the governance structure and the management and board of directors of the electric utility to emphasize safety and customers' interests;

     (4)  The plan includes a framework for addressing wildfire safety and risk management, including monitoring, review, oversight, and enforcement by the public utilities commission, and performance-based utility regulation, as defined by the public utilities commission; provided that executive compensation shall exclude any incentives associated with this chapter;

     (5)  The plan permits periodic performance-based management audits of the public utility;

     (6)  The plan is consistent with meeting the public utility's and the State's renewable portfolio standards, mandates, and obligations; and

     (7)  The utility has an approved wildfire risk mitigation plan approved by the public utilities commission; provided that the public utilities commission shall determine the timeline for the plan and when utility participation may begin within the timeline.

     (h)  If any agency of the State requires any contributor other than an electric utility to submit a wildfire risk mitigation plan, the agency may prohibit a contributor from participating in the wildfire relief fund as a contributor until the agency approves the contributor's plan.

     (i)  An electric utility that is required to submit for approval a plan under subsection (g) may make the election under subsection (b)(1) before approval of a plan pursuant to subsection (g) but shall not make any monetary contribution before such approval.  The electric utility shall not be deemed to have failed to make a required payment under section    ‑10(b); provided that it otherwise complies with this subsection.

     If the commission approves the plan after the upfront payment date but within one year of the operation date, the electric utility that submitted the plan may participate in the wildfire relief fund as a contributor and shall be afforded all rights and privileges of a contributor under this chapter as of the operation date by making an upfront payment within thirty days of that approval, notwithstanding any earlier deadlines pursuant to this chapter.

     If the commission approves the plan more than one year after the operation date, the electric utility that submitted the plan may elect to participate as a contributor only under section    -8(e) and shall not be considered a contributor before that election date.

     The wildfire relief fund shall have no claim against an electric utility for failing to make any monetary contribution on the basis that the commission has not yet approved a plan pursuant to subsection (g).

     §   -8  Wildfire relief fund; funding.  (a)  Total capitalization.  The total capitalization amount of the wildfire relief fund shall be $          .  Neither the board nor the administrator may modify the total capitalization amount, except as otherwise expressly provided in this chapter.

     (b)  Time to total capitalization.  The administrator shall recommend to the board, and the board shall, by majority vote, approve initial contribution amounts for potential contributors, other than the State and investor-owned electric utilities, based on any actuarial factors and with the goal, to the extent reasonably possible, of having the wildfire relief fund have the financial capacity to cover claims equal to the total capitalization amount within five years of the operation date, taking into consideration reasonably expected investment returns, actual and expected contributions to the wildfire relief fund, contingent guarantees, insurance purchased by the wildfire relief fund, and any other mechanisms that increase the financial capacity of the wildfire relief fund, and assuming no payments will be made by the wildfire relief fund during that time period.

     (c)  Capitalization amounts.  With the exception of the State's monetary contribution and pledge as described in paragraph (3), initial contribution amounts may be divided by the administrator, at a contributor's request, into an upfront contribution amount to be made by the upfront payment date as specified in subsection (n), and annual contribution amounts to be made over the first five-year period after the operation date, subject to the interest payment identified in subsection (m) and the administrator's ability to increase payments under the insufficient funding provision in subsection (f).

     The wildfire relief fund shall be capitalized by the following initial contributions:

     (1)  From public utilities other than investor-owned electric utilities, private property owners, and other governmental entities that are eligible to participate in the wildfire relief fund:

          (A)  Collectively, $          ;

          (B)  From other governmental entities that are eligible to participate in the wildfire relief fund, a fraction of the amount determined by the administrator based on an actuarial assessment of the risk of payments to these entities by the fund resulting from catastrophic wildfires created by these entities, as well as the risk of potential payments made by the fund resulting from catastrophic wildfires created by these entities; and

          (C)  For public utilities other than investor-owned electric utilities and from private property owners, a fraction of such amount determined by the administrator based on an actuarial assessment of the risk of potential payments by the wildfire relief fund resulting from catastrophic wildfires created by such entity;

     (2)  From investor-owned electric utilities, $          ; and

     (3)  From the State, $           , consisting of a $            monetary contribution and a pledge of $            pursuant to subsection (l).

     (d)  The board shall determine the initial contribution amounts of eligible contributors by thirty days before the date by which participants are required to notify the administrator of their intention to participate in the wildfire relief fund pursuant to section    -7(b).  If an eligible contributor declines to notify the administrator that the eligible contributor wishes to participate in and become a contributor to the wildfire relief fund during the fund's first year of operation, the board shall reduce the total capitalization amount by subtracting the amount the board allocated to that eligible contributor.

     (e)  If an electric utility, public utility other than an electric utility, other governmental entity, or private property owner elects to become a contributor after the operation date, the board shall determine required contribution amounts, which may be, at the discretion of the board, made in upfront and annual payments, based on an up-to-date consideration of any actuarial factors, and the board shall increase the total capitalization amount in accordance with those contribution amounts.

     (f)  Insufficient funding.  If the administrator determines that payments made by the wildfire relief fund, and expected future contributions by contributors and investment returns, will result in the fund's:  failing to reach the total capitalization amount, as adjusted, as applicable, under subsection (a), by the fifth year of operation after the operation date; or falling below the total capitalization amount after the fifth year of operation after the operation date, including, in either case, as a result of the legislature's increasing the total capitalization amount, the administrator shall recommend that the board establish a supplemental contribution to be contributed to the wildfire relief fund.  Responsibility among contributors for the supplemental contribution shall be allocated as follows:

     (1)  The administrator shall recommend to the board, and the board shall determine by majority vote, the respective portions of the supplemental contribution amount to be paid by each contributing electric utility, public utility other than an electric utility, other governmental entity, and private property owner contributor, based on an up-to-date assessment of any actuarial factors; and

     (2)  The remaining amount of the supplemental contribution, but not more than the largest contribution by other contributors, shall be paid by the State, subject to legislative appropriation.

     (g)  The administrator may allow contributors to pay supplemental contributions via annual contributions, or in part via an upfront contribution followed by annual contributions, unless the administrator determines that a contribution schedule will create a material risk that the wildfire relief fund will not reach or return to its total capitalization amount within a reasonable period of time to perform the functions identified in this chapter.

     The administrator may permit annual supplemental contributions, instead of a single upfront contribution, subject to the payment of interest at the rate set under subsection (m).

     (h)  If the board establishes a supplemental contribution pursuant to subsection (g), before the wildfire relief fund receives the supplemental contribution, the wildfire relief fund may issue revenue bonds up to the amount of the supplemental contribution, which shall be backed by future contributions to the wildfire relief fund.

     (i)  The board may order supplemental contributions under this chapter even if an investigation under the replenishment process under section    -9 is ongoing.  In the event that payments are later made under that replenishment process, the board, provided that other conditions of the refunds section are met pursuant to section    -11, may refund supplemental contributions in whole or in part.

     (j)  Utility contribution.  An electric utility's contributions to the wildfire relief fund shall not be recovered from its customers in rates.

     (k)  If the total amount of payments that the administrator determines should be paid in connection with a catastrophic wildfire pursuant to sections    -13,    -14, and    -15 exceeds the current balance of the wildfire relief fund, the State may provide a loan to the wildfire relief fund in an amount up to the depletion percentage, as determined by section    -16(d).  The loan shall be repaid over time through annual contributions by contributors.

     (l)  The State shall make its initial monetary contribution of $           to the wildfire relief fund as soon as practicable after the effective date of this Act, to be used to pay for the operations of the wildfire relief fund in advance of the operation date.

     The State shall irrevocably pledge to appropriate and provide up to $            in the following manner:

     (1)  In the event that a catastrophic wildfire occurs and the administrator determines that the amount the wildfire relief fund is obligated to pay to property owners, property insurers, the State, and other governmental entities has exceeded or will exceed the total moneys in the wildfire relief fund, the administrator shall demand, and the State shall be obligated to provide, a contribution to the wildfire relief fund;

     (2)  The administrator shall demand, and the State shall provide, the contribution required under paragraph (1) before the administrator seeks additional funding through supplemental contributions under subsection (f) or loans under subsection (k);

     (3)  The obligation to provide the contribution required under paragraph (1) if the conditions of this subsection are met shall constitute an irrevocable guarantee of the State, backed by the full faith and credit of the State;

     (4)  At no time shall the aggregate amount of the State's financial responsibility to the wildfire relief fund, contingent or otherwise, under this subsection exceed $          ; and

     (5)  The administrator, in making the calculations under subsection (f) and sections    -11(a) and    -16, shall treat the amount remaining on the State's pledge as capital in the wildfire relief fund for purposes of computing the total capitalization of the wildfire relief fund.

     (m)  A contributor may request that the administrator permit the contributor to pay the contributor's initial contribution over a five-year period via upfront and annual payments; provided that the contributor shall pay interest on all amounts deferred beyond the upfront payment date at a rate equal to the State's average incremental borrowing rate plus two hundred basis points.

     (n)  The upfront payment date shall be the date on which the upfront portion of all contributors' initial contributions shall be paid to the wildfire relief fund.  The administrator shall determine the upfront payment date and announce it at least ninety days in advance.  The upfront payment date shall be at least thirty days after the operation date and in no event earlier than April 15, 2025; provided that if a catastrophic wildfire occurs before March 15, 2025, the administrator may accelerate the upfront payment date to thirty days after the administrator provides notice of the acceleration to all contributors.

     §   -9  Replenishment of wildfire relief fund; determination of prudence.  (a)  If the administrator, or an agency of the State with responsibility for determining the causes of wildfires, informs the public utilities commission that the facilities of a public utility that is a contributor may have caused the occurrence or contributed to the severity of a catastrophic wildfire, the public utilities commission shall initiate a proceeding to review the public utility's conduct leading to the catastrophic wildfire and make findings.  The public utilities commission may, even without formal notice from the administrator or the agency, initiate this proceeding of its own accord.

     (b)  The public utilities commission shall evaluate the prudence of the conduct of the public utility in connection with a catastrophic wildfire in the following manner:  The public utilities commission shall determine whether the public utility acted prudently, considering only acts that may have caused the occurrence or contributed to the severity of the catastrophic wildfire, and evaluating the public utility's actions in the context of the public utility's overall systems, processes, and programs, such that an error by a public utility employee would not be a basis for a finding of imprudence, unless that error was the result of an imprudent system, process, or program.

     (c)  In evaluating prudence under this section, the public utilities commission shall determine whether the actions of the public utility were prudent and in the public interest.

     (d)  If the public utilities commission determines that imprudent conduct by the public utility caused the catastrophic wildfire, the public utilities commission shall determine whether to order the public utility to reimburse the wildfire relief fund in whole or in part for payments from the fund made in connection with the catastrophic wildfire.  In determining the amount of reimbursement, if any, the public utilities commission shall consider the extent and severity of the public utility's imprudence and factors within and beyond the public utility's control that may have led to or exacerbated the costs from the catastrophic wildfire, including but not limited to humidity, temperature, winds, fuel, merged wildfires with independent ignitions, third-party actions that affected the spread of the wildfire, and fire suppression activities.

     (e)  The public utilities commission shall not order the public utility to reimburse the wildfire relief fund in an amount that exceeds the lesser of:

     (1)  The costs that the public utilities commission determines were due to the public utility's imprudence; or

     (2)  Twenty per cent of the public utility's transmission and distribution equity rate base minus the amounts the public utility has reimbursed, or is required to reimburse, the wildfire relief fund during the period of three consecutive calendar years ending on December 31 of the year in which the calculation is being performed.

     (f)  If the public utilities commission orders the public utility to reimburse the wildfire relief fund, the public utility shall not recover the amount of the reimbursement in rates charged to ratepayers.

     (g)  If the administrator, or an agency of the State with responsibility for determining the causes of wildfires or catastrophic wildfires, concludes that the conduct of an other governmental entity or property owner that is a contributor may have caused the occurrence or contributed to the severity of a catastrophic wildfire, the administrator shall assess the prudence of the contributor's conduct, applying the same standard of prudence applied to public utilities pursuant to subsection (c).

     (h)  If the administrator determines that the contributor acted imprudently and that the imprudence caused the occurrence or contributed to the severity of the catastrophic wildfire, the administrator shall recommend that the board require such contributor to reimburse the wildfire relief fund in whole or in part for payments that the fund made in connection with the catastrophic wildfire, considering the factors set forth in subsection (d), subject to a cap of ten per cent of the contributor's assets within Hawaii, measured over a rolling three-year period.

     §   -10  Failure to make contributions to wildfire relief fund.  (a)  Contributors shall notify the administrator if they will make, or fail to make, a supplemental contribution to the wildfire relief fund at least thirty days before the supplemental contribution is due.

     (b)  If a contributor fails to make a required contribution to the wildfire relief fund, that contributor shall no longer be a contributor as of the date that the contribution was due.  That entity may, however, rejoin the fund under the process for joining the fund after initial capitalization set forth in section    -8.

     (c)  The administrator shall not refund to an entity that fails to make a contribution any previous payments made to the wildfire relief fund.  However, the administrator shall credit all previous contributions when determining the amount of payment to be made if a participant rejoins the fund under subsection (b).

     §   -11  Refunds.  (a)  In the event that the total amount in the wildfire relief fund exceeds one hundred twenty per cent of the total capitalization amount, the administrator may recommend that the board authorize refunds to be made to the contributors; provided that the refunds do not deplete the wildfire relief fund below one hundred twenty per cent of the total capitalization amount.

     (b)  Refunds shall be made in proportion to the total money contributed by the contributors to the wildfire relief fund as of the date of the refund, excluding any payments made under the replenishment provisions under section    -9.

     (c)  The administrator has no obligation to recommend, and the board has no obligation to authorize, a refund.  The board shall make a refund only if it takes into consideration all relevant factors and circumstances and determines that making a refund will be unlikely to result in the wildfire relief fund's falling below one hundred twenty per cent of total capitalization within three years after the refund.

     (d)  Any contributor may request that the board make a refund whenever the conditions under this section are met.

     (e)  If the board elects to issue a refund or elects not to do so after receiving a request under subsection (d), the administrator shall issue an order explaining the board's decision.

     §   -12  Processing of claims.  (a)  With the approval of the board, the administrator shall establish and approve procedures for the review, approval, and timely payment of claims for reimbursement from the wildfire relief fund.  The procedures may be revised from time to time by the administrator with the approval of the board.

     (b)  In the event of a catastrophic wildfire within the State, the administrator shall process claims made for compensation against the wildfire relief fund related to the catastrophic wildfire, consistent with the requirements of this chapter.

     §   -13  Claims by property owners.  (a)  To be eligible for compensation from the wildfire relief fund for recovery of uninsured damage to property from a catastrophic wildfire, a property owner shall not have opted out from participation in the wildfire relief fund before the occurrence of the catastrophic wildfire.

     (b)  County tax assessors shall include, with each real property tax assessment sent to an owner of real property in the State, a prominent notice regarding participation in the wildfire relief fund.  The notice shall be in a form prescribed by the administrator and shall clearly explain the property owner's right to opt out of participation in the wildfire relief fund by submitting a request to opt out to the administrator within a specific time.  A property owner who does not submit a timely request to opt out shall be deemed to participate in the wildfire relief fund as of the deadline for submitting a request to opt out.

     (c)  Any costs of administering the process described in subsection (b) shall be reimbursed by the wildfire relief fund.

     (d)  To opt out of participation in the wildfire relief fund with regard to property in areas within the State that have been assigned extreme, high, and moderate wildfire risk classes by the department of land and natural resources, a property owner shall submit documentation of insurance coverage for the property along with the property owner's request to opt out of the wildfire relief fund, and the administrator shall approve the documentation as adequate evidence of insurance for the applicable property.

     (e)  Following a catastrophic wildfire, to make a claim for compensation from the wildfire relief fund for uninsured damage to real or personal property from the catastrophic wildfire, a property owner shall submit to the administrator documentation establishing:

     (1)  That the catastrophic wildfire damaged the owner's property;

     (2)  The extent of the losses to the owner's property caused by that catastrophic wildfire; and

     (3)  Any insurance policy providing coverage for those losses.

     (f)  Within ninety days after a property owner submits a claim for compensation from the wildfire relief fund, including the documentation required in this section, the administrator shall determine whether the documentation is adequate and, if so, the appropriate amount of the payment to the property owner from the wildfire relief fund.  If the administrator determines that the property owner has not submitted sufficient documentation for the administrator to evaluate the claim, the administrator may request additional documentation from the property owner and may set a date by which the additional information shall be provided.

     (g)  If no insurance policy provides coverage for the losses for which a property owner seeks compensation from the wildfire relief fund, the property owner shall be eligible to receive as compensation from the wildfire relief fund a maximum of $          .

     (h)  If an insurance policy provides coverage for the losses for property damage incurred by an eligible property owner who seeks compensation from the wildfire relief fund, the property owner shall be eligible to receive as compensation from the wildfire relief fund only compensation for uninsured real or personal property damage, in an amount up to the lesser of:

     (1)             per cent of the amount by which the property owner's losses exceed the amount of insurance coverage for the losses; or

     (2)             per cent of the property owner's insurance coverage applicable to the losses;

provided that the property owner submits adequate documentation of those losses, as required by this section.

     §   -14  Claims by property insurers.  (a)  To be eligible for compensation from the wildfire relief fund, a property insurer shall have elected to participate in the fund before the annual policy period in which the catastrophic wildfire occurred.  The administrator shall establish a process for property insurers to annually submit an election to participate in the fund to the administrator within a specified time.  The date for submission of that election shall be the same as the date for property owners to submit a request to opt out pursuant to section    -13(b).

     (b)  All property insurers who elect to participate in the wildfire relief fund shall be eligible to receive as compensation from the wildfire relief fund            per cent of their total payments for property damage claims, including real or personal property, in Hawaii as a result of a catastrophic wildfire.

     (c)  Following a catastrophic wildfire, to make a claim for compensation from the wildfire relief fund based on claims resulting from the catastrophic wildfire, an eligible property insurer shall submit to the administrator documentation establishing the number, nature, and total value of insurance claims that the property insurer paid pursuant to its policies for damage resulting from the catastrophic wildfire as well as documentation sufficient to assess the reasonableness of the property insurer's payment of claims.

     (d)  After receipt of a property insurer's claim for compensation from the wildfire relief fund, including the documentation required in this section, the administrator shall:

     (1)  Review via an expedited procedure the property insurer's claim for compensation from the wildfire relief fund; and

     (2)  Determine:

          (A)  Whether the documentation provided is adequate; and

          (B)  The appropriate amount of the payment to the property insurer from the fund.

     §   -15  Claims by the State and other governmental entities.  (a)  The State may submit claims for compensation from the wildfire relief fund for damages it incurred resulting from a catastrophic wildfire, including damage to infrastructure or other property, costs of fire suppression, and natural resource damages, to the extent recovery of the losses is authorized by law.

     (b)  Other governmental entities may submit claims for compensation from the wildfire relief fund for damages they incurred resulting from a catastrophic wildfire, including damage to infrastructure or other property and other losses, to the extent recovery of the losses is authorized by law; provided that to be eligible for compensation from the wildfire relief fund related to a catastrophic wildfire, an other governmental entity shall elect to be a contributor pursuant to section    ‑7(b)(1) before the occurrence of the catastrophic wildfire.

     (c)  To make a claim under this section, the State or other governmental entity shall submit to the administrator documentation establishing:

     (1)  That the catastrophic wildfire caused the damages;

     (2)  The extent of the damages caused by the catastrophic wildfire; and

     (3)  Any other documentation necessary to establish the State's or other governmental entity's right to recover the losses pursuant to law.

     (d)  After receipt of a claim for compensation from the wildfire relief fund pursuant to this section, the administrator shall determine whether the State or other governmental entity is authorized to recover damages under applicable law and, if so, the appropriate amount of the payment.

     §   -16  Fund depletion.  (a)  Within thirty days of a catastrophic wildfire, the administrator shall assess whether the total payments that the wildfire relief fund is projected to make to eligible property owners, property insurers, the State, and other governmental entities under sections    ‑13,    -14, and    -15, respectively, are expected to exceed seventy-five per cent of the total available money in the wildfire relief fund.  The board shall adopt rules pursuant to chapter 91 regarding the performance of this assessment.

     (b)  If the administrator assesses pursuant to subsection (a) that the total payments that the wildfire relief fund is projected to make to eligible property owners, property insurers, the State, and other governmental entities under sections    -13,    -14, and    -15, respectively, are expected to exceed seventy-five per cent of the total available money in the wildfire relief fund, the administrator shall seek to increase the total amount of money in the fund using all available methods under this chapter.

     (c)  Depletion event.  If the administrator is unable, despite taking the steps under subsection (b), to secure sufficient additional funding for the wildfire relief fund, including credible pledges for future funding, to reverse the administrator's assessment under subsection (b) within forty‑five days, the administrator shall declare the existence of a depletion event.  The administrator may, for good cause, extend this time period by an additional thirty days.

     (d)  Depletion percentage.  If the administrator declares the existence of a depletion event, the administrator shall determine what percentage of total eligible payments the wildfire relief fund can make without the likelihood that the payments will exceed seventy-five per cent of the total available money in the wildfire relief fund.  This percentage shall be deemed the depletion percentage.

     (e)  Depletion payment.  The administrator shall thereafter offer all property owners, property insurers, the State, and other governmental entities that submit claims for compensation from the wildfire relief fund and would otherwise, under sections    -13,    -14, and    -15, respectively, be entitled to a particular payment amount, that amount multiplied by the depletion percentage.  This amount shall be deemed the depletion payment.

     (f)  All claimants that are offered the depletion payment may choose to accept or decline the payment.  Any property owner or property insurer, other than a contributor, that declines to accept the depletion payment shall:

     (1)  Be ineligible for any payments by the wildfire relief fund with respect to the catastrophic wildfire for which the claim was made; and

     (2)  Not be bound by the limitation on claims under section    -18 with respect to only that catastrophic wildfire.

     The limitation period for any cause of action arising out of the catastrophic wildfire that could be asserted by the property owner or property insurer that declines to accept the depletion payment shall be tolled for the period from the date of the catastrophic wildfire to the date the administrator offers claimants the depletion payment.

     (g)  Any property owner or property insurer, other than a contributor, that accepts the depletion payment shall not be bound by the limitation on claims under section    -18 with respect to only that catastrophic wildfire.  Any contributor against whom a claim is brought by a recipient of a depletion payment shall be entitled to a credit against the contributor's financial liability as to that claimant, in an amount equal to the depletion payment received by the claimant multiplied by the contributor's proportion of contribution to the wildfire relief fund relative to the other contributors.

     (h)  After the payments to all claimants who accepted the depletion payment have been made, and within three years from the date of the catastrophic wildfire, the administrator shall make additional payments to each claimant who accepted the depletion payment.  These additional payments, added to the depletion payment, shall be equal to the full value of the administrator's determination of the amount of payment due to each claimant.

     (i)  Multiple catastrophic events.  The board shall adopt rules pursuant to chapter 91 regarding how to pay claims in the event that one or more catastrophic wildfires occur while the corporation is in the process of assessing, receiving, determining, or paying claims from an earlier catastrophic wildfire.

     §   -17  Hearings and appeals of determinations.  (a)  Within thirty days after the administrator's determination of the amount of payment due to any claimant from the wildfire relief fund pursuant to sections    -13,    -14, and    -15, respectively, or the board's determination of a contributor's allocation for any contribution, the affected person or entity may request a contested case hearing on that determination before the department of commerce and consumer affairs, pursuant to chapter 91.

     (b)  Upon receipt of a request for hearing on the administrator or board's determination, the office of administrative hearings shall schedule a hearing date no later than thirty days after its receipt of the request for hearing.

     (c)  Following the conclusion of any hearing or before the conclusion of the hearing, with the concurrence of the parties, the office of administrative hearings shall promptly, and no later than thirty days after the hearing, decide the matter and issue findings of fact, conclusions of law, and a decision in accordance with the hearings officer's determination.

     (d)  Within thirty days after the date on which a copy of the office of administrative hearings' order is mailed to the parties, a party may seek judicial review of the order by filing a petition for review in the applicable circuit court, with a right of appeal as allowed by law.  If no petition is timely filed, the order of the office of administrative hearings shall be final.

     §   -18  Limitations on claims.  (a)  No suit, claim, or other civil legal action may be instituted or maintained against contributors or their affiliates, employees, agents, or insurers:

     (1)  For recovery of losses or damages of a type for which compensation may be sought from the wildfire relief fund; and

     (2)  By persons or entities:

          (A)  Who are contributors, property owners who do not opt out of the wildfire relief fund, or property insurers who elect to participate in the wildfire relief fund; or

          (B)  Who seek indemnity or contribution for amounts paid, or that may be paid, to contributors, property owners who do not opt out of the wildfire relief fund, or property insurers who elect to participate in the wildfire relief fund;

provided that the rights of a property insurer to sue as subrogee of its policyholder shall not be affected by a property owner's participation in the wildfire relief fund and eligibility to seek uninsured property damages from the wildfire relief fund, but instead such subrogation rights shall be affected only if the property insurer elects to participate in the wildfire relief fund.

     (b)  Persons or entities who are eligible to seek compensation from the wildfire relief fund for property damage arising from a catastrophic wildfire may not seek to recover for damage from electric utilities, public utilities other than electric utilities, the State, or private property owners who are contributors, notwithstanding that the claimed property damage may exceed the amount of payment by the wildfire relief fund for the damage.

     (c)  The wildfire relief fund shall be subrogated to the rights of the contributors, property owners who do not opt out of the wildfire relief fund, and property insurers who elect to participate in the wildfire relief fund, to the extent of any payment made by the wildfire relief fund to those persons or entities, and may pursue claims against a person or entity that is not a contributor for damages resulting from the catastrophic wildfire."

     SECTION 3.  Section 76-16, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  The civil service to which this chapter applies shall comprise all positions in the State now existing or hereafter established and embrace all personal services performed for the State, except the following:

     (1)  Commissioned and enlisted personnel of the Hawaii National Guard as such, and positions in the Hawaii National Guard that are required by state or federal laws or regulations or orders of the National Guard to be filled from those commissioned or enlisted personnel;

     (2)  Positions filled by persons employed by contract where the director of human resources development has certified that the service is special or unique or is essential to the public interest and that, because of circumstances surrounding its fulfillment, personnel to perform the service cannot be obtained through normal civil service recruitment procedures.  Any such contract may be for any period not exceeding one year;

     (3)  Positions that must be filled without delay to comply with a court order or decree if the director determines that recruitment through normal recruitment civil service procedures would result in delay or noncompliance, such as the Felix-Cayetano consent decree;

     (4)  Positions filled by the legislature or by either house or any committee thereof;

     (5)  Employees in the office of the governor and office of the lieutenant governor, and household employees at Washington Place;

     (6)  Positions filled by popular vote;

     (7)  Department heads, officers, and members of any board, commission, or other state agency whose appointments are made by the governor or are required by law to be confirmed by the senate;

     (8)  Judges, referees, receivers, masters, jurors, notaries public, land court examiners, court commissioners, and attorneys appointed by a state court for a special temporary service;

     (9)  One bailiff for the chief justice of the supreme court who shall have the powers and duties of a court officer and bailiff under section 606-14; one secretary or clerk for each justice of the supreme court, each judge of the intermediate appellate court, and each judge of the circuit court; one secretary for the judicial council; one deputy administrative director of the courts; three law clerks for the chief justice of the supreme court, two law clerks for each associate justice of the supreme court and each judge of the intermediate appellate court, one law clerk for each judge of the circuit court, two additional law clerks for the civil administrative judge of the circuit court of the first circuit, two additional law clerks for the criminal administrative judge of the circuit court of the first circuit, one additional law clerk for the senior judge of the family court of the first circuit, two additional law clerks for the civil motions judge of the circuit court of the first circuit, two additional law clerks for the criminal motions judge of the circuit court of the first circuit, and two law clerks for the administrative judge of the district court of the first circuit; and one private secretary for the administrative director of the courts, the deputy administrative director of the courts, each department head, each deputy or first assistant, and each additional deputy, or assistant deputy, or assistant defined in paragraph (16);

    (10)  First deputy and deputy attorneys general, the administrative services manager of the department of the attorney general, one secretary for the administrative services manager, an administrator and any support staff for the criminal and juvenile justice resources coordination functions, and law clerks;

    (11)  (A)  Teachers, principals, vice-principals, complex area superintendents, deputy and assistant superintendents, other certificated personnel, no more than twenty noncertificated administrative, professional, and technical personnel not engaged in instructional work;

          (B)  Effective July 1, 2003, teaching assistants, educational assistants, bilingual/bicultural school-home assistants, school psychologists, psychological examiners, speech pathologists, athletic health care trainers, alternative school work study assistants, alternative school educational/supportive services specialists, alternative school project coordinators, and communications aides in the department of education;

          (C)  The special assistant to the state librarian and one secretary for the special assistant to the state librarian; and

          (D)  Members of the faculty of the University of Hawaii, including research workers, extension agents, personnel engaged in instructional work, and administrative, professional, and technical personnel of the university;

    (12)  Employees engaged in special, research, or demonstration projects approved by the governor;

    (13)  (A)  Positions filled by inmates, patients of state institutions, persons with severe physical or mental disabilities participating in the work experience training programs;

          (B)  Positions filled with students in accordance with guidelines for established state employment programs; and

          (C)  Positions that provide work experience training or temporary public service employment that are filled by persons entering the workforce or persons transitioning into other careers under programs such as the federal Workforce Investment Act of 1998, as amended, or the Senior Community Service Employment Program of the Employment and Training Administration of the United States Department of Labor, or under other similar state programs;

    (14)  A custodian or guide at Iolani Palace, the Royal Mausoleum, and Hulihee Palace;

    (15)  Positions filled by persons employed on a fee, contract, or piecework basis, who may lawfully perform their duties concurrently with their private business or profession or other private employment and whose duties require only a portion of their time, if it is impracticable to ascertain or anticipate the portion of time to be devoted to the service of the State;

    (16)  Positions of first deputies or first assistants of each department head appointed under or in the manner provided in section 6, article V, of the Hawaii State Constitution; three additional deputies or assistants either in charge of the highways, harbors, and airports divisions or other functions within the department of transportation as may be assigned by the director of transportation, with the approval of the governor; one additional deputy in the department of human services either in charge of welfare or other functions within the department as may be assigned by the director of human services; four additional deputies in the department of health, each in charge of one of the following:  behavioral health, environmental health, hospitals, and health resources administration, including other functions within the department as may be assigned by the director of health, with the approval of the governor; two additional deputies in charge of the law enforcement programs, administration, or other functions within the department of law enforcement as may be assigned by the director of law enforcement, with the approval of the governor; three additional deputies each in charge of the correctional institutions, rehabilitation services and programs, and administration or other functions within the department of corrections and rehabilitation as may be assigned by the director or corrections and rehabilitation, with the approval of the governor; an administrative assistant to the state librarian; and an administrative assistant to the superintendent of education;

    (17)  Positions specifically exempted from this part by any other law; provided that:

          (A)  Any exemption created after July 1, 2014, shall expire three years after its enactment unless affirmatively extended by an act of the legislature; and

          (B)  All of the positions defined by paragraph (9) shall be included in the position classification plan;

    (18)  Positions in the state foster grandparent program and positions for temporary employment of senior citizens in occupations in which there is a severe personnel shortage or in special projects;

    (19)  Household employees at the official residence of the president of the University of Hawaii;

    (20)  Employees in the department of education engaged in the supervision of students during meal periods in the distribution, collection, and counting of meal tickets, and in the cleaning of classrooms after school hours on a less than half-time basis;

    (21)  Employees hired under the tenant hire program of the Hawaii public housing authority; provided that not more than twenty-six per cent of the authority's workforce in any housing project maintained or operated by the authority shall be hired under the tenant hire program;

    (22)  Positions of the federally funded expanded food and nutrition program of the University of Hawaii that require the hiring of nutrition program assistants who live in the areas they serve;

    (23)  Positions filled by persons with severe disabilities who are certified by the state vocational rehabilitation office that they are able to perform safely the duties of the positions;

    (24)  The sheriff;

    (25)  A gender and other fairness coordinator hired by the judiciary;

    (26)  Positions in the Hawaii National Guard youth and adult education programs;

    (27)  In the state energy office in the department of business, economic development, and tourism, all energy program managers, energy program specialists, energy program assistants, and energy analysts;

    (28)  Administrative appeals hearing officers in the department of human services;

    (29)  In the Med-QUEST division of the department of human services, the division administrator, finance officer, health care services branch administrator, medical director, and clinical standards administrator;

    (30)  In the director's office of the department of human services, the enterprise officer, information security and privacy compliance officer, security and privacy compliance engineer, security and privacy compliance analyst, information technology implementation manager, assistant information technology implementation manager, resource manager, community/project development director, policy director, special assistant to the director, and limited English proficiency project manager/coordinator;

    (31)  The Alzheimer's disease and related dementia services coordinator in the executive office on aging;

    (32)  In the Hawaii emergency management agency, the executive officer, public information officer, civil defense administrative officer, branch chiefs, and emergency operations center state warning point personnel; provided that for state warning point personnel, the director shall determine that recruitment through normal civil service recruitment procedures would result in delay or noncompliance;

    (33)  The executive director and seven full-time administrative positions of the school facilities authority;

    (34)  Positions in the Mauna Kea stewardship and oversight authority;

    (35)  In the office of homeland security of the department of law enforcement, the statewide interoperable communications coordinator; [and]

    (36)  In the social services division of the department of human services, the business technology analyst[.]; and

    (37)  The wildfire relief fund administrator.

     The director shall determine the applicability of this section to specific positions.

     Nothing in this section shall be deemed to affect the civil service status of any incumbent as it existed on July 1, 1955."

PART II

     SECTION 4.  (a)  There shall be established a working group within the department of commerce and consumer affairs to prepare and submit a report to the legislature by November 1, 2024, concerning implementation of the wildfire relief fund established by section 2 of this Act.

     (b)  The working group shall consist of:

     (1)  The director of commerce and consumer affairs, or the director's designee, who shall serve as chairperson of the working group;

     (2)  A representative of the department of the attorney general;

     (3)  A representative of the public utilities commission;

     (4)  A representative of the division of consumer advocacy of the department of commerce and consumer affairs;

     (5)  A representative of the insurance division of the department of commerce and consumer affairs;

     (6)  A representative of Hawaiian Electric, who shall be invited by the chairperson of the working group;

     (7)  A representative of Kauai Island Utility Cooperative, who shall be invited by the chairperson of the working group;

     (8)  A representative of property insurers that conduct business in the State, who shall be invited by the chairperson of the working group;

     (9)  A member of the public, who shall be invited by the chairperson of the working group; and

    (10)  Any other individuals deemed necessary by the chairperson of the working group.

     (c)  In carrying out its duties, the working group shall begin with a review, examination, and analysis of the provisions of the various drafts of House Bill No. 2700 and Senate Bill No. 3344 considered during the regular session of 2024.

PART III

     SECTION 5.  There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2024-2025 for deposit into the wildfire relief fund.

     The sum appropriated shall be expended by the department of commerce and consumer affairs for the purposes of this Act.

     SECTION 6.  On the operation date, as defined in section    -1, Hawaii Revised Statutes, of section 2 of this Act, there is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2024-2025 as a reserve against the pledge guarantee set forth in section    -8(l), Hawaii Revised Statutes, of section 2 of this Act.

     SECTION 7.  There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2024-2025 for the establishment of     full-time equivalent (    FTE) administrator position, who shall be exempt from chapter 76, Hawaii Revised Statutes, to support the Hawaii wildfire relief fund corporation; provided that in all subsequent fiscal years, all funding for the administrator position shall be paid from the wildfire relief fund.

     The sum appropriated shall be expended by the department of commerce and consumer affairs for the purposes of this Act.

     SECTION 8.  In accordance with section 9 of article VII of the Hawaii State Constitution and sections 37‑91 and 37‑93, Hawaii Revised Statutes, the legislature has determined that the appropriations contained in H.B. No.     , will cause the state general fund expenditure ceiling for fiscal year 2024‑2025 to be exceeded by $          or       per cent.  In addition, the appropriation contained in this Act will cause the general fund expenditure ceiling for fiscal year 2024‑2025 to be further exceeded by $           or       per cent.  The combined total amount of general fund appropriations contained in only these two Acts will cause the state general fund expenditure ceiling for fiscal year 2024‑2025 to be exceeded by $          or       per cent.  The reasons for exceeding the general fund expenditure ceiling are that:

     (1)  The appropriation made in this Act is necessary to serve the public interest; and

     (2)  The appropriation made in this Act meets the needs addressed by this Act.

     SECTION 9.  This Act shall take effect on July 1, 3000; provided that part I of this Act shall take effect on July 1, 2025.

 

 

Report Title:

DCCA; Hawaii Wildfire Relief Fund; Hawaii Wildfire Relief Fund Corporation; Public Utilities Commission; Catastrophic Wildfire; Working Group; Report; Appropriation; Expenditure Ceiling

 

Description:

Establishes the Hawaii Wildfire Relief Fund and Hawaii Wildfire Relief Fund Corporation to provide compensation for property damage resulting from catastrophic wildfires in the State.  Requires the Corporation's board to report to the Legislature.  Makes an appropriation.  Effective 7/1/3000.  (HD2)

 

 

 

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