This bill represents a significant change in how special funds can be allocated, potentially enabling agencies to undertake a broader range of capital projects. However, it imposes a restriction that prevents an agency from spending more than twenty percent of the ceiling amount of the special fund in any fiscal year for such projects. This could lead to a more strategic use of available financial resources while still maintaining a check on agency expenditures.
Summary
SB1021 is a legislative measure introduced in the Thirty-Second Legislature of Hawaii, aimed at amending Chapter 37 of the Hawaii Revised Statutes. The bill allows state agencies to utilize funds classified as 'special' for capital improvement projects, even when such expenditures are not explicitly authorized by the respective special fund's original enabling statute. This flexibility is presented with the condition that any spending must receive legislative appropriation or authorization, thereby ensuring some level of oversight.
Contention
While SB1021 may streamline funding for important capital improvements, it may also evoke concerns among legislators about the potential for misuse of funds or a lack of adequate oversight. Opponents might argue that allowing more discretion in spending could dilute the intended purpose of these special funds, which were established for specific uses. The balance between flexibility for state agencies and accountability remains a critical point of discussion in evaluating the bill.