HomeMy WebLinkAboutREP FC 192 2024/09/03 (2022-2024)
REPORT OF THE
COMMITTEE ON FINANCE
DATE: September 3, 2024 Re: Comm. No. 993/Res. No. 593-24
PLACE: Council Chambers
Hilo, Hawaiʻi
TIME: 2:31 p.m.
Council Chair and Members
Hawai‘i County Council
Hilo, Hawai‘i 96720
Your Committee on Finance, to which was referred Resolution No. 593-24, reports as follows:
Resolution No. 593-24, transmitted by Finance Director Diane Nakagawa via Communication
No. 993, dated August 14, 2024, authorizes the Mayor to enter into an agreement with the State of
Hawaiʻi Department of Health.
This resolution allows for the receipt of $925,000 of federally-derived funds to support opioid
remediation activities.
Managing Director Deanna Sako, Research and Development Director Douglass Adams, Economic
Development Specialist Yoshi Otake, and Corporation Counsel Elizabeth Strance appeared in the Hilo
Chambers for questions.
Committee Member Rebecca Villegas commented in support of this measure. She commented that this
legislation was introduced during her first term and there were questions about the viability of this
program. Since then, there has been an increase in opioid usage with the introduction of fentanyl, and
there is a dire need for resources that aid in addiction recovery.
Committee Member Cindy Evans asked why the State was allocated this amount, stating that
$2.1 million out of $78 million is a small amount. Mr. Adams explained that this was a decision made at
a national level, which the State was involved in that negotiation, and that determining how much the
State would be allocated was not something the department was privy to.
Committee Member Holeka Goro Inaba asked for an explanation of the two agreements stating that the
agreement is with the same department for what appears to be the same purpose and procedurally, it
would seem that one agreement would be sufficient. Ms. Strance explained that the County filed its
lawsuit against several opioid manufacturers and eventually the State filed its lawsuit. There were two
nationwide settlements reached with built-in incentives, one specific to the County and the other because
the County participated in the State’s lawsuit, and as a result, there are two separate agreements.
Ms. Strance provided background on how these funds were determined for the State.
Ms. Sako provided further clarification on a few line items.
FC Report No. 192
FC-192 Page 2 September 3,2024
Committee Member Jenn Kagiwada asked if this would be a final payment. Mr. Adams stated that this
was not the final payment but this is the highest payment to be distributed to us from this agreement.
Committee Chair Matt Kaneali'i-Kleinfelder thanked Ms. Villegas for fighting for this legislation and
commented supporting this measure.
Pursuant to Section 46-7 of the Hawai`i Revised Statutes, the Mayor of the County of Hawai`i is
authorized to execute, on behalf of the County, an agreement, and related documents with the State of
Hawai`i Department of Health for funding as described above.
Your Committee on Finance is in accord with the purpose and intent of Resolution No. 593-24, and
recommends its adoption.
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AYES NOES ABS EX Respectfully submitted,
EVANS X
GALIMBA X COMMITTE ON FINANCE
INABA X
KAGIWADA X
KANEALI`I-KLEINFELDER X
KIERKIEWICZ x MATT ` EAL `I-KLEINFELDER,
KIMBALL x CHAIR
LEE LOY X FC REPORT NO.: 192
VILLEGAS X ADOPTED: SEP 11 7 2024