HomeMy WebLinkAboutORD 2008-081 2006-2008
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COUNTY OF HAWAII STATE OF HAWAII
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BILL NO. 262
OLD 8-t (DRAFT 3)
ORDINANCE NO.
AN ORDINANCE TO INITIATE AN AMENDMENT TO ARTICLE III, LEGISLATIVE
BRANCH, COUNTY COUNCIL, OF THE HAWAII COUNTY CHARTER (2000), TO
REORGANIZE THE OFFICE OF THE COUNTY CLERK AND COUNTY COUNCIL BY
ESTABLISHING AN INDEPENDENT AUDIT FUNCTION WITHIN THE LEGISLATIVE
BRANCH THROUGH THE OFFICE OF THE LEGISLATIVE AUDITOR.
BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII:
SECTION 1. Purpose. The purpose of this ordinance is to reorganize the office of the
county clerk and county council by establishing an independent audit function within the
legislative branch through the office of the legislative auditor. This ordinance amends Hawaii
County Charter (2000), article III, Legislative Branch, County Council, section 3-6, Organization
of the Council; Officers; Employees, subsection 3-6(b)(4) by deleting provisions for the
appointment of the legislative auditor by the county clerk, and subsection 3-6(b)(6) by deleting
provisions for the appointment and supervision of staff within the office of the legislative auditor
by the county clerk. Furthermore, this ordinance amends Hawaii County Charter (2000), article
III, Legislative Branch, County Council, by adding a new section setting forth the independent
audit function of the office of the legislative auditor.
There is a growing demand for accountability in government by taxpayers, voters, and
the public as a whole. This accountability requires an independent assessment of county
agencies, executive agencies, and programs to determine the following information:
(1) Whether county funds are handled and expended properly in compliance with
applicable federal, state, and county laws and regulations;
(2) Whether county agencies, executive agencies, and programs are achieving the
purposes for which they were funded;
(3) Whether county agencies, executive agencies, and programs are acquiring,
operating, and maintaining public property, facilities, and equipment
economically and efficiently; and
(4) Whether county managers have established adequate operating and administrative
procedures and practices and internal control systems to effectively utilize and
protect public resources.
An independent audit function within the legislative branch can provide objective
information on the operations of county agencies, executive agencies, and programs; assist
county managers in carrying out their responsibilities and services; and help ensure government
accountability to the public. Furthermore, recognized government auditing standards can
provide a framework for improved government decision-making, oversight, and accountability.
Therefore, in an effort to better ensure that county agencies, executive agencies, and programs
are held to the highest standard of public accountability, the county council proposes to
reorganize the office of the county clerk and county council by establishing an independent audit
function within the legislative branch through the office of the legislative auditor.
SECTION 2. Section 3-6, Organization of the Council; Officers; Employees, of the
Charter of the County of Hawaii (2000), is amended to read as follows:
"Section 3-6. Organization of the Council; Officers; Employees.
(a) The council shall elect from among its members a chairperson and a vice
chairperson, each of whom shall serve at its pleasure. Until such time as
the chairperson and presiding officer shall be elected, the mayor shall
preside at such meeting, provided that the mayor shall not have a vote.
The chairperson shall preside at council meetings. If at any meeting the
chairperson is not present or unable to act, the vice chairperson shall then
preside. In the absence of the chairperson and vice chairperson, the
council shall elect from among its members a temporary presiding officer.
(b) The council shall appoint the county clerk which position shall be exempt
from civil service laws and classifications. The county clerk shall:
(1) Be the clerk of the council.
(2) Be custodian of the county seal.
(3) Conduct all elections held within the county.
(4) Appoint the deputy county clerk [and the leg siati e aiddit^r], with
the approval of the council, and such [positions] osp ition shall be
exempt from civil service laws and classifications.
(5) Perform such other functions as the council may prescribe.
(6) Appoint necessary staff for which appropriations have been made
by the council, subject to civil service laws and classifications, and
exercise the same power with respect to the personnel of the
clerk's office as the department heads in the executive branch, with
the exception of the office of the legislative auditor."
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SECTION 3. Article III, Legislative Branch, County Council, of the Charter of the
County of Hawaii (2000), is amended by adding a new section to be appropriately designated
and to read as follows:
"Section 3- Office of the Legislative Auditor.
(a) There is established within the legislative branch an independent office of
the legislative auditor to be headed by a legislative auditor who shall be
appointed by the county council and shall serve for a period of six years,
and thereafter, until a successor is appointed. The council, by a two-thirds
vote of its membership may remove the legislative auditor from office at
any time for cause.
(b) The legislative auditor shall possess adequate professional proficiency for
the office demonstrated by relevant certification, such as certification as a
certified internal auditor or certified public accountant or an advanced
degree in a relevant field and at least three years of general auditing
experience which shall include a minimum of one year's experience in the
field of government auditing. A certified internal auditor or certified
public accountant shall be preferred. All financial audits shall be
conducted by a certified public accountant.
(c) The legislative auditor shall submit an annual budget to the county
council The legislative auditor on behalf of the county council shall hire
the necessary staff for which appropriations have been made by the county
council.
(d) The legislative auditor shall conduct or cause to be conducted:
(1) The annual financial audit of the county, as required in article X,
Financial Procedures, section 10-13, Post-audit.
(2) Performance and/or financial audits of the funds, programs,
services and operations of any ounty agency, executive agency,
or program as set forth by he legislative auditor in an annual audit
plan that shall be transmitted to the county council and the mayor
and filed with the county clerk as a public record.
(3) Follow-up audits and monitoring o_f responses to audit
recommendations by audited entities.
(e) For purposes of this section "county agency" or "executive agency"
includes any office department, board, commission, agency, semi-
autonomous agency, or other governmental unit of the county in the
executive or legislative branch that is supported, in whole or in part, by
county funds.
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(f) For purposes of carrying out any audit, the legislative auditor shall have
(1) Full, free, and unrestricted access to an. cy_ounty officer or
employee.
(2) Full, free, and unrestricted access to and authority to examine and
inspect any record of any county agency, executive agency, or
program except for any record protected from disclosure bylaw
rule or privilege.
(3) Full, free, and unrestricted access to and authority to examine and
inspect any property, facility, or equipment of any county agency,
executive agency, or program pertinent to the audit or to a contract
(4) Full, free, and unrestricted access to and authority to administer
oaths and subpoena witnesses and compel the production of
records pertinent thereto. If any person subpoenaed as a witness or
compelled to produce records shall fail or refuse to respond
thereto, the proper court, upon request of the auditor, shall have the
power to compel obedience to any process of the auditor and to
punish, as a contempt of the court, any refusal to comply therewith
without good cause. The auditor may retain special counsel in the
manner authorized by the council to represent the auditor in
implementing these powers.
(g) The legislative auditor shall conduct or cause to be conducted all audits in
accordance with government auditing _standards, and shall set forth final
audit findings and recommendations in written reports copies of which
shall be transmitted to the county council and the mayor and filed with the
county clerk as public records."
SECTION 4. Charter material to be repealed is bracketed and stricken. New charter
material is underscored. When revising, compiling, or printing these charter provisions for
inclusion in the Charter of the County of Hawaii (2000), the reviser need not include the
brackets, bracketed material, or underscoring.
SECTION 5. If any provision of this ordinance or the application thereof to any person
or circumstance, is held invalid, such invalidity shall not affect other provisions or applications
of this ordinance which can be given effect without the invalid provision or application, and to
this end, the provisions of this ordinance are declared to be severable.
SECTION 6. Upon adoption of this ordinance, this council, by appropriate resolution,
shall provide that this charter amendment be submitted to the electorate of Hawaii County for
approval at the 2008 general election.
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SECTION 7. Upon its approval by a majority of voters in the 2008 general election, the
charter amendment proposed in this ordinance shall take effect on December 1, 2008 at 1:00 p.m.
INTRODUCED BY:
CO CIL MEMBER, COUNTY AWAI`I
Kona , Hawaii
Date of Introduction: March 25, 2008
Date of 1St Reading: March 25, 2008
Date of 2°d Reading: April 9, 2008
Date of 3`d Reading: May 7, 2008
Effective Date: Upon its approval by a majority of voters in 2008
General Election, this ordinance shall take effect
on December 1, 2008 at 1:00 p.m.
P,EFEREENCE: Comm. 1067.8 -
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OFFICE OF THE COUNTY CLERK
County of Hawaii
Kona, Hawaii
Introduced By: r r L LL VOTE
Date Introduced: fi AYES NOES ABS EX'
First Reading: Ford'' l
Published: HigaJ `
Hoffmann
REMARKS: Ikeda
April 22, 2008 - Amended to Draft 3 & Jacobson
held over pursuant to Council Rule 25(e) Naeole
Pilago
Yagong
Yo ' oto
Third Reading: May 7, 2008 (Draft 3)
To Mayor: June 6, 2008 ROLL CALL VOTE
Returned: June 13, 2008 AYES NOES ABS EX
Effective: See Section 7 Ford x
Published: June 20, 2008 Higa x
Hoffmann x
REMARKS: Ikeda x
Jacobson x
Naeole x
Pilago x
Yagong x
Yoshimoto x
F-- 1 9 0 0 0
1 DO HEREBY CERTIFY that the foregoing BILL was adopted by the County Coun ' publishe
indicated above.
APPROVED AS TO
FORM AND LEGALITY:
• COUNCIL CH AN
DEPUTY CORPORATION COUNSEL
COUNTY OF HAWAII
JUN - 9 2008 COUNx Rx
Date
262 (Draft 3)
Bill No.: _
ApproveDisapproved this 13 day Reference: C-1067.8/PWIRC-63
Ord No.: 08 t91
ql' J u he. , 20 ~
YOR(ICOUNTY 0 F HA WAI I
Ordinance Number 08-81
I hereby certify that the following Ordinance passed second and final reading at the
meeting of the County Council on May 7, 2008, by vote, as listed below:
Ordinance 08-81 (Bill 262, Draft 3): An Ordinance to Initiate an Amendment to
Article III, Legislative Branch, County Council, of the Hawaii County Charter (2000), to
Reorganize the Office of the County Clerk and County Council by Establishing an
Independent Audit Function Within the Legislative Branch through the Office of the
Legislative Auditor. AYES: Council Members Ford, Higa, Ikeda, Jacobson, Naeole,
Pilago, Yagong, Yoshimoto, and Chair Hoffmann - 9; NOES: None; ABSENT: None;
EXCUSED: None.
Casey Jarman
County Clerk
(Hawai`i Tribune-Herald - June 20, 2008)
(West Hawaii Today - June 20, 2008)
Note: The original Digest/Affidavit is attached.