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Home My WebLink AboutCOM 0016.000 1996-1998 1 y~+rl Hawaii State Association o? Counties Counties of Kauai. Maui and Hawai i, City 8. ~~ata~ lo~~I~nolulu a~ 1 FFIGE , CLEfiK o ~t CO11NT1" U'r liAV4AIl \O,, o. December 2, 1996 To: James Arakaki, Chairman and Members of the Hawaii County Council From: Al Smith , (Acting) Secretary-Treasurer l~~ Hawaii State Association of Counties (HSAC) Subject HSAC Executive Committee Meeting -November 22, 1996 The following highlights of the HSAC Executive Committee Meeting of November 22, 1996 are hereby submitted. The Secretary's Minutes of the Executive Committee Meeting of October 25, 1996 were approved and placed on file (attached for information). The Treasurer's Report for the month of October 1996 was approved and placed on file (attached for information). Under NACo Reports, it was reported that there will be a NACo Board of Directors Meeting on December 5-7, 1996 in Arizona. Further, that Jane Hague from King County, Washington Will be a candidate for NACo Vice President and that the Vice President vacancy of Dick Cecil i~il1 also be filled at the next annual meeting. The candidacy of Rene Mansho for NACo Vice President wxs discussed and is still under consideration. With the resignation of Councilmembers Correa and Minatoya from NACo Steering Cotnmittees on Public Lands and on Environment, Energy, and Land Use, the Executive Committee reviewed HSAC's national representation. Historically, HSAC has attempted to place its members on those national committees which have the greatest impact on our State. HSAC will be recommending that Councilmember Smith and Kouchi be appointed to the Public Lands and Environment Steering Committees. Under Unfinished Business, the 1997 HSAC Legislative Program Policy Statement was approved. The 1977 HSAC Legislative Package, however, was deferred to the next meeting. Final action by Maui County is anticipated on December 4, 1996. The proposals relating to an emergency ,y,,, r;~ preparedness trust fund, and those relating to controlled substances were deleted from the package s a result of Hawaii County's action. Pile Ike. ,,,~-ISC. Re[. 20~ COuf~L\~_ Bot. 0 2 1996 s t~ Chairman James Arakaki December 2, 1996 Page 2 As a result of discussions at the County Council level, two versions of this bill have surfaced. Version One, approved for inclusion by Hawaii County, authorizes the counties to adopt "identical" provisions to those adopted by the State in the granting of a bidders preference. Version Two, authorizes the counties to adopt "similar" provisions to those adopted by the State. In discussion, it was pointed out that adoption of "similar" provisions afforded the counties more flexibility in implementation. After granting up to a 15% preference to a vendor, the State recovers a portion of this preference from increased general excise taxes and possibly increased income taxes. Counties may want to grant a smaller preference. It was also noted that island residents just starting out in the business will not qualify for a preference. An example was cited where on the island of Kauai, the low bidder to a State project, who also happened to be a new "kamaina" contractor, did not get the contract because of this provision. Counties may want the flexibility to protect against this type of exclusion. In light of these discussions and due to the fact that two of the counties did not consider the application of bidder preferences under these considerations, the Executive Committee referred the bill authorizing the adoption of "similar" provisions back to the counties for consideration and inclusion in the 1997 HSAC Legislative Package (proposal attached, ACTION REQUESTED). Under Unfinished Business, the resolution requesting the creation of a HSAC Task Force on Tele- Health Services was filed. Under New Business, your Executive Committee reviewed a new proposal relating to a general excise tax (GET) reimbursement for county agencies for inclusion in the 1997 HSAC Legislative Package. Your Executive Committee received testimony from Lowell Kalapa of the Tax Foundation of Hawaii on this matter who indicated that first, the counties currently pay a 4% premium on their operation. The counties should be relieved of this additional burden. He indicated that in prior years, Tax Review Commissions have made this recommendation to the State. This bill proposes to reimburse the counties for the General Excise Taxes paid by the counties in all business and sales transactions with the private sector. Second, that this bill attempts to illustrate that the counties are taking a hit in terms of the 4% they pay and if the TAT revenues to the county are reduced, the counties will take a double hit. Finally, this bill attempts to show that what the counties are asking for in terms of the TAT subsidy bill is "manini" in comparison to what this reimbursement bill would be and how much it is costing the counties. Chairman James Arakaki December 2, 1996 Page 3 The Executive Committee recommends that the counties consider his bill for inclusion in the 1997 HSAC Legislative Package based on its merit and for reasons that this bill also strengthens HSAC's efforts in maintaining its share of the TAT. (proposal attached, ACTION REQUESTED). There being no further business, the meeting was adjourned. The next HSAC Executive Committee meeting is scheduled for Wednesday, December 11, 1996, 10:00 a.m., Kipu Room, Kauai Marriott Resort & Beach Club. Attachments Hawaii State Association of Counties Counties of Kauai. Maui and Hawaii, City 8. County of Honolulu w ~J i 9 HAWAII STATE ASSOCIATION OF COUNTIES (HSAC) ~ EXECUTIVE COMMITTEE MEETING October 25, 1996 Council Committee Room. Honolulu, Hawaii I. CALL TO ORDER The HSAC Executive Committee was called to order by President Rene Mansho at 10:00 a.m. The following members present made up a quorum: City and County of President Rene Mansho Honolulu Staff Elaine Lee County of Maui First Vice President Dennis Nakamura Staff Joanne Louie County of Kauai Kauai Altemate Richard Minatoya Staff Cyndi Ayonon County of Hawaii Secretary-Treasurer Takashi Domingo Hawaii Altemate Al Smith Staff Gerald Monden II. EXECUTIVE COMMITTEE MEETING MINUTES The minutes of the September 23, 1996 meeting of the HSAC Executive Committee were approved as circulated. III. TREASURER'S REPORT The Treasurer's Report for the month of September 1996 was approved as circulated. O ~ . ~ IV. REPORTS A. Executive Committee Reports The following Executive Committee Reports received and placed on file: 1. Reporting on the approval of the adoption of the concept of an HSAC Telecommunications Plan. (Approved on September 23, 1996) 2. Reporting on the approval of the $1,000 advance to Kauai County for the HSAC Mid-Yeaz Conference in December 1996. (Approved on September 23, 1996) B. County Reports The following County Reports were received and placed on file: 1. f=rom Dar} 1 "I~. Yamamoto, Maui County Clerk, to President Mansho, dated September 19, 1996, on Maui Council action on HSAC matters. C. NACo Reports There were no NACo Reports. D. WIR Reports President Mansho reported her written report on the WIR Fall Boazd Meeting at Quincy, Plumas County. California will be forthcoming. V. UNFINISHED BUSINESS A. 1997 HSAC Legislative Program Policy Statement The 1997 HSAC Legislative Program Policy Statement has been adopted by the neighbor island counties and is pending with the Honolulu Council. Adoption by the City Council is anticipated on November 13, 1996. Directly related to the 1997 HSAC Legislative Program Policy Statement is the 1977 HSAC Legislative Package. It is requested that the County Council consider the following proposals for inclusion into the HSAC Legislative Package: 2 J 1. Relating to the Transient Accommodations Tax (TAT) maintains the county's share of the TAT by crediting the counties with General Excise Tax revenues whenever more than 1/6th of the TAT revenues collected are required for the Convention Center Capital and Operations Special Fund . 2. Relating to Beach Liability Act 190-96 afforded the State and counties protection from liability arising from dangerous natural conditions in the ocean adjacent to public beach parks. In doing so, Act 190-96 placed upon the State and counties, a duty to provide adequate warning by posting, and maintaining warning signs in our beach parks. It is suggested that this duty is impractical and excessively burdensome since each county provides large areas to public recreational use and every dangerous natural condition cannot be foreseen. A proposed bill ameliorating this duty to warn is being proposed. 3. Relating to Preference to Bidders on County Contracts --extends to the counties authorization for the granting of up to a I S% preference to bidders, when the bidder has filed State of Hawaii employment, general excise, and income tax returns and has paid all amounts owing on such returns for four successive years prior to submitting the bid on public works projects of $5,000,000 or less and for eight successive yeazs prior to submitting a bid of public works projects of more than $5,000,000. 4. Relating to Controlled Substances Ephedrine and ephedrine containing products on the mainland is a growing problem not only as a precursor chemical to make dangerous drugs such as methamphetamine (ICE) and methcathinone, but as being abused in products that claim to produce effects as ecstasy, euphoria, energy, increased sexual sensations, heightened awazeness, increased energy and legal "highs." Across the nation approximately 14 states have placed additional controls and restrictions on ephedrine containing products. The City and County of Honolulu has also adopted an Ordinance which makes unlawful, the sale or possession ofephedrine-containing products without a prescription. The Ordinance also provides that the sale ofephedrine-containing products to any person under 21 years of age is unlawful. It is proposed that HSAC support measures which will make ephedrine a Schedule IV controlled substance under Chapter 329-20 of the Hawaii Revised Statutes. 5. Relating to Controlled Substances The City and County of Honolulu is presently considering an proposal to restrict possession, sale and causing the sale of products containing gamma hydroxybutyrate in the City. Gamma hydroxybutyrate, sometimes also known as "GHB" or "LIQUID X," has 3 been determined to have a deleterious effects on human health, including depression of the respiratory system, particularly when mixed with alcohol. Such depression can cause loss of oxygen to the brain, knocking the victim out and triggering unconsciousness, amnesia, and possibly death. Because of these effects, and because it is odorless and almost tasteless, gamma hydrox}~butyrate, also known as "Easy Lay," is being used by teenagers and others as a "date rape" drug and is taking the place of another hypnotic tranquilizing drug, rohypnol, which is already listed as a Schedule IV controlled substance by the State of Hawaii. Further, per the Narcotics Enforcement Division of the State Department of Public Safety, "GHB" has been banned by the Food and Drug Administration. It is proposed that HSAC support measures which make a Schedule I controlled substance under Chapter 329-] 4 of the Hawaii Revised Statutes. 6. Relating to an Emergency Management, Prepazedness, and Assistance Trust Fund establishes a State trust fund for preparing for and responding to natural, man-made and technological disasters in the State. The trust fund shall be funded by an annual surcharge on homeowners ($2) and commercial ($4) insurance policies to be collected by the insurer and remitted to the Department of Taxation. Funds shall be allocated as follows: 60% to administer State and local emergency management programs, including training; 2) 20% for State relief assistance for non- federally declared disasters; and, 3) 20% for grants and loans to local government and private organizations to implement projects that further the emergency management objective. B. HSAC Telecommunications Plan The Executive Committee is still searching for options on utilizing available resources to implement an HSAC Telecommunications Plan. A "Request for Comment" will be circulated shortly. Comments can then be directed to an HSAC Internet Home Page which is currently being developed. The results will be screened and submitted to the Executive Committee for review. C. Video Conferencing of HSAC Executive Committee Meetings An orientation and practice session using Video Conferencing was scheduled on each of the islands for November 25, 1996 at 10:30 a.m. D. State/County Fiscal Relationship Task Force President Mansho reported that the State/County Fiscal Relationship Task Force meet on October 7. 1996. Minutes will be provided at a later date. 4 n VI. NEW BUSINESS A. Enactment of Anti-Ephedrine Bil] The Executive Committee discussed Honolulu Ordinance 96-59 prohibiting the sale of products containing ephedrine on Oahu. Enactment of a similar ordinance on the each of the neighbor islands is suggested. This matter was referred to the counties. B. HSAC Task Force on Tele-Health Services The Executive Committee discussed Honolulu Council Resolution 96-284 requesting HSAC to form a task force on tele-health services. An HSAC Resolution will be drafted based on Honolulu Resolution 96-284 and will be forwarded to the county councils. C. County Jails Charging Inmates Room and Board The Executive Committee discussed the NACo County News article, dated September 2, 1996, regazding some county jails chazging inmates for room and boazd. See NACo County News article, Volume 28, Number 16. This matter was for information only. D. New Welfare Law that Benefits Counties The Executive Committee discussed the NACo County News article, dated September 2, 1996, regarding the new welfare law that benefits counties that turn in names of inmates who are welfare recipients. See NACo County News article, Volume 28, Number 16. This matter was for information only. E. Meeting With Governor Ben Cayetano President Mansho reported on her continuing attempts to arrange a meeting with Governor Ben Cayetano. VII. COMMUNICATIONS The following communications were placed on file: 1. From President Mansho to Michael Hightower, NACo President, dated September 26, 1996, regarding President Mansho's appointment as Vice Chair of NACo's Telecommunications Subcommittee. 2. From Secretary-Treasurer Domingo to President Mansho, dated September 30, 1996, regarding HSAC Travel Reimbursements. 3. From Daniel K. Akaka, U. S. Senator, to President Mansho, dated October 1, 1996, regarding the Workforce Development and Cazeer Act of 1996. 4. From Norman Mizuguchi, State Senate President, to President Mansho, dated October 7, 1996, regarding assisting HSAC in drafring legislation for the 1997 legislative session. 5. From Alan Kalmanoff, Executive Director, Institute for Law and Policy Planning, to President Mansho, dated October 9, 1996, regarding publication and dissemination of their materials through HSAC. VIII. ANNOUNCEMENTS The next meeting of the HSAC Executive Committee is scheduled for November 22, 1996. 9:00 a.m. at the Honolulu Council Committee Room. IX. ADJOURNMENT There being no further business, the meeting of the Executive Committee was adjourned at 11:42 a.m. Very truh~ yours, Z~ TAKASHI OMtn"~L~J Secretary-Treasurer Hawaii State Association of Counties 6 Hawaii Stn~e Association Counties Counties of Kauai, Maui and Hawaii, City 8. County of Honolulu , r~ 9 G ~ v November 12, 1996 The Executive Committee Members Hawaii State Association of Counties Dear Sirs: Please find enclosed the report of the Association's revenues collected and expenses paid for the fiscal period October 1 to October 31, 1996. Very truly yours, TAKASHI DOMINGO Secretary-Treasurer Hawaii State Association of Counties Enclosure ,y. ww •,t ~ . HAWAII STATE ASSOCIATION OF COUNTIES REVENUES COLLECTED AND EXPENSES PAID Fiscal Period: October 1 through October 31, 1996 FUND BALANCE AT BEGINNING DATE $43,440.74 This Year to Period Date Budget Receipts 001 Membership Fees $21,000.00 $28,000.00 $28,000.00 010 Conference Income $0.00 $6,283.96 $6,000.00 0301nterest Income $171.11 $461.72 $1,400.00 090 Miscellaneous $0.00 $100.00 $0.00 Total $21,171.11 $34,845.68 $35,400.00 TOTAL RECEIPTS THIS PERIOD $21,171.11 Disbursements Executive Committee 201 Travel $0.00 $159.00 $3,960.00 202 Auditing Services $0.00 $0.00 $4,500.00 203 Stationery $0.00 $719.08 $800.00 209 Miscellaneous $0.00 $0.00 $500.00 Special Committees 301 Travel $0.00 $0.00 $1,320.00 309 Miscellaneous $0.00 $0.00 $100.00 NACo 401 Travel $0.00 $1,320.82 $6,000.00 402 Promotional $0.00 $0.00 $500.00 403 Dues $0.00 $0.00 $18,992.00 409 Miscellaneous $0.00 $0.00 $500.00 WIR 501 Travel $0.00 $0.00 $2,000.00 502 Promotional $0.00 $3,934.15 $25,000.00 503 Dues $0.00 $0.00 $2,200.00 509 Miscellaneous $0.00 $0.00 $0.00 Conferences 606 FY 95-96 Annual $0.00 $0.00 $0.00 607 FY 96-97 Mid Year $0.00 $1,000.00 $0.00 609 Miscellaneous $0.00 $0.00 $0.00 TOTAL $0.00 $7,133.05 $66,372.00 TOTAL EXPENSES THIS PERIOD $0.00 FUND BALANCE AT END OF PERIOD $64,611.85 NOV-27-9o WED 9.18 OFFICE OF COUNCIL SVCS, FAX N0. 8085275581 P, 02/04 , B. NO. A BILL F'OR AN ACT RELATING TU PREFERENCE TO BIDDERS ON COUNTY CON'j'RACTS. HE IT ENAClCED HY THE LEGISLATL•RE OF THE STATE O$ HAxTAII: SECTIi)PI 1. Section 103-45.5, FTawaii Revised Statutes, is amended by adding a new subsection (g) to read as follows: "(a) The requirements in this section are in addition to any other applicable requirements provided in this chapter. (b) ~rhe preference'in this section may not be utilized in combination with any other preference otherwise available to a bidder under state or federal J.aw. (c) In any contract for a public works project, a state agency shall award the contract to a bidder who has filed State of xawaii employment, general excise, and income tax returns and has paid all amounts owing on such returns for four successive years prior to submitting the bid; provided that the amount of that bid is not more than fifteen per cent higher than the amount bid by any competing contractor who has not filed or paid State of Hawaii taxes as specified, and.the amount of tha bid by the i state tax paying bidder is $5,000,000 or less- - (d) In any contract for a public works project, a state agency shall acrard the contract to a bidder who has filed State cf Hawaii employment, general excise, and income tax returns and dSAC BIDDER:i2.e96 '~JU-~+-'?5 WcD 9~iE~ OFFICE OF COUNC?L SVCS, FRX N0. 8085275581 P,Q3/04 , has paid z.ll amounts owing on such returns for eight successive years prior to submitting the bid; provided that the amount of that bid i_s not mare than fifteen per cent higher than the amount bid by an}' competing contractor who has not filed or paid State of Hawaii taxes as specified, and the amount of the bid by the state tax paying bidder is more than $5,000,000. (e) If two or more contractors who have paid state and county ta::es or were required to submit a filing regarding state and count~~ taxes are bidding an a public Works contract, and those contractors meet the criteria outlines in subsection (c) or (d), the state agency shall award the contract to the contractor among them who ~ submitted the lowest bid. (f) If any federal statute or regulation precludes the granting of federal assistance or zeduces the amount of that assistanc~a for a particular public works project because of preferenaa awarded by this section, this section shall not apply insofar a:~ its application would pzeclude or reduce federal assistanc~a for that work. ,iq~_, Anv county, by ordinance,~,may adopt a prefezence for bidders o~z county public works projects similar to the provisions in this s~action.'~ SECT:LON 2. New statutory material is underscored. SECTION 3. This Act shall take effect upon its approval. i . INTRODUCED BY: -2- NOU-27-96 WED 9.1"' OFFICE OF COUNCIL SVCS, FAX N0. 8085275581 P, 04/04 , A SILL I+OR AN ACT RELATSNG `.:O THE GENERAL EXCSSE TAX. BE IT ENACTED 8'Y THE LEGISLATURE OF THE STATE OF HAWAII: SECT;CON 1. Chapter 237, Hawaii Revised Statutes, is amended by adding a new section to be appropxiately designated and to read ae fellows e '~§23'l- Reimbursement for amounts of taxes amassed ari to county ct4'vernments by Sicenaees. By August 30 of each year, the 4qunties ,hall each submit a substantiated written cl im to the departmenk of budgek and finance for reimbursement of their e~endituLes for taxes passed an to them and~aid under chapter 237____ Rased on these claims, the department of budget and €inance shall submit to the subsequent legislaL•ure the counties' claims fox the AxiOr fiscal Year for reimbursement through the legislative appropriation of funds in the amount of the claims." SECTION 2. New material is underscored. SECTION 3. This Act shall take effect on July 1, 1597. INTRODUCED SX:/ rr or „ AL SMITH v4 Phone: (808) %1-8267 Councilman . n ~ n F i r- D Fax: (808) %9-3291 J [ ,rf Gi N'om' • 96 D~1/ ~ 1'1 I V COUNTYCOUNQI~FICE 'i"Y CLEER County of Hawaii (;QUN?T OF N:;7lAll Hawaii County Building 25 Aupuni Street Hilo, Hawaii 96720 December 2, 1996 Council Chair James Arakaki Hawaii County Council Hilo, Hawaii 96720 RE: HSAC Executive Committee Meeting - November 22, 1996 Pursuant to Section 1(d) of Rule 4 of the Rules of Procedure of the Council of the County of Hawaii, this written approval is submitted in regards to Communication No. the HSAC Executive Committee Meeting - November 22, 1996, waiving said referral from the Committee on Finance in order that appropriate action can be taken by the Council. In reviewing the contents of the referral, it is deemed advisable that such waiver be granted. Al Smith, (Acting), Secretary-Treasurer Hawaii State Association of Counties(HSAC) Approved: e Y. Ara aki, Chai`~r-man H wai'i Cou ty Council