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HomeMy WebLinkAboutREP FC 075 07/09/2013 (2012-2014)OFFICE INFORMATION ONLY Meeting: Council — July 24, 2013 Action: Postponed to the call of Chair; never taken back up. Re: Bill 90; Comm. 313 (2012-2014 term); FC -75 not adopted) REPORT OF THE COMMITTEE ON FINANCE DATE: July 9, 2013 Re: Comm. No. 313/13ill No. 90 PLACE: Council Chambers Hilo, Hawaii TIME: 3:16 p.m. Council Chair and Members Hawaii County Council Hilo, Hawaii 96720 Your Committee on Finance, to which was referred Bill No. 90, reports as follows: Bill No. 90, transmitted by Council Member Dennis "Fresh" Onishi, via Communication No. 313 dated June 10, 2013, amends Chapter 2, Article 25, Section 2-139 of the Hawaii County Code 1983 (2005 Edition, as amended), relating to awarding of contingency funds to nonprofit organizations. The bill would repeal provisions allowing the awarding of grants to nonprofit agencies from the Council District Contingency Relief accounts. Several Council Members spoke in opposition to Bill No. 90. Council Member Ford felt the bill would restrict helping nonprofits that serve the underserved in District 6. She noted that Bill No. 90 will micro -manage the contingency funds and not allow her to use the funds as she would like to. Council Member Eoff is concerned with the guidelines for the appropriate use of the contingency funds. She feels passing Bill No. 90 would limit some good funding efforts that would benefit the public. Council Member Kern spoke in support Bill No. 90. He noted that his perspective of how contingency funds are to be used is for "tangible projects." Mr. Onishi clarified that contingency funds could be used for County organized events; however, Bill No. 90 would prohibit any other events or projects that are not county organized. Mr. Kern feels this issue should be postponed to be further delved into. Council Member Poindexter opposes Bill No. 90. She expressed her concern that this bill would not provide the opportunity or flexibility to help the communities in District 1. It was suggested by Council Member Yoshimoto that a Council Rule amendment be made to restrict all organizations who received funding awards during the annual grant process from applying for funds twice during a fiscal year. Corporation Counsel Lincoln Ashida appeared before Your Committee for questions. He explained that the contingency funds are to be used for County related projects; however, the only restriction is that the funds are to be used for public purpose per the County Charter. He stated that historically, the Council allocates contingency money to a department to facilitate a proposed project or appropriates an unanticipated expense that is not budgeted for during the fiscal year. Furthermore, Mr. Ashida noted that public money may not be used to improve private roads. FC Rept. No.: 75 FC -75 Page 2 Mr. Kern voted "kanalua" twice. July 9, 2013 Your Committee on Finance is in accord with the purpose and intent of Bill No. 90, and recommends its passage on first reading. sc Respectfully submitted, COMMITTEE ON FINANCE VALERIE T. POINDEXTER, CHAIR FC REPORT NO.: 75 ADOPTED: AYES NOES A&E EX EOFF X FORD X ILAGAN X KANUHA X KERN X ONISHI X POINDEXTER X WILLE X YOSHIMOTO X Respectfully submitted, COMMITTEE ON FINANCE VALERIE T. POINDEXTER, CHAIR FC REPORT NO.: 75 ADOPTED: