HomeMy WebLinkAboutRES 272 Draft 01 2014-2016OFFICE INFORMATION ONLY
Meeting: Council — September I6, 2015
Action: Filed due to vote count of 1 Aye (Wille), 7 Noes, 1 Absent (Paleka)
Re: Res 272-15; Comm. 456 (2014-2016 term)
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COUNTY OF HAWAII STATE OF HAWAII
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RESOLUTION NO. 272 15
A RESOLUTION TO REPRIMAND MAYOR WILLIAM P. KENOI FOR USING HIS
GOVERNMENT PURCHASING CARD FOR PERSONAL USE.
WHEREAS, County employees who participate in the government Purchasing Card
(pCard) Program act as fiduciaries of public funds; and
WHEREAS, the government pCard is intended for official purchases that serve a public
purpose and is not for personal use; and
WHEREAS, Mayor William P. Kenoi ("the Mayor") used his pCard between 2009 and
2013 to purchase items and services that were for personal use, which included charges at
hostess bars, purchases for a surfboard and a racing bicycle, and to pay for his State attorney bar
registration; and
WHEREAS, according to the Director of Finance, the Mayor was advised not to use his
pCard for personal expenses, but he continued to do so; and
WHEREAS, the routine use of the pCard for personal purchases over several years is not
merely a matter of unintended mistakes or oversight; and
WHEREAS, the Mayor has admitted to using the pCard for personal use and has
apologized to the public; and
WHEREAS, the Mayor has now repaid the total amount found to have been spent on
personal purchases; and
WHEREAS, the public has expressed concern about the following: (1) the Mayor's
misuse of his pCard, (2) the failure of the checks and balances that should have prevented the
continuous misuse of his pCard, and (3) the Administration's failure to release the Mayor's
itemized expenditures when requested by West Hawaii Today pursuant to the Uniform
Information Practices Act, Hawaii Revised Statutes, Chapter 9217; and
WHEREAS, the Prosecuting Attorney for the County of Hawaii has not taken a position
with regard to the Mayor's pCard use due to a potential conflict of interest and, therefore, has
deferred to the State Department of the Attorney General to investigate the allegations of
wrongdoing; and
WHEREAS, the Attorney General has opened a criminal investigation related to the
Mayor's pCard use, however, there is no indication how long that investigation will take and
whether there will be any consequences resulting from the investigation; and
WHEREAS, the Board of Ethics, with members appointed by the Mayor and confirmed
by the County Council, has received a petition from a Hawaii Island resident alleging that the
Mayor violated the Code of Ethics by using his pCard for personal use; and
WHEREAS, the Board of Ethics has taken the petition under consideration but has
deferred review until after the Department of the Attorney General concludes its investigation
and determination, however, the Board of Ethics only has jurisdiction over this matter while the
Mayor is in office and, therefore, may never provide its own ruling given that the Mayor's term
expires in December 2016; and
WHEREAS, on July 17, 2015, the Legislative Auditor submitted to the County Council
a performance audit report on the Purchasing Card Program which reviewed the use of the pCard
by County employees, including a review of the pCard transactions from the Office of the Mayor
from January 2009 through May 2015, and the audit confirmed that there were numerous pCard
transactions by the Mayor that were considered personal purchases; and
WHEREAS, the Constitution of the State of Hawaii, Article VII, Section 4
(Appropriations for Private Purposes Prohibited), states, in part: "No tax shall be levied or
appropriation of public money or property made, nor shall the public credit be used, directly or
indirectly, except for a public purpose..."; and
WHEREAS, Section 14-4 of the Hawaii County Charter and Section 2-83 of the
Hawaii County Code, regarding the Code of Ethics, states, in part, that all public property and
equipment are to be treated as a public trust and are not to be used in a proprietary manner or for
personal purposes without proper consent; and
2
WHEREAS, remaining neutral on this matter may give the impression that the County
Council is willing to overlook the Mayor's use of the pCard for personal purchases: and
WHEREAS, the County Council is not an enforcement board or agency, however, due to
the above circumstances, the County Council would like to state its disapproval of the Mayor for
using his pCard for personal usc; now, therefore,
BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF HAWAII that it
hereby reprimands Mayor William P. Kenoi for misusing his pCard.
BE IT FINALLY RESOLVED that the County Clerk shall transmit a copy of this
resolution to the Honorable Mayor William P. Kenoi, the Hawai'i County Board of kthics, and
the Director of Finance.
Dated at , I Iawari, this day of
.20
INTRODUCED BY:
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COUNCIL ME BER, COUNTY OF HAWAII
COUNTY COUNCIL ROLL, CALL. VOI h
County of Hawaii
AY LS NOLS ABS E\
Milo, Hawaii
I hereby cenlfy that the foregoing RESOLUTION was by
the wm indicutad to the right hereof adopted by the COUNCIL of the
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Reference: ,C -4.5c /;.,a;,.,,a nr
COINTY CI.F,RK CHAIRPERSON & PRESIDING OFFICER RESOLUTION NO. 272 1S
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DAVID
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LAGAN
KANUHA
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PALEKA
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WILL],
Reference: ,C -4.5c /;.,a;,.,,a nr
COINTY CI.F,RK CHAIRPERSON & PRESIDING OFFICER RESOLUTION NO. 272 1S