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HomeMy WebLinkAboutREP FC 042 2015/12/01 (2014-2016) REPORT OF THE COMMITTEE ON FINANCE DATE: December 1, 2015 Re: Comm. No. 494.9/Bill No. 101, Draft 2 PLACE: Council Chambers Hilo, Hawai`i TIME: 9:05 a.m. Council Chair and Members Hawai`i County Council Hilo, Hawai`i 96720 Your Committee on Finance, to which was referred Bill No. 101, Draft 2, reports as follows: Bill No. 101, transmitted by Council Member Margaret Wille, via Communication No. 494, dated October 1, 2015, initiates an amendment to Article XIV, Section 14-5 of the Hawai`i County Charter (2014), relating to the Board of Ethics. The membership would consist of nine members, one from each council district, with a term limit of four years. The presiding council member would provide the names of two nominees who are residents in the district but not of the same political party for the mayor's consideration, from which one would be chosen. On October 20, 2015, a motion was made to approve Bill 101. Council Members Dru Kanuha and Valerie Poindexter were absent and excused for this meeting. Council Member Margaret Wille, commented that as a legislative body we are to set standards to make sure that all act in an honest and fair way, and that accountability falls on the board of ethics and council, and that the voters should decide. Council Member Aaron Chung commented that this an important board that deals with public trust and more time should be taken on it. He confirmed with Deputy County Clerk Jon Henricks, that ballot language must be received by the State Elections office by August of 2016. Council Member Dennis Onishi suggested that the requirement for council members to submit names of board members to the mayor should be stricken, because that decision then makes it political. Council Member Maile David suggested that the ordinance created for the leeward and windward planning commissions could be looked at as to its composition, for ideas to contribute to further discussions. FC Report No.: 42 FC-42 Page 2 December 1, 2015 Finance Chair Karen Eoff agreed with increasing the number of board members but disagreed with the selection of names by council members because it can undermine the checks and balances built into the boards and commissions section of the charter. A motion was made to postpone this bill to the November 17, 2015, Finance Committee, and passed, with seven ayes. On November 17, 2015, Council Member Wille moved to amend Bill 101 with the contents of Communication 494.4. This amendment, transmitted via Communication No. 494.9, dated November 23, 2015, would: 1) increase membership from five to nine members; 2) decrease member's term from five to four years; 3) add council district residency requirements; and 4) allow each council member to nominate two persons from his or her council district to serve on the board, from which one would be appointed by the mayor, subject to confirmation by the Council. The vote was taken on the motion to amend, and passed, with six ayes to draft two. Council Members Aaron Chung, Dennis Onishi and Greggor Ilagan were absent and excused for this meeting. Several council members shared concerns regarding the requirement that each council member submit names of two nominees to the mayor's office for the appointment of one board member, subject to council confirmation. Ms. Wille moved to postpone this bill as amended to draft two, to the December 1, 2015, meeting of the Finance Committee. The vote was taken on this motion, and passed, with six ayes. On December 1, 2015, Council Member Wille commented that this bill expands the selection of board members from one person (the Mayor,) to ten people, (nine council members and the Mayor.) Ms. Wille moved to amend this bill with the contents of Communication 494.11, and explained that this floor amendment addresses concerns from the public and other council members. Council Member Dennis Onishi was absent and excused from this meeting. Chair Karen Eoff relinquished the chair to Council Member Valerie Poindexter. Ms. Eoff expressed her agreement with having a board member from each council district because it would then require five members for a quorum. She also stated that amending the charter is a serious undertaking that goes before the voters. Ms. Eoff explained that we do not legislate in the charter, that it is the foundation of our government, and that she does not see the problem in the current appointment process. She further said that council members should encourage people to submit applications for boards and commissions, and there is currently a process for checks and balances. Corporation Counsel Molly Stebbins came forward and explained that the appointment of officers to the executive branch, is the traditional function of the chief executive, and the appointment process is based on the separation of powers. Ms. Stebbins further stated that the FC-42 Page 3 December 1, 2015 proposed amendment by Ms. Wille seems to dilute that executive function, and that raises concerns with the separation of powers embodied in the current appointment process. Council Member Dru Kanuha stated that as a whole, he cannot support the current bill as amended, and that he would support Ms. Eoff s amendment which is not yet on the floor for discussion. Council Member Maile David stated her agreement with Ms. Stebbins regarding the separation of powers, and also agrees with the increase of membership for a more balanced representation. Council Member Paleka stated his support for an increase in membership and commented that the selection process is already established. He then stated that the Office of the Mayor being under scrutiny should not be a reason to change procedure. Mr. Paleka then stated that he does not support this, but believes Ms. Wille will incorporate changes later. Council Member Valerie Poindexter stated that she is not supporting the amendment and that she is in agreement with Ms. Eoff. The vote was then taken on the motion to amend Bill 101, Draft 2 with the contents of Communication 494.11, and failed, with four ayes from Council Members Chung, Paleka, Wille and Ilagan, and four noes from Council Members Eoff, David, Kanuha and Poindexter. Ms. Eoff moved to amend draft two of this bill with the contents of Communication 494.10, and explained that this amendment basically increases the membership from five to nine but takes out the requirement that each council member choose two board members. Mr. Kanuha stated that this bill needs to be in simple terms and not extremely restrictive in manner to preserve the main structure of the charter, and further stated that Ms. Eoff s amendment is one of the few ways that he would be supporting this bill in moving forward at this time. Ms. David commented that the Mayor has not yet appointed the five members for the board, then suggested that language could be added to say that if the mayor does not appoint within a certain period of time, that it would pass to council for appointment. The vote was taken on the motion to amend Bill 101, Draft 2, with the contents of Communication 494.10, and failed, with four ayes from Council Members Eoff, Kanuha, Poindexter and David, and four noes from Chung, Ilagan, Paleka and Wille. Ms. Stebbins commented on the inability to get candidates for a board and that a separation of powers is necessary to maintain checks and balances. Ms. Stebbins further commented in response to an inquiry from Ms. David, that there are several county boards and commissions that operates as a quasi-judicial process, that are challenging to fill, and stated that the Managing Director is currently working on filling the vacancies. FC-42 Page 4 December 1, 2015 The vote was taken on the motion to approve Bill 101, Draft 2, and failed, with two ayes from Council Members Wille and Eoff, and six noes from Chung, David, Ilagan, Kanuha, Paleka and Poindexter. Pursuant to Article XV, Section 15-1, of the Hawai`i County Charter(2014), initiation of amendments or revisions to the charter may be initiated by ordinance of the council adopted after three readings on separate days and passed by the affirmative vote of two-thirds of the entire membership. Your Committee on Finance is in not in accord with the purpose and intent of Bill No. 101, Draft 2, and forwards it to first reading with a negative recommendation. wb AYES NOES ABS EX Respectfully submitted, CHUNG X DAVID x COMMITTEE ON FINANCE EOFF X ILAGAN X KANUHA X / ONISHI X �, Ct �ti'rL- `Y PALEKA X KAREN EOFF, CHAIRI` POINDEXTER X FC REPORT NO.: 42 WILLE X ADOPTED: MAY 1 7 2016