This is a complete chronological list of all laws signed and vetoes issued by the Governor during the 2010 Legislative session.  It will be updated continuously throughout the session.

ACT 030 (10)

SB2357 SD2 HD1

Signed: April 16, 2010

RELATING TO RENEWABLE ENERGY.

Requires gas utility companies to submit annual reports to the Public Utilities Commission.

ACT 029 (10)

HB40 HD1

Signed: April 16, 2010

RELATING TO STATE BONDS.

Repeals the $40 million Special Purpose Revenue Bond authorization for Carbon Diversion, Inc.

ACT 028 (10)

SB2325 SD1 HD2

Signed: April 16, 2010

RELATING TO CONTRACTORS.

Requires licensed electrical or plumbing workers to display their license while on a construction job site.

ACT 027 (10)

SB2139 SD2 HD2

Signed: April 16, 2010

RELATING TO VETERANS.

Requires the Hawai‘i Office of Veteran Services to be responsible for the proper burial of an indigent veteran who has no immediate family.

ACT 026 (10)

SB2111 SD2 HD1

Signed: April 16, 2010

RELATING TO AFFORDABLE HOUSING.

Shortens from 90 days to 60 days the timeframe for the counties to accept roads, sewers and related improvements associated with an affordable housing project.

  *   *   *   *   *

ACT 025 (10)

SB2432

Signed: April 15, 2010

RELATING TO HAWAI‘I INSTITUTE FOR EDUCATIONAL PARTNERSHIPS.

Repeals the law establishing the Hawai‘i Institute for Educational Partnership, which duplicates functions that are currently performed by the University of Hawai‘i’s College of Education. 

  *   *   *   *   *

ACT 024 (10)

HB1902 HD1

Signed: April 15, 2010

RELATING TO LONG-TERM CARE.

Extends the sunset date and reporting deadlines for the Long-Term Care Commission.

  *   *   *   *   *

ACT 023 (10)

SB2834 SD1

Signed: April 15, 2010

RELATING TO TAXATION.

Repeals Act 165, Session Laws of Hawai‘i 2009, thereby allowing taxpayers to take income tax deductions against their gambling winnings for any gambling losses incurred.

####

Governor Linda Lingle has vetoed the following bill:

HB1868 HD1

Veto Date: April 14, 2010

RELATING TO CIVIL SERVICE

Discourages experienced and knowledgeable career civil servants from accepting appointed positions by denying them return rights to their former position if they serve more than one year as an appointee.  The Governor's veto message follows and is attached.

STATEMENT OF OBJECTIONS TO HOUSE BILL NO. 1868

Honorable Members

Twenty-Fifth Legislature

State of Hawaii

Pursuant to Section 16 of Article III of the Constitution of the State of Hawaii, I am returning herewith, without my approval, House Bill No. 1868, entitled "A Bill for an Act Relating to Civil Service."

The purpose of this bill is to prohibit all civil service employees not covered by collective bargaining agreements from taking leaves of absence to serve for more than one year in certain appointed positions in the executive and judicial branches.  The one-year leave of absence would also apply to civil service employees whose collective bargaining agreements do not provide for the granting of longer leaves for the purpose of serving in appointed positions.

This bill is objectionable for the following reasons. First, this measure provides unfair and disparate treatment between career civil servants depending on whether they are covered by collective bargaining agreements.  Because there are a number of collective bargaining agreements covering Hawaii Government Employees Association and United Public Worker employees that provide for four-year leaves of absence to serve in appointed positions, this bill conflicts with section 89C-3, Hawaii Revised Statutes, which requires employers to provide employees not covered by collective bargaining agreements with compensation and benefit packages that are at least equal to compensation and benefit packages provided under collective bargaining agreements for counterparts or subordinates within the employer's jurisdiction.  Section 89C-3 was recently interpreted by the State Circuit Court to mean that a vacation leave or temporary assignment program offered by a public employer only to civil service employees through a collective bargaining agreement constituted a distinct "benefit" that must be offered equally to all of that employer's civil service employees.  As such, we believe, this bill is in conflict with current law.  Given that section 89C-6 allows chapter 89C to take precedence over all other statutes, including chapter 76 as amended by this bill, we also note House Bill No. 1868 is for all practical purposes unenforceable.

Second, the net effect of this measure will be to impose severe practical constraints on the ability of various appointing authorities, including the Governor, to fill certain appointed positions such as department directors, deputies, and board and commission members.  The number of career civil servants willing to take these types of appointments would be severely reduced without assurances that they will be able to keep their hard earned benefits by returning to their previous positions after the end of an appointment.  Although this bill will not affect my administration, it will have a significant impact on the next administration.

Third, this measure needlessly limits valuable opportunities for career civil servants to serve in higher level appointed leadership positions in our government.  By specifically targeting civil servants not covered by collective bargaining agreements—who often tend to be managerial and supervisory employees—the State will lose out on the valuable knowledge and expertise that these civil servants will bring to their appointed positions.  

For the foregoing reasons, I am returning House Bill No. 1868 without my approval.

Respectfully,

LINDA LINGLE

Governor of Hawaii

####

ACT 022 (10)

HB2600

Signed: April 14, 2010

RELATING TO TAX ADMINISTRATION.

Changes from the last day of the month to the 20th of the month the due date for payment of State taxes, including transient accommodations taxes, insurance premiums taxes, use taxes, fuel taxes, liquor taxes, tobacco taxes, and rental motor vehicle surcharge taxes.

  *   *   *   *   *

ACT 021 (10)

HB2596

Signed: April 14, 2010

RELATING TO TAX CREDITS.

Establishes that a taxpayer must take refundable tax credits first before claiming non-refundable tax credits.  Refundable credits are those where the individual can receive money back from the State, even when he/she does not owe taxes.

#### 

ACT 020 (10)

SB2201 SD1 HD1 

Signed: April 13, 2010

RELATING TO MOTOR VEHICLES.

Deletes an obsolete legal provision that says all motor vehicle registration fees must be paid by April 1 of each year, rather than the current practice of staggered due dates.

  *   *   *   *   *

ACT 019 (10)

SB2340 SD1 HD1 

Signed: April 13, 2010

RELATING TO KANE‘OHE BAY REGIONAL COUNCIL.

Repeals the July 1, 2010 sunset date of the Kane‘ohe Bay Regional Council and requires the Council to meet annually rather than quarterly.

  *   *   *   *   *

ACT 018 (10)

SB2050

Signed: April 13, 2010

RELATING TO VOCATIONAL REHABILITATION IN WORKERS’ COMPENSATION LAW.

Corrects an error in the codification of the workers’ compensation rules to ensure modified work for an injured employee is with the same, not a different employer.

####

ACT 017 (10)
SB2676 SD1
Signed: April 12, 2010
RELATING TO THE ALOHA TOWER DEVELOPMENT CORPORATION.
Makes an emergency appropriation of $900,000 from the Aloha Tower Development Corporation’s Aloha Tower Fund to pay a portion of the settlement in the Hughes Development Corporation legal case.  

ACT 016 (10)
SB2759
Signed: April 12, 2010
RELATING TO DRIVER LICENSING.
Clarifies the difference between a commercial driver’s license and a category IV driver’s license.

ACT 015 (10)
SB2754
Signed: April 12, 2010
RELATING TO COMMERCIAL DRIVER LICENSING.
Changes Hawai‘i’s penalties for those holding a commercial driver’s license to conform to federal requirements, such as increasing the suspension of a license for a first offense from 90 days to 180 days.  

ACT 014 (10)
SB2758
Signed: April 12, 2010
RELATING TO SAFETY INSPECTION OF MOTOR CARRIER VEHICLES.
Corrects inconsistencies in Hawai‘i laws governing the signage that must be used on a vehicle transporting hazardous cargo so that Hawai‘i still qualifies for federal motor vehicle safety funds.

####

ACT 013 (10)

ACT 011 (10)
SB2699 SD1
Signed: April 1, 2010
RELATING TO RESTORATION OF CERTAIN FORFEITED PROFESSIONAL AND VOCATIONAL LICENSES.
Protects consumers by providing that chiropractors, real estate brokers, and realtors have set periods of time within which they must restore their forfeited licenses.

#### 

ACT 010 (10)

SB2740

Signed: March 31, 2010

RELATING TO SAINT DAMIEN DE VEUSTER DAY.

Changes Father Damien DeVeuster Day from April 15 to May 10 of each year and renames the day to Saint Damien de Veuster Day. 

####

ACT 009 (10)

SB2602 HD1

Signed: March 23, 2010

RELATING TO REAL ESTATE LICENSEES.

Increases the continuing education requirements for real estate licensees.

####

GOVERNOR’S BILL ACTION REPORT

March 19, 2010

Governor Linda Lingle has vetoed the following bill:

SB771 SD1 HD1

Veto Date: March 19, 2010

RELATING TO APPRAISALS.

Requires arbitrators to follow an inappropriate standard in arbitration proceedings to determine the fair market value of real estate.

The Governor's veto message follows and is attached.

EXECUTIVE CHAMBERS HONOLULU March 19, 2010

STATEMENT OF OBJECTIONS TO SENATE BILL NO. 771

Honorable Members Twenty-Fifth Legislature State of Hawaii

Pursuant to Section 16 of Article III of the Constitution of the State of Hawaii, I am returning herewith, without my approval, Senate Bill No. 771, entitled "A Bill for an Act Relating to Appraisals."

        The purpose of this bill is to require real estate appraisers to comply with the Uniform Standards of Professional Appraisal Practice when they are acting as arbitrators.  The bill also requires that the record of an award in an arbitration proceeding conducted by an appraiser include specific findings of fact, evidence, and the appraiser's reasoning for the award.

        This bill is objectionable because appraisers who serve as arbitrators are not engaging in the practice of real estate appraisal.  The fact that arbitration is being conducted for the purpose of determining the value of real estate does not cure this objection.  Arbitration is an alternative dispute resolution process used to reach a compromise solution, and not an appraisal.  In an arbitration proceeding, the parties submit their cases to an impartial person or panel for what is intended to be a final, binding decision.

        During an arbitration proceeding to determine the value of real estate, both sides typically hire their own appraisers as expert witnesses.  These expert witnesses are required by state statute to follow the Uniform Standards of Professional Appraisal Practice ("USPAP") if they perform an appraisal.  Arbitrators therefore have an opportunity to evaluate competing and USPAP conforming appraisals and make an accordingly informed decision.

        Forcing arbitrators to use USPAP would require them to follow a standard that is not applicable to their proceedings, increasing costs and lengthening the process of arbitration.  It would be more appropriate to require these panels to follow the Uniform Arbitration Act, as set forth in Chapter 658A of the Hawaii Revised Statutes, and amend the chapter to specify the award explanation.

        While requiring arbitrators to comply with USPAP is not an appropriate mechanism for improving transparency, there is some merit in the second element of this legislation, which would require that the record of an award in an arbitration proceeding conducted by an appraiser include specific findings of fact, evidence, and the appraiser's reasoning for the award.  Parties to arbitrations that determine the value of real estate might indeed benefit from a more detailed rationale for an arbitration award.  Accordingly, legislation along these lines may be worth pursuing in the future, with the input of all stakeholders.  However, while improving the transparency of these types of arbitration proceedings deserves attention, this bill, as written, is not the appropriate mechanism for achieving that goal.

For the foregoing reasons, I am returning Senate Bill No. 771 without my approval.

Respectfully,

LINDA LINGLE

Governor of Hawaii

####

ACT 008 (10)

SB2015 SD1

Signed: March 17, 2010

RELATING TO INTRASTATE TELECOMMUNICATIONS SERVICES.

Clarifies that the Public Utilities Commission shall treat retail telecommunications services as fully competitive in its regulation of such services.

####

ACT 007 (10)

SB2812 SD1

Signed: March 17, 2010

RELATING TO CAPTIVE INSURANCE COMPANIES.

Reduces the time and costs associated with captive insurance company examinations conducted by the State Insurance Commissioner.

####

ACT 006 (10)

SB2017

Signed: March 16, 2010

RELATING TO INSURANCE CLAIMS ADJUSTERS.

Allows crop insurance adjusters to fulfill their Hawai‘i licensing examination requirement by passing an examination approved by the Risk Management Agency of the U.S. Department of Agriculture.

####

ACT 005 (10)

SB549 SD1 HD1

Signed: March 16, 2010

RELATING TO MOTOR VEHICLE EXPRESS WARRANTY ENFORCEMENT.

Protect consumers by providing that motorcycles are covered under Hawai‘i’s Lemon Law.

#### 

ACT 004 (10) 

SB2246 SD1

Signed: March 15, 2010

RELATING TO STATUTORY REVISION: AMENDING OR REPEALING VARIOUS PROVISIONS OF THE HAWAI‘I REVISED STATUTES AND THE SESSION LAWS OF HAWAI‘I FOR THE PURPOSE OF CORRECTING ERRORS AND REFERENCES, CLARIFYING LANGUAGE, AND DELETING OBSOLETE OR UNNECESSARY PROVISIONS.

Amends or repeals various provisions of the Hawai‘i Revised Statutes and the Session Laws of Hawai‘i for the purpose of correcting errors and references, clarifying language, and deleting obsolete or unnecessary provisions.

 *   *   *   *   *

ACT 003 (10)

SB520 SD1

Signed: March 15, 2010

RELATING TO THE MOTOR VEHICLE INDUSTRY LICENSING ACT.

Clarifies the proof-of-ownership requirements for dealers who sell or advertise motor vehicles. 

####

ACT 002 (10)

HB2169 HD2

Signed:  March 11, 2010

RELATING TO EMPLOYMENT SECURITY.

Revises the unemployment insurance trust fund rates, wage base and adequate fund ratios effective 2010.

#### 

SB1311 SD1 HD1

Veto Date: March 2, 2010

RELATING TO AQUATIC RESOURCES.

Would exempt the University of Hawai‘i from permitting requirements that protect the marine refuge in Kane‘ohe Bay and would allow the University to use staff of the Department of Land and Natural Resources without paying for the staff.

The Governor's veto message follows and is attached.

EXECUTIVE CHAMBERS HONOLULU March 2, 2010

STATEMENT OF OBJECTIONS TO  BILL NO. 1311

Honorable Members

Twenty-Fifth Legislature

State of Hawaii

Pursuant to Section 16 of Article III of the Constitution of the State of Hawaii, I am returning herewith, without my approval,  Bill No. 1311 entitled "A Bill for an Act Relating Aquatic Resources."

The purpose of this bill is to exempt the University of Hawaii from any law that requires a permit or application to carry out repair and maintenance of the Hawaii Marine Laboratory Refuge.  The bill also allows the University of Hawaii to use Department of Land and Natural Resources staff without charge.

This bill is objectionable because it grants the University of Hawaii an overly broad and unnecessary exemption from permitting requirements that protect and preserve Hawaii's natural public trust resources.

A permit allows a privilege conveyed to individuals or agencies to perform an activity not normally available to the general public.  A permit carries a responsibility to uphold high standards that will benefit society and protect our environment. To exempt a single State agency, in this case the Hawaii Institute of Marine Biology, from this obligation is inappropriate and conveys to them disproportionate powers without adequate public accountability.

The legislation fails to define what constitutes repair and maintenance activities.  It is unclear what projects would be granted a permitting exemption under this measure.  The lack of guidance provided by the ambiguous bill language could exempt a broad range of activities from the State's permitting requirements.

Further, the measure is unnecessary since routine repair and maintenance of facilities existing in conservation districts are already permissible under current conservation district rules.  Any activities that extend beyond basic repair and maintenance projects in a conservation district should be subject to the additional oversight and standards established in the permitting process.

Additionally, the bill would allow the University to use the Department of Land and Natural Resources staff at no charge in the operations of the Hawaii Institute of Marine Biology.  The department does not have surplus personnel to take on additional responsibilities.  This legislation would impose a durable and indeterminate potential fiscal liability on the Department of Land and Natural Resources.

For the foregoing reasons, I am returning Senate Bill No. 1311 without my approval.

Respectfully,

LINDA LINGLE

Governor of Hawaii

#### 

GOVERNOR’S BILL ACTION REPORT

March 1, 2010

ACT 1

Governor Linda Lingle has signed the following bill into law.

ACT 001 (10) HB2162 HD1 SD1

Signed: February 26, 2010

MAKING AN APPROPRIATION TO PROVIDE FOR THE EXPENSES OF THE LEGISLATURE, THE AUDITOR, THE LEGISLATIVE REFERENCE BUREAU, AND THE OMBUDSMAN

Appropriates $34,116,617 for the expenses of the Legislature, Auditor, Ethics Commission, Legislative Reference Bureau, Ombudsman, and Legislative Broadcast Program.

####