GOVERNOR LINGLE SUBMITS POTENTIAL VETO LIST

TO LEGISLATURE

HONOLULU – Governor Linda Lingle today submitted to the State Legislature a list of 39 bills that she is considering for potential vetoes.  The complete list is attached.

The bills are being considered for potential veto due to various factors including significant negative impacts on the public, legal or constitutional concerns, potential unintended consequences, and technical flaws in the legislation.  The Governor has placed some bills on the list to preserve her option to veto them while the Administration continues to review them.

“While the Legislature each year passes legislation it believes is important, it is my duty as Governor to ensure the bills that become law are constitutional, fiscally responsible and in the State’s and the public’s long-term best interest,” said Governor Lingle.

“This year, as in prior years, my Administration is taking a prudent approach of questioning bills that use limited State resources ineffectively or that would hamper our economic recovery,” the Governor added.

The Governor is required by the Hawai‘i Constitution to give the Legislature 10 days notice of any bill she is considering vetoing, prior to the deadline when she must take final action on the bills passed in the 2010 legislative session.  This year the deadline to veto bills is July 6.

Any bill on the potential veto list can still be signed by the Governor or allowed to become law without her signature.  Placing the bills on the potential veto list allows the Governor additional time to deliberate, and provides further opportunities for the public to voice their support or concern relating to the bills.  Bills not on the potential veto list cannot be vetoed.  Therefore, the list is more inclusive to preserve the Governor’s option to veto a measure that is still being reviewed.

Over the next 10 days, the Lingle-Aiona Administration will continue to carefully review the bills on the list.  As she has done every year since taking office, the Governor has been seeking comments from the public on bills passed this legislative session.  In addition, the Administration seeks input from the counties, law enforcement agencies, neighbor island liaisons and state boards and commissions.

This year the Legislature passed 250 bills.  As of today, 167 bills have become law.  Four other measures have been vetoed.  For a complete list of bills that have become law this legislative session or to read the Governor’s statements of objections on bills already vetoed, visit the Governor’s Web site at: www.hawaii.gov/gov/leg/2010-legislative-session.

Public comments on the 39 bills being considered for vetoes on July 6 may be sent to the Governor’s office as follows:

Email:        governor.lingle@hawaii.gov or gov.policy@hawaii.gov

Fax:        (808) 586-0006

Mail:         Office of the Governor

        Hawai‘i State Capitol, Executive Chambers

        Honolulu, Hawai‘i 96813

2010 Potential Vetoes

Bill No. Title

HB415 HD2 SD2 CD1 RELATING TO PUBLIC SAFETY.

Veto Explanation:        Directs the auditor to conduct an expensive and unnecessary audit of the Department of Public Safety’s contracts with mainland prisons and the Honolulu federal detention center.

HB444 HD1 SD1 RELATING TO CIVIL UNIONS.

Veto Explanation:        Extends the same rights, benefits, protections, and responsibilities of spouses in a marriage to partners in a civil union.

HB865 HD1 SD1 CD1 RELATING TO TRANSPORTATION.

Veto Explanation:        Establishes an unfunded mandate on the State Department of Transportation by setting up a working group to perform a feasibility study on transferring state highway maintenance functions to Maui County without providing resources or allowing adequate time for the study.

HB921 HD1 SD2 RELATING TO PUBLIC LANDS.

Veto Explanation:        Complicates the transfer of 999-year homestead leases, bypassing existing statutes that provide for the determination of successorship.

HB1015 HD1 SD2 CD1 RELATING TO OBLIGATIONS OF THE DEPARTMENT OF HAWAIIAN HOME LANDS TRUST FUND.

Veto Explanation:        Violates the Hawaii State Constitution by embracing more subjects than its title allows and creates ambiguities in the law by amending various provisions relating to the Department of Hawaiian Home Lands.

HB1212 HD1 SD1 CD1 RELATING TO INFORMATION PRACTICES.

Veto Explanation:        Disallows the Department of Commerce and Consumer Affairs from disclosing pending complaints against a business or professional to the detriment of consumers who need the information for informed decision-making.

HB1665 HD1 SD2 CD1 RELATING TO HAWAIIAN FISHPONDS.

Veto Explanation:        Prohibits the sale or transfer of government-owned Hawaiian fish ponds, which inadvertently results in the Department of Transportation caring for fish ponds that were intended to be made available to other organizations after being acquired as part of the Kalanianaole Highway widening project.

HB1907 HD1 SD1 CD1 RELATING TO TAXATION.

Veto Explanation:        Adversely impacts Hawaii taxpayers and businesses by capping state income tax itemized deductions and making the capital goods excise tax credit nonrefundable for businesses until January 1, 2016, contrary to sound economic policy.

HB2083 HD1 SD2 RELATING TO MILK LABELING.

Veto Explanation:        Requires milk beverages to be labeled with the date of pasteurization or the date of packaging without clearly defining what is considered pasteurized milk and which pasteurization date should be used; also takes Hawaii out of compliance with the National Conference of Interstate Milk Shipper's Pasteurized Milk Regulations.

HB2133 HD1 SD1 CD1 RELATING TO PROCUREMENT.

Veto Explanation:        Inappropriately requires the State Procurement Office to authorize reseller agreements in multi-state contracting agreements, and narrowly defines "local reseller."

HB2152 HD1 SD1 RELATING TO BUILDING DESIGN FOR PERSONS WITH DISABILITIES.
Veto Explanation:        Increases the cost of planning and designing housing, public buildings, and other construction by allowing the Disability and Communication Access Board (DCAB) to charge a significant fee for the review of American Disabilities Act compliance, duplicating compliance reviews already done by professional architects and engineers.

HB2239 SD2 CD1 RELATING TO THE DEPOSIT BEVERAGE CONTAINER PROGRAM.
Veto Explanation:        Increases the cost of dietary supplements and impacts consumers purchasing healthy beverages by repealing the exemption such supplements currently have from the expensive and ineffective Hawaii Deposit Beverage Container Recycling Program.

HB2283 HD2 SD1 CD1 RELATING TO PUBLIC PROCUREMENT.

Veto Explanation:        Subjects public employees and private entities to criminal sanctions under vague and non-specific principles of procurement ethics.

HB2289 HD2 SD1 CD1 RELATING TO GIFT CERTIFICATES.

Veto Explanation:        Establishes fees on the issuance of gift certificates, reversing previous statutes that prohibited such fees.

HB2318 HD2 SD1 CD1 RELATING TO THE HOMELESS.

Veto Explanation:        Requires the Hawaii Public Housing Authority to establish programs and services without clearly defining the eligible population or providing a sustainable, long-term source of funding.

HB2377 HD3 SD2 CD1 RELATING TO EDUCATION.

Veto Explanation:        Amends the Board of Education composition and member selection process in a manner that may not ensure the Board will be composed of members who reflect the best interests of the public and who understand the role of setting public education policies.

HB2441 HD2 SD2 CD1 RELATING TO PROCUREMENT.

Veto Explanation:        Creates unrealistic deadlines for the Department of Transportation and Department of Hawaiian Home Lands to award public contracts on bid proposals, and encourages inappropriate relationships by specifying that gifts made to the State shall not constitute or require a procurement contract.

HB2497 SD1 CD1 RELATING TO THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS.

Veto Explanation:        Authorizes the issuance of up to $40,000,000 in Special Purpose Revenue Bonds to Carbon Bio-Engineers despite possible patent ownership and licensing issues associated with this firm.

HB2583 SD2 CD1 RELATING TO IMPOUNDED VESSELS.

Veto Explanation:        Violates the Hawaii State Constitution by embracing more subjects than its title allows by adding provisions outside of the scope of impounded vessels.

HB2644 HD2 SD2 CD1 RELATING TO SOLID WASTE.

Veto Explanation:        Increases the cost of waste disposal by expanding the current solid waste disposal fee to include solid waste disposed out-of-State.

HB2708 HD1 SD1 RELATING TO TRANSPORTATION.

Veto Explanation:        Unnecessarily requires the Department of Transportation to establish administrative rules regarding the public involvement process, even though public involvement policies have already been adopted by the Department.

HB2774 HD2 SD2 CD1 RELATING TO HUMAN SERVICES.

Veto Explanation:        Decreases the effectiveness of the Hawaii Premium Plus Program to create jobs by prohibiting the Department of Human Services from expending more than $5 million on the program within a nine-month period starting May 1, 2010.

SB1105 SD2 HD1 CD1 RELATING TO LEGISLATIVE HEARINGS AND PROCEDURES.

Veto Explanation:        Burdens state agencies with the task of preparing for hearings and briefings that are duplicative and waste state resources.

SB2001 SD1 HD1 RELATING TO TAXATION.

Veto Explanation:        Extends the Tax Credit for Research Activities by one year at the expense of the High Technology Business Investment Tax Credit and Technology Infrastructure Tax Credit, which must be repealed early on May 1, 2010 instead of December 31, 2010, reversing the State's commitments to job creating businesses and their investors.

SB2020 HD2 CD1 RELATING TO REAL PROPERTY.

Veto Explanation:        Extends Act 189, Session Laws of Hawaii 2009, which changes the process for renegotiating the amount of rent during the term of an existing commercial or industrial lease, despite litigation that has deemed the Act unconstitutional.

SB2045 SD1 HD1 CD1 RELATING TO CRIME.

Veto Explanation:        Proposes the establishment of class A and B sexual human trafficking offenses to prohibit conduct that is already prohibited under Hawaii law, and does not clearly define the prohibited conduct in a way that can be enforced and prosecuted in court.

SB2165 SD1 HD2 CD1 RELATING TO PRIVATE GUARDS.

Veto Explanation:        Establishes registration and licensure requirements for security guards and individuals acting in a guard capacity that may not be appropriate for all guards in the industry.

SB2324 SD2 HD2 CD1 RELATING TO UNEMPLOYMENT INSURANCE BENEFITS.

Veto Explanation:        Violates the intent of Unemployment Insurance benefits by unfairly allowing certain partially unemployed individuals attached to a regular employer to continue receiving unemployment benefits even if they voluntarily quit their secondary part-time employment.

SB2434 SD1 HD1 CD1 RELATING TO SALARIES.

Veto Explanation:        Allows hefty salary increases, including bonuses, for certain education staff including the Superintendent and Complex Area Superintendents, that could provide up to a maximum compensation of $250,000 per year without statutorily specific performance obligations.

SB2473 SD1 HD2 CD1 RELATING TO HOUSING.

Veto Explanation:        Allows an unlimited number of grandchildren of elderly housing project residents to reside with seniors under certain situations even though elderly housing projects have limited space and are not designed to accommodate children.

SB2491 SD2 HD1 CD1 RELATING TO TELEMEDICINE.

Veto Explanation:        Jeopardizes Federal funding for certain Medicaid services by allowing health plans under Medicaid or QUEST programs to deliver telehealth services in rural counties by mobile medical van without the approval of the Federal Centers for Medicaid and Medicare Services or oversight by the Department of Human Services.

SB2534 SD2 HD1 CD1 RELATING TO BAIL.

Veto Explanation:        Adversely impacts state and county law enforcement agencies by requiring them to divert limited resources to accept bail on weekends and holidays when the courts are closed, without the proper training, facilities or staffing.

SB2547 SD1 HD1 RELATING TO SMALL BOAT HARBORS.

Veto Explanation:        Favors a specific landowner and certain tour operators by requiring the Department of Land and Natural Resources to regulate commercial boat operators bringing visitors onto "quasi-public" property despite the Department lacking necessary resources to do so.

SB2566 HD2 CD1 RELATING TO MEDICAL AND REHABILITATION BENEFITS.

Veto Explanation:        Increases workers' compensation costs and the potential for conflicts of interest by allowing doctors to perform one-time diagnostic consultations at medical facilities in which they have a financial interest, without verification from the insurer or employer that the consultation is necessary.

SB2610 HD1 CD1 RELATING TO CONVEYANCE TAX.

Veto Explanation:        Forces the Department of Taxation to reprioritize the scanning of its own tax documents and payment vouchers by requiring the Department to provide free digital images of property conveyance certificates to county real property assessment divisions by a specific time.

SB2849 SD2 HD1 CD1 RELATING TO THE HAWAII EMPLOYER-UNION HEALTH BENEFITS TRUST FUND.

Veto Explanation:        Irresponsibly exempts from the state budget allotment process $478,025,239 in general fund appropriations to the Hawaii Employer-Union Health Benefits Trust Fund for fiscal year 2011.

SB2883 SD1 HD2 CD1 RELATING TO EMPLOYMENT PRACTICES.

Veto Explanation:        Legislates a collective bargaining matter that may be preempted by the federal Labor Management Relations Act of 1947 by making it unlawful for employers to fire, demote, or withhold pay from an employee using accrued sick leave.

SB2919 SD1 HD1 CD1 RELATING TO THE HAWAII STATE HOSPITAL.

Veto Explanation:        Improperly transfers the responsibility for security at the Hawaii State Hospital from the Department of Health to the Department of Public Safety.

SB2951 SD2 HD2 CD1 RELATING TO AGRICULTURE.

Veto Explanation:        Discourages the use of public land for valid and necessary public purposes by providing unprecedented compensation to agricultural lessees of public land when such leases are withdrawn by the Department of Land and Natural Resources for public uses.

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