Hawai‘i grants-in-aid reform moves ahead in Senate

The Senate Ways and Means Committee, after holding a public hearing and deferring action on the bill on Jan. 31, passed SB 2615, a measure that would open up the Legislature’s grants-in-aid process, on Feb. 25 with only one dissenting vote, by Sen. Fred Hemmings.

The bill would require applicants for grants and subsidies to provide additional information and provides greater transparency as to the selected recipients. It would also require an accounting from grant recipients within thirty days of the expiration of their contract.

Two other bills, SB 2606 and SB 3217, were sent to committee but have not advanced. SB 2606 would prohibit campaign contributions from anyone submitting a bid for a contract or applying for a grant. SB 3217 would have limited grant applications to no more than once in an unspecified number of years.

Grants in aid were the subject of a series of articles in the Honolulu Advertiser in December that revealed, according to the text of SB 2615, that “grants and subsidies awarded by the legislature are selected by a small number of legislators, behind closed doors, and without formal criteria to guide them. The community also has raised concerns about the status and qualifications of some applicants, and the adequacy of the reports required of award recipients.”

The bill was introduced by Senators Les Ihara, Will Espero, David Ige, Donna Mercado Kim and Sam Slom. According to the bill’s authors, “The purpose of this Act is to provide for more complete disclosures by grant applicants; increased transparency in the legislature’s selection process, including opportunities for public participation; and greater accountability for grant awardees. The provisions of this Act are intended to provide the nonprofit community and the public-at-large with a better understanding of, and more confidence in, the legislature’s award of grants and subsidies.”