HB1656 • 2026

RELATING TO INDEBTEDNESS TO THE STATE.

Labor

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: SAYAMA, ILAGAN, KILA, KUSCH, LEE, M., MARTEN, OLDS, TAKAYAMA
Last action: 2026-05-01
Official status: Conference Committee Meeting will reconvene on Friday, 05-01-26 at 3:45PM in Conference Room 411.
Effective date: Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

RELATING TO INDEBTEDNESS TO THE STATE.

What This Bill Does

RELATING TO INDEBTEDNESS TO THE STATE.
Indebtedness; Salary or Wage Overpayment; Overpayment Payroll Transactions; Deductions for Recovery; Notice Amends the amount that a disbursing officer may deduct from an employee's salary, wage, or compensation based on the employee's gross income.
Effective 7/1/2050.
(SD1)

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HD1

Hawaii published version HD1

Plain English: HB1656 HD1 HOUSE OF REPRESENTATIVES H.B.

HB1656 HD1 HOUSE OF REPRESENTATIVES H.B.
NO.
1656 THIRTY-THIRD LEGISLATURE, 2026 H.D.
1 STATE OF HAWAII A BILL FOR AN ACT RELATING TO INDEBTEDNESS TO THE STATE .

SD1

Hawaii published version SD1

Plain English: HB1656 SD1 HOUSE OF REPRESENTATIVES H.B.

HB1656 SD1 HOUSE OF REPRESENTATIVES H.B.
NO.
1656 THIRTY-THIRD LEGISLATURE, 2026 H.D.
1 STATE OF HAWAII S.D.

Bill History

2026-05-01 H
Conference Committee Meeting will reconvene on Friday, 05-01-26 at 3:45PM in Conference Room 411.
2026-05-01 H
Conference Committee Meeting will reconvene on Friday, 05-01-26 at 12:00PM in Conference Room 016.
2026-04-29 H
Bill scheduled for Conference Committee Meeting on Friday, 05-01-26 8:45AM in conference room 016.
2026-04-29 H
Received notice of Senate conferees (Sen. Com. No. 791).
2026-04-29 S
Senate Conferees Appointed: Elefante Chair; Kim Co-Chair; Ihara.
2026-04-21 S
Received notice of appointment of House conferees (Hse. Com. No. 799).
2026-04-21 H
House Conferees Appointed: Sayama, Lee, M. Co-Chairs; Garcia.
2026-04-17 S
Received notice of disagreement (Hse. Com. No. 780).
2026-04-16 H
House disagrees with Senate amendment (s).
2026-04-14 H
Returned from Senate (Sen. Com. No. 596) in amended form (SD 1).
2026-04-14 S
Report adopted; Passed Third Reading, as amended (SD 1). Ayes, 25; Aye(s) with reservations: none . Noes, 0 (none). Excused, 0 (none). Transmitted to House.
2026-04-09 S
48 Hrs. Notice 04-14-26.
2026-04-09 S
Reported from WAM (Stand. Com. Rep. No. 3670) with recommendation of passage on Third Reading, as amended (SD 1).
2026-04-06 S
The committee(s) on WAM recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in WAM were as follows: 12 Aye(s): Senator(s) Dela Cruz, Moriwaki, DeCoite, Elefante, Hashimoto, Inouye, Kanuha, Kidani, Kim, Richards, Wakai, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Lee, C..
2026-04-01 S
The committee(s) on WAM will hold a public decision making on 04-06-26 10:32AM; Conference Room 211 & Videoconference.
2026-03-23 S
Report adopted; Passed Second Reading and referred to WAM.
2026-03-23 S
Reported from LBT (Stand. Com. Rep. No. 3119) with recommendation of passage on Second Reading and referral to WAM.
2026-03-16 S
The committee(s) on LBT recommend(s) that the measure be PASSED, UNAMENDED. The votes in LBT were as follows: 4 Aye(s): Senator(s) Elefante, Lamosao, Ihara, Moriwaki; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Fevella.
2026-03-12 S
The committee(s) on LBT has scheduled a public hearing on 03-16-26 3:00PM; Conference Room 225 & Videoconference.
2026-03-10 S
Referred to LBT, WAM.
2026-03-06 S
Passed First Reading.
2026-03-06 S
Received from House (Hse. Com. No. 32).
2026-03-05 H
Passed Third Reading with none voting aye with reservations; none voting no (0) and Representative(s) Perruso excused (1). Transmitted to Senate.
2026-03-05 H
Reported from FIN (Stand. Com. Rep. No. 799-26), recommending passage on Third Reading.
2026-02-26 H
The committee on FIN recommend that the measure be PASSED, UNAMENDED. The votes were as follows: 16 Ayes: Representative(s) Todd, Takenouchi, Hartsfield, Hussey, Keohokapu-Lee Loy, Kitagawa, Kusch, Lee, M., Miyake, Morikawa, Perruso, Templo, Yamashita, Alcos, Gedeon, Reyes Oda; Ayes with reservations: none; 0 Noes: none; and 0 Excused: none.
2026-02-24 H
Bill scheduled to be heard by FIN on Thursday, 02-26-26 10:00AM in House conference room 308 VIA VIDEOCONFERENCE.
2026-02-17 H
Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Lee, M., Poepoe excused (3).
2026-02-17 H
Reported from LAB (Stand. Com. Rep. No. 282-26) as amended in HD 1, recommending passage on Second Reading and referral to FIN.
2026-02-10 H
The committee on LAB recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 6 Ayes: Representative(s) Sayama, Lee, M., Garrett, Kapela, Kong, Reyes Oda; Ayes with reservations: none; 0 Noes: none; and 0 Excused: none.
2026-02-05 H
Bill scheduled to be heard by LAB on Tuesday, 02-10-26 9:30AM in House conference room 309 VIA VIDEOCONFERENCE.
2026-01-26 H
Referred to LAB, FIN, referral sheet 1
2026-01-21 H
Introduced and Pass First Reading.
2026-01-20 H
Prefiled.

Official Summary Text

RELATING TO INDEBTEDNESS TO THE STATE.
Indebtedness; Salary or Wage Overpayment; Overpayment Payroll Transactions; Deductions for Recovery; Notice
Amends the amount that a disbursing officer may deduct from an employee's salary, wage, or compensation based on the employee's gross income. Effective 7/1/2050. (SD1)

Current Bill Text

Read the full stored bill text

HB1656

HOUSE OF REPRESENTATIVES

H.B. NO.

1656

THIRTY-THIRD LEGISLATURE, 2026

STATE OF HAWAII

A BILL FOR AN ACT

relating
to indebtedness to the state
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

����
SECTION
1
.
�
Section 78-12, Hawaii Revised Statutes, is
amended by amending subsection (f) to read as follows:

����
"(f)
�
[
Regardless of whether a contested
determination of indebtedness is pending, the disbursing officer shall commence
immediate recovery of the indebtedness as provided in this subsection.
�
If the indebtedness is equal to or less than
$1,000, the disbursing officer shall immediately deduct from any subsequent
periodic payment normally due the employee any amount up to the total amount of
indebtedness and for indebtedness greater than $1,000, the disbursing officer
shall deduct:

����
(1)
�
An amount agreed to by the employee and the
appointing authority, but not less than $100 per pay period; or

����
(2)
�
One-quarter of the salary, wages, or
compensation due the employee until the indebtedness is repaid in full.
]

����
The
disbursing officer shall commence recovery of the indebtedness; provided that
the disbursing officer or appointing authority provides a written statement to
the employee at least thirty calendar days before the deduction. The written
statement shall include the total amount owed and the amount to be deducted
from any subsequent periodic payment normally due the employee. The disbursing
officer shall deduct no more than five per cent of the employee's gross income
per pay period, unless the employee otherwise requests and specifies that a
greater percentage or amount be deducted.

����
[
In addition to paragraph (1), an
]
An

employee and the appointing authority may agree to offset any remaining amount
of indebtedness by applying the current value of appropriate leave or
compensatory time credits posted in the employee's respective accounts as
balances that would otherwise be payable in cash upon separation from service;
provided that credits shall not be applied to any extent that would require a
refund of any moneys already deducted or repaid or that would require the
payment of any moneys to the employee equivalent to a cashing out of leave or
compensatory time credits."

����
SECTION
2.
�
Statutory material to be repealed is
bracketed and stricken.
�
New statutory
material is underscored.

����
SECTION 3.
�
This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

Report Title:

Indebtedness;
Salary or Wage Overpayment; Overpayment Payroll Transactions; Deductions for
Recovery; Notice

Description:

Amends
the amount that a disbursing officer may deduct from an employee's salary,
wage, or compensation based on the employee's gross income.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.