RELATING TO CLIMATE CHANGE.

SB1652

THE SENATE

S.B. NO.

1652

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to climate change
.

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

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SECTION 1.
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This Act shall be known and may be cited as
the "Climate Change Superfund Act".

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SECTION
2.
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The legislature finds that climate
change, resulting primarily from the combustion of fossil fuels, is an
immediate, grave threat to the State's communities, environment, and
economy.
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In addition to mitigating the
further buildup of greenhouse gases, the State must take action to adapt to
certain consequences of climate change that are irreversible, including rising
sea levels, increasing temperatures, extreme weather events, flooding, heat
waves, toxic algal blooms, and other climate change-driven threats.
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Maintaining the State's quality of life into
the future, particularly for young people, who will experience greater impacts
from climate change over their lifetimes, will be one of the State's greatest
challenges over the next three decades.
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Meeting that challenge will require a shared commitment of purpose, significant
investments in new or upgraded infrastructure, and new revenue sources to pay
for those investments.

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The legislature further finds that, based
on decades of research, it is now possible to determine with great accuracy the
share of greenhouse gases released into the atmosphere by specific fossil fuel
companies over the last seventy years or more, making it possible to assign
liability to and require compensation from companies commensurate with their
emissions during a given time period.

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It is therefore the intent of the
legislature to establish a climate change adaptation cost recovery program that
will require companies that have contributed significantly to the buildup of
climate change-driving greenhouse gases in the atmosphere to bear a proportionate
share of the cost of infrastructure investments and other expenses necessary
for comprehensive adaptation to the impacts of climate change in the State.

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The obligation to pay under the program established
by this Act is based on the fossil fuel companies' historic contribution to the
buildup of greenhouse gases that is largely responsible for climate
change.
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The program will operate under a
standard of strict liability, meaning companies will be required to pay into
the fund because the use of their products caused the pollution.
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No finding of wrongdoing is required.

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Further, payments by historical polluters
into the climate change adaptation cost recovery program will be used for new
or upgraded infrastructure needs such as coastal wetlands restoration; storm
water drainage system upgrades; energy efficient cooling systems in public and
private buildings, including schools and public housing; support for programs
addressing climate-driven public health challenges; and responses to extreme
weather events, all of which are necessary to protect the public safety and
welfare in the face of the growing impacts of climate change.
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The cost to the State of climate adaptation
investments through 2050 is estimated to reach several billion dollars.

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The legislature also finds that recent
science has determined that the largest one hundred fossil fuel producing
companies are responsible for more than seventy per cent of global greenhouse
gas emissions since 1988, and therefore bear a much higher share of
responsibility for climate damage to the State than what is represented by the
amount assessed against these companies.

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This Act is not intended to intrude on the
authority of the federal government in areas where it has preempted the right
of the states to legislate.
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This Act is
remedial in nature, seeking compensation for damages resulting from the past
actions of polluters.

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Accordingly, the purpose of this Act is to
establish the climate change adaptation cost recovery program to secure
compensatory payments from responsible parties based on a standard of strict
liability to provide a source of revenue for climate change adaptive
infrastructure projects within the State.

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SECTION 3.
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Chapter 225M, Hawaii Revised Statutes, is amended by adding a new part
to be appropriately designated and to read as follows:

"
Part
.
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Climate change
adaptation cost recovery program

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�225M-A
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Definitions.
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As used in this part:

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"Applicable payment date" means September
30 of the second calendar year following the effective date of Act ,
Session Laws of Hawaii 2025.

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"Climate change adaptive
infrastructure project" means an infrastructure project designed to avoid,
moderate, repair, or adapt to negative impacts caused by climate change, and to
assist communities, households, and businesses in preparing for future climate
change-driven disruptions.
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"Climate
change adaptive infrastructure project" includes but is not limited to:

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(1)
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Restoring
coastal wetlands and developing other nature-based solutions and coastal
protections;

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(2)
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Upgrading
storm water drainage systems;

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(3)
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Preparing
for and recovering from hurricanes and other extreme weather events;

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(4)
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Undertaking
preventative health care programs and providing medical care to treat illness
or injury caused by the effects of climate change;

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(5)
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Relocating,
elevating, or retrofitting sewage treatment plants vulnerable to flooding;

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(6)
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Installing
energy efficient cooling systems and other weatherization and energy efficiency
upgrades and retrofits in public and private buildings, including schools and
public housing;

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(7)
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Upgrading
parts of the electrical grid to increase stability and resilience, including
supporting the creation of self-sufficient clean energy microgrids;

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(8)
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Addressing
urban heat island effects through green spaces, urban forestry, and other
interventions;

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(9)
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Making
defensive upgrades to roads, bridges, and transit systems; and

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(10)
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Responding
to toxic algae blooms, loss of agricultural topsoil, and other climate-driven
ecosystem threats to forests, farms, fisheries, and food systems.

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"Coal"
means bituminuous coal, anthracite coal, or lignite.

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"Controlled
group" means two or more entities treated as a single employer under
section 52(a), 52(b), 414(m), or 414(o) of the Internal Revenue Code of 1986,
as amended.
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In applying subsections (a)
and (b) of section 52 of the Internal Revenue Code, section 1563 of the
Internal Revenue Code of 1986, as amended, shall be applied without regard to
section (b)(2)(C).
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For the purposes of
this part, an entity in a controlled group shall be treated as a single entity
for purposes of meeting the definition of responsible party and are jointly and
severally liable for payment of any cost recovery demand owed by any entity in
the controlled group.

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"Cost
recovery demand" means a charge asserted against a responsible party for
cost recovery payments under the program for payment to the fund.

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"Covered
greenhouse gas emissions" means, with respect to any entity, the total
quantity of greenhouse gases released into the atmosphere during the covered
period, expressed in metric tons of carbon dioxide equivalent as identified in
section 225M‑C, including but not limited to releases of greenhouse gases
resulting from the extraction, storage, production, refinement, transport,
manufacture, distribution, sale, and use of fossil fuels or petroleum products
extracted, produced, refined, or sold by the entity.

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"Covered
period" means the period that began January 1, 2000, and ended on December
31, 2018.

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"Crude
oil" means oil or petroleum of any kind and in any form, including
bitumen, oil sands, heavy oil, conventional and unconventional oil, shale oil,
natural gas liquids, condensates, and related fossil fuels.

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"Entity"
means any individual, trustee, agent, partnership, association, corporation,
company, municipality, political subdivision, or other legal organization,
including a foreign nation, that holds or held an ownership interest in a fossil
fuel business during the covered period.

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"Fossil
fuel" means coal, petroleum products, and fuel gases.

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"Fossil
fuel business" means a business engaging in the extraction of fossil fuels
or the refining of petroleum products.

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"Fuel
gases" means methane, natural gas, liquefied natural gas, and manufactured
fuel gases.

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"Fund"
means the climate change adaptation special fund established pursuant to
section 225M-J.

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"Greenhouse
gas" means carbon dioxide, methane, nitrous oxide, hydroflurocarbons,
perflurocarbons, sulfur hexafluoride, and any other substance emitted into the
air that may be reasonably anticipated to cause or contribute to anthropogenic
climate change.

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"Nature-based
solution" means a project that utilizes or mimics nature, natural
processes, or functions and that may also offer environmental, economic, and
societal benefits, while increasing resilience.
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"Nature-based solution" includes both green and natural
infrastructure.

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"Notice
of cost recovery demand" means the written communication informing a
responsible party of the amount of the cost recovery demand payable to the
fund.

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"Petroleum
product" means any product refined or rerefined from synthetic or crude
oil or oil extracted from other sources, including natural gas liquids.

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"Program"
means the climate change adaptation cost recovery program established under
section 225M-B.

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"Public
entity" means any unit of government in this State, including:

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(1)
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The
State;

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(2)
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Any
county or combination of counties, department, agency, institution, board,
commission, district, council, bureau, office, public trust, governing
authority, or other instrumentality of state or county government; and

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(3)
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Any
corporation or other establishment owned, operated, or managed by or on behalf
of the State or any county.

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"Qualifying
expenditure" means an authorized payment from the fund in support of a
climate change adaptive infrastructure project, including its operation and
maintenance, as defined by the office of planning and sustainable development.

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"Responsible
party" means any entity, or successor in interest to an entity, which,
during any part of the covered period, was engaged in the trade or business of
extracting fossil fuel or refining crude oil and is determined by the office of
planning and sustainable development to be responsible for more than one
billion tons of covered greenhouse gas emissions.
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"Responsible party" does not
include any person who lacks sufficient connection with the State to satisfy
the nexus requirements of the United States Constitution.

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�225M-B
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Climate change adaptation cost recovery
program; establishment; purpose.
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(a)
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There
is established within the office of planning and sustainable development the
climate change adaptation cost recovery program.

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(b)
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The purposes of the climate change adaptation
cost recovery program shall be the following:

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(1)
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To secure compensatory payments from
responsible parties based on a standard of strict liability to provide a source
of revenue for climate change adaptive infrastructure projects within the
State;

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(2)
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To determine proportional liability of
responsible parties pursuant to section 225M-C;

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(3)
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To impose cost recovery demands on
responsible parties and issue notices of cost recovery demands;

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(4)
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To accept and collect payment from
responsible parties;

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(5)
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To identify climate change adaptive
infrastructure projects;

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(6)
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To disperse funds to climate change
adaptive infrastructure projects; and

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(7)
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To allocate funds; provided that not
less than forty per cent of the qualified expenditures from the program shall
be allocated to climate change adaptive infrastructure projects that benefit
disadvantaged communities.

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�225M-C
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Climate change adaptation cost recovery program; responsible party
liability; cost recovery demand.
�
(a)

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A responsible party shall be strictly
liable, without regard to fault, for a share of the costs of climate change
adaptive infrastructure projects, including their operation and maintenance,
supported by the fund.

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(b)
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With
respect to each responsible party, the cost recovery demand shall be equal to
an amount that bears the same ratio to $10,000,000,000 as the responsible
party's applicable share of covered greenhouse gas emissions bears to the
aggregate applicable shares of covered greenhouse gas emissions of all
responsible parties.

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(c)
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The
applicable share of covered greenhouse gas emissions taken into account under
this section for any responsible party shall be the amount by which the covered
greenhouse gas emissions attributable to the responsible party exceeds one
billion metric tons.

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(d)
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Where
an entity owns a minority interest in another entity of ten per cent or more,
the calculation of the entity's applicable share of greenhouse gas emissions
taken into account under this section shall include the applicable share of
greenhouse gas emissions taken into account under this section by the entity in
which the responsible party holds a minority interest, multiplied by the
percentage of the minority interest held.

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(e)
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In
determining the amount of greenhouse gas emissions attributable to any entity:

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(1)
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An
amount equivalent to nine hundred forty-two and one-half metric tons of carbon
dioxide equivalent shall be treated as released for every million pounds of
coal attributable to the entity;

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(2)
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An
amount equivalent to 432,180 metric tons of carbon dioxide equivalent shall be
treated as released for every million barrels of crude oil attributable to the
entity; and

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(3)
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An
amount equivalent to 53,440 metric tons of carbon dioxide equivalent shall be
treated as released for every million cubic feet of fuel gasses attributable to
the entity.

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(f)
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The
director of the office of planning and sustainable development may adjust the
cost recovery demand amount of a responsible party refining petroleum products,
or a party that is a successor in interest to a responsible party refining
petroleum products, if the responsible party establishes to the satisfaction of
the director that a portion of the cost recovery demand amount was attributable
to the refining of crude oil extracted by another responsible party or its
successor.

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(g)
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Payment of a cost recovery demand shall be made in full on the
applicable payment date unless a responsible party elects to pay in
installments pursuant to subsection (h).

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(h)
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A responsible party may elect to pay the cost of recovery demand amount
in twenty-four annual installments; provided that eight per cent of the total
due shall be paid in the first installment and four per cent of the total due shall
be paid in each of the following twenty-three installments.
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If an election is made under this subsection,
the first installment shall be paid on the applicable payment date and each
subsequent installment shall be paid on the same date as the applicable payment
date in each succeeding year.

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(i)
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If there is any addition to the original amount of the cost recovery
demand for:
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failure to timely pay any
installment required under this section; a liquidation for sale of
substantially all the assets of the responsible party, including in a
proceeding under title XI, United States Code, or similar case; a cessation of
business by the responsible party; or any similar circumstance, then the unpaid
balance of all remaining installments shall be due on the date of the event;
provided that, in the event of a proceeding under title XI, United States Code,
or similar case, the unpaid balance of all remaining installments shall be due
on the day before the petition is filed; provided further that if a buyer of a
responsible party
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enters into an
agreement with the director of the office of planning and sustainable
development under which the buyer is liable for the remaining installments, the
terms of the agreement shall apply.

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�225M-D
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Climate change adaptation cost recovery program; office of planning and
sustainable development; responsibilities.
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(a)
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No
later than July 1, 2026, the office of planning and sustainable development
shall adopt rules pursuant to chapter 91 to carry out this part, including but
not limited to:

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(1)
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Adopting
methodologies using the best available science to determine responsible parties
and their applicable shares of covered greenhouse gas emissions consistent with
this part;

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(2)
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Registering
entities that are responsible parties under the program;

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(3)
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Issuing
notices of cost recovery demand to responsible parties informing them of:

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(A)
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The
cost recovery demand amount;

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(B)
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How
and where cost recovery demands can be paid;

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(C)
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The
potential consequences of nonpayment and late payment; and

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(D)
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Information
regarding a responsible party's rights to contest an assessment;

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(4)
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Accepting
payments from, pursuing collection efforts against, and negotiating settlements
with responsible parties; and

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(5)
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Adopting
procedures for identifying and selecting climate change adaptive infrastructure
projects eligible to receive qualifying expenditures, including legislative
budget appropriations, issuance of requests for proposals from localities and
not-for-profit and community organizations, grants to private individuals, or
other methods as determined by the office of planning and sustainable
development, and for dispersing moneys from the fund for qualifying
expenditures.
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When considering projects
intended to stabilize tidal shorelines, the office of planning and sustainable
development shall encourage the use of nature-based solutions.
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Total qualifying expenditures shall be
allocated so at least forty per cent of the qualified expenditures from the
program, shall go to climate change adaptive infrastructure projects that
benefit disadvantaged communities.

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(b)
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The office of planning and sustainable development shall hold at least
two public hearings, one in-person and one virtual, on proposed regulations,
with a minimum of thirty days public notice.

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�225M-E
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Master plan.
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No later than
July 1, 2027, the office of planning and sustainable development shall complete
a statewide climate change adaptation master plan for the purpose of guiding
the dispersal of funds in a timely, efficient, and equitable manner to all
regions of the State in accordance with the provisions of this part.
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In completing the statewide climate change
adaptation master plan, the office of planning and sustainable development
shall:

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(1)
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Collaborate
with other relevant state and county agencies;

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(2)
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Assess
the adaptation needs and vulnerabilities of various areas vital to the State's
economy, normal functioning, and the health and well-being of residents in the
State, including but not limited to:

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(A)
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Agriculture;

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(B)
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Biodiversity;

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(C)
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Ecosystem
services;

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(D)
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Education;

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(E)
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Finance;

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(F)
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Health
care;

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(G)
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Manufacturing;

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(H)
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Housing
and real estate;

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(I)
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Retail;

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(J)
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Tourism;

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(K)
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Transportation;
and

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(L)
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Municipal
and local government;

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(3)
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Identify
major potential, proposed, and ongoing climate change adaptive infrastructure
projects throughout the State;

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(4)
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Identify
opportunities for alignment with existing federal, state, and local funding
streams;

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(5)
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Consult
with stakeholders, including local governments, businesses, environmental
advocates, relevant subject area experts, and representatives of disadvantaged
communities; and

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(6)
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Provide
opportunities for public engagement in all regions of the State.

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�225M-F
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Authorization to enforce.
�
The
office of planning and sustainable development, department of taxation, and the
department of the attorney general shall be authorized to implement and enforce
the provisions of this part.

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�225M-G
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Cost recovery demand; opportunity to contest.
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The office of planning and sustainable
development or department of taxation shall provide an opportunity to be heard
to any responsible party that seeks to contest a cost recovery demand.
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Determinations made in favor of a petitioner
after a hearing shall be final and conclusive.
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A determination in favor of the State may be appealed in accordance with
part I of chapter 641.

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�225M-H
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Cost recovery demand; deposit of moneys.
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Moneys received from cost recovery demands
shall be deposited into the climate change adaptation special fund established
pursuant to section 225M-J.

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�225M-I
�

Climate change adaptation cost recovery program; evaluation.
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(a)
�
The
office of planning and sustainable development shall conduct an independent
evaluation of the climate change adaptation cost recovery program.
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The purpose of the evaluation shall be to
determine the effectiveness of the program in achieving its purpose as established
in section 225M‑B.

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(b)
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The office of planning and sustainable development shall submit the
evaluation, and any proposed legislation, to the governor and legislature no
later than forty days prior to the convening of the regular session of
2028.

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(c)
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Any entity contracted by the office of planning and sustainable
development to conduct the evaluation shall receive prompt payment of all
moneys due upon completion of the evaluation.

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�225M-J
�

Climate change adaptation special fund.
�
(a)
�

There is established in the State treasury the climate change adaptation
special fund into which funds collected pursuant to cost recovery demands under
section 225M-C shall be deposited.
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The
climate change adaptation special fund shall be applied, used, and disposed of
for the payment of qualifying expenditures pursuant to the climate change
adaptation cost recovery program established under section 225M-B.

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(b)
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No moneys shall be expended from the fund for any project except
qualifying expenditures pursuant to the climate change adaptation cost recovery
program, including their operation and maintenance.

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(c)
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Revenues in the fund shall be kept separate and shall not be comingled
with any other moneys.
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Any deposit of
revenues shall be secured by obligations of the United States or of the State
having a market value equal at all times to the amount of the deposit and any
bank and trust companies shall be authorized to give security for the deposit.

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�225M-K
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Climate change adaptation cost recovery program; labor and job
standards; worker protection; generally.
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Any public entity involved in implementing a project funded through the
climate change adaptation cost recovery program shall assess and implement
strategies to increase employment opportunities and improve job quality.
�
No later than November 1, 2025, the governor
shall publish a report, accessible on the governor's official website, which shall
provide:

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(1)
�
Steps
that will be taken to ensure compliance with this part, including the
department or office, or combination thereof, charged with implementation of
the provisions of this part;

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(2)
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Regulations
necessary to ensure the prioritization of the statewide goal of creating quality
jobs and increasing employment opportunities; and

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(3)
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Steps
that will be taken with all public entities, including local and county level
governments, to implement a system to track compliance, accept reports of
non-compliance for enforcement action, and report annually on the adoption of
these standards to the legislature no later than forty days prior to the
convening of each regular session, beginning with the regular session of
2026.

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�225M-L
�

Climate change adaptation cost recovery program; labor and job
standards; public entities.
�
In
considering and issuing permits, licenses, regulations, contracts, and other
administrative approvals and decisions necessary for implementation of projects
funded in whole, or in part, through the climate change adaptation cost
recovery program, each public entity shall apply the following standards:

����
(1)
�
For
any construction work, the payment of not less than prevailing wages for all
employees of any contractors and subcontractors, consistent with state law;
provided that, in the event a recipient of financial assistance contracts
building service work or operations and maintenance work is a building service
contractor, the contractor shall be held to the same obligations with respect
to prevailing wages as the recipient; provided further that the recipient shall
include terms establishing this obligation within any contract signed with a
contractor;

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(2)
�
The
public entity may require a private owner, or a third party acting on the owner's
behalf, as a condition of receiving funds pursuant to the climate change
adaptation cost recovery program, to stipulate to the public entity that it
will enter into a labor peace agreement with at least one bona fide labor
organization where either the bona fide labor organization is actively
representing employees in the job-type or, upon notice, a bona fide labor
organization is attempting to represent employees in the job-type.
�
For the purposes of this paragraph,
"labor peace agreement" means an agreement between an entity and
labor organization that, at a minimum, protects the State's proprietary
interests by prohibiting labor organizations and members from engaging in work
stoppages, boycotts, and any other economic interference with the relevant
project or program;

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(3)
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The
inclusion of contract language with a provision that the iron, steel, aluminum,
glass, copper, manufactured products, and construction products, including
without limitation, vehicles, omnibuses, school buses, trucks, construction
equipment, earth moving equipment, cranes, drilling equipment, rolling stock,
train control equipment, communication equipment, traction power equipment,
rolling stock prototypes, rolling stock frames, rolling stock car shells,
batteries, charging equipment, fuel cells, fueling equipment, turbines,
nacelles, blades, rotors, generators, motors, hubs, cable, conduit,
controllers, towers, photovoltaic cells, solar panels, meters, inverters, pipe,
tubing, fittings, tanks, flanges, valves, concrete, rebar, brick, aggregate,
concrete block, cement, timber, lumber, tile, and drywall used or supplied in
the performance of the contract or any subcontract, shall be produced or made
in whole or substantial part in the United States, its territories, or
possessions.
�
In the case of an iron,
steel, or aluminum product, all manufacturing shall take place in the United
States, from the initial melting stage through the application of coatings,
except metallurgical processes involving the refinement of steel additives;
provided that the provisions of this paragraph shall not apply in any case or
category of cases in which the head of the contracting public entity finds
that:

���������
(A)
�
Applying
paragraph (3) would be inconsistent with the public interest;

���������
(B)
�
Products
are not produced in the United States in sufficient and reasonably available
quantities and of a satisfactory quality; or

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(C)
�
Inclusion
of products produced in the United States will increase the cost of the overall
project by more than twenty-five per cent.

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If the head of the contracting public
entity receives a request for a waiver under this paragraph, the head of the
contracting public entity shall make available to the public on an informal
basis a copy of the request and information available to the head of the
contracting public entity concerning the request, and shall allow for informal
public input on the request for at least fifteen days before making a finding
based on the request.
�
The head of the
contracting public entity shall make the request and accompanying information
available by electronic means, including on the official public website of the
public entity.
�
The provisions of this
paragraph shall not apply for products purchased before July 1, 2025;

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(4)
�
The
head of the contracting public entity may, at the contracting entity's sole
discretion, provide for a solicitation of a request for proposal, invitation
for bid, or solicitation of proposal, or any other method provided for by law
or regulation for soliciting a response from offerors intending to result in a
contract pursuant to this subsection involving a competitive process in which
the evaluation of competing bids gives significant consideration in the
evaluation process to the procurement of equipment and supplies from businesses
located in the State;

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(5)
�
Wherever
possible, contractors and subcontractors shall be required to participate in apprenticeship
programs in the trades in which they are performing work; provided that for
industries without apprenticeship programs, the use of workforce training,
preferably in conjunction with a bona fide labor organization, shall be
required; provided further that contractors and subcontractors shall utilize
registered pre-apprenticeship direct entry programs for the recruitment of
local or disadvantaged workers; and

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(6)
�
Notwithstanding
any provision of law to the contrary, all rights or benefits, including terms
and conditions of employment, and protection of civil service and collective
bargaining status of all existing public employees, shall be preserved and
protected.
�
Nothing in this section shall
result in the:

���������
(A)
�
Displacement
of any currently employed worker or loss of position, including partial
displacement such as a reduction in the hours of non-overtime work, wages, or
employment benefits, or result in the impairment of existing collective
bargaining agreements;

���������
(B)
�
Transfer
of existing duties and functions related to maintenance and operations
currently performed by existing employees of authorized entities to a
contracting entity; or

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(C)
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Transfer
of future duties and functions ordinarily performed by employees of authorized
entities to a contracting entity.

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�225M-M
�

Hawaii jobs plan; requirement.
�

(a)
�
Any public entity requesting
bids or awarding contracts for renewable energy projects, energy efficiency
projects, or other projects funded by the climate change adaptation cost
recovery program, except for construction projects, shall require any applicant,
bidder, or responder to submit a Hawaii jobs plan as part of its application,
bid, or response.
�
The office of planning
and sustainable development, in consultation with the department of labor and
industrial relations, shall develop all forms, procedures, evaluation and
scoring criteria, and guidance necessary for the implementation of the Hawaii
jobs plan.
�
To the extent feasible, the
office of planning and sustainable development, in consultation with the
department of labor and industrial relations, shall consider the input and
recommendations of relevant public entities on the development of the Hawaii
jobs plan.

����
(b)
�

The Hawaii jobs plan shall require applicants, bidders, and responders
to provide information on jobs that would result from being awarded the bid or
contract for the projects and, at a minimum, shall include the following
information for nonsupervisory positions:

����
(1)
�
The
number of full-time non-temporary jobs retained, and the number to be created;

����
(2)
�
The
number of positions classified as employees and positions classified as
independent contractors;

����
(3)
�
The
number of jobs to be specifically reserved for individuals facing barriers to
employment and the number to be reserved for individuals from disadvantaged
communities;

����
(4)
�
The
minimum wages and fringe benefits amounts to be paid;

����
(5)
�
The
proposed amounts for worker training and information about any existing
apprenticeship program or a federally recognized state apprenticeship agency;
and

����
(6)
�
In
the event that a federal authority specifically authorizes use of a geographic
preference or when covered public contracts are funded exclusively through
state or local funds, the Hawaii jobs plan shall require information on the
number of local jobs to be created.

����
(c)
�

Awarding public entities shall require the same Hawaii jobs plan
information to be submitted from all known subcontractors at the time the
solicitation or bid for the project is released.

����
(d)
�

Hawaii jobs plan commitments shall be included in the contract awarded
by the public entity or its contractors as a material term.

����
(e)
�

For non-competitive public contracts awarded under this part,
applicants, bidders, or responders shall create a Hawaii jobs plan as set forth
in this section.
�
For competitive public
contracts, public entities shall award contracts using a competitive best-value
bid procurement process in accordance with chapter 103D.
�
The applicant's, bidder's, or responder's
Hawaii jobs plan shall be scored as a part of the overall application for the
public contract, awarding additional consideration to applicants, bidders, or
responders who do any of the following:

����
(1)
�
Have
the greatest beneficial economic impact on the state and local economies as a
result of receiving the public contract, based on the priority criteria
outlined in its Hawaii jobs plan;

����
(2)
�
Enhance
the State's commitment to energy conservation, pollution and greenhouse gas
emissions reduction, and transportation efficiency;

����
(3)
�
Retain
the greatest number of full-time, non-temporary employees compensated at a wage
rate for the project jurisdiction as established in the living wage calculator
published by the Massachusetts Institute of Technology, using the living wage
rate for a household of two working adults with two children in the
jurisdiction of the project;

����
(4)
�
Make
concrete commitments to creating the greatest number of full-time,
non-temporary jobs compensating employees at a wage rate at or above the living
wage rate for the project jurisdiction as established in the living wage
calculator published by the Massachusetts Institute of Technology, using the
living wage rate for a household of two working adults with two children in the
jurisdiction of the project;

����
(5)
�
Commit
to at least ninety per cent of the labor on the contract being performed by
workers classified as employees;

����
(6)
�
Offer
targeted training and opportunities for individuals facing barriers to
employment and workers from disadvantaged communities; and

����
(7)
�
The
office of planning and sustainable development, in consultation with the
department of labor and industrial relations, shall develop a web-based portal
to track Hawaii jobs plan commitments and compliance.
�
Any Hawaii jobs plan commitments and
compliance reporting shall be viewable by the public through the web-based
portal.
�
Recipients of public contracts
shall, on an annual basis, upload progress reports on each of the commitments
included in their Hawaii jobs plan application, for the duration of the covered
public contract.

����
(f)
�

Noncompliance with Hawaii jobs plan commitments shall be a violation the
terms of the public contract.
�
At a
minimum, these commitments shall be enforceable through standard breach of
contract remedies, including but not limited to termination of the public
contract.

����
(g)
�

Nothing set forth in this section shall be construed to impede,
infringe, or diminish the rights and benefits which accrue to employees through
bona fide collective bargaining agreements, or otherwise diminish the integrity
of the existing collective bargaining relationship.

����
(h)
�

Nothing in this section shall preclude a public entity from setting
additional requirements or standards in addition to those set forth in this part."

����
SECTION 4.
�

Chapter 225M, Hawaii Revised Statutes, is amended by designating
sections 225M-1 to 225M-9 as Part I, entitled "General Provisions".

����
SECTION 5.
�

In codifying the new sections added by section 3 of this Act, the
revisor of statutes shall substitute appropriate section numbers for the
letters used in designating the new sections in this Act.

����
SECTION 6.
�

This Act shall take effect on July 1, 2025.

INTRODUCED BY:

_____________________________

Report Title:

OPSD; Climate
Change Superfund Act; Climate Change Adaptation Cost Recovery Program; Climate
Change Adaptation Special Fund

Description:

Establishes the Climate Change Adaptation Cost Recovery
Program within the Office of Planning and Sustainable Development to secure
compensatory payments from historically responsible parties that contributed to
pollution, based on a standard of strict liability to provide a source of
revenue for climate change adaptive infrastructure projects within the State.
�
Establishes the Climate Change Adaptation
Special Fund.

The summary description
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not legislation or evidence of legislative intent.