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HRS §323F-59

State funding for capital projects at transferred Maui facilities

This section lets the private group running a transferred Maui regional facility ask the State for money to pay for capital projects during the first ten years of its lease. The request must follow state rules and be approved through the budget process. After ten years, the group must pay for all capital projects itself.

The statute, as written — Capital project support

(a) Without regard to chapter 42F, the private entity or its nonprofit management entity to which one or more of the facilities of the Maui regional system has been transferred pursuant to this part may seek funds from the State for capital expenditures, as that term is defined in section 37-62, for a transferred facility for each or all of the first ten years of the lease entered into under section 323F-54. Each year's request for funds shall be submitted to the director of finance in accordance with procedures and criteria established by the director and shall be reviewed by the director and comptroller with pertinent capital planning and expenditure documents and the capital planning procedures supplied by the private entity or its nonprofit management entity. The director of finance may include some or all of the funds requested in the executive budget of the department of health. Any appropriation made in response to a request shall be subject to the allotment system generally applicable to all appropriations made by the legislature. The department of health shall be responsible for transferring the funds allotted to the private entity or its nonprofit management entity for expenditure. (b) After the first ten years of the lease entered into under section 323F-54, the nonprofit management entity and the private entity shall be responsible for funding all capital expenditures of the transferred facility. (c) To qualify to request funds from the State under this section, the private entity or its nonprofit management entity shall satisfy all of the standards and conditions set out in section 323F-58(b). In addition, the transferred facility shall demonstrate that the capital projects constructed, operated, and maintained with the requested funds will be in compliance with all federal, state, and county health care planning laws and rules, land use and zoning laws and rules, environmental laws and rules, and building and health codes, rules, and regulations.
Read the official text at capitol.hawaii.gov ↗as published Jan 6, 2026our copy taken Aug 20, 2026

Sections this one refers to

§323F-54 Lease terms for the Maui regional health facility

§323F-58 How the Maui health system can get state operating funds

§37-62 Definitions

LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.