reglab/statecodes huggingface dataset:
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-97 Return to service of a member who has vested benefit status.

§88-97 Return to service of a member who has vested benefit status.
If a former member who has a vested benefit status as provided in section 88-96(b) returns to service before the former member's retirement, the former member shall again become a member and shall contribute for membership service as provided by the law in effect during the member's reenrolled period of membership. Upon retirement, the member's benefit shall be the benefit computed with the member's combined service included under the formula in effect at the time of retirement. [L 1969, c 110, pt of §1; am L 1982, c 165, pt of §2(15); am L 2005, c 58, §13]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-99 Moratorium on benefit enhancements

§88-99 Moratorium on benefit enhancements
. There shall be no benefit enhancements under this chapter for any group of members, including any reduction of retirement age, until such time as the actuarial value of the system's assets is one hundred per cent of the system's actuarial accrued liability. [L 2011, c 29, §2]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-100 Payment by employers of costs associated with significant non-base pay increases.

§88-100 Payment by employers of costs associated with significant non-base pay increases.
(a)
The contribution payable in each year to the pension accumulation fund by the State and each county shall include the actuarial present value, as determined by the system, of the excess maximum retirement allowance, payable over the employee's or former employee's actuarial life expectancy, resulting from significant non-base pay increases for each employee or former employee who became a member of the system prior to July 1, 2012. The additional contributions required by this section shall be payable as provided in subsection (e).
(b) The last employer of the employee or former employee shall pay the additional contributions required by this section.
(c) An excess maximum retirement allowance resulting from significant non-base pay increases occurs when:
(1) The employee's or former employee's average non-base pay, divided by the employee's or former employee's average base pay, is greater than ten per cent; and
(2) The employee's or former employee's average final compensation non-base pay ratio divided by the comparison period non-base pay ratio is greater than or equal to one-hundred twenty per cent.
(d) The amount of the "excess maximum retirement allowance resulting from significant non-base pay increases" is the amount by which an employee's or former employee's maximum retirement allowance exceeds what the employee's or former employee's maximum retirement allowance would be if the employee's or former employee's average final compensation was equal to the employee's or former employee's average base pay multiplied by the sum of one and the employee's or former employee's comparison period non-base pay ratio.
(e) The additional contributions required by this section shall be payable in a lump sum within two fiscal years following the fiscal year in which the employee or former employee retired; provided that, if the additional contributions required for the employees or former employees who retire in a fiscal year are greater than ten per cent of the employer's contributions (excluding the additional contributions) to the pension accumulation fund for that fiscal year, the employer may pay the additional contributions over a period of three fiscal years in installments equal to no less than one-third of the original amount of the required additional contributions, plus interest on the unpaid balance, commencing on the first day of the second fiscal year following the retirement of the employees or former employees, at an annual rate equal to the investment yield rate assumption for actuarial valuations of the system. [L 2012, c 153, §5; am L 2017, c 17, §2]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-101 Payment of existing pensions.

§88-101 Payment of existing pensions.
(a) The pensions of all teachers on the pension rolls of the retirement fund for pensioning retired teachers on January 1, 1926, shall be continued and paid from the pension accumulation fund at the rates at which they were paid prior to that date.
(b) The pensions of all other persons retired prior to April 22, 1925, and granted pensions on account of service for the Territory shall, if they were in force on June 30, 1925, be continued and paid from the pension accumulation fund. Any additional amount required to continue such pensions shall be provided by an increase in the accrued liability contribution otherwise payable to the pension accumulation fund.
(c) The administration and payment of all other pensions provided by the legislature and the pensions and allowances similarly provided for veterans of the Hawaii guard shall be the responsibility of the system from and after June 5, 1953. All sums required for these purposes shall be provided by appropriation to the system. [L 1925, c 55, pt of §9, and §10; am L Sp 1933, c 10, § §3, 4; RL 1935, §7928; am L 1935, c 45, §2; RL 1945, §713; RL 1955, §6-55; HRS §88-91; am L 1969, c 110, pt of §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-102 Classification of members.

§88-102 Classification of members.
The board of trustees shall classify each member in one of the following groups:
(1) General employees of the State and counties, including administrative, clerical, professional, and technical workers, mechanics, laborers, and all others not otherwise classified;
(2) Teachers, including all teachers regularly engaged in public education whose salaries are wholly or partly paid by the State, and faculty members and instructors of the University of Hawaii; or
(3) Police officers in the employ of the counties and firefighters in the employ of the State or of the counties,
or in any other group that may be recommended by the actuary on the basis of service and mortality experience and approved by the board, to cover any part of any group or groups previously created or any additional class of employees. [L 1925, c 55, §3(5); am imp L 1927, c 251, §3; RL 1935, pt of §7922; RL 1945, pt of §703; RL 1955, §6-28; HRS §88-92; am L 1969, c 110, pt of §1; am L 1977, c 191, §2; am L 1978, c 193, §2; am L 2005, c 58, §14]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-103 Records.

§88-103 Records.
(a) The board of trustees shall keep a record of all its proceedings which record shall be open to public inspection. It shall publish annually a report showing in detail: (1) the fiscal transactions of the system for the year ending the preceding June 30, (2) the amount of the accumulated cash and securities of the system, and (3) an actuarial valuation of the assets and liabilities of the system. The board shall submit the report to the governor and shall furnish copies thereof to the heads of the various departments of the State and county for their use and the use of the members employed therein.
(b) The board shall include in its annual report submitted prior to January 1 of each odd-numbered year: (1) a comparison of the investment performance of the system with the investment performances of the public employees' retirement systems of other jurisdictions which have authority to make investments substantially similar to the investment authorized under section 88-119, and (2) a comparison of the funded ratio on June 30 of the preceding year with the funded ratios of the public employees' retirement systems of other jurisdictions. [L 1925, c 55, §5(10); RL 1935, pt of §7924; RL 1945, pt of §707; RL 1955, §6-67; HRS §88-93; am L 1969, c 110, pt of §1; am L 1984, c 108, §7]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-104 Actuarial data.

§88-104 Actuarial data.
The board of trustees shall keep in convenient form such data as shall be necessary for actuarial valuation of the various funds of the system and for checking the experience of the system. [L 1925, c 55, §5(9); RL 1935, pt of §7924; RL 1945, pt of §707; RL 1955, §6-69; HRS §88-94; am L 1969, c 110, pt of §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-105 Actuarial investigations, valuations.

§88-105 Actuarial investigations, valuations.
(a) At least once in each three-year period, commencing with fiscal year 2018-2019, the actuary shall make an actuarial investigation of the experience of the system and shall recommend to the board of trustees the adoption for actuarial valuation of the system of mortality, service, and other assumptions, factors, and tables as shall be deemed appropriate and necessary. The actuary shall further recommend the acceptable funded ratio for the system, taking into consideration the guaranties of article XVI, section 2 of the state constitution, section 88-107, and section 88-127.
(b) Commencing with fiscal year 2009-2010, the actuary shall recommend, based on the actuarial investigation, the appropriate adjustments to the contribution rates under section 88-122(e).
(c) On the basis of such tables and other factors as the board or legislature, as the case may be, shall adopt, and commencing with fiscal year 2005-2006 and the contribution rates of section 88-122(e), the actuary shall make an annual valuation of the assets and liabilities of the funds of the system. [L 1925, c 55, §5(14), (15), (16); am imp L 1927, c 251; RL 1935, pt of §7924; RL 1945, pt of §707; RL 1955, §6-71; am L 1964, c 62, §9; HRS §88-95; am L 1969, c 110, pt of §1; am L 1994, c 276, §5; am L 2004, c 181, §1; am L 2007, c 256, §2; am L 2011, c 163, §21; am L 2017, c 93, §3]
Attorney General Opinions
Change to "unisex" option factor tables valid. Att. Gen. Op. 82-3.
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-105.5 Stress test; annual report.

§88-105.5 Stress test; annual report.
(a) The actuary shall conduct an annual stress test of the system.
(b) The board shall submit an annual report to the legislature, not later than twenty days prior to the convening of each regular session, on the results of the actuary's stress test.
(c) For the purposes of this section, a "stress test" shall address:
(1) Projections of assets, liabilities, pension debt, service costs, employee contributions, employer contributions, net amortization, benefit payments, payroll, and funded ratio for the system for each of the next thirty years based upon the then-current actuarial assumptions, including the assumed rate of return;
(2) Projections for the items listed in paragraph (1), assuming that investment returns are two percentage points lower than the assumed rate of return and that the State makes employer contributions:
(A) Based upon the then-current funding policy for the system; and
(B) That are held constant at the levels calculated for paragraph (1);
(3) Estimates of the items listed in paragraph (1), if there is a one year loss on planned investments of twenty per cent followed by a twenty-year period of investment returns two percentage points below plan assumptions, with the following assumptions regarding contribution policy:
(A) Employer contributions are adjusted based upon current policy; and
(B) Employer contributions are held constant at the levels calculated for the baseline projections; and
(4) The estimated actuarially accrued liability, the total plan normal cost for all benefit tiers, and the employer normal cost for all benefit tiers, calculated using:
(A) A discount rate equal to the assumed rate of return; and
(B) The ten-year average of the yield of thirty-year treasury notes. [L 2017, c 85, §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-106 Correction of errors.

§88-106 Correction of errors.
Should any change or error in records result in any member, retirant, or beneficiary receiving from the system more or less than the member, retirant, or beneficiary would have been entitled to receive had the records been correct, the board of trustees shall correct the error and as far as practicable, shall adjust the payments in such a manner that the actuarial equivalent of the benefit to which the member, retirant, or beneficiary was correctly entitled shall be paid. Should any error in calculation or records result in any member, retirant, or beneficiary receiving from the system more than the member, retirant, or beneficiary would have been entitled to receive had the calculation or records been correct, the board of trustees shall correct the error and shall recover any such overpayment unless recovery is waived pursuant to procedures adopted under section 88-6. [L 1925, c 55, §13; RL 1935, §7932; RL 1945, §717; RL 1955, §6-57; HRS §88-96; am L 1969, c 110, pt of §1; gen ch 1985; am L 1986, c 95, §1; am L 2019, c 53, §3]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-106.5 Compromise and settlement

§88-106.5 Compromise and settlement
. The board may compromise or settle any claim for benefits under this chapter; provided that, if the compromise or settlement would result in a person receiving benefits that the person would not otherwise, as a matter of law, be entitled to receive, the compromise or settlement shall be subject to the approval of the attorney general and may be made only if:
(1) The settlement or compromise relates to or arises out of a representation made to a member concerning the member's eligibility for benefits under this chapter;
(2) The representation:
(A) Was made in writing by an employee of the system with authority to make representations on behalf of the system as to amounts of and eligibility for benefits under this chapter; and
(B) Was erroneous as to the amount or class of credited service to which the member was entitled;
(3) The member, in good faith and reasonable reliance on the representation, retired or terminated the member's status as an employee or the member's membership in the system; and
(4) The settlement or compromise will prevent manifest injustice. [L 2005, c 57, §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-107 Interest.

§88-107 Interest.
(a) The board of trustees shall annually allocate the interest and other earnings of the system to the funds of the system, as follows:
(1) The annuity savings fund shall be credited with the amount of regular interest credited to members' accounts;
(2) The expense fund shall be credited with such sums as provided in section 88-116; and
(3) The remaining investment earnings, if any, shall be credited to the pension accumulation fund.
(b) Beginning with actual investment earnings in fiscal year 1995 in excess of the investment yield rate, to address outstanding unfunded pension obligations, ten per cent of such excess earnings shall be deposited in the pension accumulation fund; remaining excess earnings shall be applied to the amounts to be contributed under section 88-123. In fiscal year 1996, twenty per cent of the actual investment earnings in excess of the investment yield rate shall be deposited in the pension accumulation fund; remaining excess earnings shall be applied to the amount contributed under section 88-123. In fiscal years 1997 and 1998, actuarial investment earnings in excess of a ten per cent actuarial investment yield rate shall be applied to the amount contributed under section 88-123. Beginning in fiscal year 1999, one hundred per cent of the investment earnings shall be deposited in the pension accumulation fund.
(c) The application of actuarial investment earnings to the amount contributed under section 88-123 for fiscal years 1997 and 1998 as provided in subsection (b) is a one-time only provision and no law shall be enacted to again require the employees' retirement system to apply actuarial investment earnings to offset the amount contributed under section 88-123. [L 1925, c 55, pt of §7; am imp L 1927, c 251, §4; am imp L Sp 1933, c 10, §1; RL 1935, pt of §7926; am imp L 1935, c 48, §2; RL 1945, §711, subs 1; RL 1955, §6-78; am L 1963, c 127, §15; am L 1965, c 222, §12; HRS §88-97; am L 1969, c 110, pt of §1; am L 1984, c 23, §1; am L 1988, c 41, §4; am L 1994, c 276, §6; am L 1997, c 327, §2; am L 1999, c 100, §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-108 Cash for meeting disbursements.

§88-108 Cash for meeting disbursements.
For the purpose of meeting disbursements for retirement allowances, pensions, annuities and other payments, there may be kept available cash, not exceeding ten per cent of the total amount in the several funds of the system, on deposit in any one or more banks or trust companies of the State, organized under the laws thereof or of the United States. The sum on deposit in any one bank or trust company shall not exceed twenty-five per cent of the paid up capital and surplus of the bank or trust company. [L 1925, c 55, pt of §7; RL 1935, pt of §7926; RL 1945, §711, subs 3; RL 1955, §6-79; HRS §88-98; am L 1969, c 110, pt of §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-109 Funds of the system.

§88-109 Funds of the system.
The assets of the system are assigned to the following funds hereby created:
(1) The annuity savings fund;
(2) The pension accumulation fund; and
(3) The expense fund. [L 1925, c 55, pt of §8; RL 1935, pt of §7927; RL 1945, pt of §712; RL 1955, §6-72; am L 1961, c 175, §8; am L 1963, c 127, §14; HRS §88-99; am L 1969, c 110, pt of §1; am L 1974, c 220, §4; am L 1988, c 41, §5; am L 1998, c 151, §16]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-110 Board; trustees of funds.

§88-110 Board; trustees of funds.
The board of trustees shall be trustees of the several funds of the system and may invest and reinvest such funds as authorized by this part and by law from time to time provided. Subject to the terms, conditions, limitations and restrictions of this part and by law from time to time provided, the trustees may hold, purchase, sell, assign, transfer or dispose of any of the securities and investments in which any of the funds created herein shall have been invested, as well as of the proceeds of the investments and any moneys belonging to the funds. [L 1925, c 55, pt of §7; RL 1935, pt of §7926; am L 1939, c 5, pt of §1; RL 1945, §710, subs 1; RL 1955, §6-74; HRS §88-100; am L 1969, c 110, pt of §1]
Attorney General Opinions
Trustees may not waive penalty for prepayment of loan. Att. Gen. Op. 62-22.
Case Notes
Mentioned: 74 H. 181, 840 P.2d 367.
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-111 Custodian of the funds.

§88-111 Custodian of the funds.
The State director of finance shall be the custodian of the several funds. All payment from the funds shall be made by the director of finance only upon vouchers signed by the chairperson and countersigned by such other person as may be designated by the board of trustees. [L 1925, c 55, pt of §7; RL 1935, pt of §7926; RL 1945, pt of §711; RL 1955, §6-73; am L Sp 1959 2d, c 1, §14; am L 1963, c 114, §1; HRS §88-101; am L 1969, c 110, pt of §1; gen ch 1985, 1993]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-112 Annuity savings fund; annual statement.

§88-112 Annuity savings fund; annual statement.
The annuity savings fund shall be comprised of the members' accumulated contributions, which beginning July 1, 1988, shall include any contributions made by the member to the post retirement fund. A member shall be mailed an annual statement showing the member's accumulated contributions upon request therefor. [L 1925, c 55, pt of §8; RL 1935, pt of §7927; RL 1945, pt of §712, subs 1; RL 1955, §6-81; am L 1959, c 174, §1; HRS §88-102; am L 1969, c 110, pt of §1; gen ch 1985; am L 1988, c 41, §6]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-113 Payments from annuity savings fund.

§88-113 Payments from annuity savings fund.
Any lump sum payment of a member's contributions shall be charged against the annuity savings fund. When a member retires, the member's accumulated contributions shall be transferred from the annuity savings fund to the pension accumulation fund. [L 1925, c 55, pt of §8; RL 1935, pt of §7927; RL 1945, pt of §712, subs 1; RL 1955, §6-85; am L 1963, c 127, §18; HRS §88-103; am L 1969, c 110, pt of §1; gen ch 1985]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-114 Pension accumulation fund.

§88-114 Pension accumulation fund.
The pension accumulation fund shall be the fund in which shall be accumulated all contributions made by the State and any county and all income from investments and from which shall be paid all benefits, including the bonus authorized under section 88-11, and other than those benefits which are specifically payable from other funds. [L 1925, c 55, §8(3); am imp L 1927, c 251, §4; RL 1935, pt of §7927; RL 1945, pt of §712, subs 3; RL 1955, §6-87; am L 1963, c 127, §19; HRS §88-104; am L 1969, c 110, pt of §1; am L 1994, c 276, §7]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-116 Expense fund.

§88-116 Expense fund.
The expense fund shall be the fund to which shall be credited all money to pay the administration expenses of the system, and from which shall be paid all the expenses necessary in connection with the administration and operation of the system. Biennially, the board of trustees shall estimate the amount of money necessary to be paid into the expense fund during the ensuing biennium to provide for the expense of operation of the system, and shall pay that amount into the expense account from the investment earnings of the system, subject to review by the legislature and approval by the governor. [L 1925, c 55, §8(5); am imp L 1927, c 251, §4; RL 1935, pt of §7927; RL 1945, §712, subs 5; RL 1955, §6-96; am L Sp 1959 1st, c 13, §2; HRS §88-107; am L 1969, c 110, pt of §1; am L 1994, c 276, §8]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-119.5 Investment guidelines.

§88-119.5 Investment guidelines.
Notwithstanding any other law to the contrary, real estate loans and mortgages made pursuant to section 88-119(1)(D) and (E) shall be in accordance with conditions and restrictions set forth by the board of trustees; provided that the board may establish the minimum and maximum loan amounts and interest rates for these real estate loans and mortgages by motion, at any duly noticed meeting of the board. The board of trustees, subject to chapter 91, shall adopt, amend, and repeal rules having the force of and effect of law to implement all provisions of this section other than those relating to loan amounts and interest rates for its real estate loans and mortgages. [L 1982, c 165, §3; am L 1991, c 17, §2; am L 1998, c 151, §22]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-120 Service charges.

§88-120 Service charges.
The board of trustees may pay out of any of the several funds held for investment, a reasonable amount to any person for servicing and handling of mortgages purchased by the board or for supplying investment advisory or consultative services; and to meet such other costs incident to the prudent investment of system funds as the board may approve. [L 1925, c 55, pt of §7; RL 1935, pt of §7926; am L 1939, c 5, pt of §1; RL 1945, §710, subs 3; RL 1955, §6-76; HRS §88-111; am L 1969, c 110, pt of §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-121 Power to make agreements to protect securities on reorganization or otherwise.

§88-121 Power to make agreements to protect securities on reorganization or otherwise.
Anything in this part to the contrary notwithstanding, the board of trustees may enter into an agreement or agreements for the purpose of protecting the interests of the system in securities held by the system, or for the purpose of reorganization of a corporation which issued securities so held, and deposit of securities thereunder with a committee or depositories appointed under the agreement, but the agreement and deposit must first be approved in writing by a majority of the members of the board with a statement of their reasons for such approval. The board may accept corporate stock or bonds or other securities, which may be distributed pursuant to any such agreement approved as aforesaid or to any plan or reorganization approved in writing by a majority of the members of the board with a statement of their reasons for such approval. But if securities so received consist in whole or in part of stock in any corporation or of bonds or obligations which are not secured by adequate collateral security or where less than two-thirds of the total value of the required collateral security therefor consist of collateral other than stock, then any stock and any such bond or obligation so received shall be disposed of within five years from the time of acquisition or before expiration of such further period or periods of time as may be fixed in writing for that purpose by the governor. [L 1925, c 55, pt of §7; RL 1935, pt of §7926; am L 1935, c 156, §2; RL 1945, §710, subs 4; RL 1955, §6-77; HRS §88-112; am L 1969, c 110, pt of §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-123 Amount of annual contributions by the State and counties.

§88-123 Amount of annual contributions by the State and counties.
The contribution payable in each year to the pension accumulation fund by the State and by each county shall be determined by allocating the sum of the normal cost and the accrued liability contribution for:
(1) Police officers, firefighters, and corrections officers, the latter after the actual transfer of all county jails pursuant to executive order of the governor; and
(2) All other employees
in the same proportion as the aggregate annual compensation of each group employed by the State and by each county, respectively, as of March 31 of the valuation year. Commencing with fiscal year 2005-2006, the contribution payable in each year to the pension accumulation fund by the State and each county, respectively, shall be determined by multiplying the contribution rates in section 88-122(e) by the actual covered payroll in a given fiscal year for each of the two groups of employees in section 88-122(a). [L 1925, c 55, pt of §8; am imp L 1927, c 251, §4; am L 1933, c 181, §3; am L Sp 1933, c 10, § §2, 3; RL 1935, pt of §7927; am L 1935, c 48, § §2, 4; RL 1945, pt of §712, subs 3; RL 1955, §6-91; am L 1964, c 62, §13; HRS §88-114; am L 1969, c 110, pt of §1; am L 1977, c 171, §3; am L 1983, c 124, §15; am L 1997, c 327, §4; am L 2004, c 181, §3]
Cross References
Trustees to submit estimates of amount due from county, see §248-3.
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-124 Payment of state contributions to the system.

§88-124 Payment of state contributions to the system.
(a) The State shall pay to the various funds of the system the amounts payable by the State under this part. Payments shall be made:
(1) On a monthly basis, within thirty days after the end of each month; or
(2) In advance, in an amount greater than the amount payable for the current fiscal quarter, taking into account amounts previously paid during the quarter and any offsets for any excess contributions in the previous quarter.
(b) The system shall determine the actual amount owed by the State under this part for each fiscal quarter, commencing with the first fiscal quarter of fiscal year 2005-2006. The actual amounts owed by the State for the fiscal quarter shall be compared against the amounts paid in the fiscal quarter and any excess contributions from the previous quarter. Any additional contributions owed by the State for a fiscal quarter shall be paid before the end of the next fiscal quarter. Any excess contributions by the State may be used to offset amounts owed by the State for the next fiscal quarter. [L 1925, c 55, pt of §8; am L Sp 1933, c 10, §3; RL 1935, pt of §7927; am L 1935, c 48, §2; RL 1945, §712, subs 6; RL 1955, §6-100; am L Sp 1959 1st, c 13, §2; HRS §88-115; am L 1969, c 110, pt of §1; am L 2004, c 181, §4; am L 2005, c 58, §15; am L 2016, c 31, §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-125 Contributions by certain state agencies.

§88-125 Contributions by certain state agencies.
(a) Each of the departments and agencies hereinafter described, the office of Hawaiian affairs, and the Hawaii health systems corporation shall reimburse the State for the respective amounts payable by the State to cover the liability of the State to the various funds of the system on account of the employees in the departments and agencies, the trustees of the office of Hawaiian affairs, and the employees of the Hawaii health systems corporation. This provision shall apply to any department or agency of the State that is authorized by law to fix, regulate, and collect rents, rates, fees, or charges of any nature. This subsection shall not apply as to rental units receiving federal subsidies until approval has been obtained from the appropriate federal agency.
(b) Whenever any department or agency of the State or the Hawaii health systems corporation receives federal-aid funds that may be expended for the purpose of covering the liability of the State to the various funds of the system, the department or agency or the Hawaii health systems corporation shall set aside a portion of these funds sufficient to cover the amount of the State's liability to the various funds of the system on account of the employees in the department or agency or the Hawaii health systems corporation whose compensation is paid in whole or part from federal funds.
(c) The amount payable by each department or agency of the State, the office of Hawaiian affairs, or the Hawaii health systems corporation, covered by this section shall be determined at least quarterly by the department of budget and finance on the basis of the payroll of the employees of the department or agency, trustees of the office of Hawaiian affairs, or the Hawaii health systems corporation who are members of the system in the same manner the allocation of employer contributions is determined in section 88-123. The comptroller of the State, the office of Hawaiian affairs, the Hawaii health systems corporation, or any department or agency having control of its own funds, upon information furnished by the department of budget and finance, shall issue a check for the proper amount to the director of finance, charging the same to the appropriate fund. The director of finance shall place all such sums to the credit of the State as part payment of the State's contributions to the various funds of the system.
(d) With respect to the Hawaii health systems corporation only, this section shall be operative with respect to costs accrued beginning July 1, 1996. [L 1951, c 245, § §1, 2, 3; RL 1955, §6-101; am L Sp 1959 2d, c 1, §26; am L 1965, c 222, §16; HRS §88-116; am L 1969, c 110, pt of §1; am L 2002, c 183, §8; am L 2004, c 181, §5; am L 2009, c 182, §4]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-126 Payment of county contributions to the system.

§88-126 Payment of county contributions to the system.
(a) Commencing with fiscal year 2005-2006, each of the counties shall make contributions in accordance with section 88-123. The amounts payable under this part by each county on account of its employees who are members of the system shall be paid by the county as follows:
(1) Before October 31, 2005, for the period from July 1, 2005, through September 30, 2005;
(2) Commencing October 1, 2005, each county shall pay on a monthly basis the amounts payable by the county under this part on account of its employees who are members of the system. Payments shall be made within thirty days after the end of the month; and
(3) Commencing July 1, 2016:
(A) On a monthly basis, within thirty days after the end of each month; or
(B) In advance, in an amount greater than the amount payable for the current fiscal quarter, taking into account amounts previously paid during the quarter and any offsets for any excess contributions in the previous quarter.
(b) The system shall determine the actual amount owed by a county under this part for each fiscal quarter, beginning with the first fiscal quarter of fiscal year 2005-2006. The actual amounts owed by the county for the fiscal quarter shall be compared against the amounts paid in the fiscal quarter and any excess contributions from the previous quarter. Any additional contributions owed by the county for a fiscal quarter shall be paid before the end of the next fiscal quarter. Any excess contributions by the county may be used to offset amounts owed by the county for the next fiscal quarter.
(c) If the amount or any portion of the amounts owed is not paid by the county before the dates specified in subsection (a), the director of finance shall retain out of the transient accommodations tax money collected a sum equal to the amount or portion thereof not so paid. All the moneys retained and collected by the director of finance shall be deposited in the appropriate fund or funds of the system. The amount of any deficiency in meeting the obligations shall be added to the amount due from the county for the succeeding quarter. [L 1925, c 55, §8; am imp L 1927, c 251, §4; am imp L 1929, c 182, §1; am imp L 1932 2d, c 50, §1; am L 1933, c 181; am L Sp 1933, c 10, § §2, 3; RL 1935, §7927; am L 1935, c 48, § §2, 4; am L Sp 1941, c 67, §1; RL 1945, pt of §712; RL 1955, §6-102; am L 1957, c 152, §1; am L Sp 1959 2d, c 1, § §12, 14; am L 1963, c 114, §1; HRS §88-117; am L 1969, c 110, pt of §1; am L 1994, c 138, §2; am L 1998, c 151, §17; am L 2004, c 181, §6; am L 2005, c 58, §16; am L 2016, c 31, §2]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-127 Guaranty.

§88-127 Guaranty.
Regular interest charges payable, the creation and maintenance of reserves in the pension accumulation fund and the maintenance of annuity reserves and pension reserves as provided for the payment of all pensions, annuities, retirement allowances, refunds, and other benefits granted under this part, and all expenses in connection with the administration and operation of the system are made obligations of the State and of the respective counties. All income, interest, and dividends derived from deposits and investments authorized by this part shall be used for the payment of such obligations. After June 30, 1964, the income shall include capital gains or losses, whether realized or unrealized, in the value of the retirement system assets as taken from time to time thereafter by the board of trustees. It is hereby declared that any and all sums contributed or paid from whatever source to the system for the funds created by this part, and all funds of the system including any and all interest and earnings of the same, are and shall be held in trust by the board for the exclusive use and benefit of the system and for the members of the system and shall not be subject to appropriation for any other purpose whatsoever. [L 1925, c 55, §11; am L 1933, c 181, §2; am L Sp 1933, c 10, §5; RL 1935, §7929; am L 1935, c 48, § §2, 5; RL 1945, §714; RL 1955, §6-103; am L 1965, c 222, §17; HRS §88-118; am L 1969, c 110, pt of §1; am L 2004, c 181, §7]
Attorney General Opinions
Trustees may not waive penalty for prepayment of loan of retirement system funds. Att. Gen. Op. 62-22.
Case Notes
Employees' retirement system (ERS) board of trustees' contention that no statute in chapter 88 provides that ERS owes a duty to individual members to provide individual notice and counseling, particularly absent a request for information was incorrect where, reading §88-27 and this section in para materia, the ERS board is charged with the duty to diligently and honestly administer all funds held in trust for the exclusive use and benefit of the system and for the members of the system. 108 H. 338, 120 P.3d 237.
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-131 Definitions.

§88-131 Definitions.
As used in sections 88-131 to 88-142:
"Service in the armed forces": active service (1) in military service, as defined in section 88-132, or (2) in any other essential war service covered by the Servicemen's Act.
"Service member": a member of the system who is entitled to the benefits provided by the Servicemen's Act.
"Servicemen's Act": includes section 88-132 and any other act extending benefits similar to those of the section to other classes of persons in essential war services. [L 1951, c 262, pt of §3; RL 1955, §6-110; HRS §88-121; am L 1969, c 110, pt of §1]
Revision Note
Definitions rearranged.
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-132 Service credit; payment of contributions.

§88-132 Service credit; payment of contributions.
(a) Every active member of the system who leaves active service of the State or any county for the purpose of entering the military service of the United States in time of war or declared national or state emergency, or is called involuntarily to active duty after June 24, 1950, shall, so long as the member remains in military service, be allowed service credit in the system to the same extent as if the member were continuously in the active service of the State or county, as the case may be, in the position which the member held immediately prior to the member's entry into military service; provided that in no event shall the allowance of service credit exceed a period of four years.
(b) The State or county, as the case may be, in whose service the member was employed immediately prior to the member's induction into military service shall pay all contributions to the pension accumulation fund and to the annuity savings fund, and any other payment to the system, which would otherwise be payable to the system by the State, the county, or the member if the member had remained continuously in the active service of the State or county, as the case may be, during the period of the member's military service; provided that:
(1) The cumulative length of time for which a member shall be entitled to payment of the contributions shall not exceed four years;
(2) The member returns to state or county government service within ninety days of release from active duty or dies in the performance of the member's military service; and
(3) The member's release from active duty was under honorable conditions.
(c) The State or county, as the case may be, shall pay all contributions required to be made under subsection (b) within sixty days after:
(1) The member returns to state or county government service; or
(2) The State or county, as the case may be, receives notice of the member's death in the performance of the member's military duty.
(d) If the State or county, as the case may be, fails to pay the contributions within the time specified in subsection (c), the State or county, as the case may be, shall also pay to the system regular interest from the date the member returned to state or county government service or the date of the member's death in the performance of the member's military duty until payment is made. Regular interest paid on the portion of the contributions that would have been payable by the member shall be included in the member's accumulated contributions. [L 1951, c 262, pt of §3; RL 1955, §6-111; HRS §88-122; am L 1969, c 110, pt of §1; gen ch 1985; am L 1987, c 116, §1; am L 1989, c 100, §3; am L 2006, c 169, §22; am L 2011, c 163, §19]
Attorney General Opinions
Employee called to active duty as member of armed forces reserve is entitled to benefits provided by this subpart. Att. Gen. Op. 63-34.
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-133 Benefits and conditions applicable to service member.

§88-133 Benefits and conditions applicable to service member.
All service members shall by reason of their retention of membership in the system under the Servicemen's Act, have the status, be entitled to the benefits, and be subject to the conditions and limitations set forth in sections 88-131 to 88-142. [L 1951, c 262, pt of §3; RL 1955, §6-112; HRS §88-123; am L 1969, c 110, pt of §1]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-134 Service retirement benefit.

§88-134 Service retirement benefit.
If a service member has terminated the service member's service with the armed forces and otherwise complies with the requirements of sections 88-73, 88-281, or 88-331, as applicable, the service member shall be entitled to a service retirement benefit to be computed as provided in sections 88-74, 88-282, or 88-332, as applicable, including and taking into consideration the service credit preserved and allowed to the service member by the Servicemen's Act. [L 1951, c 262, pt of §3; RL 1955, §6-113; HRS §88-124; am L 1969, c 110, pt of §1; gen ch 1985; am L 2004, c 179, §17]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-135 Ordinary disability retirement benefit.

§88-135 Ordinary disability retirement benefit.
If a service member terminates the service member's service in the armed forces and complies with and fulfills the requirements of sections 88-75, 88-284, or 88-334, as applicable, including and taking into consideration the service credit preserved and allowed to the service member under the Servicemen's Act, the service member shall be entitled to the ordinary disability retirement benefit prescribed in the applicable section, computed as provided in sections 88-76, 88-284, or 88-335, including and taking into consideration the service credit preserved and allowed to the service member under the Servicemen's Act. [L 1951, c 262, pt of §3; RL 1955, §6-114; HRS §88-125; am L 1969, c 110, pt of §1; gen ch 1985; am L 2004, c 179, §18]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-136 Accidental disability benefit.

§88-136 Accidental disability benefit.
Any member who has been incapacitated for duty by accident, act of war, or otherwise, occurring while the member is not in the service of the State or any county, shall not by reason of such incapacity be entitled to the accidental disability benefit provided for by sections 88-79, 88-285, or 88-336, but in such event if the member can qualify for an ordinary disability retirement benefit as hereinabove provided, the member shall receive the ordinary disability retirement benefit. [L 1951, c 262, pt of §3; RL 1955, §6-115; HRS §88-126; am L 1969, c 110, pt of §1; gen ch 1985; am L 1998, c 151, §11; am L 2004, c 179, §19]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-137 Ordinary death benefit.

§88-137 Ordinary death benefit.
If any service member dies, the service member shall be deemed to be on authorized leave without pay for the purposes of the ordinary death benefit provided in sections 88-84, 88-286(b), and 88-338. [L 1951, c 262, pt of §3; RL 1955, §6-116; HRS §88-127; am L 1969, c 110, pt of §1; gen ch 1985; am L 2004, c 179, §20; am L 2006, c 169, §23]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-138 Accidental death benefit.

§88-138 Accidental death benefit.
If a service member dies by accident, act of war, or other cause, occurring while the service member is not in the active service of the State or any county, the death shall not be an accidental death and shall not be eligible for accidental death benefits under sections 88-85, 88-286(c), and 88-339; however, the ordinary death benefit shall be payable as provided in section 88-137. [L 1951, c 262, pt of §3; RL 1955, §6-117; HRS §88-128; am L 1969, c 110, pt of §1; gen ch 1985; am L 2004, c 179, §21; am L 2006, c 169, §24]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-139 Return of contributions.

§88-139 Return of contributions.
Any service member may resign from the system at any time, if the service member so chooses, and upon such resignation the service member shall be entitled to the return of the service member's accumulated contributions as provided in sections 88-96 and 88-341, including any amount to the service member's credit in the annuity savings fund which shall have been contributed by the State or any county under the Servicemen's Act, but the service member shall cease to be entitled to any of the benefits of the Servicemen's Act or of sections 88-131 to 88-142, except the return of accumulated contributions, upon the effective date of the service member's resignation. [L 1951, c 262, pt of §3; RL 1955, §6-118; HRS §88-129; am L 1969, c 110, pt of §1; gen ch 1985; am L 2004, c 179, §22]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-140 Duration of service member's status.

§88-140 Duration of service member's status.
(a) An active member of the system who leaves active service of the State or any county for the purpose of entering the military service of the United States in time of war or declared national or state emergency, or is called involuntarily to active duty after June 24, 1950, shall be entitled to the benefits of sections 88-134, 88-135, and 88-137:
(1) For so long as the member remains in active full-time military service, up to an aggregate of five years; and
(2) For an additional period ending on the earlier of:
(A) The ninety-first day after the termination of the member's eligibility for benefits pursuant to paragraph (1); or
(B) The day the member returns to the active service of the State or a county.
(b) If a service member resigns from employment by the State or a county and waives the service member's right to reemployment, the service member's status shall be the same as a regular member who terminated the regular member's employment as of the earlier of:
(1) The effective date of the service member's resignation from employment; or
(2) The expiration of the service member's rights under subsection (a). [L 1951, c 262, pt of §3; RL 1955, §6-119; HRS §88-130; am L 1969, c 61, §1 and c 110, pt of §1; gen ch 1985; am L 2006, c 169, §25]
2023 Hawaii Revised Statutes › Title 7. Public Officers and Employees › 88. Pension and Retirement Systems › 88-141 Computation of compensation earned or earnable.

§88-141 Computation of compensation earned or earnable.
In any case where it shall become necessary, for the purposes of sections 88-131 to 88-142, to determine the compensation or average compensation of a member of the system during any period of the member's service in the armed forces, or during any period immediately thereafter while the member was not an employee as defined in section 88-21, the member's rate of compensation during the period shall, for the purposes of sections 88-131 to 88-142, be deemed to have been that which the member would have received but for the member's service in the armed forces. [L 1951, c 262, pt of §3; RL 1955, §6-120; HRS §88-131; am L 1969, c 110, pt of §1; gen ch 1985; am L 2008, c 41, §6]