State's rights with respect to reserve account
HRS §211D-8
in effect211D-8. State's rights with respect to reserve account
(a) All of the money in a reserve account established under this chapter is property of the State.
(b) The State is entitled to earn interest on
the amount of contributions made by the department, borrower, and institution
to a reserve account under this chapter. The department shall withdraw monthly
or quarterly from a reserve account the amount of the interest earned by the
State. The department shall deposit the amount withdrawn under this section
into the fund.
(c) If the amount in a reserve account exceeds
an amount equal to thirty-three per cent of the balance of the financial
institution's outstanding capital access loans, the department may withdraw the
excess amount and deposit the amount in the fund. A withdrawal of money
authorized under this subsection may not reduce an active reserve account to an
amount that is less than $200,000.
(d) The department shall withdraw from the
institution's reserve account the total amount in the account and any interest
earned on the account and deposit the amount in the fund when:
(1) A financial institution is no longer eligible to
participate in the program or a participation agreement entered into under this
chapter expires without renewal by the department or institution; and
(2) The financial institution has no outstanding
capital access loans.
[L 2000, c 290, pt of §2]
Source: Hawaii State Legislature (capitol.hawaii.gov), via Internet Archive capturesURL: http://www.capitol.hawaii.gov/hrscurrent/Vol04_Ch0201-0257/HRS0211D/HRS_0211D-0008.htmFetched: 11/10/2026