Trust Fund for Disability Benefits

HRS div. 1, tit. 21, ch. 392, pt. IV

in effect

HRS §392-61 Establishment of trust fund for disability benefits

392-61. Establishment of trust fund for disability benefits There is established in the treasury of the State, separate and apart from all public moneys or funds of the State, a trust fund for disability benefits which shall be administered by the director exclusively for the purposes of this chapter; and for the establishment and maintenance of a family leave data collection system under section 398-9.5. All contributions pursuant to this part shall be paid into the fund and all benefits payable under this part shall be paid from the fund. The fund shall consist of[:] (1) All contributions collected pursuant to this part, together with any interest thereon; (2) All fines and penalties for the fund pursuant to this chapter; (3) All moneys collected by way of subrogation; (4) Interest earned on any moneys in the fund; (5) Any property or securities acquired through the use of moneys belonging to the fund; (6) All earnings of such property and securities; and (7) All other moneys received for the fund from any source. [L 1969, c 148, pt of §1; am L Sp 2009, c 7, §3; am L 2013, c 100, §6]

HRS §392-62 Management of the fund

392-62. Management of the fund The director of finance shall be the treasurer and custodian of the trust fund for disability benefits and shall administer the fund in accordance with the directions of the director of labor and industrial relations. All moneys in the fund shall be held in trust for the purposes of this part only and shall not be expended, released, or appropriated or otherwise disposed of for any other purpose. Moneys in the fund may be deposited in any depositary bank in which general funds of the State may be deposited but such moneys shall not be commingled with other state funds and shall be maintained in separate accounts on the books of the depositary bank. Such moneys shall be secured by the depositary bank to the same extent and in the same manner as required by the general depositary law of the State; and collateral pledged for this purpose shall be kept separate and distinct from any other collateral pledged to secure other funds of the State. The director of finance shall be liable for the performance of the director of finance's duties under this section as provided in chapter 37. [L 1969, c 148, pt of §1; gen ch 1985; am L 2013, c 100, §8]

HRS §392-63 Disbursements from the fund

392-63. Disbursements from the fund Expenditures of moneys in the trust fund for disability benefits shall not be subject to any provisions of law requiring specific appropriations or other formal release by state officers of money in their custody. All benefits shall be paid from the fund upon warrants drawn upon the director of finance by the comptroller of the State supported by vouchers approved by the director. [L 1969, c 148, pt of §1; am L 2013, c 100, §8]

HRS §392-64 Investment of moneys

392-64. Investment of moneys With the approval of the department the director of finance may, from time to time, invest such moneys in the trust fund for disability benefits as are in excess of the amount deemed necessary for the payment of benefits for a reasonable future period. Such moneys may be invested in bonds of any political or municipal corporation or subdivision of the State, or any of the outstanding bonds of the State, or invested in bonds or interest-bearing notes or obligations of the State (including state director of finance's warrant notes issued pursuant to chapter 40), or of the United States, or those for which the faith and credit of the United States, are pledged for the payment of principal and interest, or in federal land bank bonds or joint stock farm loan bonds. The investments shall at all times be so made that all the assets of the fund shall always be readily convertible into cash when needed for the payment of benefits. The director of finance shall dispose of securities or other properties belonging to the fund only under the direction of the director of labor and industrial relations. [L 1969, c 148, pt of §1; am L 2013, c 100, §8]

HRS §392-65 Temporary disability benefits to be paid from the trust fund for disability benefits; recovery of disability benefits

392-65. Temporary disability benefits to be paid from the trust fund for disability benefits; recovery of disability benefits Temporary disability benefits shall be paid from the trust fund for disability benefits to individuals who become disabled when unemployed and who subsequently become ineligible for benefits under chapter 383. Benefits shall also be paid from this fund to an employee who is entitled to receive temporary disability benefits but cannot receive such benefits because of the bankruptcy of the employee's employer or because the employee's employer is not in compliance with this chapter. Benefits paid from the trust fund to such employee may be recovered from the employee's bankrupt or noncomplying employer. The director shall institute administrative and legal actions, as provided in section 392-47, to effect recovery of such benefits. [L 1969, c 148, pt of §1; am L 1971, c 109, §1(j); gen ch 1985; am L 1986, c 339, §61; am L 2013, c 100, §8]

HRS §392-66 Disability while unemployed

392-66. Disability while unemployed (a) An employee whose employment with a covered employer is terminated and who during a period of unemployment within twenty-six weeks immediately following such termination of employment becomes ineligible for benefits claimed under chapter 383 solely because of disability commencing on or after January 1, 1970, and who on the day the disability commences is not employed and is not then otherwise eligible for benefits under this chapter, shall be entitled to receive disability benefits as hereinafter provided for each week of such disability for which week the employee would have received unemployment insurance benefits if the employee were not so disabled. (b) The weekly benefits payable to the disabled unemployed shall be the same as the benefits to which the individual would be entitled under chapter 383 except for the individual's disability; provided that in a case of a disabled unemployed who is performing some form of less than full-time work as referred to in the definition of unemployment in section 383-1 at the time the disability arises, the individual shall receive benefits which the individual would have been entitled to had the individual not been performing less than full-time work; provided further that benefits payable under this section shall not be payable for a period longer than twenty-six weeks from the time the above unemployed commences to receive unemployment benefits payable under chapter 383. (c) The benefits payable under this section shall be paid by the director out of any assets in the fund created by section 392-61. The payments shall be made through employment offices, as this term is defined and used in chapter 383. The director may require an employee claiming benefits under this section to file proofs of disability and other proofs reasonably necessary for the director to make a determination of eligibility and benefit rights under this section. The director may establish reasonable procedures for determining pro rata benefits payable with respect to disability periods of less than one week. Any employee claiming benefits under this section whose claim is rejected in whole or in part by the director shall be entitled to request review and shall have all the rights with respect to disputed claims provided in this chapter. [L 1969, c 148, pt of §1; am L 1971, c 94, §1; gen ch 1985; am L 1986, c 162, §9 and c 339, §62]

HRS §392-67 Assessments for the trust fund for disability benefits

392-67. Assessments for the trust fund for disability benefits (a) Each employer shall, from July 1, 1969, to December 31, 1969, contribute to the establishment of the trust fund for disability benefits at the rate of .2 per cent of covered wages as defined in section 392-43. The employer shall pay such contributions to the director for a given month on or before the thirtieth day of the next succeeding month. (b) When the balance of the trust fund for disability benefits falls below $500,000 as of December 31 of any year after 1969, a levy shall be assessed and collected in the next calendar year from insurers of employers insured under section 392-41 and from all other employers not insured under section 392-41. Each year the director shall determine the amount of the levy to be paid by each insurer or employer and shall give notice of the levy to each such insurer or employer on or before May 1 of the year in which the levy is assessed. The amount of the levy shall be paid on or before June 30 following notification. The amount of the levy against each insurer or employer shall be determined as the product of the wages paid by the employer multiplied by a factor which is the ratio of the amount by which the balance in the [trust fund for disability benefits] was less than $500,000 on the preceding December 31 to total covered wages paid by all employers. For the purposes of this paragraph, "covered wages" means wages paid by employers during the preceding calendar year but not including wages paid to any employee in excess of the limit contained in section 392-43(b). [L 1969, c 148, pt of §1; am L 2013, c 100, §8]

HRS §392-68 Failure to pay assessments

392-68. Failure to pay assessments If an employer or insurer fails to pay the assessment required by section 392-67(a) or section 392-67(b) within thirty days after the end of the month or quarter for which payment was due, the director shall levy a penalty of at least $250 but no more than ten per cent of the assessment due against the employer or insurer, unless the nonpayment is excused by the director after a showing by the employer or insurer that the payment of the assessment could not be made on the date prescribed therefor owing to conditions over which the employer or insurer had no control and the employer or insurer forthwith complies. [L 1971, c 109, §1(k); gen ch 1985; am L 2020, c 44, §13]

HRS §392-69 Request for wage and employment information

392-69. Request for wage and employment information An employer to whom the department has sent a request for wage and employment information for an employee claiming benefits against the trust fund for disability benefits, shall complete and file such information within seven days from date the request was sent. If an employer fails to file such information in seven days, the director shall levy a penalty of $250 for each delinquent request, unless the failure to file such information is excused by the director after a showing by the employer that such filing could not be made on the prescribed date therefor owing to conditions over which the employer had no control. [L 1971, c 109, §1(1); gen ch 1985; am L 2013, c 100, §8; am L 2020, c 44, §14]

Source: Hawaii State Legislature (capitol.hawaii.gov), via Internet Archive capturesURL: http://www.capitol.hawaii.gov/hrscurrent/Vol07_Ch0346-0398/HRS0392/HRS_0392-.htmFetched: 11/10/2026