Chapter 94 – Contracts

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§3-94-1
HAWAII ADMINISTRATIVE RULES
TITLE 3
DEPARTMENT OF ACCOUNTING AND GENERAL SERVICES
SUBTITLE 9
STATE FOUNDATION ON CULTURE AND THE ARTS
CHAPTER 94
CONTRACTS
§3-94-1 Contracts for grants, subsidies and purchases
of service appropriations
§3-94-2 Monitoring of contracts
§3-94-3 Evaluation of contracts
§3-94-1 Contracts for grants, subsidies and purchases
of service appropriations. (a) Funds for grants, subsidies
and purchases of service agreements shall be released
following the execution of a contract between the
organization and the State.
(b) Organizations must agree to comply with the
conditions specified in chapter 42-3, HRS before receiving
a grant, subsidy or purchases of service agreement.
(c) The SFCA shall not enter into contract with
organizations who have final project reports and documents
incomplete or outstanding from the previous fiscal year.
(d) All contracts shall be reviewed and approved by
the attorney general’s office for conformance with public
purpose and legislative intent.
(e) All contracts shall include sections relating to
the conditions which an organization must meet as specified
in chapter 42, HRS and by the National Endowment for the
Arts, the allotment of funds as prescribed by chapter 37,
HRS, indemnification of the State, and independent
contractor status of the recipient.

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(e) All contracts shall be for a period of no more
than one year.
(f) All contracts shall be executed not late
than sixty (60) days from the effective date of the
appropriation or as soon as practicable thereafter. If the
contract is not executed within the sixty days, the SFCA
shall inform the organization as to when the contract is
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expected to be executed. [Eff: Feb 12, 1987] (Auth: HRS
§9-5) (Imp: HRS §§9-3, 9-5, 42-3, 42-8)
§3-94-2 Monitoring of contracts. (a) The SFCA shall
monitor each contract at least annually to ensure
compliance with chapter 42, HRS, and the public purpose and
legislative intent of the agreement.
(b) Any organization who withholds or omits any
material facts or deliberately misrepresents such facts and
violates any of the provisions of chapter 42, HRS, of the
terms of its contracts, shall be prohibited from applying
for state funds for a period of five years.
(c) Any organization that intentionally or
deliberately violates any of the provisions of chapter 42,
HRS, or the terms of its contract, and has funds
appropriated in the subsequent fiscal year shall not be
entitled to receive the funds. [Eff: Feb 12, 1987] (Auth:
HRS §9-5) (Imp: HRS §§9-3, 9-5, 42-9, 42-10)
§3-94-3 Evaluation of contracts. (a) Each contract
shall be evaluated at least annually to determine whether
the intended results were attained in the manner
contemplated. An organization shall complete a variance
report form prepared by the department of budget and
finance and a SFCA final project report form for each
contract. The SFCA final project report form shall contain
the following information:
(1) Identifying information about the organization
and contract consisting of the SFCA project
number, the name, address and telephone of the
organization, the name, title, and telephone of
the contact person;
(2) The start date and end date of the contract;

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(3) A brief description of the contracted services,
including the project title, listing of
activities including dates and locations of
services, numbers of individuals benefiting, and
evaluation of the project;
(4) The actual expenses incurred and revenues
received; and
(5) Certification that the information contained in
the report including all attachments and
supporting materials are correct to the best of
the authorizing official’s knowledge.
(b) Organizations shall submit these forms and any
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additional materials as may be required by the SFCA not
later than thirty days after the completion date stipulated
in the contract. These forms and instructions shall be
subject to change as may be necessary. [Eff: Feb 12, 1987]
(Auth: HRS §9-5) (Imp: HRS §§9-3, 9-5, 42-9)