HI SB1260

Creates a new chapter in Hawaii Revised Statutes to establish procedures for allocating the state's federal bond ceiling to state and county issuers.

Defines key terms including "bond," "issuer" (state or county departments, boards, commissions, authorities, or not-for-profit corporations), and "state ceiling" (federal limits on tax-exempt bond issuance under the Internal Revenue Code and federal legislation).

Grants the Department of Budget and Finance, with governor approval, authority to allocate or reallocate the state bond ceiling to issuers and to require reports on planned use of allocations.

Requires issuers to submit certificates evidencing application of bond allocations to the department and mandates department maintenance of allocation records.

Allows unused allocations to carry forward into future years if federal law permits, with county directors and other issuers required to report unapplied amounts by December 15 or revert them to the state.