§10-17  Grants; conditions and
qualifications.  (a)  Applications for grants shall be made to the office
and contain such information as the office shall require.  At a minimum, the
applicant shall show:



(1)  The name of the requesting organization or individual;



(2)  The purpose for the grant;



(3)  The service to be supported by the grant;



(4)  The target group to be benefited;



(5)  The cost of the grant; and



(6)  That the grant shall be used for activities that
are consistent with the purposes of this chapter.



(b)  Grants shall only be awarded if:



(1)  The applicant has applied for or received all
applicable licenses and permits, when such is required to conduct the
activities or provide the services for which a grant is awarded;



(2)  The applicant agrees to comply with applicable
federal, state, and county laws;



(3)  The grant shall not be used for purposes of
entertainment or perquisites;



(4)  All activities and improvements undertaken with
funds received shall comply with all applicable federal, state, and county
statutes and ordinances, including applicable building codes and agency rules;
and



(5)  The applicant will indemnify and hold harmless
the office, the State of Hawaii, its officers, agents, and employees from and
against any and all claims arising out of or resulting from activities carried
out or projects undertaken with funds provided hereunder, and procure
sufficient insurance to provide this indemnification if requested to do so by
the office.



(c)  To receive a grant, an applicant shall:



(1)  Be:



(A)  A for-profit subsidiary of a nonprofit
organization incorporated under the law of the State;



(B)  A nonprofit community-based organization
determined to be exempt from federal income taxation by the Internal Revenue
Service;



(C)  A cooperative association; or



(D)  An individual, who in the board's
determination, is able to provide the services or activities proposed in the
application for a grant;



(2)  In the case of a nonprofit organization, have a
governing board whose members have no material conflict of interest and serve
without compensation, have bylaws or policies that describe the manner in which
business is conducted and policies relating to nepotism and management of
potential conflict of interest situations, and employ or contract with no two
or more members of a family or kin of the first or second degree of
consanguinity unless specifically permitted by the office;



(3)  Agree to make available to the office all records
the applicant may have relating to the operation of the applicant's activity,
business, or enterprise, to allow the office to monitor the applicant's
compliance with the purpose of this chapter; and



(4)  Establish, to the satisfaction of the office,
that sufficient funds are available for the effective operation of the
activity, business, or enterprise for the purpose for which the grant is
awarded.



(d)  Every grant shall be:



(1)  Monitored by the office to ensure compliance with
this chapter and the purposes and intent of the grant; and



(2)  Evaluated annually to determine whether the grant
attained the intended results in the manner contemplated.



(e)  Grants made by the office under this
chapter may be made without regard to chapters 103D and 103F. [L 2002, c 182,
§1; am L 2003, c 9, §2]