§6E-35  Iolani Palace.  (a)  The
official designation of the palace of the former monarchs of Hawaii shall be
Iolani Palace.



(b)  The official designation of the Friends of
Iolani Palace shall be the State of Hawaii Museum of Monarchy History.  The
qualifying standards and conditions related to the receipt of funds under
chapter 42F shall not apply to funds received by the State of Hawaii Museum of
Monarchy History; provided that if the museum contracts with a recipient or
provider, then the qualifying standards, conditions, and other provisions of
chapter 42F shall apply to the recipient or provider and the contract.



(c)  To receive state funds, the State of
Hawaii Museum of Monarchy History shall:



(1)  Be licensed or accredited, in accordance with
federal, state, or county statutes, rules, or ordinances, to conduct the
activities or provide the services for which funds are appropriated;



(2)  Comply with all applicable federal and state laws
prohibiting discrimination against any person on the basis of race, color,
national origin, religion, creed, sex, age, sexual orientation, or disability;



(3)  Agree not to use the funds for entertainment or
lobbying activities;



(4)  Be incorporated under the laws of the State;



(5)  Have bylaws or policies that describe the manner
in which the activities or services for which a grant or subsidy is awarded
shall be conducted or provided;



(6)  Have been determined and designated to be a
tax-exempt organization by the Internal Revenue Service; and



(7)  Have a governing board whose members shall have
no material conflict of interest and serve without compensation.



(d)  The comptroller and state auditor shall
have the authority to examine the use of funds appropriated to the State of
Hawaii Museum of Monarchy History.



(e)  The State of Hawaii Museum of Monarchy
History shall provide to the legislature an annual report no later than twenty
days prior to the convening of each regular session, which shall include an
explanation of the facility maintenance and other functions accomplished by
state fund expenditures in the previous fiscal year. [L 1976, c 104, pt of §2;
am L 2007, c 291, §§2, 3; am L 2008, c 126, §1]