State agencies are conduits for grants to nonprofits

Question: I noted on the screen at the Honolulu Museum of Art Doris Duke Theatre that the state Department of Labor and Industrial Relations has donated $10,000 to the Museum Business Council. What is the rationale or connection for the state doing so? Who made the decision? Isn’t the state supposed to be hands-off in giving money to private, profit-making entities?

Answer: The state Legislature appropriated the grant to the museum, which is a 501(c)(3)nonprofit organization, with the Labor Department serving as the "pass-through" agency.

According to the Internal Revenue Service, a 501(c)(3) nonprofit organization is exempt from federal income tax if it has one of these purposes: charitable, religious, educational, scientific, literary, testing for public safety, fostering amateur sports competition or preventing cruelty to children or animals.

The museum is "dedicated to the collection, preservation, interpretation, teaching of the visual arts, presentation of exhibitions, films and videos, performing arts, and public programs."

What you saw on the screen at the Doris Duke Theatre was a slide titled "Foundations + Government Support: $10,000+," said Dave Washburn, the museum’s grants manager.

The Department of Labor and Industrial Relations is listed in recognition of the grant-in-aid awarded the museum for a feasibility study, currently underway, to expand the museum’s education program and facilities, he said.

Asked why the department granted such funding to the museum, spokesman William Kunstman explained that the Legislature appropriates general funds for grants and subsidies to organizations.

Section 42F-104 of the Hawaii Revised Statutes says, "An appropriation for a grant or subsidy shall be disbursed by a contract between the state agency designated the expending agency for the appropriation by the legislature, and the recipient of the grant or subsidy."

Various divisions and agencies throughout the executive branch then serve as the "pass-through," Kunstman said.

For the Department of Labor and Industrial Relations, the Office of Community Services serves as the "pass-through" for grant money.

Grants are parceled out by the assigned expending agency, although sometimes the agencies will agree to transfer grant items between them "because one is more familiar with the organization (and/or) subject matter," Kunstman said.

For information on how to apply for grants-in-aid, go to capitol.hawaii.gov/GIA/2014GIA.aspx. You’ll also be able to see what organizations applied for funding in 2014.

Question: What ever happened to that stolen Matson container from Safeway?

Answer: The case remains open and unsolved.

No one was ever arrested for the theft of the Matson container from the Beretania Safeway at about 4:10 a.m. March 16. Hard to believe, but the 40-foot shipping container remains missing, as well.

"The investigation is ongoing," said Michelle Yu, spokeswoman for the Honolulu Police Department.

A surveillance camera recorded the thief driving a tractor-trailer truck into the loading area of the supermarket, reversing, hooking up to the container, then driving off.

Anyone with information is asked to call CrimeStoppers at 955-8300, or text "CS808," along with any information, to 274637 or CRIMES.

Mahalo

To a very nice young man standing in line behind my brother and me at the Kapahulu Safeway as we were checking out. I tried to use my card to pay for our groceries but didn’t have enough money, so my brother tried using his debit card only to find out he also didn’t have enough money. We proceeded to remove items when this young man told the cashier to put the items back, then pulled out his card to pay for our groceries. We were very surprised by his generous and kind gesture. — Grateful Sister and Brother

Write to “Kokua Line” at Honolulu Star-Advertiser, 7 Waterfront Plaza, Suite 210, 500 Ala Moana Blvd., Honolulu 96813; call 529-4773; fax 529-4750; or email kokualine@staradvertiser.com.