§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 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; am L 2014, c 96, §3]