STAND. COM. REP. NO. 227

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1026
                                     




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Human Services and Housing, to which was
referred H.B. No. 1026 entitled: 

     "A BILL FOR AN ACT RELATING TO INSURANCE PREMIUM TAXES,"

begs leave to report as follows:

     The purpose of this bill is to allow insurance companies to
offset their insurance premium taxes with the Low Income Housing
Tax Credit.

     The Housing and Community Development Corporation of Hawaii
and the Department of Taxation submitted testimony in support of
this measure.

     As affirmed by the record of votes of the members of your
Committee on Human Services and Housing that is attached to this
report, your Committee is in accord with the intent and purpose
of H.B. No. 1026 and recommends that it pass Second Reading and
be referred to the Committee on Consumer Protection and Commerce.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Human Services
                                   and Housing,



                                   ______________________________
                                   DENNIS A. ARAKAKI, Chair