STAND. COM. REP. NO. 1535

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  H.B. No. 1038
                                        H.D. 1
                                        S.D. 2




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred H.B.
No. 1038, H.D. 1, S.D. 1, entitled: 

     "A BILL FOR AN ACT MAKING APPROPRIATIONS FOR COLLECTIVE
     BARGAINING COST ITEMS,"

begs leave to report as follows:

     The purpose of this bill is to appropriate and authorize
funds to the Department of Budget and Finance, the Judiciary, and
the Hawaii Health Systems Corporation to pay the cost of items
negotiated in collective bargaining agreements with the
representatives of units 1, 2, 3, 4, 6, 8, 9, 10, and 13, and for
state officers and employees who are excluded from these units.

     In addition, this bill appropriates and authorizes funds to
the Office of the Auditor, the Ethics Commission, the Legislative
Reference Bureau, and the Ombudsman to pay the cost of salary
increases and other cost adjustments authorized for state
officers and employees in these agencies who are excluded from
collective bargaining.

     Specifically, this bill appropriates and authorizes general
funds, special funds, federal funds, and other funds to pay the
retroactive (i.e., past) and continuing (i.e., present and
future) cost of these collective bargaining agreement items.


 
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                                   STAND. COM. REP. NO. 1535
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     Your Committee finds that funds were not appropriated or
authorized during past legislative sessions to pay the full cost
of some collective bargaining agreements (e.g., unit 6 -
educational officers) because of the severity of the budget
deficit.

     Your Committee has not specified the full amount of funds to
be appropriated for the 1998-1999 fiscal year and the 1999-2001
fiscal biennium since work on the state budget is still in
progress.

     Your Committee has amended this bill by appropriating the
sum of $2 for fiscal year 1998-1999 to fund increases in salary
costs due to collective bargaining agreements for employees of
the Hawaii Health Systems Corporation in bargaining units 1, 2,
3, 4, 9, 10, and 13.

     As affirmed by the record of votes of the members of your
Committee on Ways and Means that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
1038, H.D. 1, S.D. 1, as amended herein, and recommends that it
pass Third Reading in the form attached hereto as H.B. No. 1038,
H.D. 1, S.D. 2.

                                 Respectfully submitted on behalf
                                 of the members of the Committee
                                 on Ways and Means,



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
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