STAND. COM. REP. NO. 1092

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1416
                                     H.D. 2




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

Sir:

     Your Committee on Finance, to which was referred H.B. No.
1416, H.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO THE EMPLOYEES' RETIREMENT
     SYSTEM,"

begs leave to report as follows:

     The purpose of this bill is to convert deputy sheriffs of
the Department of Public Safety from class C to class A members
of the Employees' Retirement System (ERS).

     The Hawaii Government Employees Association and three deputy
sheriffs testified in support of the bill.  The Department of
Public Safety testified in support of the intent of the bill.
The Employees Retirement System commented on the measure.

     Your Committee has amended the bill by:

     (1)  Giving current deputy sheriffs the option of converting
          from class C to class A members of ERS;

     (2)  Allowing current deputy sheriffs to retire after 25
          years of service irrespective of age;

     (3)  Mandating that deputy sheriffs hired after June 30,
          1999, shall be class A members; and

     (4)  Making technical, nonsubstantive revisions for style
          and clarity.

 
 
                                 STAND. COM. REP. NO. 1092
                                 Page 2

 
     As affirmed by the record of votes of the members of your
Committee on Finance that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
1416, H.D. 1, as amended herein, and recommends that it pass
Third Reading in the form attached hereto as H.B. No. 1416, H.D.
2.
                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Finance,



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair