STAND. COM. REP. NO. 866

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 854
                                     




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.
854 entitled: 

     "A BILL FOR AN ACT RELATING TO EDUCATION,"

begs leave to report as follows:

     The purpose of this bill is to reduce the portion of the
general excise tax revenues deposited into the State Educational
Facilities Improvement Special Fund from $90,000,000 to
$45,000,000.

     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.
854 and recommends that it pass Second Reading and be placed on
the calendar for Third Reading.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Finance,



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair