STAND. COM. REP. NO. 1780

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: S.B. No. 1300
                                     S.D. 1
                                     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 S.B. No.
1300, S.D. 1, H.D. 1, entitled: 

     "A BILL FOR AN ACT MAKING AN EMERGENCY APPROPRIATION TO PAY
     THE SHARE OF HEALTH INSURANCE CARRIER REFUND AND RATE CREDIT
     AMOUNTS DUE TO THE FEDERAL GOVERNMENT,"

begs leave to report as follows:

     The purpose of this bill is to make an emergency
appropriation to return to the federal government, the federal
share of health insurance rate credits and rebates received by
the State.

     The Department of Budget and Finance (B&F) commented on this
measure.

     Your Committee has received a message from the Governor,
dated February 4, 1999:

     (1)  Stating that $2,132,595 is needed in general funds in
          fiscal year 1998-1999 to pay the federal government its
          share of health insurance rebates and rate credits
          received by the general fund during fiscal year 1998-
          1999; and

     (2)  Requesting the Legislature for immediate passage of
          this bill to comply with the U.S. Department of Health
          and Human Services' requirement for payment.

 
 
                                 STAND. COM. REP. NO. 1780
                                 Page 2

 
     Your Committee has amended this measure by:

     (1)  Specifying that the sum of $2,132,595 be returned to
          the federal government;

     (2)  Specifying that the sum appropriated be expended by
          B&F; and

     (3)  Making technical, nonsubstantive amendments for clarity
          and style.

     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 S.B. No.
1300, S.D. 1, H.D. 1, as amended herein, and recommends that it
pass Third Reading in the form attached hereto as S.B. No. 1300,
S.D. 1, H.D. 2.

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



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair