STAND. COM. REP. NO. 1632

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.C.R. No. 57
                                        S.D. 1




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
S.C.R. No. 57, S.D. 1, entitled:

     "SENATE CONCURRENT RESOLUTION REQUESTING AN AUDIT OF VARIOUS
     EXECUTIVE DEPARTMENTS REGARDING CEDED LAND REVENUES,"

begs leave to report as follows:

     The purpose of this Concurrent Resolution is to request the
Auditor to audit specified state departments to examine their
methodologies in verifying ceded land revenues.

     Specifically, the Auditor is requested to review the
methodologies of the Department of Accounting and General
Services, Department of Business, Economic Development, and
Tourism, Department of Health, Department of Land and Natural
Resources, Department of Transportation (airports and harbor
divisions), and the University of Hawaii.

     Your Committee finds that the amount of revenues the ceded
land brings in is not standardized and that this lack of
conformable data contributes to the general lack of clarity that
surrounds the ceded lands issue.  A review by the Auditor will
enable the State to ascertain where inconsistencies in ceded
revenue calculations occur, the reasons therefor, and will assist
the State in establishing a uniform system.


 
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                                   STAND. COM. REP. NO. 1632
                                   Page 2


     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 concurs with the intent and purpose of S.C.R. No. 57,
S.D. 1, and recommends its adoption.

                                 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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