THE SENATE
                THE TWENTIETH LEGISLATURE
                 REGULAR SESSION OF 1999

      MEASURES DEFERRED TO THURSDAY, APRIL 8, 1999


               COMMITTEE ON WAYS AND MEANS

                        1:30 p.m.
                   Conference Room 211

         DECISION MAKING ON THE FOLLOWING BILLS
              (Deferred from April 6, 1999)


H.B. 232    RELATING TO TAXATION                                   WAM
H.D. 2     Establishes  a  general  excise  tax  structure for
           services  similar  to  that  of  goods.    The  new
           structure retains  the  four  per  cent  tax on the
           final service provided and  gradually over a period
           of  seven  years  lowers  the  tax  on intermediary
           services to half a per cent, the same as applied to
           the sale of wholesale goods.
           (CASE)

H.B. 375   RELATING TO TAXATION                                   WAM
H.D. 1     Creates  a   general   excise   tax  exemption  for
           contracting or services exported  out of the state.
           Imposes a use tax on out-of-state services imported
           or purchased for use in Hawaii.
           (CASE B.R.)

H.B. 142   RELATING TO PUBLIC EMPLOYMENT                     LRE, WAM
HD1 SD 1   Requires   the   department   of   human  resources
           development to  work  with  stakeholders  to design
           legislation to modernize civil service.
           (SAY, CACHOLA, et al.)

H.B. 336   RELATING TO PLANT AND NON-DOMESTIC ANIMAL QUARANTINE ECD, WAM
H.D. 1     Requires the  department  of  agriculture  (DOA) to
           maintain  lists  of  nonresricted,  restricted, and
           prohibited microorgansms.  Provides a procedure for
           allowing the importation  of  microorganisms not on
           any list on a case-by-case  basis.  Requires DOA to
           publish interim rules  at  least once statewide and
           increases the number of days currently required for
           publishing from the date of issuance.
           (ABINSAY, AHU ISA, et al.)

H.B. 635   RELATING TO HEALTH                                HHS, WAM
H.D. 2     Issues $15,000,000 in special purpose revenue bonds
           for Hilo Residency  Training  Program, Inc., a not-
           for-profit Hawaii Corporation.

 
           (SANTIAGO)

H.B. 747   RELATING TO STATE GOVERNMENT                      GOH, WAM
HD 1 SD1   Requires the managed process committee to transform
           State's   accounting   procurement   and  budgeting
           system; requires the  procurement  policy office to
           adopt rules for a  managed procurement process that
           evaluates   the   efficiency,   effectiveness,  and
           economy of  the  purchase  using uniform accounting
           standards; requires the comptroller to collect from
           state agencies their  portion  of benefits received
           under the  state  risk  management  revolving fund;
           requires all state departments to develop goals and
           objectives,   establishes   a   6-member   advisory
           commission on government restructuring to assist in
           reducing  the   size   and   bureaucracy  of  state
           government and increasing government efficiency and
           effectiveness;  requires  the  auditor  to contract
           with an  independent  auditing  firm  to conduct an
           annual financial  audit  of  the  state  and county
           governments; prohibits state agencies from charging
           other state agencies for  services or good provided
           to  other  state  agencies;  designates  the  civil
           rights  commission  as  the  agency  responsible to
           provide   advocacy   services   to   persons   with
           developmental disabilities.
           (KAWAKAMI, KANOHO, et al.)

H.B. 985   RELATING TO PROCUREMENT                           GOH, WAM
HD 1 SD 1   Eliminates administrator  of  the State procurement
           office  and  transfers  duties  to  policy  office;
           amends  various  provisions  of  the  Hawaii public
           procurement  code   to   consolidate   and  clarify
           sections in the chapter;  amends or repeals related
           sections of the HRS  to  bring them into compliance
           with the code;  deletes  handicapped preference for
           construction contracts;  eliminates the requirement
           that after fifty per  cent of contract is complete,
           retainage may not be withheld.
           (SAY B.R.)

H.B. 1276   RELATING TO CONDOMINIUMS                          GOH, WAM
HD 1 SD 1   Subjects CPR to  county  zoning rules and prohibits
           CPRs on  agricultural  land;  clarifies where funds
           collected  by   associations   may   be  deposited;
           establishes a fair market value standard (FMVA) for
           appraising  the  leased  fee  interest  of  condos;
           clarifies the powers of  the boards of directors of
           associations  of  apartment  owners  to  enter into
           purchase   agreements   with   lessors;      allows
           association  to  terminate   common  utilities  and
           collect  from   tenants   when   condominium  owner
           defaults  on  paying   maintenance  fees;  requires
           mortgage holders  to  pay  common  expenses  to the

 
           association  while   foreclosure   proceedings  are
           pending;  increases   membership   of  real  estate
           commission by 2  members  to  represent interest of
           condominium  governance   organizations;  clarifies
           that  moneys  in  condominium  management education
           fund shall be used  exclusively for purposes of the
           condominium  management  education  fund;  provides
           lien for unpaid  common  expenses; provides time of
           title transfer  for  foreclosure;  allows for condo
           association  to  deposit  funds  in  Hawaii  credit
           unions and invest with hawaii Securities Brokers.
           (LEE B.R.)

H.B. 706   RELATING TO HOMESTEAD LEASES                       WLH,WAM
HD 2 SD 1   Changes homestead lease amounts  to $1.  Eliminates
           cash freehold agreements.
           (SAY B.R.)


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 


 
H.B. 86    RELATING TO STATE BONDS                                WAM
           Authorizes issuance of General obligation bonds.
           (TAKAMINE)

H.B. 1029   RELATING TO PERMIT PROCESSING                      ECD,WAM
PROPOSED   Requires agencies to provide sufficient flexibility
           and reasonable time  for certain circumstances when
           adopting rules that specify maximum time periods to
           grant or deny permits.  Requires agencies' rules to
           include provisions  mandating  written notification
           for application completeness.

H.B. 1041   RELATING TO THE PUBLIC EMPLOYEES HEALTH FUND       CPN,WAM
PROPOSED   Establishes Employer-Union Trusts  Funds to replace
           the Public Employees  Health Fund for determination
           and administration  of  public  sector employee and
           retiree health  benefits.    Entitles the employee-
           beneficiary  who  is   retired  and  the  employee-
           beneficiary's  spouse   who   participates  in  the
           supplemental   Medicare   plan   of   an   employee
           organization, the same amount  paid  by the fund to
           whose who have  enrolled  in  the voluntary medical
           insurance coverage under the Medicare plan.  Allows
           PEHF to place rate credits and refunds in an escrow
           account for the future  use of Employer-Union Trust
           Funds.

H.B.1686   RELATING TO THE OFFICE OF OMBUDSMAN                    WAM
H.D. 1     Appropriates  $137,000   to   the   Office  of  the
           Ombudsman  for  replacement   of  a  non-year-2000-
           compliant equipment and software.
           (SAY B.R.)

HB 756     RELATING TO THE PUBLIC UTILITIES COMMISSION       CPN, WAM
HD2 SD1    Prohibits PUC approval of new 46 KV or greater high
           voltage    electric    transmission    systems   in
           residential  areas,  or  near  schools  or licensed
           child care facilities,  unless  placed under ground
           and   insulated   against   electro-magnetic  field
           emissions;   requires   PUC   to   re-review  prior
           applications.


                   No testimony will be accepted.

For further information, please call the committee clerk at 586-6800.