STAND. COM. REP. NO. 99-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 1937
                                     




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Energy and Environmental Protection, to
which was referred H.B. No. 1937 entitled: 

     "A BILL FOR AN ACT RELATING TO AUTHORIZING THE USE OF
     GENERAL OBLIGATION BONDS TO INSTALL UTILITY LINES
     UNDERGROUND,"

begs leave to report as follows:

     The purpose of this bill is to enable more utility lines to
be installed underground by broadening the base of those who
would finance the undertaking.  This bill allows state or county
agencies with responsibility for approving the construction of
utility lines to seek authorization from the Legislature for the
issuance of general obligation bonds to cover the cost of
underground installation.

     The Public Utilities Commission, the Hawaiian Electric
Company, Inc., and its subsidiaries, Hawaii Electric Light
Company and Maui Electric Company, GTE, Na Leo Pohai, Life of the
Land, Malama o Manoa, and an individual testified in support of
this bill.  The Consumer Advocate supported the intent of this
bill.  The Department of Budget and Finance testified in
opposition to this measure, and Kauai Electric and the University
of Hawaii's Environmental Center offered comments.

     Your Committee finds that this bill has merit and deserves
further consideration.  A more thorough review into the
appropriateness of using general obligation bonds for this
purpose is best addressed in the Committees on Consumer
Protection and Commerce and Finance.

 
                                 STAND. COM. REP. NO. 99-00
                                 Page 2

 

     As affirmed by the record of votes of the members of your
Committee on Energy and Environmental Protection that is attached
to this report, your Committee is in accord with the intent and
purpose of H.B. No. 1937 and recommends that it pass Second
Reading and be referred to the Committee on Consumer Protection
and Commerce.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Energy and
                                   Environmental Protection,



                                   ______________________________
                                   HERMINA M. MORITA, Chair