STAND. COM. REP. NO. 151-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 1944
                                     H.D. 1




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

Sir:

     Your Committee on Consumer Protection and Commerce, to which
was referred H.B. No. 1944 entitled: 

     "A BILL FOR AN ACT RELATING TO PUBLIC SERVICE COMPANY TAX,"

begs leave to report as follows:

     The purpose of this bill is to provide the respective
counties with the option of either sharing revenues collected
under the public service company tax which are in lieu of real
property taxes or foregoing the revenue sharing and collecting
real property taxes. 

     Testimony in support of this measure was submitted by the
City and County of Honolulu, County Council of Maui, County
Council of Hawaii, Chairman of the County Council of Kauai,
Corporation Counsel of the County of Hawaii, Kona-Kohala Chamber
of Commerce, Tax Foundation of Hawaii, Hawaiian Electric Company,
Inc., GTE Hawaiian Telephone, and Kauai Electric/The Gas Company.  

     Testimony in opposition to this measure was submitted by the
Department of Budget and Finance and Life of the Land.

     Testimony commenting on this measure was submitted by the
Public Utilities Commission.

     Your Committee has amended this measure by making technical,
nonsubstantive amendments for purposes of style and clarity.


 
 
 
                                 STAND. COM. REP. NO. 151-00
                                 Page 2

 
     As affirmed by the record of votes of the members of your
Committee on Consumer Protection and Commerce that is attached to
this report, your Committee is in accord with the intent and
purpose of H.B. No. 1944, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as H.B. No.
1944, H.D. 1, and be referred to the Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Consumer
                                   Protection and Commerce,



                                   ______________________________
                                   RON MENOR, Chair