STAND. COM. REP. NO. 373-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2336
                                     H.D. 1




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

Sir:

     Your Committees on Human Services and Housing and Health, to
which was referred H.B. No. 2336 entitled: 

     "A BILL FOR AN ACT RELATING TO INCOME TAX CREDITS FOR
     ELDERLY AT-HOME CARE,"

beg leave to report as follows:

     The purpose of this bill is to establish an income tax
credit to any taxpayer who cares for an elderly relative under
certain conditions.

     Kokua Council and the Representative from the 42nd District
testified in support of this measure.  The Executive Office on
Aging testified in support of the intent of this measure.  The
Department of Taxation opposed this measure.  The Department of
Human Services (DHS) submitted comments.

     Your Committees find that this measure provides financial
relief for caregivers providing long-term care for elderly
relatives, thus allowing families to keep their relatives at home
for as long as possible, which is what most families desire to
do.

     Your Committees have amended this measure by:

     (1)  Providing a $300 tax credit for the long-term care of
          an elder relative;


 
 
 
                                 STAND. COM. REP. NO. 373-00
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     (2)  Deleting requirements that the elder relative must be
          certified by DHS as requiring the level of care for
          which the credit is claimed;

     (3)  Deleting the provision specifying that the taxpayer
          shall not place the elderly relative in any for-profit
          adult day care center; and

     (4)  Making technical, nonsubstantive amendments for
          purposes of clarity and style.

     As affirmed by the records of votes of the members of your
Committees on Human Services and Housing and Health that are
attached to this report, your Committees are in accord with the
intent and purpose of H.B. No. 2336, as amended herein, and
recommends that it pass Second Reading in the form attached
hereto as H.B. No. 2336, H.D. 1, and be referred to the Committee
on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Human Services
                                   and Housing and Health,

                                   
                                   
                                   
                                   
______________________________     ______________________________
ALEXANDER C. SANTIAGO, Chair       DENNIS A. ARAKAKI, Chair