STAND. COM. REP. NO. 141-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2423
                                     




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

Sir:

     Your Committee on Health, to which was referred H.B. No.
2423 entitled: 

     "A BILL FOR AN ACT RELATING TO TOBACCO PRODUCTS REPORT,"

begs leave to report as follows:

     The purpose of this bill is to establish a reporting
mechanism to assist the Department of the Attorney General (AG)
enforce the requirement that tobacco product manufacturers who
did not participate in the national Master Settlement Agreement
are to deposit certain amounts into escrow based on the number of
cigarettes sold in Hawaii.

     The AG testified in support of this measure.  The Hawaii
Nurses' Association testified in qualified opposition, concerned
that portions of the Tobacco Settlement Funds (Funds), which were
intended for tobacco prevention and health promotion programs,
would be transferred from the Department of Health to the AG.

     Your Committee finds that if the State is not effectively
enforcing Act 188, SLH 1999, the State's share of the Funds may
be subject to a substantial reduction.  This measure ensures that
Hawaii faces no risk of reduction to its share of the Funds.

     As affirmed by the record of votes of the members of your
Committee on Health that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
2423 and recommends that it pass Second Reading and be referred
to the Committee on Judiciary and Hawaiian Affairs.

 
 
                                 STAND. COM. REP. NO. 141-00
                                 Page 2

 
                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Health,



                                   ______________________________
                                   ALEXANDER C. SANTIAGO, Chair