STAND. COM. REP. NO. 3362

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  H.B. No. 2539
                                        H.D. 2
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred H.B.
No. 2539, H.D. 2, entitled: 

     "A BILL FOR AN ACT RELATING TO THE ENVIRONMENTAL RESPONSE
     REVOLVING FUND,"

begs leave to report as follows:

     The purpose of this bill is to allow revenues generated by
the state environmental response tax to be used for a greater
variety of environmental protection programs, and to change the
state environmental response tax on each barrel of petroleum
product sold.

     Specifically, this bill:

     (1)  Allows revenues generated by the state environmental
          response tax and deposited into the environmental
          response revolving fund to be used:

          (A)  To support environmental protection and natural
               resource protection programs, including energy
               conservation and alternative energy development;
               and


 
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                                   STAND. COM. REP. NO. 3362
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          (B)  To address concerns related to air quality, global
               warming, clean water, polluted runoff, and solid
               and hazardous waste; and

     (2)  Changes the state environmental response tax on each
          barrel of petroleum product sold, from 5 cents to an
          unspecified amount.

     Your Committee has amended this bill by:

     (1)  Deleting its findings and purpose section;

     (2)  Deleting the provision that changes the state
          environmental response tax on each barrel of petroleum
          product sold, from 5 cents to an unspecified amount;

     (3)  Changing its effective date from "July 1, 2000", to
          "upon approval"; and

     (4)  Making technical nonsubstantive changes for purposes of
          style.

     In its amended form, this bill is now identical to S.B. No.
2880, S.D. 2.

     As affirmed by the record of votes of the members of your
Committee on Ways and Means that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
2539, H.D. 2, as amended herein, and recommends that it pass
Third Reading in the form attached hereto as H.B. No. 2539, H.D.
2, S.D. 1.

                                 Respectfully submitted on behalf
                                 of the members of the Committee
                                 on Ways and Means,



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
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