STAND. COM. REP. NO. 574-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2601





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

Sir:

     Your Committee on Finance, to which was referred H.B. No.
2601 entitled: 

     "A BILL FOR AN ACT RELATING TO THE GENERAL FUND EXPENDITURE
     CEILING REPORTING DATES,"

begs leave to report as follows:

     The purpose of this bill is to improve the accuracy of the
official forecasts of total state personal income by:

     (1)  Changing the dates on which the Council on Revenues
          (COR) must report its estimates of total personal
          income to the Director of Finance, the Governor, the
          Chief Justice, and the Legislature; and

     (2)  Changing corresponding dates on which the Director of
          Finance must determine estimates of the state growth
          and expenditure ceiling.

     Testimony in support of this bill was submitted by the
Department of Taxation.  Comments were submitted by the COR and
Tax Foundation of Hawaii.

     The U.S. Bureau of Economic Analysis has been releasing its
estimates of total personal income on July 27 and October 26.
Your Committee finds that by changing the COR's reporting dates
to August 5 and November 5, COR will have this additional
economic information available to make its forecast.


 
 
                                 STAND. COM. REP. NO. 574-00
                                 Page 2

 
     As affirmed by the record of votes of the members of your
Committee on Finance that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
2601 and recommends that it pass Second Reading and be placed on
the calendar for Third Reading.

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



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair