STAND. COM. REP. NO. 1024-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.B. No. 2059
                                     S.D. 1
                                     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 Human Services and Housing, to which was
referred S.B. No. 2059, S.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO WELFARE REFORM,"

begs leave to report as follows:

     The purpose of this bill is to establish a fair and
equitable standard for Hawaii's cash assistance programs by
setting cash assistance based on sixty-five percent of the 1993
federal poverty level.

     The National Association of Social Workers, the Welfare and
Employment Rights Coalition, and an individual testified in
support of the intent of this measure.  The Department of Human
Services (DHS) testified in support of increasing benefits, but
opposed any legislation that exceeds the Executive Budget.  The
Kokua Council submitted comments.

     DHS projects that it would require an additional $8,100,000
in state funds to increase the payment standard to sixty-five
percent of the 1993 federal poverty level.  Your Committee finds
that the same result can be achieved by using the current federal
poverty level and adjusting the percentage that DHS uses to
calculate cash assistance.

     Your Committee has amended this measure by:

 
 
 
 
                                 STAND. COM. REP. NO. 1024-00
                                 Page 2

 

     (1)  Basing cash assistance on fifty-five percent, but not
          less than forty-three percent, of the 2000 federal
          poverty level;

     (2)  Increasing cash assistance annually based on the
          corresponding annual cost-of-living adjustment provided
          by the Bureau of Labor Statistics, but no lower than
          twenty percent less than the annual adjustment;

     (3)  Providing for reduction adjustments; and

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

     As affirmed by the record of votes of the members of your
Committee on Human Services and Housing that is attached to this
report, your Committee is in accord with the intent and purpose
of S.B. No. 2059, S.D. 1, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as S.B. No.
2059, S.D. 1, H.D. 1, and be referred to the Committee on
Finance.

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



                                   ______________________________
                                   DENNIS A. ARAKAKI, Chair