STAND. COM. REP. NO. 2108

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2156
                                        




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

Sir:

     Your Committee on Transportation and Intergovernmental
Affairs, to which was referred S.B. No. 2156 entitled: 

     "A BILL FOR AN ACT RELATING TO THE TRANSIENT ACCOMODATIONS
     TAX,"

begs leave to report as follows:

     The purpose of this measure is to exempt certain foreign
diplomatic and consular mission members from the transient
accomodations tax (TAT).

     Testimony in support of this measure was received from the
United States Department of State, the Department of Taxation,
and the Career Consular Corps in Hawaii.  Comments were received
from the Tax Foundation of Hawaii.  

     Upon consideration of all pertinent issues and testimony
presented, your Committee finds that this measure will bring
Hawaii into conformity with the rest of the United States, as
Hawaii currently is the only State that does not grant a TAT
exemption. 
  
     As affirmed by the record of votes of the members of your
Committee on Transportation and Intergovernmental Affairs that is
attached to this report, your Committee is in accord with the
intent and purpose of S.B. No. 2156, and recommends that it pass
Second Reading and be referred to the Committee on Ways and
Means.


 
a                                                     SB2156
                                   STAND. COM. REP. NO. 2108
                                   Page 2


                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Transportation
                                   and Intergovernmental Affairs,



                                   ______________________________
                                   CAL KAWAMOTO, Chair

 
a                                                     SB2156