STAND. COM. REP. NO. 902-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.B. No. 2575
                                     S.D. 2
                                     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 Higher Education, to which was referred
S.B. No. 2575, S.D. 2, entitled: 

     "A BILL FOR AN ACT RELATING TO THE UNIVERSITY OF HAWAII
     FACILITIES IMPROVEMENTS SPECIAL FUND,"

begs leave to report as follows:

     The purpose of this bill is to establish a University of
Hawaii facilities improvements special fund.

     The bill requires that $15 million be deposited into a
facilities improvements special fund from a combination of
general excise tax revenues and general obligation bond proceeds.
The fund would be used by the University of Hawaii for repairs
and maintenance of their physical facilities.

     The University of Hawaii and the Hawaii Association of
Realtors testified in support of the bill.  The Department of
Budget and Finance supported the intent of the bill.  The Tax
Foundation of Hawaii testified in opposition of the measure.  

     Your Committee has amended the measure by leaving the
appropriation amount blank for further evaluation.

     As affirmed by the record of votes of the members of your
Committee on Higher Education that is attached to this report,
your Committee is in accord with the intent and purpose of S.B.
No. 2575, S.D. 2, as amended herein, and recommends that it pass

 
 
                                 STAND. COM. REP. NO. 902-00
                                 Page 2

 
Second Reading in the form attached hereto as S.B. No. 2575, S.D.
2, H.D. 1, and be referred to the Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Higher Education,



                                   ______________________________
                                   DAVID MORIHARA, Chair