STAND. COM. REP. NO. 2195

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2763
                                        S.D. 1




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

Sir:

     Your Committees on Judiciary and Health and Human Services,
to which was referred S.B. No. 2763 entitled: 

     "A BILL FOR AN ACT RELATING TO THE ENFORCEMENT OF THE
     TOBACCO SETTLEMENT AGREEMENT,"

beg leave to report as follows:

     The purpose of this bill is to create a tobacco enforcement
special fund using a portion of the tobacco settlement moneys,
and to authorize the Attorney General to use the tobacco
enforcement special fund to ensure compliance with and
enforcement of the settlement agreement between the State and
tobacco manufacturers, tobacco regulations, and tobacco
prevention programs.

     Your Committees find that spending the money needed to
enforce the tobacco settlement agreement, and to enforce laws
related to tobacco generally, will prove a sound investment.
Your Committees further find that an active enforcement stance
will ensure that the tobacco settlement moneys continue to come
into Hawaii, where they can be spent on prevention programs, as a
rainy day fund, and for the other purposes specified by law.
Your Committees believe it is appropriate to use a small portion
of the tobacco settlement moneys to fund this enforcement effort.

     Testimony in support of this measure was submitted by the
Attorney General and testimony in support, with reservations, was
submitted by the Coalition for a Tobacco Free Hawaii.


 
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                                   STAND. COM. REP. NO. 2195
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     Upon further consideration, your Committees have amended
this measure by:

     (1)  Changing the source from which enforcement funds will
          be diverted (and to which unspent enforcement funds
          will be returned) from the general, undistributed
          tobacco settlement moneys to the rainy day fund; and

     (2)  Adding to the effective date a proviso that amendments
          made by the bill to section 36-27, Hawaii Revised
          Statutes, will not be repealed when that section
          sunsets; and

     (3)  Making technical, non-substantive changes for the
          purposes of clarity and style.

     As affirmed by the records of votes of the members of your
Committees on Judiciary and Health and Human Services that are
attached to this report, your Committees are in accord with the
intent and purpose of S.B. No. 2763, as amended herein, and
recommend that it pass Second Reading in the form attached hereto
as S.B. No. 2763, S.D. 1, and be referred to the Committee on
Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Judiciary and
                                   Health and Human Services,



____________________________       ______________________________
SUZANNE CHUN OAKLAND, Chair        AVERY B. CHUMBLEY, Chair



                                   ______________________________
                                   MATTHEW M. MATSUNAGA, Chair

 
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