STAND. COM. REP. NO. 311

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 791
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Commerce and Consumer Protection, to which
was referred S.B. No. 791 entitled: 

     "A BILL FOR AN ACT RELATING TO THE PUBLIC UTILITIES
     COMMISSION,"

begs leave to report as follows:

     The purpose of this measure is to establish a Public
Utilities Commission Intervenors Fund to assist qualified persons
who wish to intervene in a proceeding before the Public Utilities
Commission.

     The Public Utilities Commission, the Department of Commerce
and Consumer Affairs, Division of Consumer Advocacy, Na Leo
Pohai, and Life of the Land presented testimony in support of the
measure.  Ho`olaulima O Palolo and two private citizens, though
not present, submitted written testimony in support of the
measure.

     Hawaiian Electric Company, Inc., Kauai Electric, GTE
Hawaiian Tel, and AT&T presented testimony in opposition to the
measure.

     Your Committee finds that individuals and entities who are
granted intervenor status in cases before the Public Utilities
Commission often lack the resources necessary to present expert
testimony and other evidence.  Establishing an intervenor fund to
assist intervenors in proceedings before the Public Utilities
Commission would provide these intervenors with the necessary

 
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resources to make a meaningful contribution to decisions made by
the Commission.

     Your Committee has amended the measure by:

     (1)  Deleting the requirement that fees collected on behalf
          of the Public Utilities Commission be paid into the
          intervenor fund up to a maximum of $500,000, after
          which the remaining amount shall be deposited in the
          Public Utilities Commission Special Fund;

     (2)  Adding a provision that requires the Attorney General
          to appoint the counsel for an intervenor who is
          eligible to receive the resources provided by the newly
          established fund; and

     (3)  Amending the appropriation section to specify that
          $500,000 in fiscal years 1999-2000 and 2000-2001 be
          appropriated from the Public Utilities Commission
          Special Fund, rather than an unspecified amount to be
          appropriated from the General Fund, to be used by the
          Public Utilities Commission for the purposes of
          assisting intervenors.  After June 30, 2001, any
          unexpended balance of the original appropriations
          remaining shall lapse into the Public Utilities
          Commission Special Fund.

     As affirmed by the record of votes of the members of your
Committee on Commerce and Consumer Protection that is attached to
this report, your Committee is in accord with the intent and
purpose of S.B. No. 791, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as S.B. 
No. 791, S.D. 1, and be referred to the Committee on Ways and
Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Commerce and
                                   Consumer Protection,



                                   ______________________________
                                   BRIAN KANNO, Co-Chair



                                   ______________________________
                                   BRIAN T. TANIGUCHI, Co-Chair

 
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