STAND. COM. REP. NO. 1210
Honolulu, Hawaii
, 2001
RE: H.B. No. 1156
H.D. 2
S.D. 1
Honorable Robert Bunda
President of the Senate
Twenty-First State Legislature
Regular Session of 2001
State of Hawaii
Sir:
Your Committee on Commerce, Consumer Protection and Housing, to which was referred H.B. No. 1156, H.D. 2, entitled:
"A BILL FOR AN ACT RELATING TO THE HAWAII HURRICANE RELIEF FUND,"
begs leave to report as follows:
The purpose of this measure is to establish a pilot program to provide grants to residential property owners for the installation of Hawaii Hurricane Relief Fund-approved wind mitigation damage devices.
Your Committee received testimony in support of this measure from the Board of the Hawaii Hurricane Relief Fund (HHRF), Hurricane Hazard Mitigation Ad Hoc Work Group, Hawaii Security Shutters, Building Industry Association, and an individual. The Insurance Commissioner and Department of Budget and Finance testified in opposition to this measure.
This measure requires the HHRF to develop and implement a two-year pilot program to provide matching fund grants, up to $3,500, to homeowners who install wind damage mitigation devices. The grants will be available to current and former HHRF policyholders and the Fund is authorized to expend up to $10,000,000 of investment revenue from the Hurricane Reserve Trust Fund to finance the grant program.
Your Committee has amended this measure by replacing its contents with the language of S.B. No. 838, S.D. 2, but amending the Senate version by removing the specific percentage amounts contained therein.
As amended, this measure:
(1) Does not limit the grant program to two years, leaves unspecified the amount the Fund is authorized to expend for the program, and reduces the amount of maximum matching funds to $2,000;
(2) Requires legislation to dissolve the fund and for the subsequent reversion of moneys in the Hurricane Reserve Trust Fund to the General Fund, and if no reversion is legislatively authorized, authorizes deposit of the moneys into an unidentified fund;
(3) Allocates the Fund's investment income among the grant program, reinvestments to maximize the fund corpus, and the General Fund, but does not specify allocation percentages;
(4) Clarifies that the Fund's plan of operation is required to include an investment plan designed to increase moneys in the fund to an amount sufficient to settle claims from a covered event;
(5) Appropriates unspecified amounts for the fiscal biennium for purposes of the hazard mitigation grant program; and
(6) Takes effect on July 1, 2050.
As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection and Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1156, H.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1156, H.D. 2, 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, Consumer Protection and Housing,
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____________________________ RON MENOR, Chair |
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