Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Health and Human Services, to which was referred H.B. No. 1288, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to authorize the issuance of $142 million in special purpose revenue bonds (SPRBs) for the purpose of providing financial assistance to the Kahala Senior Living Community, Inc., for the construction of a senior housing community.

Specifically, the measure:

The Kahala Senior Living Community, Inc., testified in support of this measure.

Your Committee finds that it is in the public interest to encourage development of senior housing communities in the State of Hawaii. Your Committee also finds that Kahala Senior Living Community, Inc., a not-for-profit Hawaii corporation, is engaged in the process of developing a senior housing community in Honolulu on the island of Oahu.

Under Part II, Chapter 39A, Hawaii Revised Statutes, the Legislature may authorize the issuance of SPRBs to assist nonprofit corporations that provide health care facilities to the general public.

As such, your Committee believes that Kahala Senior Living Community, Inc., may be assisted through the issuance of SPRBs because its senior housing community in Honolulu is a health care project as defined under Part II, Chapter 39A, Hawaii Revised Statutes.

As affirmed by the record of votes of the members of your Committee on Health and Human Services that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1288, H.D. 1, and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.