Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 596, H.D. 2, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to allow for the suspension and reactivation of the special mortgage recording fee for the Hawaii Hurricane Relief Fund, and to provide for suspension of the fee between July 1, 2001 and December 31, 2001.

The bill also extends the authorization to issue reimbursable general obligation bonds to 2001-2002.

The special mortgage recording fee was established as one of the funding mechanisms for the Hawaii Hurricane Relief Fund. Your Committee finds that the fund is currently set to end in December 2001, which will make the special fee unnecessary. The ability to reauthorize the fund is retained in the event that a hurricane should occur between now and the fund's termination, and the bond authorization is extended to preserve the Fund's tax-exempt status.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 596, H.D. 2, S.D. 1, and recommends that it pass Third Reading.