Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Education, to which was referred S.B. No. 1315, S.D. 2, entitled:

begs leave to report as follows:

The purpose of this measure, as received, is to offer an incentive to state teachers to take professional development course work by allowing them a 100% state tax deduction on tuition costs.

Your Committee circulated a proposed draft of this measure that amends the annuity or investment in custodial account law to include the Department of Education. This proposed draft:

HSTA and the Department of Education testified in support of the proposed draft. The Senior Vice President for Administration at the University of Hawaii supported the intent of the proposed draft.

Your Committee finds that this measure is necessary for the department to be in compliance under Internal Revenue Code requirements—requiring that the department must provide universal eligibility and extensive program compliance.

Your Committee has amended this measure by deleting the substance and inserting the contents of the proposed draft.

As affirmed by the record of votes of the members of your Committee on Education that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1315, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1315, S.D. 2, H.D. 1, and be referred to the Committee on Finance.