Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Finance, to which was referred S.B. No. 1561, S.D. 1, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to authorize the issuance of $5,000,000 in special purpose revenue bonds for Central Kauai Sanitary Landfill, LLC. The moneys are to be used to assist Central Kauai Sanitary Landfill, LLC in planning, designing, and constructing a private landfill on the island of Kauai.

Your Committee received testimony in support of this measure from Bob Awana, Managing Partner of Central Kauai Sanitary Landfill, LLC, and Grove Farm Company.

The Department of Budget and Finance and the Department of the Attorney General expressed concern over whether this project qualifies as a "processing" enterprise under state and federal law. However, after further deliberation, your Committee has concluded that the proposed landfill does fall within state and federal statutes and will qualify for funding via special purpose revenue bonds.

Your Committee has amended the bill by:

Your Committee would like to note that by recommending that this measure pass Third Reading, it is not conveying to the county any preference with regard to the county's decision-making processes, including requests for proposals, authorizations of permits, or approvals.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1561, S.D. 1, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1561, S.D. 1, H.D. 2.