Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Transportation, Military Affairs and Government Operations and Agriculture, to which was referred S.B. No. 204 entitled:

beg leave to report as follows:

The purpose of this measure is to appropriate funds to the animal quarantine special fund to subsidize the quarantine fees for persons who bring their pets into the State.

Your Committees received testimony in support of this measure from the Hawaii Chamber of Commerce, the Hawaiian Humane Society, the Kauai Humane Society, the Oahu Veterans Council, the Hawaii Business Roundtable, and the United States Pacific Command. The Board of Agriculture submitted testimony in opposition.

Your Committees find that the animal quarantine program was switched from a general fund to a special fund by Act 210, Session Laws of Hawaii 1998. At that time the special fund was intended to become self-supporting, but thus far it has not been able to do so despite setting markedly higher animal quarantine fees.

In fiscal year 2000-2001, the legislature appropriated funds to offset the high animal quarantine fees, and your Committees find that it makes sense to appropriate funds for the same purpose this session. The high quarantine fees are extremely burdensome for persons who bring their pets to Hawaii, especially for military personnel who often have no choice in where they are stationed.

Your Committees find that every resident of the State has an interest in keeping Hawaii rabies free, but that the cost of doing so has fallen mainly on persons bringing their pets to the State. Your Committees find that the State should contribute additional funds for this purpose.

Your Committees amended this measure to forgive repayment of the $600,000 that was appropriated from the general fund to the animal quarantine special fund in fiscal year 1998-1999. These funds were intended to have been paid back to the general fund beginning in fiscal year 2000, but in an effort to make the animal quarantine special fund financially self-sufficient, your Committees find that this debt forgiveness is warranted.

As affirmed by the records of votes of the members of your Committees on Transportation, Military Affairs and Government Operations and Agriculture that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 204, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 204, S.D. 1, and be referred to the Committee on Ways and Means.