Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Health and Human Services and Judiciary, to which was referred S.B. No. 991 entitled:

beg leave to report as follows:

The purpose of this measure is to create the tobacco enforcement special fund (fund).

Your Committees received testimony in support of this measure from the Attorney General.

The fund would receive at least $350,000 each year of the tobacco settlement moneys that would otherwise be deposited into the Hawaii tobacco settlement special fund which was enacted as part of Act 304, Session Laws of Hawaii (SLH) 1999, relating to the Hawaii tobacco settlement moneys. The fund moneys would be administered by the Attorney General for use in administering, operating, monitoring, and ensuring compliance with and enforcement of chapter 675, Hawaii Revised Statutes, relating to the Tobacco Liability Act, and tobacco prevention programs. The Tobacco Liability Act created a mechanism to enforce and collect sums obligated to be paid to the State by tobacco product manufacturers as part of the "Master Settlement Agreement" with the State, which was the result of a massive class action litigation by state attorneys general against the big tobacco companies, which Hawaii joined.

Your Committees have amended this measure to make technical, nonsubstantive amendments for preferred drafting style.

As affirmed by the records of votes of the members of your Committees on Health and Human Services and Judiciary that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 991, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 991, S.D. 1, and be referred to the Committee on Ways and Means.