Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 2736 entitled:

begs leave to report as follows:

The purpose of this measure is to exclude positions and exempt employees in the Hawaii National Guard Youth Challenge Academy from the civil service law and the law relating to collective bargaining in public employment, respectively.

Your Committee finds that the Hawaii National Guard's Youth Challenge Academy provides sixteen to seventeen-year-old "at risk" youths a second chance to obtain their high school diploma and become productive citizens. Your Committee also finds that the State's civil service and collective bargaining laws create pay-related conflicts with the Master Youth Cooperative Agreement between the State and federal government. The Master Youth Cooperative Agreement governs the conduct of the Youth Challenge Academy, identifies the number of positions the program can staff and the pay ceiling for each position.

Your Committee finds that Congress enacted legislation in the 1993 Defense Authorization Bill authorizing and appropriating funds for the conduct of the Challenge youth program. The National Guard Bureau, under auspices of the Assistant Secretary of Defense, Reserve Affairs, manages the program. The legislation allows the National Guard Bureau to enter into agreements with state governors to conduct the program. The governor delegates the authority to execute and conduct the program to the Adjutant General. Consequently, adherence to the Master Youth Cooperative Agreement is not a state option but a requirement specified by federal law.

Your Committee has amended this measure by:

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 S.B. No. 2736, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2736, S.D. 1.