Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 1362 entitled:

begs leave to report as follows:

The purpose of this measure is to authorize the issuance of special purpose revenue bonds.

Specifically, this measure authorizes up to $7,000,000 in special purpose revenue bonds to be issued for the purpose of assisting Saint Patrick School in financing or refinancing the planning, acquisition, construction, or improvement of its educational facilities.

Your Committee finds that the planning, acquisition, construction, or improvement of Saint Patrick School's educational facilities is a "project" as defined in or pursuant to Act 257, Session Laws of Hawaii 2002, and that the financing of these facilities is assistance to a not-for-profit private elementary school that serves the general public.

Your Committee has amended this measure by requiring the Department of Budget and Finance, in determining the principal amounts of refunding special purpose revenue bonds that may be issued by the department, to comply with federal law relating to the exemption from federal income taxation of the interest on the special purpose revenue bonds authorized by this measure.

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 H.B. No. 1362, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1362, S.D. 1.