STAND. COM. REP. 1422

Honolulu, Hawaii

, 2003

RE: S.B. No. 1311

S.D. 1

H.D. 1

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Finance, to which was referred S.B. No. 1311, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO SPECIAL FUNDS,"

begs leave to report as follows:

The purpose of this bill is to ensure that special funds that benefit from:

(1) Central service operations of government; or

(2) Administrative expenses incurred by the departments responsible for the operations supported by these special funds,

pay their fair share of these costs by removing the exemption enjoyed by these special funds.

This bill also makes appropriations from certain special funds to pay for these expenses.

The Department of Budget and Finance, the Department of Commerce and Consumer Affairs, and the Judiciary offered comments. The Department of Education (DOE), Hawaii Community Development Authority (HCDA), High Technology Development Corporation, and Coalition for a Tobacco Free Hawaii opposed this bill.

Your Committee has amended this bill by:

(1) Restoring the exemptions for the following DOE funds:

(a) School Cafeteria Special Funds;

(b) Special Out-of-school Time Instructional Program Fund; and

(c) Public Schools Special Fees and Charges Fund,

and deleting the appropriations relating to these funds;

(2) Restoring the exemption for HCDA's special fund relating to its district-wide improvement program under section 206E-6, Hawaii Revised Statutes; and

(3) Making technical, nonsubstantive amendments for purposes of style and consistency.

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. 1311, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1311, S.D. 1, H.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

 

____________________________

DWIGHT Y. TAKAMINE, Chair