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 S.B. No. 768 entitled:

begs leave to report as follows:

The purpose of this measure is to minimize the disruption of public services and programs in the event of an impasse between a public employer and an exclusive representative by reinstating final and binding arbitration for employees in collective bargaining units 2, 3, 4, 6, 8, and 13.

Your Committee finds that the use of final and binding arbitration is the most modern and reasonable way of settling a labor dispute between a public employer and an exclusive representative. Arbitration poses no threat to the continuation of public services and programs and allows these disputes to be settled with authority and finality through the use of an objective and neutral third party.

Your Committee has amended this measure by making a technical nonsubstantive change for purposes of clarity and consistency.

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. 768, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 768, S.D. 1.