Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 2172, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to exempt telecommunications carriers from the requirement of obtaining prior approval from the Public Utilities Commission (PUC) before issuing securities.

Verizon Hawaii testified in support of this measure. The Consumer Advocate and PUC opposed this bill.

Your Committee has amended this bill by changing the effective date to July 1, 2010, for the purpose of continued discussion.

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 H.B. No. 2172, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2172, H.D. 2.