Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Labor, to which was referred H.B. No. 2467, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to amend the law relating to the salaries of fourteen various positions in order to recruit and retain qualified staff.

Specifically, this measure adjusts the salary levels for positions within the:

Testimony in support of this measure was submitted by the Department of Budget and Finance, the Department of Human Resources Development, the Housing and Community Development Corporation of Hawaii, the Department of Defense, the Office of Veterans Services, the Advisory Board on Veterans Services, the Managerial and Confidential Employees Chapter of the Hawaii Government Employees Association, and the League of Women Voters of Hawaii.

Comments on this measure were also submitted by the Hawaii State Ethics Commission.

Your Committee finds that the salary levels for the aforementioned positions are currently established by statute and are beyond the review of the Executive Salary Commission. Therefore, adjustments to the salary level of these positions must be accomplished statutorily, outside the purview of the Executive Salary Commission. Your Committee further finds that the salary levels for several of these positions have remained unchanged for over a decade. Additionally, the salary levels for seven of these positions were set within the range of a deputy or assistant to a department head, which seems to indicate that such salary levels were intended to be established on a level equivalent to those of a deputy director or assistant.

Therefore, your Committee determines that it is necessary to provide for the adequate compensation of the individuals in these positions at a level commensurate with their responsibilities, experience, and performance in order to recruit and retain qualified individuals. However, your Committee also determines the salary of the Executive Director of the Hawaii State Ethics Commission is currently fixed within the range of a deputy director and is also in need of adjustment. Additionally, your Committee believes that further clarification is necessary to specify who will determine the salary for those positions not tied to a deputy director's salary.

Accordingly, your Committee has amended this measure by:

As affirmed by the record of votes of the members of your Committee on Labor that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2467, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2467, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.