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. 1307 entitled:

begs leave to report as follows:

The purpose of this measure is to clarify the provisions of the unclaimed property trust fund.

In particular, this bill authorizes the payment of operating expenses from the unclaimed property trust fund; increases the balance of funds permitted to remain in the trust fund at the end of each fiscal year from $1,000,000 to $1,500,000; and appropriates funds out of the trust fund for fiscal years 2003-2004 and 2004-2005 for the administration and operation of the unclaimed property program.

Your Committee received testimony in favor of this measure from the Department of Budget and Finance.

Your Committee finds that all expenses of the unclaimed property program, except for claims for unclaimed property, are currently paid from the general fund. Your Committee agrees with the intent of this bill that these expenses be paid from the unclaimed property trust fund, since these expenses are incurred in the administration of the unclaimed property program.

Upon further consideration, your Committee has amended this bill by reducing the amount of funds permitted to remain in the trust fund at the end of each fiscal year from $1,500,000 to $1,300,000.

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. 1307, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1307, S.D. 1, and be placed on the calendar for Third Reading.