STAND. COM. REP. NO. 1036-04

Honolulu, Hawaii

, 2004

RE: S.B. No. 2528

S.D. 1

H.D. 1

 

 

 

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 S.B. No. 2528, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO INSURANCE,"

begs leave to report as follows:

The purpose of this bill is to continue to protect the health, safety, and welfare of the residents of Hawaii by reducing the potential for personal injury and property loss in the event of a hurricane. Among other things, this bill:

(1) Appropriates $1 million for the Loss Mitigation Grant Program (Program);

(2) Reduces from 50 percent to 35 percent, reimbursements of costs incurred for the purchase and installation of wind-resistive devices; and

(3) Eliminates reimbursements for inspection costs.

The State Department of Defense, Hurricane Risk Mitigation Task Force, Simpson Strong-Tie Company, Inc., Hawaii Security Shutters, LLC, and several concerned individuals testified in support of this bill. The Insurance Division of the Department of Commerce and Consumer Affairs supported the intent of the measure, expressing fiscal concerns. The Hawaii Association of Realtors commented on this bill.

Your Committee has amended this bill by:

(1) Changing the amount of general funds appropriated for the Program from $1 million to an unspecified amount to facilitate further discussion; and

(2) Making technical, nonsubstantive amendments for clarity, consistency, and style.

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. 2528, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2528, 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