STAND

STAND. COM. REP. NO. 1298

Honolulu, Hawaii

, 2005

RE: H.B. No. 320

H.D. 1

S.D. 1

Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Judiciary and Hawaiian Affairs, to which was referred H.B. No. 320, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO FINANCIAL DISCLOSURE STATEMENTS,"

begs leave to report as follows:

The purpose of this measure is to amend various provisions of Hawaii's financial interest disclosure law.

Specifically, this measure:

(1) Requires individuals who are subject to advise and consent of the Senate to file financial disclosure statements;

(2) Designates all financial disclosure statements as public records that are accessible to the public; and

(3) Mandates the disclosure of all business and real property interests held outside of Hawaii by individuals who are subject to the financial interest disclosure law.

Testimony in support of the measure was submitted by the Hawaii State Ethics Commission, Citizen Voice, the League of Women Voters of Hawaii, and one individual. Testimony in opposition to the measure was submitted by the Hawaii Society of Certified Public Accountants and one individual.

This measure requires individuals who are subject to the advise and consent process of the Senate to comply with the requirements of the financial interest disclosure law. Your Committee finds that requiring disclosure of business and real property interests held within and outside of Hawaii by State officials and employees is an important facet of the financial interest disclosure law as these interests may be affected by official action taken by these public officials or employees.

Your Committee has amended this measure by:

(1) Requiring an individual leaving state government to file a financial disclosure statement within thirty days of separation from state government if a prior financial disclosure statement was not filed within one hundred eighty days preceding the date of separation from State government;

(2) Applying the requirements of the financial interest disclosure law to the directors, executive directors, and executive secretaries of state agencies or departments; the directors of the service agencies of the Legislature; and state board or commission members who sit on a board or commission that have the authority to render declaratory rulings or hold contested case hearings; and

(3) Exempting from public disclosure the address and tax map key number of a real property interest that function as the personal residence of the filer.

As affirmed by the record of votes of the members of your Committee on Judiciary and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 320, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 320, H.D. 1, S.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Judiciary and Hawaiian Affairs,

		____________________________ COLLEEN HANABUSA, Chair