Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 1453, S.D. 2, H.D. 1, entitled:

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

The purpose of this measure is to authorize the imposition of the public service company tax on a private sewer company or facility.

This measure amends the definition of "gross income" in the public service company tax law to include gross income from the operation of a private sewer company or facility. Your Committee on Conference finds that this measure supports a more equitable system of taxation by requiring private sewer companies to pay the same tax that is assessed against other sewage and wastewater treatment companies.

Your Committee on Conference as amended this measure to take effect on July 1, 2005, rather than on July 1, 2010.

As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 1453, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 1453, S.D. 2, H.D. 1, C.D. 1.