STAND

STAND. COM. REP. NO. 690-06

Honolulu, Hawaii

, 2006

RE: H.B. No. 1923

H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 1923, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII TOURISM AUTHORITY,"

begs leave to report as follows:

The purpose of this bill is to maintain the operational efficiency of the Hawaii Tourism Authority (HTA) by extending HTA's authority to retain attorneys independent of the Attorney General until June 30, 2010, and also making permanent:

(1) The exemption of HTA's accounts from supervision by the Comptroller;

(2) The requirement that HTA preaudit all of its proposed payments to determine the propriety of expenditures and compliance with applicable laws;

(3) The requirement that HTA maintain records and documents necessary to support its disbursements of funds for operating expenses;

(4) The provision that exempts interest earned on moneys deposited by HTA into the Convention Center Enterprise Special Fund and the Tourism Special Fund (TSF) from being deposited into the state treasury;

(5) HTA's authority to appoint a sports coordinator;

(6) The provision that establishes that all interest and revenues or receipts derived by HTA from projects or project agreements shall be deposited into the TSF; and

(7) The increase, to 5 percent from 3.5 percent, in TSF funds that may be used for administrative expenses.

The Department to the Attorney General opposed this bill in part.

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 H.B. No. 1923, H.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

		____________________________ DWIGHT TAKAMINE, Chair