STAND. COM. REP. NO. 2950
Honolulu, Hawaii
RE: H.B. No. 2678
H.D. 2
S.D. 1
Honorable Robert Bunda
President of the Senate
Twenty-Third State Legislature
Regular Session of 2006
State of Hawaii
Sir:
Your Committee on Labor, to which was referred H.B. No. 2678, H.D. 2, entitled:
"A BILL FOR AN ACT RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM,"
begs leave to report as follows:
The purpose of this measure is to allow a member of the employees' retirement system who applies for ordinary disability retirement, and who continues to work at the member's regular job, to terminate service at any time following the approval of ordinary disability retirement.
Testimony in support of this measure was submitted by the Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO, the Hawaii State Teachers Association, and four individuals. Testimony in opposition to this measure was submitted by the Employees' Retirement System (ERS). Comments on the measure were also submitted by the Department of the Attorney General.
Your Committee finds that, under the current law, a member of the ERS can only qualify for ordinary disability retirement upon certification by the ERS medical board that the member is permanently mentally or physically incapacitated for the further performance of duty and should be retired. However, your Committee further finds that some ERS members suffer from incurable debilitating diseases that have not yet progressed to the point where they are unable to continue working. The law should be amended to allow members suffering from incurable debilitating diseases to be able to qualify for ordinary disability retirement and still continue to work until they are physically or mentally unable to do so. Your Committee determines that these changes will streamline the process by removing the requirement of members to make multiple filings for ordinary disability retirement when they are already hampered by their condition as well as financial and other restraints.
Accordingly, your Committee has amended this measure by:
(1) Deleting its contents and inserting the provisions of S.B. No. 3012, S.D. 1, which provides as follows:
(A) Allows a member of the ERS who is diagnosed with an incurable debilitating disease to qualify for ordinary disability retirement and continue working until the member is unable to work and, specifically:
(B) Requires the ERS medical board to render a decision on whether the member suffers from an incurable debilitating disease within thirty days of the receipt of the member's application for ordinary disability retirement;
(C) Requires the ERS board to render a decision on the member's application for ordinary disability retirement within thirty days of receipt of the medical board's determination of eligibility for ordinary disability retirement; and
(D) Establishes a definition for the term "incurable debilitating disease; and
(2) Making the effective date of the Act July 1, 2050 to allow further discussion on the measure.
As affirmed by the record of votes of the members of your Committee on Labor that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2678, H.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2678, H.D. 2, S.D. 1, and be referred to the Committee on Ways and Means.
Respectfully submitted on behalf of the members of the Committee on Labor,
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____________________________ BRIAN KANNO, Chair |
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