STAND. COM. REP. NO.  1106

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 1345

      H.D. 2

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 1345, H.D. 1, entitled:

"A BILL FOR AN ACT MAKING AN EMERGENCY APPROPRIATION FOR NATURAL DISASTERS,"

begs leave to report as follows:

     The purpose of this bill is to appropriate emergency funding for emergency relief operations statewide resulting from the October 15, 2006, Kiholo Bay Earthquake disaster.

     Pursuant to the requirements set forth in Article VII, Section 9, of the Hawaii State Constitution, the Governor, in her Governor's Message No. 233 to the Legislature, requested immediate consideration and passage of this bill by the Legislature citing an existing critical funding shortage.

     This bill appropriates general funds for fiscal year 2006-2007 to:

     (1)  Cover operational expenses associated with earthquake disaster recovery efforts; and

     (2)  Cover the 25 percent non-federal cost share for earthquake disaster recovery projects eligible under the Federal Emergency Management Agency's public assistance program.

     The Judiciary, Department of Defense, Department of Education, Mayor of the County of Hawaii, Hawaii Farm Bureau Federation, and Daughters of Hawaii testified in support of this bill. 

     Your Committee has amended this bill by:

     (1)  Adding a new section which provides the reasons why and the amount and rate by which the appropriation contained in this bill exceeds the state spending limit to comply with statutory and constitutional requirements;

     (2)  Replacing the unspecified appropriation amount with $18,189,896 to cover operational expenses associated with earthquake disaster recovery efforts;

     (3)  Replacing the unspecified appropriation amount with $5,810,104 to cover the twenty-five percent non-federal cost share for earthquake disaster recovery projects eligible under the Federal Emergency Management Agency’s public assistance program;

     (4)  Changing the effective date to upon approval; and

     (5)  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 H.B. No. 1345, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1345, H.D. 2.

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

____________________________

MARCUS R. OSHIRO, Chair