STAND. COM. REP. NO.  1171

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 1500

      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. 1500, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO EMPLOYMENT SECURITY,"

begs leave to report as follows:

     The purpose of this bill is to adjust the benefit amounts paid to employees from the Unemployment Insurance Trust Fund and the contribution rates for employers.

     The Chamber of Commerce of Hawaii and the Retail Merchants of Hawaii testified in support of this measure.  The Hawaii State AFL-CIO supported the intent of this bill.  The ILWU Local 142 and Society for Human Resource Management-Hawaii Chapter testified in opposition to the measure.  The Department of Labor and Industrial Relations, Department of the Attorney General, and National Federation of Independent Businesses submitted comments on the measure.

     Your Committee has amended this bill by:

     (1)  Reducing the adequate reserve fund amount after 2007;

     (2)  Changing the effective date to July 1, 2007; and

     (3)  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. 1500, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1500, H.D. 2.

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

____________________________

MARCUS R. OSHIRO, Chair