STAND. COM. REP. NO.  1247

Honolulu, Hawaii

                , 2007

RE:   S.B. No. 1928

      S.D. 2

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Legislative Management, to which was referred S.B. No. 1928, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE OFFICE OF THE AUDITOR,"

begs leave to report as follows:

     The purpose of this bill is to provide for an independent investigative arm in state government by:

(1)  Requiring the Auditor to establish an investigative unit to scrutinize alleged or suspected government waste, fraud, abuse, nonfeasance, or malfeasance; and

     (2)  Appropriating unspecified funds for this purpose.

     Under this bill, investigations can only be initiated by:

     (1)  An act or concurrent resolution;

(2)  A request from a standing committee chair of either the Senate or the House of Representatives (House) with the concurrence of the appropriate presiding officer; or

(3)  The Auditor with the concurrence of the Senate President or House Speaker.

     The Auditor testified in support of this bill.

     Your Committee finds that section 21E-4, Hawaii Revised Statutes, relating to the powers and duties of the joint legislative management committee, requires that investigations by the Auditor be by direction of both houses of the Legislature.  Accordingly, your Committee has amended this bill to conform it to these provisions by requiring that an investigation be initiated:

(1)  By the Auditor; or

(2)  By a request from a standing committee chair,

with the concurrence of both the Senate President and the House Speaker.

     Your Committee has further amended this bill by:

(1)  Incorporating the provisions of S.B. No. 844, which appropriates unspecified funds to the Auditor for the development of the Hawaii 2050 Sustainability Plan; and

(2)  Making technical, nonsubstantive amendments to correct drafting errors.

     As affirmed by the record of votes of the members of your Committee on Legislative Management that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1928, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1928, S.D. 2, H.D. 1, and be referred to the Committee on Judiciary.

Respectfully submitted on behalf of the members of the Committee on Legislative Management,

____________________________

MICHAEL Y. MAGAOAY, Chair