STAND. COM. REP. NO.  313

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 102

      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 Economic Development & Business Concerns, to which was referred H.B. No. 102, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HUMAN SERVICES,"

begs leave to report as follows:

     The purpose of this bill is to help public assistance recipients meet basic needs and work toward self-sufficiency by:

     (1)  Requiring the Department of Business, Economic Development, and Tourism (DBEDT) to annually establish a self-sufficiency standard based on existing models to be used by the Department of Human Services (DHS) in calculating public assistance payments;

     (2)  Requiring DBEDT to provide annual reports to the Legislature on the self-sufficiency standard, beginning 20 days prior to the Regular Session of 2008;

     (3)  Implementing calculation of public assistance payments based on the self-sufficiency standard beginning July 1, 2008; and

     (4)  Specifying that DHS submit annual reports to the Legislature on the number of persons exiting public assistance programs after the implementation of the self-sufficiency standard, beginning 20 days prior to the Regular Session of 2009.

The Hawaii Alliance for Community-Based Economic Development, Hawaii State Commission on the Status of Women, Aloha United Way, National Association of Social Workers, and a concerned individual testified in support of this bill.  DBEDT supported the intent of this measure.  DHS commented on this bill.

     Your Committee finds that developing a self-sufficiency standard is essential for Hawaii.  An annually adjusted self-sufficiency standard will allow Hawaii to better provide living wages and an adequate level of assistance to the needy. In doing so, we will help people build assets and improve their lives economically, and in turn, socially.

     Your Committee notes that it was reported earlier that DBEDT requested $250,000 for fiscal year 2007-2008 and $415,000 for fiscal year 2008-2009 to develop a self-sufficiency standard.  However, according to DBEDT, only approximately $50,000 and one individual are necessary to establish a self-sufficiency standard and the remainder of the appropriation request was for other projects.

     As affirmed by the record of votes of the members of your Committee on Economic Development & Business Concerns that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 102, H.D. 1, and recommends that it be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Economic Development & Business Concerns,

____________________________

KYLE T. YAMASHITA, Chair