STAND. COM. REP. NO. 1239

Honolulu, Hawaii

RE:    H.B. No. 201

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Madam:

     Your Committees on Intergovernmental and Military Affairs and Health, to which was referred H.B. No. 201 entitled:

"A BILL FOR AN ACT RELATING TO STATE VETERANS' HOME,"

beg leave to report as follows:

     The purpose of this measure is to ensure that moneys and gifts received by the Hawaii Health Systems Corporation for the benefit of veterans are properly accounted for and expended.

     Your Committees received testimony in support of this measure from the Director of the Office of Veterans Services.  Your Committees received testimony in opposition to this measure from the Director of Budget and Finance and Hawaii Health Systems Corporation.

     Your Committees find that this measure creates the Veterans' Home Account and the Veterans' Gift Account to be administered by the Hawaii Health Systems Corporation.  The former account is to receive funds by executive departments, appropriations, certain gifts, and other payments for medical care and services provided to veterans in the state veterans' home, programs and services, solicitation of further funding, and public information programs.  The latter account is to receive gifts of personal property for designated use by donors.  These gifts may be sold or exchanged or used in‑kind.

     Your Committees further find that Hawaii Health Systems Corporation has full statutory authority to establish and manage accounts without legislative action.  However, your Committees believe that more specific guidance is needed with regard to the receipt of gifts of personal property.  As such, your Committees amended this measure by removing language establishing a Veterans' Home Account.

     It is the intent of your Committees to create a Veterans' Gift Account to ensure that gifts received by the Hawaii Health Systems Corporation will be properly accounted for.

     As affirmed by the records of votes of the members of your Committees on Intergovernmental and Military Affairs and Health that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 201, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 201, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Intergovernmental and Military Affairs and Health,

____________________________ DAVID Y. IGE, Chair

____________________________ LORRAINE R. INOUYE, Chair