STAND. COM. REP. NO.  674-08

Honolulu, Hawaii

                , 2008

RE:   H.B. No. 2455

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred H.B. No. 2455 entitled:

"A BILL FOR AN ACT RELATING TO CAMPAIGN SPENDING,"

begs leave to report as follows:

     The purpose of this bill is to improve Hawaii's campaign spending laws by:

     (1)  Specifying that the noncandidate committee contribution limit of $1,000 per election applies to corporate contributions only when a corporation makes a contribution directly from the corporation's treasury to the noncandidate committee;

     (2)  Clarifying that all other corporate contributions shall be subject to the same contribution limitation as that imposed upon an individual or other entity; and

     (3)  Allowing surplus campaign funds to be contributed to a political party by a retiring elected official without filing an organizational report to run for office, provided that in any election cycle, aggregate contributions must not exceed $25,000 in any two-year election period.

     A concerned individual supported this bill.  The Hawaii Chapter of Americans for Democratic Action, Common Cause Hawaii, Kokua Council, Sierra Club, Hawaii Chapter, Funeral Consumers Alliance Hawaii, Citizen's Voice, and many concerned individuals opposed this bill.  The Attorney General and the Campaign Spending Commission submitted comments. 

     In light of certain suggestions made by the Attorney General, your Committee has amended this measure by clarifying that:

     (1)  Any contribution to a candidate or candidate's committee made by a person other than an individual from its own treasury shall not be a contribution to or expenditure by a noncandidate committee with respect to the noncandidate committee contribution limit of $1,000 per election; and

     (2)  Contributions by persons other than individuals, including corporations, limited liability companies, and partnerships, and other entities, organizations, and associations, to a candidate or a candidate's committee shall be subject to the same contribution limits as other persons as provided for in the list of existing campaign contribution limits.

     Technical, nonsubstantive amendments were also made for style, clarity, and consistency.

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2455, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2455, H.D. 1, and be placed on the calendar for Third Reading.

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

____________________________

TOMMY WATERS, Chair