STAND. COM. REP. NO. 356

Honolulu, Hawaii

RE:    S.B. No. 967

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Madam:

     Your Committee on Economic Development and Taxation, to which was referred S.B. No. 967, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HEALTH,"

begs leave to report as follows:

     The purpose of this measure is to encourage organ donation.

     Specifically, this measure provides a tax deduction of up to $10,000, for expenditures incurred in relation to donating organs.

     Testimony in support of this measure was submitted by Hawai‘i Coalition on Donation, Hawaii Living Donor Council, Minority Organ Tissue Transplant Education Program, Oahu Filipino Community Council, and the Organ Donor Center of Hawaii.  The Department of Taxation and Hawaii Coalition of Care Home Administrators submitted comments.

     Your Committee finds that this measure will ease the financial difficulties that are incurred by people wishing to donate their organs.  While the waitlist for transplantable organs continues to grow, there may be many potential donors wishing to help save the lives of their loved ones who are prevented from doing so because of financial issues.  Your Committee believes this measure will help ease those financial burdens.

     Your Committee received a revenue impact statement from the Department of Taxation in its comments, indicating a revenue loss of an estimated $15,000, for fiscal year 2008 and increases in unspecified amounts in the years thereafter.  The Department did not provide the methodology with which they made this estimate.

     As affirmed by the record of votes of the members of your Committee on Economic Development and Taxation that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 967, S.D. 1, and recommends that it be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Economic Development and Taxation,

____________________________

CAROL FUKUNAGA, Chair