STAND. COM. REP. NO. 3178

Honolulu, Hawaii

RE:    S.R. No. 43

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Madam:

     Your Committees on Intergovernmental and Military Affairs and Transportation and International Affairs, to which was referred S.R. No. 43 entitled:

"SENATE RESOLUTION SUPPORTING FEDERAL FINANCIAL ASSISTANCE FOR PERSONS PRESENT IN THE UNITED STATES UNDER THE COMPACTS OF FREE ASSOCIATION,"

beg leave to report as follows:

     The purpose of this measure is to provide federal financial assistance to those persons in the United States under the Compacts of Free Association.

     Your Committees received testimony in support of this measure from the Department of Labor and Industrial Relations.

     Your Committees find that in 1986, the United States entered into a Compact of Free Association (COFA) with the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau.  The terms of COFA established mutually beneficial rights and obligations in economic development and defense, and created the right of COFA citizens to freely travel to work and reside in the United States without a durational limit.

     Your Committees recognize that many of these COFA migrants arrive with serious medical needs, and require financial and housing assistance because of the lack of resources available to them.  Congress recognized the significant effect on the resources of the places to which the COFA citizens migrated to and explicitly stated that "it is not the intent of Congress to cause any adverse consequences for an affected jurisdiction." P.L. 108-188, section 104(e)(1).

     Your Committees also find that despite losing access to federal funds for services to COFA migrants because of the Personal Responsibility Work Opportunities Reconciliation Act, the State has continued to make the services available through equivalent state-funded services to address the social, educational, public safety, and medical needs of the COFA citizens. 

     Your Committees recognize that in 2006, the cost reported to state agencies to provide services for COFA migrants was over $91,000,000, while the federal assistance to the State as Compact Impact Assistance was approximately $10,600,000.

     Your Committees therefore support this measure for federal financial assistance to COFA migrants since it serves the purpose of COFA and would also alleviate the burden on the State's budget.

     As affirmed by the records of votes of the members of your Committees on Intergovernmental and Military Affairs and Transportation and International Affairs that are attached to this report, your Committees concur with the intent and purpose of S.R. No. 43 and recommend its adoption.

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

____________________________ J. KALANI ENGLISH, Chair

____________________________ LORRAINE R. INOUYE, Chair