STAND. COM. REP. NO.  957

Honolulu, Hawaii

                , 2009

RE:   H.B. No. 1567

      H.D. 2

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 1567, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO SKILLED NURSING FACILITIES,"

begs leave to report as follows:

     The purpose of this bill is to encourage the establishment of health care facilities in underserved areas of the state by adding skilled nursing facilities to the businesses that may qualify for benefits under the State Enterprise Zones law.

     Avalon Health Care, Inc., and a concerned individual supported this bill.  The Department of Taxation opposed this measure.  The Department of Business, Economic Development, and Tourism and the Tax Foundation of Hawaii submitted comments.

     Your Committee has amended this bill by:

     (1)  Changing its effective date to July 1, 2020, to encourage further discussion; and

     (2)  Making technical, nonsubstantive amendments for clarity and style.

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1567, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1567, H.D. 2.

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

____________________________

MARCUS R. OSHIRO, Chair