STAND. COM. REP. NO. 1060

Honolulu, Hawaii

RE:    H.B. No. 381

       H.D. 2

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committee on Economic Development and Technology, to which was referred H.B. No. 381, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE STATE OF HAWAII ENDOWMENT FUND,"

begs leave to report as follows:

     The purpose of this measure is to replace the June 30, 2009, lapse date for a $4,000,000 appropriation to the State of Hawaii Endowment Fund, originally appropriated in Act 97, Session Laws of Hawaii 2006, with provisions stipulating that all portions of pledges not matched by an actual payment of the pledge by February 28, 2013, revert to the general fund.

     Testimony in support of this measure was submitted by the Department of Accounting and General Services, Honolulu Symphony Society, and one concerned individual.  Written testimony presented to the Committee may be reviewed on the Legislature's website.

     Your Committee finds that it is a sound fiscal policy to replace the June 30, 2009, lapsing date with a provision that provides that all uncollected pledges to the State of Hawaii Endowment Fund as of February 28, 2013, shall cause any unexpended balance of the $4,000,000 appropriation to revert back to the general fund.  This is especially true in consideration of the State's current economic crisis.

     Your Committee has amended this measure by changing the effective date from June 29, 2009, to July 1, 2050, to promote further discussion pending the receipt of additional information requested by your Committee.

     As affirmed by the record of votes of the members of your Committee on Economic Development and Technology that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 381, H.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 381, H.D. 2, S.D. 1, and be referred to the Committee on Ways and Means.

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

____________________________

CAROL FUKUNAGA, Chair