STAND. COM. REP. NO.  505-10

Honolulu, Hawaii

                , 2010

RE:   H.B. No. 2523

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 2523 entitled:

"A BILL FOR AN ACT RELATING TO THE ALOHA TOWER DEVELOPMENT CORPORATION,"

begs leave to report as follows:

     The purpose of this bill is to appropriate emergency funding to the Aloha Tower Development Corporation (ATDC) to increase the ATDC's spending ceiling for the settlement of a claim against the ATDC.  Specifically, this bill increases ATDC's spending ceiling from $1,628,940 to $2,528,940 for fiscal year 2009-2010.  The amount due under the settlement agreement in Kenneth H. Hughes,    Inc. v. Aloha Tower Development Corporation, Civil No. 09-00277 DAE-BMK, USDC is $1,550,000.

     Pursuant to the requirements set forth in Article VII, Section 9, of the Hawaii Constitution, the Governor, in Governor's Message No. 174, dated February 4, 2010, to the Legislature, requested immediate consideration and passage of this bill, citing an existing critical funding emergency to pay for the settlement of a claim against the Aloha Tower Development Corporation.

     The Department of the Attorney General and ATDC testified in support of this bill.

     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. 2523 and recommends that it pass Second Reading and be placed on the calendar for Third Reading.

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

____________________________

MARCUS R. OSHIRO, Chair