STAND. COM. REP. NO. 2730

Honolulu, Hawaii

RE:    H.B. No. 2670

       H.D. 1

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Madam:

     Your Committee on Higher Education, to which was referred H.B. No. 2670, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE UNIVERSITY OF HAWAII,"

begs leave to report as follows:

     The purpose of this measure is to increase from $3,000,000 to $5,000,000 the cap on the amount of expenditures that the University of Hawaii Board of Regents can authorize from the University of Hawaii tuition and fees special fund for the promotion of alumni relations and generation of private donations.

     Testimony in support of this measure was submitted by the University of Hawaii System, the University of Hawaii Alumni Association, and the University of Hawaii Foundation.  The Department of Budget and Finance submitted concerns on this measure.  Written testimony presented to the Committee may be reviewed on the Legislature's website.

     Your Committee finds that this measure provides the Board of Regents of the University of Hawaii with added flexibility to increase expenditures for fundraising if the Board decides to do so in the future.  According to testimony received by your Committee, every $1 expended for fundraising through the University of Hawaii Foundation generates $8 in private support.  During this difficult economic climate, private funds from alumni and other donors would provide a beneficial supplement to existing funds to support the University's current and future students and academic programs, support research, and leverage additional monies from other sources.

     Your Committee has amended this measure by inserting an effective date of July 1, 2099, to allow for further discussion.

     As affirmed by the record of votes of the members of your Committee on Higher Education that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2670, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2670, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Higher Education,

____________________________

JILL TOKUDA, Chair