CONFERENCE COMMITTEE REP. NO. 127-10

Honolulu, Hawaii

                 , 2010

RE:    S.B. No. 2385

       S.D. 1

       H.D. 1

       C.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Madam and Sir:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 2385, S.D. 1, H.D. 1, entitled:

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

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

     The purpose of this measure is to make permanent:

     (1)  The University of Hawaii's authority to:

         (A)  Be exempt from the Comptroller's supervision of the University of Hawaii's accounts;

         (B)  Install a different accounting system;

          (C)  Submit changes only to uniform business and accounting forms for review and approval; and

         (D)  Approve the assignment of moneys to creditors;

     (2)  The Comptroller's authority to request the University of Hawaii to provide information for the preparation of income and expenditure statements; and

     (3)  The University of Hawaii's requirement to report to the Comptroller on moneys held outside the state treasury by the University.

     Your Committee on Conference finds that this measure grants the University of Hawaii fiscal flexibility at a particularly trying time, with significant fiscal constraints on all state agencies.  However, your Committee on Conference is also cognizant of the need for fiscal accountability and therefore prefers to extend the University of Hawaii's fiscal flexibility, rather than make it permanent at this time.

     Accordingly, your Committee on Conference has amended this measure by:

     (1)  Extending to June 30, 2016:

          (A)  The University of Hawaii's authority to be exempt from the Comptroller's supervision of the University of Hawaii's accounts, install a different accounting system, submit changes only to uniform business and accounting forms for review and approval, and approve the assignment of moneys to creditors;

          (B)  The Comptroller's authority to request the University of Hawaii to provide information for the preparation of income and expenditure statements; and

          (C)  The requirement for the University of Hawaii to report to the Comptroller on moneys held outside the state treasury by the University;

     (2)  Changing the effective date from July 1, 2020, to being retroactive to April 30, 2010, upon approval of this measure; and

     (3)  Making technical, nonsubstantive changes for the purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 2385, S.D. 1, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 2385, S.D. 1, H.D. 1, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ JERRY L. CHANG, Co-Chair	____________________________ JILL TOKUDA, Chair
____________________________ MARILYN B. LEE, Co-Chair	____________________________ SHAN S. TSUTSUI, Co-Chair