STAND. COM. REP. NO. 2340

Honolulu, Hawaii

RE:    S.B. No. 2208

       S.D. 1

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Judiciary and Labor, to which was referred S.B. No. 2208 entitled:

"A BILL FOR AN ACT RELATING TO ANIMALS,"

begs leave to report as follows:

     The purpose and intent of this measure is to support spay and neuter initiatives in Hawaii that help to reduce pet overpopulation by:

     (1)  Establishing a spay and neuter special fund to cover the costs of reducing the number of feral animals through spaying and neutering, educating the public regarding the importance of spaying and neutering, and preventing homeless animal overpopulation;

     (2)  Establishing an advisory committee to assist the Department of Budget and Finance in developing special fund disbursement eligibility criteria and procedures; and

     (3)  Providing taxpayers with a state income tax refund of $5 or more, or for a joint return with a state income tax refund of $10 or more, the option of designating a portion of their income tax refund to be deposited into the special fund.

     Your Committee received testimony in support of this measure from the Hawaiian Humane Society, the Maui Humane Society, and two hundred private individuals.  Testimony in opposition to this measure was submitted by the Department of Budget and Finance and the Department of Taxation.  The Tax Foundation of Hawaii submitted comments.

     Your Committee finds that pet overpopulation is caused by too many animal litters and lack of affordable and accessible spay and neuter options.  This measure provides additional funding to help reduce pet overpopulation and decrease pet euthanasia.

     Your Committee notes the concerns raised by the Department of Budget and Finance regarding its limited budget and staff complement to provide sufficient oversight of the spay and neuter special fund as well as the advisory committee established under this measure.  As such, your Committee believes that the monies generated from the income tax check-off should be used to cover the special fund's administrative costs, and merits further discussion by the Committee on Ways and Means.

     Your Committee has amended this measure by:

     (1)  Inserting an effective date of July 1, 2050, to ensure further discussion;

     (2)  Inserting a five-year sunset date to allow the Department of Budget and Finance to review and assess the viability of the special fund; and

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

     As affirmed by the record of votes of the members of your Committee on Judiciary and Labor that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2208, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2208, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Judiciary and Labor,

____________________________

CLAYTON HEE, Chair