STAND. COM. REP. NO.  1196

Honolulu, Hawaii

                , 2013

RE:   S.B. No. 66

      S.D. 1

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Sir:

     Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 66, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE CODE OF ETHICS,"

begs leave to report as follows:

The purpose of this measure is to further ensure transparency and accountability of individuals serving in state government by making the financial disclosure statements of state board and commission members, holding official authority over permitting and licensing, public documents and available for public inspection.

The Hawaii State Ethics Commission; Councilmember for District 9, Hawaii County Council; Hawaii BioEnergy Producers Cooperative; Hawaii's Thousand Friends; and numerous individuals testified in support of this measure.  Life of the Land testified in support of this measure with amendments.  The Public Utilities Commission and several individuals provided comments on this measure.

     Your Committee finds that the members of state boards and commissions are vested with significant regulatory or adjudicatory authority.  Therefore, in the interest of ensuring transparency and accountability of individuals serving in state government, your Committee has amended this measure by:

     (1)  Including in the list of persons whose financial disclosure statements shall be public records and available for inspection the members of the:

          (A)  Hawaii Labor Relations Board;

          (B)  Labor and Industrial Relations Appeals Board;

          (C)  Board of Regents of the University of Hawaii; and

          (D)  State Ethics Commission;

     (2)  Removing the Board of Directors of the Aloha Tower Development Corporation from the list of persons whose financial disclosure statements shall be public records and available for inspection because the Aloha Tower Development Corporation consists of three voting members who are directors of existing state departments that are already required to have their financial disclosure statements be public records and available for inspection pursuant to section 84-17(d)(2), Hawaii Revised Statutes; and

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

     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 66, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 66, S.D. 1, H.D. 1, and be referred to the Committee on Judiciary.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

ANGUS L.K. McKELVEY, Chair