STAND. COM. REP. NO. 641

Honolulu, Hawaii

RE:    S.B. No. 66

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Madam:

     Your Committee on Judiciary and Labor, to which was referred S.B. No. 66 entitled:

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

begs leave to report as follows:

     The purpose and intent of this measure is to foster public confidence in state government by making the financial disclosure statements of members of state boards and commissions holding official authority over permitting or licensing of land use related matters, water use related matters, or the regulation of public utilities public documents and available for public inspection and duplication.

     Your Committee received testimony in support of this measure from the Hawaii State Ethics Commission, League of Women Voters of Hawaii, Life of the Land, Americans for Democratic Action/Hawaii, and twenty-seven individuals.  Testimony in opposition to this measure was submitted by the General Contractors Association of Hawaii and one individual.  Your Committee received comments on this measure from the Department of the Attorney General, Public Utilities Commission, and one individual.

     Your Committee finds that existing law requires members of every state board or commission whose original terms of office are for periods longer than one year and whose functions are not solely advisory to file an annual financial disclosure statement with the Hawaii State Ethics Commission.  However, the financial disclosure statements of members of the majority of state boards or commissions are not available to the public for inspection.  This measure provides greater transparency into the financial interests of state board and commission members holding official authority over permitting or licensing of land use related matters, water use related matters, or the regulation of public utilities to help identify potential conflicts of interests.

     Your Committee has amended this measure by:

     (1)  Identifying by name specific state boards and commissions to which this measure applies; and

     (2)  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. 66, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 66, S.D. 1, and be placed on the calendar for Third Reading.

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

____________________________

CLAYTON HEE, Chair