STAND. COM. REP. NO. 1382

Honolulu, Hawaii

RE:    H.B. No. 1481

       H.D. 2

       S.D. 2

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred H.B. No. 1481, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CAMPAIGN SPENDING,"

begs leave to report as follows:

     The purpose of this measure is to increase equity in election campaign financing by reducing the influence of private funding.

Specifically, this measure, among other things:

     (1)  Establishes a comprehensive public funding program for elections to the state House of Representatives, beginning with the 2016 elections; and

     (2)  Appropriates funds, including staff resources, for fiscal years 2015-2016 and 2016-2017 to prepare for the public funding of candidates covered by this measure during the 2016 elections.

     Your Committee received written comments in support of this measure from Common Cause Hawaii and thirty-three individuals.

     Your Committee received written comments on this measure from the Campaign Spending Commission and one individual.

     Your Committee finds that establishing a comprehensive public funding program would focus election campaigns on constituent needs and public issues by reducing the time spent by candidates on campaign fundraising.  This measure will also reengage the citizenry in the democratic process by decreasing the influence of private contributions and ensuring that more candidates have sufficient funds to run competitive campaigns.

     Your Committee has amended this measure by:

     (1)  Requiring election candidates seeking eligibility for public funding to raise or spend an unspecified minimum amount of seed money used to determine the viability of the candidate's campaign;

     (2)  Amending the appropriation to include funds for the Campaign Spending Commission to hire an unspecified number of temporary, full-time equivalent positions to prepare for the implementation of this measure;

     (3)  Correcting a statutory reference to clarify that the existing enforcement provisions under chapter 11, part XIII, subpart I, Hawaii Revised Statutes, apply to a candidate who is certified for comprehensive public funding but accepts contributions in violation of the public funding program;

     (4)  Clarifying that the public funding reporting requirements of this measure are in addition to any other reporting requirements of the campaign finance law; and

     (5)  Making technical nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1481, H.D. 2, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1481, H.D. 2, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

DAVID Y. IGE, Chair