STAND. COM. REP. NO. 3380

Honolulu, Hawaii

RE:    H.B. No. 1977

       H.D. 2

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred H.B. No. 1977, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO COLLECTIVE BARGAINING,"

begs leave to report as follows:

     The purpose and intent of this measure is to clarify what proposals can be included in a party's final position submission to a public sector collective bargaining arbitration panel.

Specifically, the measure limits the types of proposals that can be included in a public employer's and exclusive representative's final positions submitted for arbitration to the specific proposals that were previously exchanged in writing between the parties and were the subject of collective bargaining between the parties up to the time of impasse.

     Your Committee received written comments in support of this measure from the Hawaii Government Employees Association and United Public Workers.  Written comments in opposition were received from the Department of Budget and Finance, Office of Collective Bargaining, and the City and County of Honolulu Department of Human Resources.

     Your Committee finds that the current law regarding what may be included in a party's final position for the arbitration of a collective bargaining agreement is vague and unclear.  This measure clarifies that the final positions submitted by the parties shall only include those proposals previously exchanged in writing between the parties and that were the subject of collective bargaining up to the time of impasse.  Your Committee believes that this measure will prevent arbitration hearings from being unnecessarily extended, contain costs, and ensure that collective bargaining is conducted in good faith.

     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. 1977, H.D. 2, S.D. 1, and recommends that it pass Third Reading.

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

____________________________

DAVID Y. IGE, Chair