STAND. COM. REP. NO.  114-14

Honolulu, Hawaii

                , 2014

RE:   H.B. No. 2263

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Sir:

     Your Committee on Labor & Public Employment, to which was referred H.B. No. 2263 entitled:

"A BILL FOR AN ACT RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM,"

begs leave to report as follows:

     The purpose of this measure is to improve the funded status of the Employees' Retirement System of the State of Hawaii and reduce public employer contributions by changing the formula used to credit unused sick leave toward retirement benefits for public employees who become members of the Employees' Retirement System after June 30, 2014.

     The Employees' Retirement System provided testimony in support of this measure.  The United Public Workers, AFSCME, Local 646, AFL-CIO (UPW); Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO; and Fire Fighters Association, Local 1463, IAFF, AFL-CIO provided testimony in opposition to this measure.  The Department of Budget and Finance provided comments on this measure.

     Your Committee has amended this measure by 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 Labor & Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2263, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2263, H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor & Public Employment,

____________________________

MARK M. NAKASHIMA, Chair