STAND. COM. REP. NO.  100

Honolulu, Hawaii

                , 2013

RE:   H.B. No. 929

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Sir:

     Your Committee on Labor & Public Employment, to which was referred H.B. No. 929 entitled:

"A BILL FOR AN ACT RELATING TO EMPLOYMENT AND TRAINING ASSESSMENT,"

begs leave to report as follows:

The purpose of this measure is to update the employment and training fund assessment exemptions to correspond with recent amendments to the unemployment compensation fund contribution rates.  The measure would take effect retroactively to January 1, 2013.

The Department of Labor and Industrial Relations submitted testimony in support of this measure.

     Your Committee finds that Act 263, Session Laws of Hawaii 2012, increased the maximum employer contribution rate to the unemployment compensation fund, pursuant to section 383-68, Hawaii Revised Statutes, from 5.4 per cent to 6.6 per cent, but did not make a corresponding amendment to section 383-129, Hawaii Revised Statutes.  Your Committee further finds amending the maximum employer contribution rate to reference the schedule of contribution rates in section 383-68, Hawaii Revised Statutes, will harmonize the two statutes and provide clarification for employers that are exempt from the employment and training fund assessment.

     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. 929 and recommends that it pass Second Reading 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