STAND. COM. REP. NO. 1094

Honolulu, Hawaii

RE:    H.B. No. 929

       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 Ways and Means, 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 and intent of this measure is to update the exemptions to the employment and training fund assessment to be commensurate with recent changes to the unemployment compensation fund contribution rates.

     Your Committee received written testimony in support of the measure from the Department of Labor and Industrial Relations.

Your Committee finds that this measure would bring the exemptions to the employment and training fund assessment in line with the changes made to the maximum employer contribution rates to the unemployment compensation fund pursuant to Act 263, Session Laws of Hawaii 2012.  This harmonization of the statutes will provide clarification as to which employers are exempt from the employment and training fund assessment.

     Your Committee has amended this measure by changing the effective date to January 1, 2014, to allow application of the employment and training exemption for maximum rated employers under schedules A through H.

     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. 929, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 929, S.D. 1, and be placed on the calendar for Third Reading.

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

____________________________

DAVID Y. IGE, Chair