STAND. COM. REP. NO. 2773

Honolulu, Hawaii

RE:    S.B. No. 2758

       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 S.B. No. 2758, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE HURRICANE RESERVE TRUST FUND,"

begs leave to report as follows:

     The purpose and intent of this measure is to require that interest and other earnings on the principal of the hurricane reserve trust fund be deposited into the trust fund, instead of the general fund.

     The measure also provides that the diversion of funds from the general fund will sunset on June 30, 2019.

     The Department of Budget and Finance, the Department of Defense, and the Department of Defense, Civil Defense Division, submitted written comments in support of this measure.

Your Committee finds that allowing earned interest and other moneys to be retained in the hurricane reserve trust fund is a proactive strategy that will help to build and maintain a substantial level of state reserves in the trust fund.

     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 S.B. No. 2758, 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