CONFERENCE COMMITTEE REP. NO. 31-14

Honolulu, Hawaii

                 , 2014

RE:    S.B. No. 2799

       S.D. 2

       H.D. 1

       C.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam and Sir:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 2799, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION,"

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

     The purpose of this measure is to:

     (1)  Authorize the Hawaii Housing Finance and Development Corporation Board of Directors to set the salary of the Hawaii Housing Finance and Development Corporation Executive Director; and

     (2)  Require the Board to consider altering the Executive Director's benefits package in exchange for a salary that exceeds the salary level of civil service employees.

     Your Committee on Conference finds that the salary of the Executive Director of the Hawaii Housing Finance and Development Corporation should be commensurate with the salaries of other executive directors of housing finance agencies nationwide.  Allowing the Board of Directors of the Hawaii Housing Finance and Development Corporation to set the salary of the Executive Director will enable the Board to recruit and retain a qualified Executive Director.

     Your Committee on Conference has amended this measure by:

     (1)  Inserting language to require prior legislative approval by concurrent resolution for the salary set by the Board of Directors of the Hawaii Housing Finance and Development Corporation for the Executive Director;

     (2)  Deleting language that would have required the Board of Directors of the Hawaii Housing Finance and Development Corporation to consider the option to withhold or alter the benefits package of the Executive Director in exchange for a salary that exceeds the salary level of civil service employees who are entitled to receive benefits under chapter 76, Hawaii Revised Statutes;

     (3)  Deleting language that would have required the Board to submit a report to the Legislature that includes whether the Board exercised its option to withhold or alter the benefits package of the Executive Director and the Board's rationale for its decision following each adjustment to the Executive Director's salary;

     (4)  Changing the effective date to upon approval; and

     (5)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 2799, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 2799, S.D. 2, H.D. 1, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ MARK J. HASHEM, Co-Chair	______________________________ DONOVAN M. DELA CRUZ, Chair
____________________________ MARK M. NAKASHIMA, Co-Chair	______________________________ SUZANNE CHUN OAKLAND, Co-Chair
____________________________ JUSTIN H. WOODSON, Co-Chair