STAND. COM. REP. NO. 2569

Honolulu, Hawaii

RE:    S.B. No. 2948

       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. 2948 entitled:

"A BILL FOR AN ACT RELATING TO THE PUBLIC UTILITIES COMMISSION,"

begs leave to report as follows:

     The purpose and intent of this measure is to clarify the authority of the chairperson of the Public Utilities Commission regarding ministerial duties, including operational expenditures, and the hiring and retention of personnel. 

     Your Committee received written comments in support of this measure from the Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs, Hawaii Energy Policy Forum, and one individual.  Your Committee received written comments on this measure from the Public Utilities Commission.

     Your Committee finds that the Commission faces exceptional challenges in recruiting and maintaining the specialized staff that is needed to provide expertise in technology, economic policy, and law.  This measure will help the Commission to efficiently address issues regarding the hiring and retention of personnel.  Your Committee further finds that this measure will help to avoid possible ambiguity regarding the Commission's autonomy and ability to make necessary expenditures in order to carry out its various responsibilities.

     Your Committee has amended this measure by:

(1)  Clarifying that the review and approval of operational expenditures under the agreed upon threshold will be under the exclusive authority of the chairperson of the Public Utilities Commission, and that any expenditures above the threshold may be reviewed and approved by the Director of Finance;

(2)  Changing the effective date to July 1, 2050, to facilitate further discussion; and

(3)  Making technical nonsubstantive amendments for clarity, consistency, and style.

     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. 2948, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2948, S.D. 1.

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

____________________________

DAVID Y. IGE, Chair