STAND. COM. REP. NO. 2323

Honolulu, Hawaii

RE:    S.B. No. 2250

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Public Safety, Intergovernmental, and Military Affairs, to which was referred S.B. No. 2250 entitled:

"A BILL FOR AN ACT RELATING TO COUNTIES,"

begs leave to report as follows:

     The purpose and intent of this measure is to:

(1)  Allow counties to make short term investments with similar authority as the state Director of Finance; and

(2)  Require counties' investments in bonds of any improvement district to be of investment grade or supported by the general obligation pledge of the county in which the improvement district is located.

     Your Committee received testimony in support of this measure from the Maui County Department of Finance, Maui County Council, Hawaii County Treasurer, and Hawaii County Council.

     Your Committee finds that this measure will give the counties the same capabilities to make investments as the State, which will allow the counties to more effectively manage investment opportunities while also providing safeguards on the counties' investment decisions.

     As affirmed by the record of votes of the members of your Committee on Public Safety, Intergovernmental, and Military Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2250 and recommends that it pass Second Reading and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Public Safety, Intergovernmental, and Military Affairs,

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CLARENCE K. NISHIHARA, Chair