STAND. COM. REP. NO.  1626-16

Honolulu, Hawaii

                , 2016

RE:   S.B. No. 2553

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No. 2553 entitled:

"A BILL FOR AN ACT RELATING TO NON-GENERAL FUNDS,"

begs leave to report as follows:

The purpose of this measure is to repeal or abolish various non-general funds and accounts, as recommended by the Auditor in Auditor's Report No. 15-19, and to transfer any unencumbered balances from the funds and accounts to the general fund or Emergency and Budget Reserve Fund.

The Office of the Auditor testified in support of this measure.  The Tax Foundation of Hawaii provided comments.

     Your Committee has amended this measure by:

(1)  Incorporating additional recommendations from the Auditor's Report No. 15-19 as follows:

     (A)  Repealing the Housing First Special Fund;

     (B)  Reclassifying the Temporary Deposits – Payroll Overpayment Housing and Community Development Corporation of Hawaii Trust Fund as a trust account; and

     (C)  Abolishing the Blind Shop Revolving and Handicraft Fund; and

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

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2553, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2553, H.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair