STAND. COM. REP. NO.  1155-16

Honolulu, Hawaii

                , 2016

RE:   S.B. No. 3000

      S.D. 1

      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 Labor & Public Employment, to which was referred S.B. No. 3000, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM,"

begs leave to report as follows:

The purpose of this measure is to establish a retirement benefit incentive for public employees, otherwise eligible to retire, whose positions are subject to layoff due to the consolidation or abolition of functions, or the privatization of the functions of the position.

United Public Workers, AFSCME, Local 646, AFL-CIO; Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO, and a few individuals testified in support of this measure.  The Employees' Retirement System; Department of Budget and Finance; and City and County of Honolulu Department of Budget and Fiscal Services provided comments on this measure.

     Your Committee has amended this measure by:

     (1)  Specifying that the retirement benefit incentive would apply notwithstanding any other law to the contrary;

     (2)  Changing the retirement benefit incentive credit rate and maximum years of service credit to unspecified amounts;

     (3)  Inserting an unspecified appropriation, to be expended by the Department of Budget and Finance to pay for the retirement benefit incentive; and

     (4)  Changing its repeal date to July 1, 2091.

     As affirmed by the record of votes of the members of your Committee on Labor & Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3000, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3000, S.D. 1, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor & Public Employment,

____________________________

MARK M. NAKASHIMA, Chair