CONFERENCE COMMITTEE REP. NO. 103

Honolulu, Hawaii

                 , 2017

RE:    S.B. No. 935

       S.D. 2

       H.D. 1

       C.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sirs:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 935, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO STAFF OF THE HAWAII EMPLOYER-UNION HEALTH BENEFITS TRUST FUND,"

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)  Permit the Hawaii Employer-Union Health Benefits Trust Fund (EUTF) to employ certain staff through the civil service system;

     (2)  Exempt any civil service exempt EUTF staff positions created after July 1, 2014, from section 76-16(b)(17)(A), Hawaii Revised Statutes, which would have required any civil service exempt EUTF positions created after July 1, 2014, to expire in three years unless affirmatively extended by an act of the Legislature; and

     (3)  Appropriate funds for the EUTF to hire staff through the civil service system.

     Your Committee on Conference finds that eighty-six percent of EUTF authorized positions are exempt from civil service, and thus do not receive the same benefits that are available to employees hired through the civil service system.  Your Committee on Conference finds that EUTF operations and employees would benefit from the hiring of certain EUTF staff through the civil service system.

     Your Committee on Conference has amended this measure by:

     (1)  Inserting an appropriation amount of $86,837 for fiscal year 2017-2018 and $104,616 for fiscal year 2018-2019 for the EUTF to employ certain staff through the civil service system; and

     (2)  Inserting an effective date of July 1, 2017.

     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. 935, 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. 935, 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

____________________________ AARON LING JOHANSON Co-Chair	____________________________ GILBERT S.C. KEITH-AGARAN Chair
____________________________ DANIEL HOLT Co-Chair	____________________________ BRIAN T. TANIGUCHI Co-Chair