STAND. COM. REP. NO. 1174

Honolulu, Hawaii

RE:    S.C.R. No. 16

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Judiciary and Labor, to which was referred S.C.R. No. 16 entitled:

"SENATE CONCURRENT RESOLUTION CONVENING A LEGISLATIVE WORKING GROUP TO INVESTIGATE AND IDENTIFY STRATEGIES TO PROMOTE GREATER RETIREMENT SAVINGS FOR PRIVATE SECTOR EMPLOYEES IN HAWAII,"

begs leave to report as follows:

     The purpose and intent of this measure is to convene a legislative working group to investigate and identify strategies to promote greater retirement savings for private sector employees in Hawaii.

     Your Committee received testimony in support of this measure from the Department of Accounting and General Services, AARP Hawaii, Hawaii Appleseed Center for Law and Economic Justice, Assistive Technology Resource Centers of Hawaii, and nineteen individuals.  Your Committee received testimony in opposition to this measure from the National Association of Insurance and Financial Advisors.  Your Committee received comments on this measure from the Legislative Reference Bureau and American Council of Life Insurers.

     Your Committee finds that approximately fifty percent of Hawaii's private sector employees work for an employer that does not offer a retirement plan or are not eligible for the plan offered.  Your Committee further finds that individuals without a retirement plan are at significant risk of not having enough retirement income to meet basic expenses during retirement, and therefore may place an extra burden on public assistance programs.  This measure seeks to initiate efforts to enable all residents of Hawaii to sufficiently save for retirement.

     Your Committee has amended this measure by:

     (1)  Requesting that the working group examine private marketplace plans in Washington, Illinois, and New Jersey in addition to state-sponsored retirement savings programs in California, Oregon, and Maryland;

     (2)  Requesting that the working group submit a draft of its report to the Legislative Reference Bureau no later than October 1, 2017; and

     (3)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Judiciary and Labor that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 16, as amended herein, and recommends that it be referred to your Committee on Ways and Means, in the form attached hereto as S.C.R. No. 16, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Judiciary and Labor,

________________________________

GILBERT S.C. KEITH-AGARAN, Chair