STAND. COM. REP. NO. 3371

Honolulu, Hawaii

RE: H.B. No. 2247

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred H.B. No. 2247, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CAMPAIGN FINANCE,"

begs leave to report as follows:

The purpose and intent of this measure is to clarify that campaign advertisements broadcast, televised, circulated, published, distributed, or otherwise communicated by digital means, or through the Internet or online social media, are subject to campaign finance disclosure requirements.

Your Committee received comments on this measure from the Campaign Spending Commission and Internet Coalition.

Your Committee finds that as electronic communication and the Internet have become more integral to the daily lives of Hawaii's residents, they have been increasingly used by campaign committees, interest groups, and other entities to communicate to voters and influence elections. These communications using digital means or the Internet are not subject to the same legal standard of transparency as traditional forms of campaigning that is used to ensure fair elections. This measure will extend existing financial disclosure requirements to advertisements that are distributed electronically or through the Internet.

Your Committee has amended this measure by:

(1) Removing redundant references to the Internet and social media;

(2) Allowing a hyperlink to a webpage containing the information required to be disclosed for advertisements distributed through electronic or digital means if including the information within the advertisement is impracticable;

(3) Making conforming amendments to other sections of chapter 11, Hawaii Revised Statutes;

(4) Inserting an effective date of July 1, 2035, to encourage further discussion; and

(5) 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 that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2247, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2247, H.D. 1, S.D. 1, and be placed on the calendar for Third Reading.

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

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BRIAN T. TANIGUCHI, Chair