STAND. COM. REP. NO. 2302

Honolulu, Hawaii

RE: S.B. No. 2228

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committees on Labor and Judiciary, to which was referred S.B. No. 2228 entitled:

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

beg leave to report as follows:

The purpose and intent of this measure is to require the Employees' Retirement System (ERS) to comply with a court decree for the forfeiture of all or any portion of the ERS benefits to which a member, former member, or retirant of state or county employment would otherwise have been entitled if the member, former member, or retirant is convicted of a felony that the court finds to be related to the employment of the member, former member, or retirant.

Your Committees received testimony in support of this measure from the Department of Labor and Industrial Relations and Board of Trustees of the Employees' Retirement System.

Your Committees find that if a member of the ERS is convicted of a felony related to their employment, that member should no longer be eligible to receive benefits accrued during such employment and corresponding membership in the ERS. Your Committees further find that this measure requires members convicted of such felonies to forfeit their benefits without impairing or diminishing the accrued retirement benefits of other members of the ERS.

Your Committees have amended this measure by inserting an effective date of January 1, 2065, to encourage further discussion.

As affirmed by the records of votes of the members of your Committees on Labor and Judiciary that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2228, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2228, S.D. 1, and be referred to your Committee on Ways and Means.

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

________________________________ BRIAN T. TANIGUCHI, Chair

________________________________ JILL N. TOKUDA, Chair