STAND. COM. REP. NO. 997

Honolulu, Hawaii

, 2019

RE: H.B. No. 1191

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 1191, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO MINIMUM WAGE,"

begs leave to report as follows:

The purpose of this measure is to increase the minimum wage to combat rising wage disparity and incentivize greater provision of healthcare to lower wage employees by their employers.

Specifically, beginning January 1, 2020, this measure increases minimum wage rates annually and also establishes a separate minimum wage rate scale that provides annual increases at lower minimum wage rates for employees who receive employer-sponsored health benefits under the Hawaii Prepaid Health Care Act.

The Council Chair Emeritus & Vice Chair of the Honolulu City Council; Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO; Hawai‘i Health & Harm Reduction Center; Hawai‘i Public Health Institute; International Longshore and Warehouse Union Local 142; Hawaii Women's Coalition; Hilo Medical Center Foundation; Oahu County Democrats; IP Xpert of Honolulu LLC; and several individuals testified in support of this measure. The Moloka‘i Chamber of Commerce; Hawaii Restaurant Association; The Chamber of Commerce Hawaii; Hawai‘i Lodging & Tourism Association; Hawaii Crop Improvement Association; Hawaii Food Manufacturer's Association; National Federation of Independent Business; Hawaii Food Industry Association; PCG Enterprises LLC; IL Gelato Hawaii; Teapresso IL Gelato LLC; For J's Hawaii Inc.; Condominium Rentals Hawaii; Big Island Toyota; ABC Stores; Tanaka of Tokyo Restaurants Ltd.; Fun Foods LLC; Rock N Fun LLC; Hawai‘i Farm Bureau; Retail Merchants of Hawaii; Envisions Entertainment & Productions, Inc.; Maui Chamber of Commerce; Fish Honolulu; Hawaii Business League; Diamond Dining International Corporation; Shokudo Japanese LLC; Zippy's Restaurants; Tiki's Grill & Bar; and many individuals opposed this measure. The Department of Labor and Industrial Relations; Hawai‘i State Teachers Association; PHOCUSED; Hawai‘i Appleseed Center for Law & Economic Justice; Our Revolution Hawaii; Living Wage Hawaii; IMUAlliance; Hawaii Children's Action Network; Highway Inn; Democratic Party of Hawaii Labor Caucus; O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i; LGBT Caucus of the Democratic Party of Hawaii; American Association of University Women of Hawaii; Young Progressives Demanding Action; Democratic Party of Hawaii Hawaiian Affairs Caucus; Democratic Party of Hawaii Education Caucus; Democratic Party of Hawai‘i; Americans for Democratic Action; Hawai‘i Alliance for Community-Based Economic Development; We Are One, Inc.; and numerous individuals provided comments on this measure.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1191, H.D. 1, and recommends that it pass Third Reading.

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

____________________________

SYLVIA LUKE, Chair