STAND. COM. REP. NO. 317-20

Honolulu, Hawaii

, 2020

RE: H.B. No. 2738

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred H.B. No. 2738 entitled:

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

begs leave to report as follows:

The purpose of this measure is to protect the State's democratic self-governance by:

(1) Prohibiting foreign nationals and foreign corporations from making independent expenditures;

(2) Requiring every corporation that contributes or expends funds in a State election to file a statement of certification regarding its status as a foreign corporation; and

(3) Requiring noncandidate committees making only independent expenditures to obtain a statement of certification from each top contributor required to be listed in an advertisement.

Your Committee received testimony in support of this measure from League of Women Voters of Hawaii, Common Cause Hawaii, and four individuals. Your Committee received comments on this measure from the Campaign Spending Commission.

Your Committee finds that the State has a compelling interest in securing its democratic self-governance from foreign influence.

Your Committee has amended this measure by:

(1) Changing the effective date to July 1, 2050, to encourage further discussion; and

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

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. 2738, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2738, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

CHRIS LEE, Chair