STAND. COM. REP. NO. 2306

Honolulu, Hawaii

RE: S.B. No. 2066

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 2066 entitled:

"A BILL FOR AN ACT RELATING TO THE GENERAL FUND,"

begs leave to report as follows:

The purpose and intent of this measure is to dispose of excess general fund revenues pursuant to Article VII, section 6 of the State Constitution.

Specifically, this measure:

(1) Provides for an income tax credit to every qualifying resident individual taxpayer of the State;

(2) Makes an unspecified deposit into the emergency and budget reserve fund established pursuant to section 328L-3, Hawaii Revised Statutes; and

(3) Makes an unspecified deposit into the other post-employment benefits trust fund established pursuant to section 87A‑42, Hawaii Revised Statutes.

Your Committee received written comments in support of this measure from the Department of Budget and Finance.

Your Committee received written comments on this measure from the Department of Taxation and Tax Foundation of Hawaii.

Your Committee finds that the timely passage of this measure aligns with the requirement to dispose of excess general fund revenues pursuant to Article VII, Section 6, of the State Constitution.

Your Committee has amended this measure by:

(1) Changing the effective date to July 1, 2050, to facilitate further discussion on the measure; and

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

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2066, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2066, S.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair