STAND. COM. REP. NO. 2802

Honolulu, Hawaii

RE: S.B. No. 3129

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 3129 entitled:

"A BILL FOR AN ACT RELATING TO THE UNEMPLOYMENT COMPENSATION TRUST FUND,"

begs leave to report as follows:

The purpose and intent of this measure is to address the depletion of moneys in the unemployment compensation trust fund.

Specifically, this measure deposits an unspecified amount of moneys into the unemployment compensation trust fund.

Your Committee received written comments in support of this measure from the Department of Labor and Industrial Relations, Hawaii Food Industry Association, and Kohala Coast Resort Association.

Your Committee received written comments in opposition to this measure from UNITE HERE Local 5.

Your Committee received written comments on this measure from the Department of Budget and Finance and Parents and Children Together.

Your Committee finds that the coronavirus disease 2019 pandemic created an unprecedented period of unemployment in the State, which resulted in the depletion of moneys in the unemployment compensation trust fund. Your Committee further finds that depositing moneys into the unemployment compensation trust fund may help to reduce unemployment insurance tax rates for employers.

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 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. 3129, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 3129, S.D. 1.

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

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DONOVAN M. DELA CRUZ, Chair