STAND. COM. REP. NO. 855

Honolulu, Hawaii

RE: S.B. No. 345

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 345, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PUBLIC FINANCING,"

begs leave to report as follows:

The purpose and intent of this measure is to facilitate the availability of funding for candidates participating in the partial public financing program for elected office.

Specifically, the measure:

(1) Increases, from ten to sixty-seven percent of the expenditure limit, the cap on the maximum amount of matching funds available to candidates;

(2) Increases by twenty percent the cap on the amount of expenditures a candidate may make;

(3) Increases the matching fund ratio from $1 for each $1 of qualifying contributions raised by a candidate to $2 for each $1 of qualifying contributions raised in excess of the minimum qualifying contributions that a candidate must raise to participate in the program; and

(4) Appropriates moneys from the general fund to the election campaign fund to fund the partial public financing program.

Your Committee received written comments in support of this measure from the Office of Hawaiian Affairs, Campaign Spending Commission, League of Women Voters of Hawaii, Hawaii Alliance for Progressive Action, Free Access Coalition, Our Hawaii, and numerous individuals.

Your Committee received written comments in opposition to this measure from numerous individuals.

Your Committee recognizes that the partial public financing program provides dollar-for-dollar matching funds, up to a maximum amount, for the qualifying contributions raised by a qualifying candidate for the elected office. Your Committee also recognizes that over the past two decades, inflation costs have made the current amounts of funding under the law less than competitive, and the current amounts of funds available to candidates for public funding are significantly below the amounts spent by privately funded candidates. Your Committee believes that this measure is an appropriate mechanism to level the playing field and promote fairness in elections.

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. 345, S.D. 1, and recommends that it pass 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