Honolulu, Hawaii
                                                     , 1999

                                   RE:  H.B. No. 1170
                                        H.D. 2
                                        S.D. 1

Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii


     Your Committee on Education and Technology, to which was
referred H.B. No. 1170, H.D. 2, entitled: 


begs leave to report as follows:

     The purpose of this measure is to make the library system
more efficient by authorizing the Board of Education to charge
fees for the recovery of the costs of lost books and the
collection of overdue fines and fees, seminars and workshops, and
the use of various research and reference materials requiring
special equipment.

     This measure also creates an exemption for contracts with
the library system from the statute that prohibits collection
agencies from collecting collection fees or commissions from

     Testimony in support of this measure was submitted by the
Hawaii Public Library System and the Department of Commerce and
Consumer Affairs.  Verbal testimony in opposition to this measure
was given by Information Services.

     Your Committee finds that in these hard economic times, it
is important that all State agencies be especially mindful of
their expenditures.  This measure provides for an additional fee
to be charged to delinquent patrons, and for other special

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services provided by the library system.  These fees will help
restore the loss of moneys owed to the libraries from
administrative expenses.

     Your Committee has amended this measure to delete its
contents in their entirety, and replace them with the contents of
S.B. No. 1156, S.D. 2, its Senate companion.  As amended, this
measure retains much of the original House language, but
additionally requires the Board of Education to prescribe
procedures relating to the notification of persons with
delinquent accounts of the additional fees to be charged by a
collection agency.  Amendments to sections 312-3.6 and 443B-9,
Hawaii Revised Statutes, were also deleted.

     As affirmed by the record of votes of the members of your
Committee on Education and Technology that is attached to this
report, your Committee is in accord with the intent and purpose
of H.B. No. 1170, H.D. 2, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as H.B.
No. 1170, H.D. 2, S.D. 1, and be referred to the Committee on
Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Education and

                                   DAVID Y. IGE, Chair

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