CONFERENCE COMMITTEE REPORT NO. 156

                            Honolulu, Hawaii
                                            , 1999

                            RE:   S.B. No. 1034
                                  S.D. 1
                                  H.D. 2
                                  C.D. 1




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

Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Conference on the disagreeing vote of the
Senate to the amendments proposed by the House of Representatives
in S.B. No. 1034, S.D. 1, H.D. 2, entitled:  

     "A BILL FOR AN ACT RELATING TO THE HAWAII TOBACCO SETTLEMENT
     SPECIAL FUND," 

having met, and after full and free discussion, has agreed to
recommend and does recommend to the respective Houses the final
passage of this bill in an amended form.

     The purpose of this measure is to establish a Hawaii tobacco
settlement special fund.

     Upon further consideration, your Committee on Conference has
amended this measure by:

     (1)  Deleting the definition of "Fund";

     (2)  Adding a definition of "Tobacco settlement moneys";


 
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     (3)  Specifying percentage allocations of tobacco settlement
          moneys, as follows:

          (A)  Forty per cent to the emergency and budget reserve
               fund;

          (B)  Thirty-five per cent to the department of health
               for health related programs, including the
               children's health insurance program; and

          (C)  Twenty-five per cent to the Hawaii tobacco
               prevention and control trust fund;

     (4)  Deleting references to a report by the Director of
          Finance on the condition of the emergency and budget
          reserve fund;

     (5)  Creating a tobacco prevention and control advisory
          board;

     (6)  Requiring the Director of Health to convene an advisory
          body for strategic planning and development of health
          related programs;

     (7)  Exempting the Hawaii tobacco settlement special trust
          fund and emergency budget reserve fund from assessments
          for central services and administrative expenses; and

     (8)  Making appropriation for dollar amounts to effectuate
          the allocation and transfer of moneys.

     Your Committee on Conference is in accord with the intent
and purpose of S.B. No. 1034, S.D. 1, H.D. 2, as amended herein,
and recommends that it pass Final Reading in the form attached
hereto as S.B. No. 1034, S.D. 1, H.D. 2, C.D. 1.

                                   Respectfully submitted,

MANAGERS ON THE PART OF THE        MANAGERS ON THE PART OF THE
            HOUSE                             SENATE
                                   
                                   
                                   
______________________________     ______________________________
ALEXANDER C. SANTIAGO, Co-Chair    SUZANNE CHUN OAKLAND, Co-Chair

 
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______________________________     ______________________________
DWIGHT Y. TAKAMINE, Co-Chair       CAROL FUKUNAGA, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
BERTHA C. KAWAKAMI, Member         ANDREW LEVIN, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
NATHAN SUZUKI, Member              JONATHAN CHUN, Member



______________________________
BARBARA MARUMOTO, Member


 
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