STAND. COM. REP. NO. 72-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2277
                                     




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Health, to which was referred H.B. No.
2277 entitled: 

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

begs leave to report as follows:

     The purpose of this bill is to invest in the health of the
people of Hawaii by prohibiting the supplanting or diminishing of
moneys received from the Hawaii Tobacco Special Settlement Fund
(Special Fund) for existing health promotion and disease
prevention programs.

     The Good Beginnings Alliance, the Hawaii Nurses'
Association, and an individual testified in support of this
measure.  The Department of Health (DOH) testified in support of
this measure, provided that it does not compromise priorities as
specified in the executive budget request.  The Coalition for a
Tobacco Free Hawaii testified in support of the intent of this
measure.  The Department of Budget and Finance opposed this
measure because it restricts budgeting flexibility.  One
individual submitted comments.

     Your Committee believes that the original intent of the
Special Fund is to expand existing tobacco prevention and control
programs, health promotion and disease prevention programs,
children's health programs, and to serve as a long-term source of
stable funding for prevention-oriented public health efforts.  It

 
 
 
                                 STAND. COM. REP. NO. 72-00
                                 Page 2

 
is essential that the moneys do not supplant or diminish the
funding of programs funded by the state general fund.

     Currently, there are a number of health and educational
programs needing emergency funding that overlaps in scope,
duplicates administrative efforts, and competes between programs.
Rather than attempting to fund separate appropriations, your
Committee finds that there is a need for an integrated use of the
Special Fund that maximizes Hawaii's health, human services, and
education efforts.

     Your Committee encourages DOH, in its planning and expending
the moneys in the Special Fund, to collaborate with the
Departments of Human Services and Education to create a quality-
driven and cost-effective integrated service system.

     As affirmed by the record of votes of the members of your
Committee on Health that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
2277 and recommends that it pass Second Reading and be referred
to the Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Health,



                                   ______________________________
                                   ALEXANDER C. SANTIAGO, Chair