STAND. COM. REP. NO.3293

Honolulu, Hawaii

, 2002

RE: H.B. No. 2844

H.D. 1

S.D. 2

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 2844, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CAMPAIGN SPENDING,"

begs leave to report as follows:

The purpose of this measure is to place limits and restrictions on certain political contributions.

Specifically, the bill:

(1) Limits political contributions to an aggregate of $25,000 in any calendar year, provided that any contribution made in a non-election year shall be attributed to the year in which that election is held;

(2) Provides that no state or national bank or labor organization may make a political contribution, except contributions to be used for political purposes to a separate segregated fund;

(3) Provides that membership organizations, cooperatives, and corporations without capital stock may also use the separate segregated fund for political contributions; and

(4) Restricts contributions by state and county contractors.

Your Committee finds that the political campaign contribution laws need an overhaul to address the widespread public belief that business entities making large contributions have an undue impact on politicians. By restricting campaign donations, the playing field between large and small donors will be leveled.

Your Committee has amended the bill by changing the reference to "immediate family" to "dependent family member". Your Committee raised concerns in attempting to clarify that only dependent family members, and not all immediate family members, should be included in the $50,000 aggregate limit. More specifically questions were raised as to whether a spouse who independently earns income would be considered a dependent, or whether adult children living at home are dependents. Your Committee intends to explore this issue further during Conference meetings.

Your Committee also amended the bill by changing the owners whose ability to make political contributions is restricted to include only those owners who have at least a twenty-five per cent ownership interest.

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 H.B. No. 2844, H.D. 1, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2844, H.D. 1, S.D. 2.

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

____________________________

BRIAN T. TANIGUCHI, Chair