STAND. COM. REP. 320

Honolulu, Hawaii

, 2003

RE: H.B. No. 1157

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Labor and Public Employment, to which was referred H.B. No. 1157 entitled:

"A BILL FOR AN ACT RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM,"

begs leave to report as follows:

The purpose of this bill is to minimize the administrative processing of refunding contributions for employees mandatorily excluded from social security.

ERS testified in support of this bill.

Your Committee finds that nonresident aliens temporarily residing in the United States holding F-1, J-1, M-1, or Q-1 visas are mandatorily excluded from social security coverage. These members are not assessed FICA or Medicare taxes and are coded Class B members when they are hired.

This measure will:

(1) Allow the ERS to enroll all nonresident aliens with visas who are hired after June 30, 1984, as Class C members; and

 

(2) Eliminate the need for departments to process a class code change from Class B to Class C and minimize the amount of payroll adjustments and refunds that are now being processed.

As affirmed by the record of votes of the members of your Committee on Labor and Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1157 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 Labor and Public Employment,

 

____________________________

MARCUS R. OSHIRO, Chair