STAND. COM. REP. NO. 2966

 

Honolulu, Hawaii

                  

 

RE:    H.B. No. 3243

       H.D. 2

       S.D. 1

 

 

 

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

 

Madam:

 

     Your Committee on Economic Development and Taxation, to which was referred H.B. No. 3243, H.D. 2, entitled:

 

"A BILL FOR AN ACT MAKING AN APPROPRIATION FOR THE HONOLULU SYMPHONY AND ITS PROGRAMS,"

 

begs leave to report as follows:

 

     The purpose of this measure is to appropriate funds to support the Honolulu Symphony and its programs.

 

     Testimony in support of this measure was received from the Executive Director of the Honolulu Symphony and one of its board members; the ILWU Local 142; Tim Bostock Productions LLC; and twelve individuals, including musicians and music teachers.  The Department of Accounting and General Services testified in opposition.  The State Foundation on Culture and the Arts submitted comments.

 

     Your Committee finds that Act 97, Session Laws of Hawaii 2006, and Act 156, Session Laws of Hawaii 2007, provided public support for the Honolulu Symphony by appropriating $4,000,000 to the State of Hawaii Endowment Fund, from which the income and capital gains earned from that public investment are to be used by the Symphony; provided that the funds are matched by private funds or pledges.  Your Committee has been informed that these funds have recently been transferred to the Endowment Fund.

 

     Your Committee notes that resolution of the use of the state appropriation for the endowment corpus and matching pledge amounts has taken two years and three legislative sessions.  It is also a period when the Honolulu Symphony has experienced devastating shortfalls in funding, and the loss of many fine musicians due to this financial uncertainty.

 

     While your Committee is relieved that the endowment funds are in place, it will be at least a year before any significant interest will be accrued on the endowment, and available for expenditure by the Honolulu Symphony.  Until that time, the Symphony must still struggle to meet the payroll obligations to its musicians and to provide fiscal support for its administration and programs, including marketing, communications, and youth education.

 

     Your Committee is strongly supportive of this measure and has amended it by changing the effective date from July 1, 2020, to July 1, 2008.

 

     As affirmed by the record of votes of the members of your Committee on Economic Development and Taxation that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 3243, H.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 3243, 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 Economic Development and Taxation,

 

 

 

____________________________

CAROL FUKUNAGA, Chair