STAND. COM. REP. NO. 3175
RE: H.B. No. 1838
Honorable Shan S. Tsutsui
President of the Senate
Twenty-Sixth State Legislature
Regular Session of 2012
State of Hawaii
Your Committee on Ways and Means, to which was referred H.B. No. 1838 entitled:
"A BILL FOR AN ACT RELATING TO STATE BONDS,"
begs leave to report as follows:
The purpose and intent of this measure is to:
(1) Authorize the issuance of general obligation bonds to finance project appropriations in specific acts of the Legislature for which the means of financing is designated as general obligation bond funds or reimbursable general obligation bond funds; and
(2) Make a declaration of findings regarding the authorizations as required by the Constitution of the State of Hawaii.
Written testimony in support of the measure was submitted by the Department of Budget and Finance.
Article VII, section 13, of the Constitution of the State of Hawaii requires the Legislature to include a declaration of findings in every general law authorizing the issuance of general obligation bonds, which shall declare that the issuance of state bonds authorized will not cause the debt limit to be exceeded at the time of issuance.
Your Committee finds that the total amount of principal and interest estimated for the general obligation bonds authorized under this measure, and for all bonds authorized and unissued and calculated for all bonds issued and outstanding, will not cause the debt limit of the State to be exceeded at the time of issuance.
Your Committee has amended this measure by:
(1) Changing references to the General Appropriations Act of 2012 and the Judiciary Appropriations Act of 2012 to the Supplemental Appropriations Act of 2012 and the Judiciary Supplemental Appropriations Act of 2012, respectively, and inserting the appropriate House Bill number reference for each measure;
(2) Changing the effective date to July 1, 2050, to facilitate further discussion; and
(3) Making technical nonsubstantive changes for purposes of clarity and style.
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. 1838, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1838, S.D. 1, and be placed on the calendar for Third Reading.
Respectfully submitted on behalf of the members of the Committee on Ways and Means,
DAVID Y. IGE, Chair