Honolulu, Hawaii



RE:    H.B. No. 2722

       H.D. 1

       S.D. 1




Honorable Ronald D. Kouchi

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii




     Your Committee on Ways and Means, to which was referred H.B. No. 2722, H.D. 1, S.D. 1, entitled:




begs leave to report as follows:


     The purpose and intent of this measure is to address unemployment insurance benefits.


     More specifically, this measure:


     (1)  Creates a temporary program, in counties with a population of less than 200,000, to provide additional benefits to unemployed individuals by extending their unemployment insurance benefits under certain conditions, including enrollment by the unemployed individual in an approved training or retraining course; and


     (2)  Appropriates funds to the Department of Labor and Industrial Relations to implement the measure.


     Your Committee received written comments in support of this measure from the Department of Labor and Industrial Relations, The Chamber of Commerce Hawaii, the Hawaii Government Employees Association, the Hawaii State AFL-CIO, ILWU Local 142, and one individual.


     Your Committee finds that assisting dislocated workers in certain counties who may have limited prospects for securing work will allow them additional time to find suitable gainful employment, thus benefitting the State.  Your Committee further finds that workers who receive supplemental benefits under this measure must meet certain conditions, including enrolling in approved training or retraining courses.


     Your Committee notes that the Department of Labor and Industrial Relations has estimated that providing supplemental benefits pursuant to this measure will cost approximately $20,000,000 from 2017 through 2019 if the measure is limited to counties with a population of less than 200,000, with additional administrative costs of approximately $650,000 in state general funds.


     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. 2722, H.D. 1, S.D. 1, and recommends that it pass Third Reading.


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