STAND. COM. REP. NO. 1246

 

Honolulu, Hawaii

                  

 

RE:    H.B. No. 1187

       H.D. 1

       S.D. 1

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

 

Sir:

 

     Your Committee on Labor, Culture and the Arts, to which was referred H.B. No. 1187, H.D. 1, entitled:

 

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

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to appropriate and authorize from other funds of the Employees' Retirement System Pension Trust for fiscal biennium 2019-2021, the additional sum of $3,628,613 for fiscal year 2019-2020, and the additional sum of $1,885,525 for fiscal year 2020-2021 for various Employees' Retirement System operating costs and services.

 

     Your Committee received testimony in support of this measure from the Employees' Retirement System.

 

     Your Committee finds that the Employees' Retirement System's (ERS) objectives are to provide retirement and survivor benefits to state and county employees, retirees, beneficiaries, and inactive vested members, as well as to prudently maximize the return on its investment portfolio in an effort to guarantee availability of needed funds, lower long-term employer and employee contributions, and ultimately lower the cost to taxpayers.  Your Committee also finds that this measure allows for the expenditure of other (non-general) funds of the ERS for services that will ultimately improve the ERS as a whole.

 

     Your Committee has amended this measure by inserting an effective date of January 1, 2051, to encourage further discussion.

 

     As affirmed by the record of votes of the members of your Committee on Labor, Culture and the Arts that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1187, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1187, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

 

Respectfully submitted on behalf of the members of the Committee on Labor, Culture and the Arts,

 

 

 

________________________________

BRIAN T. TANIGUCHI, Chair