STAND. COM. REP. NO. 1128
RE: S.B. No. 1374
Honorable Ronald D. Kouchi
President of the Senate
Thirtieth State Legislature
Regular Session of 2019
State of Hawaii
Your Committee on Ways and Means, to which was referred S.B. No. 1374, S.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO THE HAWAII RETIREMENT SAVINGS PROGRAM,"
begs leave to report as follows:
The purpose and intent of this measure is to require the Department of Budget and Finance to administer a retirement savings program for private sector employees.
Your Committee received written comments in support of this measure from AARP, Policy Advisory Board for Elder Affairs, Chinatown Gateway Plaza Tenant Association, Young Progressives Demanding Action, Art Nelson Sailmaker/Ullman Sails Hawaii, and numerous individuals.
Your Committee received written comments in opposition to this measure from the Hawaii Bankers Association.
Your Committee received written comments on this measure from the Department of Budget and Finance.
Your Committee finds that a significant portion of Hawaii's private sector workers lack a pension plan or have no access to a tax-deferred savings plan through their employer. Enabling more private sector workers to save for retirement will improve their opportunities for financial independence and lessen the likelihood that they rely on public assistance programs later in life.
Your Committee has amended this measure by:
(1) Changing the appropriations to unspecified amounts;
(2) Changing the effective date to July 1, 2050, to facilitate further discussion on the measure; and
(3) Making technical nonsubstantive changes for purposes of clarity, consistency, 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 S.B. No. 1374, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1374, S.D. 2.
Respectfully submitted on behalf of the members of the Committee on Ways and Means,
DONOVAN M. DELA CRUZ, Chair