STAND. COM. REP. NO.  888-16


Honolulu, Hawaii

                , 2016


RE:   H.B. No. 2446

      H.D. 2




Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii




     Your Committee on Finance, to which was referred H.B. No. 2446, H.D. 1, entitled:




begs leave to report as follows:


     The purpose of this measure is to provide options to assist public employees who may be displaced through a reduction-in-force or workplace restructuring plan, including the privatization or closure of a state or county facility, and to reduce the need for layoffs.  Specifically, this measure authorizes public employers to offer a voluntary severance or special retirement benefit to employees who elect to separate from service when their positions are identified for abolishment, reduction-in-force, or workforce restructuring.


     The Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO; United Public Workers, AFSCME Local 646, AFL-CIO; and numerous individuals testified in support of this measure.  The Department of Budget and Finance testified in opposition.  The Employees' Retirement System and two individuals provided comments.


     Your Committee has amended this measure by:


     (1)  Changing its effective date to July 1, 2030, to facilitate further discussion; and


     (2)  Making technical, nonsubstantive amendments for clarity, consistency, and style.


     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2446, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2446, H.D. 2.


Respectfully submitted on behalf of the members of the Committee on Finance,