STAND. COM. REP. NO. 404

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 813
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Commerce and Consumer Protection, to which
was referred S.B. No. 813 entitled: 

     "A BILL FOR AN ACT RELATING TO THE ISSUANCE OF SPECIAL
     PURPOSE REVENUE BONDS TO ASSIST THE GAS UTILITY IN SERVING
     THE GENERAL PUBLIC,"

begs leave to report as follows:
     
     The purpose of this measure is to authorize the issuance of
special purpose revenue bonds and refunding special purpose
revenue bonds to assist the gas utility in providing gas service
to the general public.

     Your Committee received testimony in support of this measure
from the Department of Budget and Finance, the Consumer Advocate,
and The Gas Company.

     Your Committee finds that the bonds authorized by this
legislation, in the amount of $19,600,000, will be used by The
Gas Company to finance capital improvements to the underground
transmission and distribution pipeline system.  Your Committee
also finds that the capital improvements proposed serve a public
interest that is related to the general public health, safety,
and general welfare of the citizens of this State.

     Your Committee has amended this measure by changing the
language for the refunding special purpose revenue bonds from
"times subsequent to December 31, 1999", to "times subsequent to

 
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                                   STAND. COM. REP. NO. 404
                                   Page 2


December 31, 2002", to clarify that refunding bonds may be issued
after the lapse date of the measure for the issuance of bonds.

     As affirmed by the record of votes of the members of your
Committee on Commerce and Consumer Protection that is attached to
this report, your Committee is in accord with the intent and
purpose of S.B. No. 813, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as S.B.
No. 813, S.D. 1, and be referred to the Committee on Ways and
Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Commerce and
                                   Consumer Protection,



                                   ______________________________
                                   BRIAN KANNO, Co-Chair



                                   ______________________________
                                   BRIAN T. TANIGUCHI, Co-Chair

 
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