STAND. COM. REP. NO.723

Honolulu, Hawaii

, 2003

RE: S.B. No. 765

S.D. 2

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 765, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE RETIREMENT ALLOWANCE FOR PRINCIPALS AND VICE PRINCIPALS,"

begs leave to report as follows:

The purpose of this measure is to allow principals and vice-principals to retire without penalty at least twenty-five years of credited service regardless of age.

In general, a state employee must attain age fifty-five before being allowed to retire with a full service retirement allowance. Retiring before that age will reduce the member's retirement allowance in accordance with factors of actuarial equivalence adopted by the Board of Trustees of the Employees Retirement System upon the advice of an actuary.

There are specific exemptions to this policy, which allow an employee who has served as a firefighter, police officer, corrections officer, investigator of the department of the prosecuting attorney, investigator of the department of the attorney general, narcotics enforcement investigator, public safety investigations staff investigator, sewer worker, or water safety officer to receive full benefits, even if the employee retires before attaining age fifty-five. Your Committee finds that it is appropriate to add principals and vice-principals to this list of employees, as long as they have twenty-five years of credited service.

Your Committee has amended this bill by making technical, nonsubstantive amendments for the purpose of clarity.

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. 765, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 765, S.D. 2.

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

____________________________

BRIAN T. TANIGUCHI, Chair