STAND. COM. REP. NO.415

Honolulu, Hawaii

, 2003

RE: S.B. No. 796

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committees on Labor and Judiciary and Hawaiian Affairs, to which was referred S.B. No. 796 entitled:

"A BILL FOR AN ACT PROPOSING AN AMENDMENT TO ARTICLE XVI OF THE CONSTITUTION OF THE STATE OF HAWAII,"

beg leave to report as follows:

The purpose of this measure is to make public sector health benefits inalienable.

Testimony in support of this measure was submitted by the Hawaii State Teachers Association, the Hawaii State Retired Teachers Association, the Retirees Unit of the Hawaii Government Employees Association, eighteen teachers, four counselors, and two individuals.

Testimony in opposition to this measure was submitted by the Department of Budget and Finance.

Your Committees find that currently, health benefits for public employees are not guaranteed by the State Constitution. However, many public employees believe that, when they were hired and when they retired, their pension and health benefits were defined and static, thus, ensuring that they would be taken care of upon their retirement.

Your Committees determine that the enactment of Acts 88 and 89, Session Laws of Hawaii 2001, left many public employees and retirees feeling as though a social contract between themselves and the State had been broken. Accordingly, your Committees believe that the State should honor its obligation to these employees and retirees by making their health benefits inalienable.

As affirmed by the records of votes of the members of your Committees on Labor and Judiciary and Hawaiian Affairs that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 796 and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Labor and Judiciary and Hawaiian Affairs,

____________________________

COLLEEN HANABUSA, Chair

____________________________

BRIAN KANNO, Chair