STAND. COM. REP. NO. 1021

Honolulu, Hawaii

RE:    H.B. No. 954

       H.D. 1

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committee on Public Safety and Military Affairs, to which was referred H.B. No. 954, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO A MAJOR DISASTER RESERVE TRUST FUND,"

begs leave to report as follows:

     The purpose of this measure is to ensure that federal fund reimbursements for eligible disaster repair projects and disaster management costs received by the State of Hawaii Department of Defense are not subject to lapsing.

     Specifically, this measure requires the Director of Finance to establish a major disaster reserve trust fund, which may include subaccounts and any other trust funds or accounts, to be administered by the Director of Civil Defense and whereby any federal fund reimbursements to the State may be held for later use.

     Testimony in opposition of this measure was submitted by one state agency.  Comments on this measure were submitted by two state agencies.  Written testimony presented to the Committee may be reviewed on the Legislature's website.

     Your Committee finds that the establishment of a major disaster reserve trust fund outside of the state treasury will provide the Director of Civil Defense with the discretion to expend moneys in the fund to cope with the effects of a natural disaster or other unforeseen emergencies that the Director considers significant or necessary to protect the people of Hawaii.  The fund also provides the Director of Civil Defense with the discretion to invest the principal in an interest bearing account, as determined by the Director to be appropriate and suitable.

     Your Committee has amended this measure by changing the effective date from July 1, 2020, to July 1, 2010.

     As affirmed by the record of votes of the members of your Committee on Public Safety and Military Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 954, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 954, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Public Safety and Military Affairs,

____________________________

WILL ESPERO, Chair