STAND. COM. REP. NO. 1249

 

Honolulu, Hawaii

                  

 

RE:    H.B. No. 1330

       H.D. 1

       S.D. 2

 

 

 

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

 

Sir:

 

     Your Committee on Ways and Means, to which was referred H.B. No. 1330, H.D. 1, S.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO THE HAWAII TOBACCO SETTLEMENT SPECIAL FUND,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to provide continued support for the University of Hawaii John A. Burns School of Medicine.

 

Specifically, this measure:

 

     (1)  Extends until June 30, 2015, the allocation of Hawaii tobacco settlement special fund moneys to be used for the annual operating expenses of the John A. Burns School of Medicine;

 

     (2)  Beginning with fiscal year 2012-2013:

 

          (A)  Reduces the amount of tobacco settlement funds allocated for the John A. Burns School of Medicine by one per cent each fiscal year; and

 

          (B)  Increases the amount of tobacco settlement funds deposited into the general fund by one per cent each fiscal year; and

 

     (3)  Requires the University of Hawaii to submit a detailed accounting report to the Legislature, prior to the regular sessions of 2012 to 2015, on all revenues and expenditures relating to moneys used for the John A. Burns School of Medicine's operating costs and appropriations into the university revenue-undertakings fund.

 

     Your Committee received comments in support of this measure from Virginia S. Hinshaw, Chancellor, University of Hawaii at Manoa; Michele Carbone, MD, Director, University of Hawaii Cancer Center; Dr. Morris Mitsunaga, President, Hawaii Medical Association; Darrin Sato, Chief Operating Officer, Kalihi-Palama Health Center; and Virginia Pressler, Executive Vice President, Hawaii Pacific Health.

 

     Your Committee received comments in opposition to this measure from Trisha Y. Nakamura, Policy and Advocacy Director, Coalition for a Tobacco-Free Hawaii.

 

     Your Committee received comments on this measure from George S. Massengale, Director of Government Relations, American Cancer Society Hawaii Pacific, Inc.

 

     Your Committee finds that under current law, twenty-eight per cent of tobacco settlement funds received by the State are allocated to be used for the John A. Burns School of Medicine's annual operating expenses.  The school's authorization to use those funds expires on June 30, 2011.  Your Committee believes that extending the sunset date for the John A. Burns School of Medicine's use of tobacco settlement funds, while annually reducing the portion of funds allocated for those purposes, will encourage the school to gradually reduce its reliance on these funds and achieve greater self-sufficiency.

 

     Your Committee has amended this measure by:

 

     (1)  Changing to an unspecified percentage:

 

          (A)  The amount by which the tobacco settlement funds allocated for the John A. Burns School of Medicine are to be reduced each fiscal year; and

 

          (B)  The amount by which tobacco settlement funds allocated for the general fund are to be increased each fiscal year;

 

     (2)  Making a technical, nonsubstantive amendment for the purpose of style; and

 

     (3)  Changing the effective date to July 1, 2117, to encourage further discussion on the measure.

 

     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 H.B. No. 1330, H.D. 1, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1330, H.D. 1, S.D. 2.

 

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

 

 

 

____________________________

DAVID Y. IGE, Chair