STAND. COM. REP. NO.  811

 

Honolulu, Hawaii

                , 2015

 

RE:   H.B. No. 26

      H.D. 1

 

 

 

 

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

 

Sir:

 

     Your Committee on Finance, to which was referred H.B. No. 26 entitled:

 

"A BILL FOR AN ACT RELATING TO THE COMPENSATION OF TRUSTEES,"

 

begs leave to report as follows:

 

     The purpose of this measure is to clarify the method of calculating the compensation of trustees. This measure, among other things:

 

(1)  Clarifies that advanced written notice of any amendment of trustee bank and trust company fee schedules shall be provided to beneficiaries who are vested at the time of the notice;

 

(2)  Amends and specifies for clarity the method of calculating compensation for individual co-trustees;

 

(3)  Specifies that trustees shall be paid not more than once per quarter and are not required to be paid upon the trust's receipt of income; and

 

(4)  Repeals the cost of living adjustment of the asset value ranges upon which trustee compensation is calculated.

 

     The Investment Services Group at Bank of Hawaii and an individual supported this measure.  The Mark A. Robinson Trusts and two individuals commented on this measure.

     Your Committee has amended this measure by:

 

     (1)  Changing the effective date to July 1, 2030, to encourage further discussion; and

 

     (2)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

 

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 26, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 26, H.D. 1.

 

Respectfully submitted on behalf of the members of the Committee on Finance,

 

 

 

 

____________________________

SYLVIA LUKE, Chair