CONFERENCE COMMITTEE REPORT NO. 135

                            Honolulu, Hawaii
                                            , 1999

                            RE:   H.B. No. 252
                                  H.D. 3
                                  S.D. 2
                                  C.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Conference on the disagreeing vote of the
House of Representatives to the amendments proposed by the Senate
in H.B. No. 252, H.D. 3, S.D. 2, entitled:

    "A BILL FOR AN ACT RELATING TO DEGREE GRANTING INSTITUTIONS,"

having met, and after full and free discussion, has agreed to
recommend and does recommend to the respective Houses the final
passage of this bill in an amended form.

     The purpose of this bill is to prohibit unaccredited
institutions from issuing degrees and conducting business in
Hawaii unless they comply with certain standards.

     Your Committee on Conference finds that there has been a
significant increase in the number of unaccredited institutions
conducting business in Hawaii, who are merely "diploma mills" or
"mail drops", as other States have clamped down on these non-
legitimate, unaccredited institutions.  This legislation will
prevent "diploma mills" or "mail drops" from continuing their
activities in Hawaii by:


 
 
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     (1) Enacting more comprehensive disclosures;

     (2) Prohibiting the issuance of certain types of degrees;

     (3) Creating a mechanism for service of process; and
         
     (4) Requiring an operational level of physical presence.

     Your Committee on Conference has amended this bill by:

     (1) Requiring the office to be located in Hawaii;

     (2) Requiring the employee to reside in Hawaii;

     (3) Deleting the residency requirement for the student and,
         instead, requiring them to enroll in Hawaii;

     (4) Deleting the requirement that the students and employee
         by full-time;

     (5) Providing an exemption for a limited period under
         specific conditions stated in the law;

     (6) Making this measure effective upon approval; and

     (7) Making technical, nonsubstantive changes for purposes of
         clarity and style.

     Your Committee on Conference is in accord with the intent
and purpose of H.B. No. 252, H.D. 3, S.D. 2, as amended herein,
and recommends that it pass Final Reading in the form attached
hereto as H.B. No. 252, H.D. 3, S.D. 2, C.D. 1.


                                   Respectfully submitted,

MANAGERS ON THE PART OF THE        MANAGERS ON THE PART OF THE
           SENATE                              HOUSE
                                   
                                   
                                   
______________________________     ______________________________
DAVID IGE, Co-Chair                DAVID MORIHARA, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
BRIAN KANNO, Co-Chair              RON MENOR, Co-Chair

 
                            CONFERENCE COMMITTEE REPORT NO. 135
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______________________________     ______________________________
BRIAN TANIGUCHI, Co-Chair          LEI AHU ISA, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
NORMAN SAKAMOTO, Member            BERTHA C. KAWAKAMI, Member
                                   
                                   
                                   
______________________________     ______________________________
SAM SLOM, Member                   BERTHA LEONG, Member