STAND. COM. REP. NO. 980

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  H.B. No. 756
                                        H.D. 2
                                        S.D. 1




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

Sir:

     Your Committee on Commerce and Consumer Protection, to which
was referred H.B. No. 756, H.D. 2, entitled: 

     "A BILL FOR AN ACT RELATING TO PUBLIC UTILITIES COMMISSION,"

begs leave to report as follows:

     The purpose of this measure is to establish the universal
service fund as a special fund administered by the Public
Utilities Commission to implement the policies and goals of
universal telecommunications service.  The measure also exempts
the universal service fund from assessments for administrative
fees and surcharges. 

     The Public Utilities Commission (PUC), the Consumer
Advocate, GTE Hawaiian Tel, and AT&T presented testimony in
support of the measure.  GST Telecom Hawaii and TelHawaii, Inc.,
though not present at the hearing, submitted written testimony in
support of the measure. 

     Your Committee has amended this measure by deleting its
contents and inserting the contents of S.B. No. 143, S.D. 1.
As amended this measure:

     (1)  Prohibits the PUC from authorizing the construction of
          any forty-six kilovolt or greater high voltage electric
          transmission system in a residentially-zoned area, or
          within three hundred feet of any public or private
          school grounds or licensed child care facility, unless

 
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                                   STAND. COM. REP. NO. 980
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          the system is placed underground and insulated against
          electro-magnetic field emissions; and

     (2)  Provides that the requirements established in the
          measure apply to applications to construct a high
          voltage electric transmission system approved by the
          PUC prior to the measure's effective date, unless
          construction has been completed and approved by the
          PUC.

     As affirmed by the record of votes of the members of your
Committee on Commerce and Consumer Protection that is attached to
this report, your Committee is in accord with the intent and
purpose of H.B. No. 756, H.D. 2, as amended herein, and
recommends that it pass Second Reading in the form attached
hereto as H.B. No. 756, H.D. 2, S.D. 1, and be referred to the
Committee on Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Commerce and
                                   Consumer Protection,



                                   ______________________________
                                   BRIAN KANNO, Co-Chair



                                   ______________________________
                                   BRIAN T. TANIGUCHI, Co-Chair

 
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