STAND. COM. REP. NO. 2544

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2685
                                        




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B.
No. 2685 entitled: 

     "A BILL FOR AN ACT RELATING TO TRUSTS AND ESTATES,"

begs leave to report as follows:

     The purpose of this bill is to amend the Uniform Trustees'
Powers Act and Uniform Probate Code with regard to trusts and
estates.

     In particular, this bill:

     (1)  Authorizes trustees to divide a single trust into two
          or more separate trusts for administration or tax
          purposes;

     (2)  Applies the anti-lapse provisions presently applicable
          to wills to revocable living trusts providing for
          distribution upon the settlor's death;

     (3)  Includes trusts in a provision making anti-contest
          provisions unenforceable where the contest was
          reasonable;

     (4)  Changes the procedures for disposition of unclaimed
          assets;


 
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                                   STAND. COM. REP. NO. 2544
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     (5)  Provides for apportionment of expenses connected with
          estate taxes; and

     (6)  Raises the financial ceiling for small estates from
          $60,000 to $100,000.

     Your Committee agrees with the intent of this bill, which is
intended to make the probate process more efficient and
accessible to persons with small estates, and which amends
probate law as proposed and supported by practitioners in that
area of law.

     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 S.B. No.
2685 and recommends that it pass Third Reading.

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



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
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