HOUSE OF REPRESENTATIVES

H.R. NO.

125

TWENTY-SECOND LEGISLATURE, 2003

 

STATE OF HAWAII

 
   


HOUSE RESOLUTION

 

DESIGNATING APRIL 2003 AS "FINANCIAL LITERACY FOR YOUTH IN HAWAII MONTH."

 

WHEREAS, reports indicate that the percentage of income used nationally for household debt payments, including mortgages, credit cards, and student loans, rose to the highest level in more than a decade in 2001 and remained at 14 percent in 2002; and

WHEREAS, consumer bankruptcy filings in the United States increased in 2001 by 19 percent over those in the previous year, a rate that exceeded the previous high reached in 1998, and that continued throughout 2002; and

WHEREAS, personal savings as a percentage of Gross Domestic Product decreased from 7.5 percent in the early 1980s to 2.4 percent in 2002; and

WHEREAS, approximately 40,000,000 Americans, the "unbanked," are not using mainstream, insured financial institutions; and

WHEREAS, home foreclosures in 2002 reached the highest rate in 30 years despite interest rates being at their lowest levels in 30 years; and

WHEREAS, 55 percent of college students acquire their first credit card during their first year in college, and 83 percent of college students have at least one credit card; and

WHEREAS, 45 percent of college students are in credit card debt, with the average debt being over $3,000; and

WHEREAS, only 26 percent of 13 to 21-year-olds reported that their parents actively taught them how to manage money; and

WHEREAS, a 2002 study by the Jump$tart Coalition for Personal Financial Literacy found that high school seniors know even less about credit cards, retirement funds, insurance, and other personal finance basics than seniors did five years ago; and

WHEREAS, a 2002 study by the National Council on Economic Education found that a decreasing number of states include personal finance in their education standards for students in grades K-12; and

WHEREAS, a greater understanding and familiarity with financial markets and institutions will lead to increased economic activity and growth; and

WHEREAS, financial literacy empowers individuals to make wise financial decisions and reduces the confusion of an increasingly complex economy; and

WHEREAS, personal financial management skills and long-lived habits develop during childhood; and

WHEREAS, personal financial education is essential to ensure that our youth are prepared to manage money, credit and debt, and become responsible workers, heads of households, investors, entrepreneurs, business leaders, and citizens; and

WHEREAS, the Jump$tart Coalition for Personal Financial Literacy, its state affiliates, and its partner organizations have designated each April as "Financial Literacy for Youth Month," the goal of which is to educate the public about the need for increased financial literacy for youth in America and Hawaii; and

WHEREAS, the State of Hawaii recognizes that our children and youth represent our best and brightest future and deserve a quality education, including being financially literate; now, therefore,

BE IT RESOLVED by the House of Representatives of the Twenty-second Legislature of the State of Hawaii, Regular Session of 2003, that April 2003 is designated as "Financial Literacy for Youth in Hawaii Month" to raise public awareness about the need for increased financial literacy in our schools and the serious problems that may be associated with a lack of understanding about personal finances; and

BE IT FURTHER RESOLVED that the Governor is requested to issue a proclamation calling on Hawaii's financial institutions with the support of public and private organizations and agencies, the counties, the schools, nonprofit organizations, businesses, other entities, and the people of the State of Hawaii, to promote the furtherance of financial education through the observance of "Financial Literacy for Youth in Hawaii Month" by means of appropriate programs and activities; and

BE IT FURTHER RESOLVED that certified copies of this Resolution be transmitted to the Governor, the Chair of the Hawaii State Board of Education, the Mayors of each of Hawaii's counties, and the members of Hawaii's Congressional delegation.

 

 

OFFERED BY:

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Report Title:

Financial literacy for youth in Hawaii month.