STAND. COM. REP. NO.240

Honolulu, Hawaii

, 2003

RE: S.B. No. 1279

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committees on Health and Judiciary and Hawaiian Affairs, to which was referred S.B. No. 1279 entitled:

"A BILL FOR AN ACT RELATING TO TOBACCO,"

beg leave to report as follows:

The purpose of this measure is to require a deposit of moneys into the tobacco enforcement special fund (fund) from the allocated portion of the stamp fee designated to pay for the cost of enforcing the cigarette tax stamp and fines thereto.

Testimony in support of this measure was received from the Attorney General (AG).

According to testimony of the AG, this measure consolidates the tax stamp fees collected for the enforcement of tobacco taxes with moneys received from enforcement of the tobacco Master Settlement Agreement (MSA). This measure also expands the purpose of the tobacco enforcement special fund to include enforcement of the cigarette stamp tax enforcement and tobacco reporting requirements, exempts the special fund from the payment of administration expenses and central services fees, and repeals the cigarette tax stamp enforcement special fund. Consolidation of the cigarette tax stamp enforcement special fund into the tobacco enforcement special fund would provide moneys to fund the tobacco enforcement unit of the AG.

Your Committees have amended this measure by:

(1) Adding that the amendments made to section 36-27, Hawaii Revised Statutes, relating to charges on special funds for central service expenses, are not repealed upon reenactment of that section on July 31, 2003; and

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

As affirmed by the records of votes of the members of your Committees on Health and Judiciary and Hawaiian Affairs that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1279, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 1279, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Health and Judiciary and Hawaiian Affairs,

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COLLEEN HANABUSA, Chair

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ROSALYN H. BAKER, Chair