STAND. COM. REP. NO.  1927-18

 

Honolulu, Hawaii

                , 2018

 

RE:   S.B. No. 2333

      S.D. 2

      H.D. 1

 

 

 

 

Honorable Scott K. Saiki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

 

Sir:

 

     Your Committee on Finance, to which was referred S.B. No. 2333, S.D. 2, H.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO RETIREMENT SAVINGS,"

 

begs leave to report as follows:

 

     The purpose of this measure is to:

 

     (1)  Establish the Hawaii Retirement Savings Program (Savings Program) for private sector employees to make deposits into a retirement plan account through payroll deductions;

 

     (2)  Establish the Hawaii Retirement Savings Board (Board) to implement and maintain the Savings Program;

 

     (3)  Prior to establishing the Savings Program and Board, require the Legislative Reference Bureau to:

 

          (A)  Conduct a study on the feasibility of implementing the Savings Program for private sector employees; and

 

          (B)  Submit preliminary and final reports on the study to the Legislature prior to the 2019 and 2020 Regular Sessions, respectively;

 

     (4)  Establish the Hawaii Retirement Savings Program Administrative Fund to be used to pay the administrative costs and expenses of the Board and Savings Program as well as other costs related to the establishment of the Savings Program; and

 

     (5)  Appropriate funds for administrative and operating expenses of the Board and the market analysis to be conducted as a part of the Legislative Reference Bureau's study.  

 

     Caring Across Generations, Hawaii Appleseed Center for Law & Economic Justice, Nisei Building Maintenance, Hooilina Home Care, Regenerative Living, Legacy Villa, Faith Action for Community Equity, and several concerned individuals submitted testimony in support of this measure.  The National Association of Insurance and Financial Advisors and American Council of Life Insurers submitted testimony in opposition to this measure.  The Employees' Retirement System, Department of Budget and Finance, Legislative Reference Bureau, Maui Chamber of Commerce, AARP Hawaii, Hawaii Bankers Association, and one concerned individual submitted comments.

 

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2333, S.D. 2, H.D. 1, and recommends that it pass Third Reading.

 

Respectfully submitted on behalf of the members of the Committee on Finance,

 

 

 

 

____________________________

SYLVIA LUKE, Chair