STAND. COM. REP. NO. 3238

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  H.B. No. 2646
                                        H.D. 1




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 H.B.
No. 2646, H.D. 1, entitled: 

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

begs leave to report as follows:

     The purpose of this bill is to make general amendments to
the Hawaii Probate Code and the Uniform Trustees' Powers Act.

     Specifically, the bill authorizes trustees to split a trust
into separate trusts; applies the antilapse provisions presently
applicable to wills to revocable living trusts providing for
distribution upon the settlor's death; includes trusts in a
provision making anti-contest provisions unenforceable where the
contest was reasonable; changes the procedures for disposition of
unclaimed assets; provides for apportionment of expenses
connected with estate taxes; and raises the financial ceiling for
small estates from $60,000 to $100,000.

     Your Committee finds that these provisions will provide more
flexibility in the administration of trusts and estates.  They
will also allow trustees and others to be more responsive and
efficient in their duties.
 
     As affirmed by the record of votes of the members of your
Committee on Ways and Means that is attached to this report, your

 
a                                                      HB2646 HD1
 
 
 
                                   STAND. COM. REP. NO. 3238
                                   Page 2


Committee is in accord with the intent and purpose of H.B. No.
2646, H.D. 1, 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

 
a                                                      HB2646 HD1