STAND. COM. REP. 423

Honolulu, Hawaii

, 2003

RE: H.B. No. 986

H.D. 1

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Labor and Public Employment, to which was referred H.B. No. 986 entitled:

"A BILL FOR AN ACT RELATING TO DEATH BENEFITS OF SURVIVING CHILDREN OF PUBLIC EMPLOYEES,"

begs leave to report as follows:

The purpose of this bill is to allow surviving dependent children to receive Employees' Retirement System (ERS) death benefits for as long as the child continues to be a full-time student, or until reaching the age of 24, whichever is earlier.

ERS commented on this measure. The Department of Budget and Finance testified in opposition of this measure.

Currently, surviving dependent children in both the contributory and noncontributory ERS plans can receive death benefits until the age of 18. This measure, as received, will allow these children to continue to receive benefits up to the age of 24, as long as they remain full-time students.

However, your Committee understands the concerns raised by the ERS regarding whether this bill covers dependent children who are over the age of 18 when the member passes away. Accordingly, your Committee has amended this measure by:

(1) Clarifying that if the child is under the age of 18 when the member dies, and the child is a full-time student, the child remains eligible to receive benefits until the child reaches the age of 24;

(2) Clarifying that if a child is over the age of 18 but younger than 24 when the member dies, and is or becomes a full-time student, that child would be eligible for benefits until the child reaches the age of 24; and

(3) Making technical, nonsubstantive amendments for purposes of clarity, conformity, and style.

As affirmed by the record of votes of the members of your Committee on Labor and Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 986, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 986,

H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor and Public Employment,

 

____________________________

MARCUS R. OSHIRO, Chair