STAND. COM. REP. NO. 2759

Honolulu, Hawaii

RE:    S.B. No. 2710

       S.D. 2

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.B. No. 2710, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE RE-EMPLOYMENT OF RETIREES,"

begs leave to report as follows:

     The purpose of this measure is to authorize the counties to employ retired state or county government employees who are receiving retirement benefits under the Employees' Retirement System.

     Additionally, this measure specifies that the retirees rehired by the counties will not earn additional retirement service credit or be required to contribute to the Employees' Retirement System.

     Your Committee received testimony in support of this measure from the Judiciary, the Honolulu Fire Department, the County of Hawaii Department of Human Resources, the County of Maui Department of Personnel Services, and the Hawaii Government Employees Association.  Comments on the measure were received from the Employees' Retirement System and the Mayor of the County of Hawaii.

     Your Committee finds that this measure will enable retired state and county government employees to return to work as county government employees without incurring any negative financial consequences.  This measure will also enable the county governments to hire skilled and qualified employees for labor shortage positions and for other positions that are deemed critical-to-fill.

     Your Committee has amended this measure by:

(1)  Clarifying qualifying retirants to include retirants returning to a position of at least one-half of a full-time equivalent position; and

(2)  Making technical amendments recommended by the Employees' Retirement System.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2710, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2710, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

ROSALYN H. BAKER, Chair