STAND. COM. REP. NO.  399

Honolulu, Hawaii

                , 2015

RE:   H.B. No. 189

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred H.B. No. 189 entitled:

"A BILL FOR AN ACT RELATING TO CLAIMS AGAINST THE STATE,"

begs leave to report as follows:

The purpose of this measure is to require the Comptroller to annually adjust for inflation the maximum amounts that claims against the State may be arbitrated, compromised, or settled by the Comptroller or Attorney General.

The Department of Accounting and General Services, Department of the Attorney General, and a concerned individual testified in opposition to this measure.

     Your Committee has amended this measure by:

     (1)  Adding provisions to clarify the Comptroller's authority to annually adjust for inflation the maximum amount for which the Attorney General and Comptroller may settle claims against the State and the process for doing so;

     (2)  Specifying that the Comptroller shall notify the Legislature and Attorney General of the adjusted maximum amount by June 15 of each year;

     (3)  Clarifying that the adjustment shall be based on the Consumer Price Index for the second half of the previous year; and

     (4)  Making technical, nonsubstantive amendments for clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 189, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 189, H.D. 1, and be referred to the Committee on Finance.

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

____________________________

KARL RHOADS, Chair