STAND. COM. REP. NO.  1505

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 1090

      S.D. 2

      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 Finance, to which was referred S.B. No. 1090, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM,"

begs leave to report as follows:

The purpose of this measure is to ensure that retired State and county employees promptly receive their full retirement benefits by:

     (1)  Requiring, rather than allowing, State and county departments to provide payroll and personal information electronically to the Employees' Retirement System (ERS) in a format prescribed by the ERS;

     (2)  Including information on any changes or errors in payments that require correcting or updating with respect to payroll and personnel transactions as information required to be furnished to the ERS;

     (3)  Establishing penalties for departments or agencies that fail to provide the required information in the required format to the ERS;

     (4)  Providing the ERS with sole discretion to waive the penalties under certain situations; and

     (5)  Requiring the ERS to submit annual reports that detail compliance with the reporting requirements and penalties assessed, if any.

The Employees' Retirement System testified in support of this measure.  The Department of Education, County of Hawaii, and City and County of Honolulu provided comments on this measure.

     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. 1090, 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