STAND. COM. REP. NO. 365

Honolulu, Hawaii

RE: S.B. No. 297

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Government Operations, to which was referred S.B. No. 297 entitled:

"A BILL FOR AN ACT RELATING TO GRANTS-IN-AID,"

begs leave to report as follows:

The purpose and intent of this measure is to require organizations to obtain legislative approval prior to the disposition of land that was acquired with state grants.

Your Committee received testimony in support of this measure from the Office of Community Services.

Your Committee finds that implementation and clarification of statutory requirements for the disposition of land that was acquired with state grant funding will ensure alignment with legislative priorities, accountability of grant recipients, and value of grant funds spent by the State.

Accordingly, Your Committee has heard the concerns of the Office of Community Services that this measure, as drafted, does not consider existing encumbrances on real property made pursuant to the current version of section 42F-103(d), Hawaii Revised Statutes. Amendments to this measure are therefore necessary to incorporate compliance to this measure.

Your Committee has amended this measure by:

(1) Inserting statutory language making the amendments made by this measure effective July 1, 2024; and

(2) Inserting an effective date of July 1, 2112, to encourage further discussion.

As affirmed by the record of votes of the members of your Committee on Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 297, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 297, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Government Operations,

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ANGUS L.K. MCKELVEY, Chair