STAND. COM. REP. NO. 3738

Honolulu, Hawaii

RE: H.B. No. 2453

H.D. 1

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committees on Ways and Means and Judiciary, to which was referred H.B. No. 2453, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO WATER INFRASTRUCTURE,"

beg leave to report as follows:

The purpose and intent of this measure is to facilitate the timely disbursement of certain federal grant moneys.

More specifically, this measure authorizes the Governor, or a state official with authorization from the Governor, to transfer federal capitalization grant moneys between the Water Pollution Control Revolving Fund and the Drinking Water Treatment Revolving Loan Fund.

Your Committees received written comments in support of this measure from the Department of Health, Ulupono Initiative, and three individuals.

Your Committees find that the United States Environmental Protection Agency oversees the State's implementation of the Water Pollution Control Revolving Fund and the Drinking Water Treatment Revolving Loan Fund programs and may withhold or delay future capitalization grants if those programs struggle to expeditiously disburse grant moneys. Your Committees further find that the ability to move moneys between the two funds will help facilitate timely disbursement of grants.

Your Committees have amended this measure by:

(1) Clarifying the conditions applicable to transfers of moneys between the Water Pollution Control Revolving Fund and the Drinking Water Treatment Revolving Loan Fund;

(2) Requiring the Department of Health to submit a report to the Legislature on transfers between the Water Pollution Control Revolving Fund and the Drinking Water Treatment Revolving Loan Fund prior to the Regular Session of 2025; and

(3) Changing the effective date to July 1, 2024.

As affirmed by the records of votes of the members of your Committees on Ways and Means and Judiciary that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 2453, H.D. 1, S.D. 1, as amended herein, and recommend that it pass Third Reading in the form attached hereto as H.B. No. 2453, H.D. 1, S.D. 2.

Respectfully submitted on behalf of the members of the Committees on Ways and Means and Judiciary,

________________________________ KARL RHOADS, Chair

________________________________ DONOVAN M. DELA CRUZ, Chair