STAND. COM. REP. NO. 1015-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 2547

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Finance, to which was referred H.B. No. 2547 entitled:

"A BILL FOR AN ACT RELATING TO CORPORATE BONDS,"

begs leave to report as follows:

The purpose of this measure is to authorize the Director of Finance to invest certain state funds in short-term investment grade corporate bonds.

Your Committee did not receive any written testimony on this measure.

Your Committee finds that investment grade corporate bonds currently have average yields of four to six percent and are considered to carry a relatively low credit risk. By providing the Director of Finance with a relatively low-risk option for investment securities, your Committee believes that this measure presents a prudent opportunity to increase investment earnings.

Your Committee would appreciate more feedback from, and the opportunity to ask questions of, the Executive Administration so that members can make well-informed decisions on this measure going forward.

Your Committee has amended this measure by changing the effective date to July 1, 3000, to encourage further discussion.

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 H.B. No. 2547, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2547, H.D. 1, and be placed on the calendar for Third Reading.

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

____________________________

CHRIS TODD, Chair