Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Third Special Session of 2001

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 3 entitled:

begs leave to report as follows:

The purpose of this bill is to create a temporary program that provides up to 13 additional weeks of unemployment insurance benefits to persons who became unemployed on or after September 11, 2001.

Your Committee received testimony in support of this bill from the Hawaii State AFL-CIO, Hawaii Business Roundtable, Maui Hotel Association, Hawaii Nurses' Association, Visitor Industry Coalition, Hawaii State Teachers Association, the Chamber of Commerce of Hawaii, and National Alliance for the Mentally Ill. The Department of Labor and Industrial Relations commented on this bill.

The events of September 11th not only had an impact on a national level but also affected the people of Hawaii, both directly and indirectly. As a result of these terrible acts, there has been a downturn in the national economy, as well as a dramatic decline in both the number of scheduled flights and the number of tourists coming to Hawaii. This has had a tremendous effect on Hawaii's families, as both tourism and non-tourism related industries have faltered, forcing many of Hawaii's people to file for unemployment.

Assisting Hawaii's families affected by this tragedy is one reason the Governor has convened a special session. The sense of ohana is an aspect of Hawaii that makes it such a special place. Hawaii's families have always been known for their generosity towards others but many of them will not be able to support themselves during this economic downturn. Your Committee feels that it is imperative that programs be implemented to support our ohana in getting through these difficult times.

This measure will provide immediate and needed support to families with wage earners displaced from their jobs by the slowdown in tourism, whose attempts to seek suitable work are frustrated by the depressed economy.

However, your Committee would like it noted that should this measure cause a conflict between state and federal law which results in the loss of federal aid or assistance for Hawaii's unemployed, federal law shall supercede state law.

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. 3 and recommends that it pass Second Reading and be placed on the calendar for Third Reading.