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James Arakaki, Chairman May 28, 1997 Page 2 was submitted to the other counties for their review. It is recommended that the Hawaii County Council approve this slate as HSAC Officers for Fiscal Year 1997-1998 (Action Requested). Also under Unfinished Business, the proposed HSAC Budget for Fiscal Year 1997-98 was deferred pending action by the Honolulu City Council on May 28, 1997. All other counties have reported their approval of the HSAC Budget for Fiscal Year 1997-1998. Under New Business, the nomination of representatives to the National Association of Counties (NACo) Board of Directors for Fiscal Year 1997-98, to the Western Interstate Region (WIR) Board of Directors, and to NACo Steering Committees were deferred pending action by the counties. The Hawaii County Council has already taken action on these matters. Finally under New Business, President Mansho passed out a communication from the City Council's Economic Development, Planning, and Tourism Committee which requests that Governor Cayetano veto Senate Bill 37, SDI, HD2, CD1, Relating to Enterprise Zones. The communication and its attachments point out that Section 209E(4) of the Hawaii Revised Statutes clearly specifies that the counties are the governing bodies with regard to the establishment of enterprise zones, while the state serves as the approving entity. The intent of Senate Bill 37, SD1, HD2, CD1, which extends the boundaries of the Waialua Enterprise Zone, is to encourage and support county-driven economic initiatives. This intent, however, counters that principle of home rule by authorizing the state government to establish zones, as opposed to approving them as stipulated by the original law. Recognizing that this is a home rule issue, President Mansho has requested that HSAC consider taking a position of urging a veto of Senate Bill 37, SDI, HD2, CD1 (Attached, Action Requested). Under Announcements, it was reported that the final accounting of the fiscal year 1996 HSAC Mid- Year Conference resulted in a net gain of $6,102.40, which was deposited in the HSAC general checking account. Of this sum, $1,000 represents an advance from HSAC. This receipt is also reflected in the Treasurer's Report for the month of April 1997. There being no further business, the meeting was adjourned. The next HSAC Executive Committee meeting is scheduled for HSAC Year-End Conference: 8:00 a.m., June 27, 1997, Hawaii Naniloa Resort, Hilo, Hawaii. Attachments