Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Transportation, Military Affairs and Government Operations and Water, Land, Energy and Environment, to which was referred H.B. No. 1281, H.D. 1, entitled:

beg leave to report as follows:

The purpose of this measure is to establish a procurement preference in state contracts for the use of biofuels that are produced from waste cooking oils, fats, and greases.

Your Committees received testimony in support of this measure from the Department of Business, Economic Development, and Tourism, the State Procurement Office, the Department of Health, and two concerned citizens.

Your Committees find that Hawaii residents rely almost exclusively on petroleum based fuels for their power generation needs, mainly for automotive gasoline. Your Committees agree that the State should be doing everything possible to encourage exploration of viable alternative fuel sources.

Your Committees understand that there is currently one facility on Maui producing bio-fuel. Your Committees find that the procurement preference provided by this measure is appropriate to encourage more companies to explore environmentally friendly fuel sources.

As affirmed by the records of votes of the members of your Committees on Transportation, Military Affairs and Government Operations and Water, Land, Energy and Environment that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1281, H.D. 1, and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.