STAND. COM. REP. NO.1799
Honolulu, Hawaii
, 2001
RE: H.B. No. 1345
H.D. 1
Honorable Robert Bunda
President of the Senate
Twenty-First State Legislature
Regular Session of 2001
State of Hawaii
Sir:
Your Committee on Ways and Means, to which was referred H.B. No. 1345, H.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO ENERGY CONTENT OF FUELS,"
begs leave to report as follows:
The purpose of this measure is to encourage the use of alternative (non-fossil) transportation fuels.
In particular, this bill:
(1) Lowers the fuel tax on alternative fuels by calculating the tax on the basis of the energy content of the alternative fuel as compared to diesel fuel; and
(2) Authorizes the county fuel tax to be proportional to the energy contents of the fuel, as determined by calculating one-half of their lower heating value.
Your Committee finds that adjusting the fuel tax to reflect the energy content of alternative fuels and reducing the fuel tax rate of alternative fuels will act as an incentive for suppliers to consider installing refueling stations and selling alternative fuels in Hawaii. Your Committee further finds that since the quantity of alternative fuel sold in the State is very small, and is projected to increase slowly, this bill will result in a relatively low revenue impact for at least the next two years.
As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1345, H.D. 1, and recommends that it pass Third Reading.
Respectfully submitted on behalf of the members of the Committee on Ways and Means,
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____________________________ BRIAN T. TANIGUCHI, Chair |
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