Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Consumer Protection and Commerce, to which was referred S.B. No. 210, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to ensure the efficient licensing of port pilots by requiring the Director of the Department of Commerce and Consumer Affairs (DCCA) to test and license port pilots when more licensed port pilots are needed.

DCCA, Fairway Navigation Inc., Hawaii Pilots Association, and two private citizens submitted testimony in support of this bill.

DCCA's rule-based policy of licensing port pilots only when new pilots are needed, was changed last year when the Attorney General advised DCCA that the policy was not sufficiently authorized by statute. In response, DCCA adopted a new process involving open testing and licensing of deputy port pilots regardless of need. This procedure imposes unjustified costs on private industry. It fails to recognize that the port pilot training program is funded entirely by a strict tariff schedule collected from each vessel served by a port pilot. This measure will address efficiency and constitutional concerns by codifying the previous system of deputy and port pilot licensing.

As affirmed by the record of votes of the members of your Committee on Consumer Protection and Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 210, S.D. 1, and recommends that it pass Third Reading.