Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committees on Commerce, Consumer Protection and Housing and Judiciary, to which was referred H.B. No. 1723 entitled:

beg leave to report as follows:

The purpose of this measure is to exempt persons operating a motor vehicle within the normal scope of their employment from the security and license suspension provisions of the Motor Vehicle Safety Responsibility Act, regardless of whether the vehicle is owned by the operator's employer.

The City and County of Honolulu and Hawaii Youth Services Network testified in support of this measure.

The Motor Vehicle Safety Responsibility Act requires the provision of monetary security by the driver or owner of a motor vehicle involved in an accident that results in damages exceeding $3,000, and the license suspension of those who fail to meet this requirement. Exemptions from this requirement are provided for, among other persons, employees driving their employers' motor vehicles in the normal scope of their employment.

Your Committees find that the above exemption unfairly excludes employees driving vehicles not owned by their employers, such as in the case of a mechanic test driving a repaired vehicle. This measure corrects this inequity by repealing the qualification that the motor vehicle driven by the employee be owned by the employee's employer.

As affirmed by the records of votes of the members of your Committees on Commerce, Consumer Protection and Housing and Judiciary that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1723, and recommend that it pass Third Reading.