Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committee on Transportation, Military Affairs and Government Operations, to which was referred S.B. No. 2334 entitled:

begs leave to report as follows:

The purpose of this measure is to increase statutorily authorized fees charged by towing companies for storage from $15 to $25 a day for the first seven days and from $10 to $20 a day for each day thereafter.

Your Committee received testimony in support of the measure from the Hawaii State Towing Association and the owner of two towing companies. Your Committee received testimony in opposition to the measure from the Hawaii Insurers Council and Office of Consumer Protection.

Your Committee finds that the increase proposed in this measure are in line with storage fees charged by auto body and repair shops. Your Committee believes that towing companies are entitled to a reasonable return on their investment. Towing companies are needed to clear the roadway of accidents and remove errantly parked vehicles for the benefit of the motoring public. This increase is necessary to allow them to keep in step with the ever-increasing costs to allow them to perform their duties in a professional manner.

Your Committee has amended the measure by:

As affirmed by the record of votes of the members of your Committee on Transportation, Military Affairs and Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2334, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2334, S.D. 1, and be referred to the Committee on Commerce, Consumer Protection and Housing.