Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Transportation, to which was referred H.B. No. 58 entitled:

begs leave to report as follows:

The purpose of this bill is to ease restrictions and shipping requirements for motor vehicle rental companies that periodically ship ten or more vehicles out-of-state or between the islands.

Catrala-Hawaii, ANC Rental Corporation, Dollar Rent A Car, and Avis Rent A Car System, Inc., testified in support of this measure.

Currently, when a rental car company ships a vehicle out-of-state or between islands, the rental company must produce a certificate of title before the shipping company will transport the vehicle. This requirement is time consuming for the rental car company, especially if the rental car company intends to ship multiple vehicles, since the majority of the vehicles' certificate of title is held by a parent company on the mainland.

Your Committee understands that forty-nine other states already allow for interstate shipment of vehicles owned by rental car companies with written authorization by the legal owner of the vehicle. Moreover, licensed automobile dealers who ship ten or more vehicles are exempt from the requirement of producing a certificate of title prior to shipping a vehicle. Since rental car companies regularly ship ten or more vehicles out-of-state and between the islands, your Committee finds that these companies should be similarly treated as automobile dealers.

As affirmed by the record of votes of the members of your Committee on Transportation that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 58 and recommends that it pass Second Reading and be referred to the Committee on Judiciary.