Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committees on Transportation, Military Affairs, and Government Operations and Commerce, Consumer Protection and Housing, to which was referred S.C.R. No. 149 entitled:

beg leave to report as follows:

The purpose of this measure is to express legislative support for Hawaii Superferry, Inc. to establish an inter-island fast ferry service.

This measure also requests the Department of Transportation (DOT) to assist in the expeditious planning and implementation of the ferry service, and requests the Public Utilities Commission (PUC) to expeditiously process the required certification of Hawaii Superferry, Inc.

Testimony in support of this measure was received from the DOT, Department of Business, Economic Development, and Tourism, Oahu Civil Defense Agency, Carrier Corporation of Hawaii, Hawaii Superferry, Hawaii Business and Entrepreneur Acceleration Mentors, Kauai Economic Development Board, Pineapple Growers Association of Hawaii, and nine individuals. Comments were received from the Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs.

The interisland ferry system proposed in this measure provides an alternative transportation choice for travel between the islands. The superferry could become a viable substitute for an interstate highway system linking the islands.

According to testimony of Hawaii Superferry, the ferry vessels have been designed specifically to handle rough interisland channels to ensure a comfortable ride for passengers. The ships are large (longer than a football field), use unique semi-SWATH-type hulls, and employ the world's most advanced computer-controlled ride systems. The vessels will use the cleanest and most energy-efficient marine engines in the world, which exceed the strict new 2007 Environmental Protection Administration emissions requirements. These vessels are also "zero discharge."

Hawaii Superferry will provide a low-cost, fast, convenient, and comfortable alternative for interisland travel for passengers and for cargo. Passengers will be able to transport their own vehicles, and business will be able to transport goods and services to customers on other islands. These goods include a wide variety of locally produced vegetables, fruits, flowers, milk, and other products. In turn, more jobs will be created as the economy is stimulated.

As affirmed by the records of votes of the members of your Committees on Transportation, Military Affairs, and Government Operations and Commerce, Consumer Protection and Housing that are attached to this report, your Committees concur with the intent and purpose of S.C.R. No. 149 and recommend its adoption.