Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 1427, S.D. 1, H.D. 2, entitled:

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

The purpose of this measure is to encourage the use of energy-efficient vehicles and save state funds by requiring state agencies to procure increasing percentages of alternative fuel vehicles. This measure also allows agencies to offset the purchase percentage requirements for alternative fuel vehicles by successfully demonstrating percentage improvements in overall light duty vehicle fleet mileage economy.

Your Committee has taken into consideration concerns raised by the Comptroller that this measure will result in increased procurement costs for state agency vehicles. Your Committee finds that implementation of this program will result in a net savings to the State in the long run through reduced gas consumption, while demonstrating the State's commitment to reducing greenhouse gas emissions. Your Committee encourages the Department of Accounting and General Services to anticipate the procurement of highly energy-efficient vehicles pursuant to this measure in preparing its biennium budget.

Your Committee has amended this bill by changing the effective date to upon approval.

As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 1427, S.D. 1, H.D. 2, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 1427, S.D. 1, H.D. 2, C.D. 1.