STAND

STAND. COM. REP. NO. 103

Honolulu, Hawaii

, 2005

RE: H.B. No. 1290

H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Water, Land, & Ocean Resources, to which was referred H.B. No. 1290 entitled:

"A BILL FOR AN ACT RELATING TO BOATING,"

begs leave to report as follows:

The purpose of this bill is to:

(1) Require an owner of a commercial vessel moored in a state small boat harbor to pay a fee of at least three per cent of gross revenues derived from use of the vessel; and

(2) Require fees and penalties established through rules relating to harbors to be deposited into the Boating Special Fund.

The Department of Land and Natural Resources supported the intent of this bill. The Ocean Tourism Coalition, Maui-Molokai Sea Cruises, Frogman Charters, Lahaina Divers, Inc., Expeditions, Maui Dive Shop, Alii Nui Charter, Aqua Lung Pacific, Trilogy Excursions, Jack's Diving Locker, and a concerned individual opposed this bill.

Your Committee has amended this bill by:

(1) Changing the fee to be paid by owners of commercial vessels moored in a state small boat harbor to be:

(a) Based on a percentage of the gross revenues that shall be not less than two times the moorage fee assessed for a recreational vessel of the same size; or

(b) Three per cent of the gross revenues,

whichever is greater;

(2) Expanding the types of fees and penalties to be deposited into the Boating Special Fund; and

(3) Making technical, nonsubstantive amendments for clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Water, Land, & Ocean Resources that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1290, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1290, H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Water, Land, & Ocean Resources,

		____________________________ EZRA R. KANOHO, Chair