Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection, and Housing, to which was referred S.B. No. 2018 entitled:

begs leave to report as follows:

The purpose of this measure is to require a public utility applicant applying for a certificate of public convenience and necessity (certificate) with the Public Utilities Commission to notify its consumers or patrons of the rates and charges being proposed.

Testimony in support of this measure was submitted by the Public Utilities Commission; the Division of Consumer Advocacy, Department of Commerce and Consumer Affairs; and the Kuilima Estates West Association of Apartment Owners Board of Directors. No testimony in opposition to this measure was received by your Committee.

Your Committee finds that the notification procedure proposed by this measure encourages additional public involvement and discussion of any concerns relevant to certificate applications. Your Committee further finds that it is fair and reasonable that all utility consumers and patrons should be informed of a utility provider's proposed rate changes.

Your Committee has adopted the amendment proposed by the Public Utilities Commission and supported by the Division of Consumer Advocacy. This amendment provides for notice to customers through addresses on file with the applicant or the applicant's affiliates. Your Committee also has amended this measure by making technical, nonsubstantive amendments.

As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection, and Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2018, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2018, S.D. 1, and be placed on the calendar for Third Reading.