Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committees on Transportation and Government Operations and Intergovernmental Affairs, to which was referred S.B. No. 963 entitled:

beg leave to report as follows:

The purpose of this measure is to create a county highways task force within the Department of Transportation (DOT) to oversee the transfer of all state highway functions to the counties.

Your Committees received testimony in support of this measure from the Honolulu Department of Transportation Services. Testimony in opposition was received from the DOT.

This measure would make each county responsible for the highways that are located in that county, and to transfer funding for state highways to the counties. The intent of your Committees is for the task force to determine the feasibility of a transfer and the elements of implementation. Your Committees do not intend that federal highway funding be placed at risk, and request the task force to address this issue as well.

Your Committees have amended this measure by requiring the task force to conduct a comprehensive review of the functions of the state division of highways and the transportation functions of the counties to determine the pros and cons of consolidation, with recommendations relating to the feasibility of a transfer.

As affirmed by the records of votes of the members of your Committees on Transportation and Government Operations and Intergovernmental Affairs that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 963, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 963, S.D. 1, and be referred to the Committee on Ways and Means.