STAND. COM. REP. NO.  2092

Honolulu, Hawaii

                , 2007

RE:   H.R. No. 274

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Economic Development & Business Concerns, to which was referred H.R. No. 274 entitled:

"HOUSE RESOLUTION REQUESTING THE DEPARTMENT OF TRANSPORTATION, IN COLLABORATION WITH THE DEPARTMENT OF BUSINESS, ECONOMIC DEVELOPMENT, AND TOURISM, TO CONDUCT A STUDY TO EVALUATE PLANS BY YOUNG BROTHERS, LTD., TO DISCONTINUE ITS LESS-THAN-CONTAINER-LOAD INTERISLAND CARGO SERVICE,"

begs leave to report as follows:

The purpose of this resolution is to protect customers who depend on interisland cargo service by requesting the Departments of Transportation (DOT) and Business, Economic Development, and Tourism (DBEDT) to study the reasons for, and potential impact of the proposed discontinuation of less-than-container-load interisland cargo service by Young Brothers, Ltd., and recommend solutions and alternatives to the Legislature.

     DOT, the Agribusiness Development Corporation, and the Hawaii Business League supported this resolution.  DBEDT, Young Brothers, Limited, the Maui County Farm Bureau, and the Hawaii Farm Bureau Federation supported the intent of this measure and requested amendments.  The Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs commented on this resolution.

     Interisland cargo service is the lifeline that sustains many of our Neighbor Island agribusinesses.  The proposed study will help sort out the various factors contributing to the current situation and provide a more comprehensive basis upon which to develop a long-term solution.

     Your Committee has amended this resolution by:

     (1)  Requesting that there be an earnest effort to identify other transportation options to fill the potential loss of less-than-container-load cargo service; and

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

     As affirmed by the record of votes of the members of your Committee on Economic Development & Business Concerns that is attached to this report, your Committee concurs with the intent and purpose of H.R. No. 274, as amended herein, and recommends its adoption in the form attached hereto as H.R. No. 274, H.D. 1.

Respectfully submitted on behalf of the members of the Committee on Economic Development & Business Concerns,

____________________________

KYLE T. YAMASHITA, Chair