STAND. COM. REP. NO. 3000

Honolulu, Hawaii

RE:    H.B. No. 3197

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Madam:

     Your Committee on Transportation and International Affairs, to which was referred H.B. No. 3197 entitled:

"A BILL FOR AN ACT MAKING AN EMERGENCY APPROPRIATION TO THE DEPARTMENT OF TRANSPORTATION FOR THE STATE HIGHWAY SYSTEM,"

begs leave to report as follows:

     The purpose of this measure is to make an emergency appropriation for additional funds from the State Highway Fund to cover the rising costs needed to properly operate and maintain the state highway system for fiscal year 2007-2008.

     Testimony in support of this measure was received from the Department of Transportation, the Hawaii Transportation Association, and the General Contractors Association of Hawaii.

     Your Committee finds that during the 2007 legislative session, the Legislature increased the revenues deposited into the State Highway Fund by approximately $21,200,000 for fiscal year 2007-2008, by extending the $3 per day rental vehicle surcharge tax and increasing the fuel tax on gasoline and diesel oil by $.01 per gallon.  While the Legislature increased the revenues, the authority to expend moneys was not provided, and this measure will authorize the Department of Transportation to spend the appropriations to supplement their current maintenance levels.

     Your Committee has amended this measure by making technical, nonsubstantive amendments.

     As affirmed by the record of votes of the members of your Committee on Transportation and International Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 3197, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 3197, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Transportation and International Affairs,

____________________________

J. KALANI ENGLISH, Chair