STAND. COM. REP. NO. 3111

Honolulu, Hawaii

RE:    H.B. No. 3213

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Madam:

     Your Committee on Energy and Environment, to which was referred H.B. No. 3213 entitled:

"A BILL FOR AN ACT RELATING TO AIR POLLUTION,"

begs leave to report as follows:

     The purpose of this measure is to remove the maximum limitation on fees for air pollution emissions from covered sources.

     Testimony in support of the measure was submitted by the Sierra Club, Hawaii Chapter and the University of Hawaii Environmental Center.  Comments on the measure were also submitted by the Department of Health.

     Your Committee finds that, under the current law, covered source permit holders are required to pay fees per ton of pollution emitted annually.  The law, however, does not require covered source permit holders to pay fees for the emission of pollution in excess of four thousand tons.  This measure establishes parity for covered source permit holders that emit less than four thousand tons of pollution annually.  Your Committee determines that this change in the law will close the loophole that exists, which acts as a disincentive to reducing pollution by larger pollution sources.  This change will also increase the fees collected to allow for the continued funding of the Clean Air Branch of the Department of Health and for other programs.

     As affirmed by the record of votes of the members of your Committee on Energy and Environment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 3213, and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Energy and Environment,

____________________________

RON MENOR, Chair