STAND. COM. REP. NO. 1090

Honolulu, Hawaii

RE:    H.B. No. 1061

       H.D. 1

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committees on Commerce and Consumer Protection and Transportation, International and Intergovernmental Affairs, to which was referred H.B. No. 1061, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PUBLIC UTILITIES,"

beg leave to report as follows:

     The purpose of this measure is to guarantee the continued operation of water and sewer services by allowing the Public Utilities Commission to take necessary action and appoint a receiver when a regulated public utility fails to provide adequate and reasonable service.

     Your Committees received testimony in support of this measure from the Department of Commerce and Consumer Affairs and the Public Utilities Commission.  Written testimony presented to the Committees may be reviewed on the Legislature's website.

     Your Committees find that the reliable provision of basic services such as water and sewer services is essential for the health, safety, and welfare of Hawaii's residents.  Your Committees further find that the current law does not contain express authority for the Public Utilities Commission to act on behalf of a regulated water or sewer utility's customers if a utility experiences an urgent, serious, and imminent threat to its ability to provide adequate services.  Your Committees find that this measure will allow the Public Utilities Commission to appoint a receiver to operate a failed or failing regulated water or sewer utility in the event that it ceases to operate, or operates on a substandard or unacceptable level.

     Your Committees have amended this measure by making technical, nonsubstantive changes for the purpose of clarity and accuracy in its language.

     As affirmed by the records of votes of the members of your Committees on Commerce and Consumer Protection and Transportation, International and Intergovernmental Affairs that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1061, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 1061, H.D. 1, S.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committees on Commerce and Consumer Protection and Transportation, International and Intergovernmental Affairs,

____________________________ J. KALANI ENGLISH, Chair

____________________________ ROSALYN H. BAKER, Chair