STAND. COM. REP. NO.  1700

Honolulu, Hawaii

                , 2009

RE:   S.B. No. 1202

      S.D. 2

      H.D. 2

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No. 1202, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO TRANSPORTATION ENERGY INITIATIVES,"

begs leave to report as follows:

     The purpose of this bill is to help reduce Hawaii's dependence on imported fossil fuels by taking the initial steps necessary to develop an electric vehicle infrastructure by, among other things:

     (1)  Including the research and development of nonfossil fuel and energy efficient modes of transportation as one of the State's economic growth objectives;

     (2)  Requiring the designation of parking spaces for electric vehicles in public, private, and government parking lots;

     (3)  Requiring state and county agencies to seek vehicles with reduced dependence on petroleum-based fuels, in accordance with a priority list, when purchasing new vehicles;

     (4)  Providing a penalty for parking a non-electric vehicle in a stall reserved for electric vehicles; and

     (5)  Establishing the Transportation Energy Transformation Grant Fund.

     The Hawaiian Electric Company, Inc.; Maui Electric Company, Ltd.; Hawaii Electric Light Company, Inc.; Enterprise Honolulu – Oahu Economic Development Board; Better Place Hawaii; and International Brotherhood of Electrical Workers – Local Union No. 1186 supported this bill.  The Department of Budget and Finance opposed this measure.  The Department of Transportation; Department of Business, Economic Development, and Tourism; Public Utilities Commission; Blue Planet Foundation; and Hawaii Automobile Dealers Association provided comments.

     Your Committee has amended this bill by:

     (1)  Removing the appropriation amounts;

     (2)  Changing the effective date to July 1, 2020, to encourage further discussion; and

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

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1202, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1202, S.D. 2, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

MARCUS R. OSHIRO, Chair