STAND. COM. REP. NO.  153-10

Honolulu, Hawaii

                , 2010

RE:   H.B. No. 2125

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Sir:

     Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 2125 entitled:

"A BILL FOR AN ACT RELATING TO ENVIRONMENTAL PROTECTION,"

begs leave to report as follows:

     The purpose of this measure is to reduce the amount of plastic waste entering the State's landfills and ocean waters by encouraging the use of reusable checkout bags in retail transactions.  Specifically, beginning January 1, 2011, this measure:

(1)  Requires businesses in the State to charge and collect an offset fee of 20 cents for each plastic disposable checkout bag that is distributed to customers, subject to exceptions;

(2)  Requires businesses to remit offset fees collected to the Department of Health each month; and

(3)  Provides for the deposit of offset fees into the general fund.

     Testimony in support of this measure was received from the University of Hawaii Environmental Center, Hawaii Chapter of the Sierra Club, Conservation Council for Hawaii, Hawaii Audubon Society, Surfrider Foundation, and a number of concerned individuals.  Testimony in opposition to this measure was received from the Department of Health, American Chemistry Council, Hawaii Restaurant Association, Retail Merchants of Hawaii, and two concerned individuals.  Comments were received from the Hawaii Food Industry Association.

     Your Committee finds that non-recyclable plastic waste poses a significant threat to Hawaii's natural environment and marine life.  Non-recyclable plastic waste also contributes to the rapid overfilling of the State's landfills.  Disposable checkout bags are a significant portion of the non-recyclable plastic waste that ends up as landfill waste or litter on Hawaii's land or in the ocean.  Your Committee finds that a fee on the distribution of disposable checkout bags would discourage their use, while also encouraging greater use of reusable, environmentally-friendly alternatives.

     Your Committee has amended this measure by:

     (1)  Adding a purpose clause to clarify the intent of this measure;

     (2)  Including paper bags in the definition of "disposable checkout bag";

     (3)  Decreasing the amount of the offset fee to 10 cents per disposable checkout bag; and

     (4)  Allowing businesses that offer their customers a credit for providing their own checkout bags to retain an unspecified percentage of the offset fees collected by the business.

     As affirmed by the record of votes of the members of your Committee on Energy & Environmental Protection that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2125, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2125, H.D. 1, and be referred to the Committee on Economic Revitalization, Business, & Military Affairs.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

HERMINA MORITA, Chair