STAND. COM. REP. NO. 2477

Honolulu, Hawaii

RE:    S.B. No. 2809

       S.D. 2

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.B. No. 2809, S.D. 1, entitled:

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

begs leave to report as follows:

     The purpose of this measure is to appropriate funds to ensure adequate funding for the Public Utilities Commission and the Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs, including funding to fully implement the reorganization of both agencies mandated by Act 177 and Act 183, Session Laws of Hawaii 2007.

     Your Committee received comments in support of this measure from the Hawaii Energy Policy Forum and the Hawaiian Electric Company, Inc.  Written comments may be viewed on the Legislature's website.

Your Committee finds that the reorganization of the Public Utilities Commission and the division of consumer advocacy provided by Act 177 and Act 183, Session Laws of Hawaii 2007, is essential to sufficiently regulate Hawaii's public utilities and to provide effective advocacy for the State's consumers.  Moreover, your Committee recognizes that it is especially important for these agencies to have sufficient resources to effectively and efficiently oversee Hawaii's transition from over-reliance on imported fossil fuels to energy efficiency and increased use of renewable energy.

     Your Committee further finds that this measure will ensure that the Public Utilities Commission and the Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs will be provided sufficient funding to allow those agencies to perform their statutory duties and to fully enact the reorganization plans required by Acts 177 and 183.

     Upon further consideration, your Committee has amended this measure by changing the effective date to July 1, 2050, to promote further discussion.  Your Committee has also made technical nonsubstantive amendments for the purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2809, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2809, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

DONNA MERCADO KIM, Chair