STAND. COM. REP. NO. 11

Honolulu, Hawaii

RE:    S.B. No. 1416

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

Sir:

     Your Committee on Transportation and International Affairs, to which was referred S.B. No. 1416 entitled:

"A BILL FOR AN ACT RELATING TO HIGHWAY SAFETY,"

begs leave to report as follows:

     The purpose and intent of this measure is to extend the period in which an owner of a new car is exempted from obtaining a certificate of inspection from two years to three years from the date of purchase.

     Your Committee received testimony in support of this measure from the State Department of Transportation, Hawaii Automobile Dealers Association, Enterprise Rent-A-Car, Alamo Rent-A-Car, and National Car Rental in Hawaii.  Testimony in opposition to this measure was received from the City and County of Honolulu.

     Your Committee finds that new cars sold within the State of Hawaii are covered under warranties lasting three years or thirty-six thousand miles.  Because Hawaii drivers do not typically exceed thirty-six thousand miles within three years of purchasing a new car, requiring drivers to obtain a certificate of inspection within two years of purchasing a new car imposes an undue burden on new car drivers and is not in the best interest of the State.

     As affirmed by the record of votes of the members of your Committee on Transportation and International Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1416 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 Transportation and International Affairs,

____________________________

J. KALANI ENGLISH, Chair