STAND. COM. REP. NO.  644

Honolulu, Hawaii

                , 2013

RE:   H.B. No. 551

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 551, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO RENTAL MOTOR VEHICLE SURCHARGE TAX,"

begs leave to report as follows:

The purpose of this measure is to provide fair rental policies for car-sharing organizations in Hawaii by prorating the Rental Motor Vehicle Surcharge Tax down to 12.5 cents per hour regardless of the length of time the car is rented.

The Blue Planet Foundation; EAN Holdings, LLC; and Sierra Club, Hawaii Chapter supported this measure.  The Department of Transportation, Department of Taxation, and Tax Foundation of Hawaii provided comments.

     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 H.B. No. 551, H.D. 2, and recommends that it pass Third Reading.

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

____________________________

SYLVIA LUKE, Chair