STAND. COM. REP. NO. 3514

Honolulu, Hawaii

RE:    H.B. No. 2042

       H.D. 2

       S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred H.B. No. 2042, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO WATER CONSERVATION,"

begs leave to report as follows:

     The purpose and intent of this measure is to promote water conservation in the State.

     Specifically, this measure:

     (1)  Establishes a rebate program to offset the cost of newly-constructed water conservation systems, to be administered by the Commission on Water Resource Management; and

     (2)  Appropriates funds for the rebate program.

     Your Committee received written comments in support of this measure from the Department of Land and Natural Resources; Hawaii Community Foundation; Hawaii Fresh Water Initiative; Hawaii Green Growth; Surfrider Foundation, Hawaii Chapters; and two individuals.

     Your Committee received comments on this measure from the Tax Foundation of Hawaii.

     Your Committee finds that, as an island state, Hawaii has limited access to natural fresh water supplies. Competition for fresh water, increasing population and development pressures, the rising awareness of environmental and cultural water needs, and the impacts of climate change require that Hawaii become as efficient as possible in its uses of limited fresh water supplies. Your Committee believes that this measure will provide an incentive for the construction or installation of water conservation systems to reduce water use or waste.

     Your Committee has amended this measure by:

     (1)  Changing the amount of the appropriation from $2,000,000 to an unspecified amount;

     (2)  Changing the annual aggregate cap amount of the rebate program to an unspecified amount;

     (3)  Changing the effective date to July 1, 2050, to facilitate further discussion on the measure; and

     (4)  Providing for the repeal of the measure on an unspecified date.

     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 H.B. No. 2042, H.D. 2, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2042, H.D. 2, S.D. 2.

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

________________________________

JILL N. TOKUDA, Chair