STAND. COM. REP. NO.  335-16

Honolulu, Hawaii

                , 2016

RE:   H.B. No. 2404

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Transportation, to which was referred H.B. No. 2404 entitled:

"A BILL FOR AN ACT MAKING AN APPROPRIATION FOR A FEDERAL INSPECTION STATION AT KONA INTERNATIONAL AIRPORT,"

begs leave to report as follows:

The purpose of this measure is to enhance international passenger experiences and meet federal safety requirements for international airports by appropriating funds for a federal inspection station at the Kona International Airport on the island of Hawaii.

The Department of Transportation, Department of Defense, Office of the Mayor of the County of Hawaii, Council Member from District 3 of the County of Hawaii, Kohala Coast Resort Association, Fairmont Orchid, Hawaiian Airlines, and Airlines Committee of Hawaii testified in support of this measure.

     Hawaii is currently experiencing an increase in visitor arrivals from international destinations.  Since 2009, there has been a fifty-nine per cent increase in the amount of international travelers arriving on our shores.  This has resulted in hundreds of millions of dollars being infused into Hawaii's economy.  However, the United States Department of Homeland Security, Customs and Border Protection, requires a federal inspection station meeting Customs and Border Protection standards to be in place for all certified Unites States airports designated as the first point of entry into the United States for international arriving visitors.  Currently, only Honolulu International Airport meets these requirements resulting in a congestion of international passengers at this facility.  Your Committee finds that establishing a federal inspection station at Kona International Airport will provide a secondary entry point for international visitors to Hawaii, help to relieve congestion at Honolulu International Airport during peak hours, and encourage further growth in Hawaii's tourism economy.

     Your Committee has amended this measure by:

     (1)  Deleting the appropriation amount of $50,000,000; and

     (2)  Changing its effective date to July 1, 2050, to facilitate further discussion.

     Should your Committee on Finance deliberate this measure further, your Committee on Transportation respectfully requests that it consider appropriating $50,000,000 for a federal inspection station at the Kona International Airport on the island of Hawaii.

     As affirmed by the record of votes of the members of your Committee on Transportation that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2404, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2404, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

HENRY J.C. AQUINO, Chair