STAND. COM. REP. NO.  1651

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 1280

      S.D. 2

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No. 1280, S.D. 2, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO TRANSPORTATION NETWORK COMPANIES,"

begs leave to report as follows:

The purpose of this measure is to preserve alternative forms of transportation services available to consumers while affording consumers the protection of law by regulating transportation network companies.  Among other things, this measure:

     (1)  Requires the Public Utilities Commission (PUC) to regulate transportation network companies and transportation network company drivers;

     (2)  Establishes motor vehicle insurance requirements for the transportation network company industry;

     (3)  Establishes minimum qualifications for transportation network company drivers; and

     (4)  Appropriates funds for the PUC to carry out the regulation of transportation network companies and their drivers.

The Hawaii Tourism Authority; Hawaii Transportation Association; Hawaii Insurers Council; Property Casualty Insurers Association of America; National Association of Mutual Insurance Companies; State Farm Mutual Automobile Insurance Company; United Services Automobile Association; Roberts Hawaii, Inc.; GEICO; Charley's Taxi; and TheCab supported this measure.  EcoCab; Uber Technologies; and numerous individuals opposed this measure.  The Public Utilities Commission; Department of the Attorney General; Business Registration Division of the Department of Commerce and Consumer Affairs; and several individuals commented on this measure.

     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 S.B. No. 1280, S.D. 2, 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