STAND. COM. REP. NO.  1189

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 193

      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 Consumer Protection & Commerce, to which was referred S.B. No. 193, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ENHANCED 911 SURCHARGES,"

begs leave to report as follows:

The purpose of this measure is to assist the 911 system by:

     (1)  Establishing an unspecified prepaid wireless E911 surcharge per retail transaction of prepaid wireless telecommunications service at the point of sale;

     (2)  Allowing sellers to deduct and retain three per cent of the surcharge that is collected; and

     (3)  Requiring that the amounts collected by the Enhanced 911 Board be placed in the Enhanced 911 Fund.

The Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs, Enhanced 911 Board, Honolulu Police Department, and Verizon supported this measure.  CTIA-The Wireless Association supported this measure with amendments.  The Hawaii Food Industry Association opposed this measure.  The Tax Foundation of Hawaii commented on this measure.

     Your Committee has amended this measure by changing the effective date to July 1, 2112, to encourage further discussion.

     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 193, S.D. 2, H.D. 1, as amended herein, and recommends that it be referred to the Committee on Finance in the form attached hereto as S.B. No. 193, S.D. 2, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

ANGUS L.K. McKELVEY, Chair