STAND. COM. REP. NO. 2354

Honolulu, Hawaii

RE:    S.B. No. 2901

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committees on Water, Land, and Agriculture and Commerce, Consumer Protection, and Health, to which was referred S.B. No. 2901 entitled:

"A BILL FOR AN ACT RELATING TO COMMERCIAL ACTIVITY FOR OCEAN RECREATION AND COASTAL AREAS,"

beg leave to report as follows:

     The purpose and intent of this measure is to amend the definition of "commercial activity" within section 200-4(a), Hawaii Revised Statutes, as it relates to the Chairperson of the Board of Land and Natural Resources' authority to adopt rules necessary to regulate commercial activities in state waters.

     Your Committees received testimony in support of this measure from the Department of Land and Natural Resources.  Your Committees received testimony in opposition to this measure from Ocean Tourism Coalition, Hawaiian Style Beach Activities, Fair Wind Cruises, and eleven individuals.  Your Committees received comments on this measure from two individuals.

     Your Committees find that the current definition of "commercial activity" within section 200-4(a), Hawaii Revised Statutes, has been found to be too broad and vague by enforcement officials for the purposes of identifying and regulating the activity.  Your Committees further find that it is necessary to clarify that commercial activity in the context of this measure applies only to vessels engaged in commercial activity.

     Your Committees have amended this measure by:

     (1)  Amending the term "commercial activity" to be limited to activity from the gross revenues derived from the use of the vessel; and

     (2)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the records of votes of the members of your Committees on Water, Land, and Agriculture and Commerce, Consumer Protection, and Health that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2901, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2901, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Water, Land, and Agriculture and Commerce, Consumer Protection, and Health,

________________________________ ROSALYN H. BAKER, Chair

________________________________ MIKE GABBARD, Chair