STAND. COM. REP. NO.  1464-16

Honolulu, Hawaii

                , 2016

RE:   S.B. No. 3072

      S.D. 2

      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 Finance, to which was referred S.B. No. 3072, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AN AIRPORT AUTHORITY,"

begs leave to report as follows:

The purpose of this measure is to increase the efficient operation, management, and oversight of Hawaii's air transportation system by, among other things:

     (1)  Requiring the Governor to establish the Hawaii Airport Authority (Authority), which will be administratively attached to the Department of Transportation, pursuant to and on a date specified by Executive Order and after notification to the Legislature;

     (2)  Establishing a board of directors of the Authority and setting out procedures for the appointment of board members;

     (3)  Establishing the position of Administrator of the Authority, appointment requirements, and powers and duties;

     (4)  Establishing the powers of the Authority;

     (5)  Transferring the aeronautics functions of the Department of Transportation to the Authority upon execution of the Governor's Executive Order and providing for the transfer of all employees, appropriations, records, equipment, supplies, contracts, books, papers, documents, maps, machines, and other personal property of the Department of Transportation relating to the functions transferred to the Authority; and

     (6)  Requiring the Department of Transportation to conduct a feasibility study on implementing the Authority.

     This measure also appropriates an unspecified amount for the construction of a radar facility and a 100 foot by 150 foot concrete pad for installation of a radar unit at Kalaeloa Airport.

The Department of Transportation, Airlines Committee of Hawaii, Airport Concessionaires Committee, Hawaiian Airlines, Enterprise Holdings, LLC, Chamber of Commerce Hawaii, Maui Hotel and Lodging Association, Hawaii Lodging and Tourism Association, and a few concerned individuals testified in support of this measure.  Several concerned individuals testified in opposition to this measure.  The Department of Budget and Finance, Office of Hawaiian Affairs, and Department of Defense provided comments 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. 3072, S.D. 2, H.D. 1, and recommends that it pass Third Reading.

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

____________________________

SYLVIA LUKE, Chair