STAND. COM. REP. NO.  626

Honolulu, Hawaii

                , 2017

RE:   H.B. No. 997

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Transportation, to which was referred H.B. No. 997 entitled:

"A BILL FOR AN ACT RELATING TO CONCESSIONS,"

begs leave to report as follows:

The purpose of this measure is to provide the Department of Transportation with the permanent authority, flexibility, and discretion to pursue and enter into airport concession contracts and other arrangements by negotiation.

The Airport Concessionaires Committee supported this measure.  The Department of Transportation supported the intent of this measure.

     Your Committee has amended this measure by:

     (1)  Clarifying that no concession or concession space shall be leased, let, licensed, rented out, or otherwise disposed of by any amendment thereof not already provided for in any type of arrangement; and

     (2)  Clarifying and ensuring that the Department of Transportation has the flexibility in granting concession or concession space for up to fifteen years for the initial term, and if amended, up to the remaining term plus any agreed upon extension.

     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. 997, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 997, 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