STAND. COM. REP. NO. 2567

Honolulu, Hawaii

RE: S.B. No. 2955

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection, and Health, to which was referred S.B. No. 2955, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ZERO-EMISSION VEHICLES,"

begs leave to report as follows:

The purpose and intent of this measure is to require:

(1) Rental motor vehicle lessors with more than two hundred light duty passenger vehicles, to expedite the incorporation of at least fifty percent of zero-emission vehicles into the lessor's fleet by 2030; and

(2) All rental motor vehicle lessors to report a list of the make, model, license plate number, and fuel type of each rental motor vehicle in the lessor's fleet to the Director of Commerce and Consumer Affairs.

Your Committee received testimony in support of this measure from one individual. Your Committee received testimony in opposition to this measure from the Department of Transportation and Enterprise Holdings.

Your Committee finds that rental motor vehicles, which represent the largest passenger vehicle fleets in Hawaii, are responsible for a significant amount of carbon emissions. Your Committee further finds that incorporating large numbers of zero-emission vehicles into rental motor vehicle fleets would significantly reduce carbon emissions and increase the number of zero-emission vehicles entering the secondary market, as lessors tend to sell their vehicles after twelve to eighteen months.

Your Committee has heard the concerns regarding the schedule proposed by this measure for when lessors must incorporate zero-emission vehicles as a certain percentage of their fleet. Your Committee understands these concerns but notes that it is important to maintain certain goals for zero-emissions vehicles, as the State remains committed to its goal of clean energy and sustainable transportation. However, your Committee concludes that additional discussion on this measure is warranted.

Accordingly, your Committee has amended this measure by inserting an effective date of July 1, 2050, to encourage further discussion.

As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection, and Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2955, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2955, S.D. 2.

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

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ROSALYN H. BAKER, Chair