STAND. COM. REP. NO. 918

Honolulu, Hawaii

RE: S.B. No. 1344

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred S.B. No. 1344, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO DEBT,"

begs leave to report as follows:

The purpose and intent of this measure is to prohibit the imposition of restrictions on a person's ability to obtain or renew a driver's license or to register, renew the registration of, or transfer or receive title to a motor vehicle, as a consequence of unpaid monetary obligations.

Your Committee received testimony in support of this measure from the O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i.

Your Committee finds that existing law allows for the imposition of restrictions on an individual's ability to obtain or renew a driver's license or motor vehicle registration as a penalty for various unpaid monetary obligations that are civil and not criminal in nature. Your Committee further finds that a Washington Post investigation revealed that Hawaii has a high percentage – nine percent – of adults who have had their licenses suspended for unpaid debt. Your Committee additionally finds that the inability to obtain or renew a driver's license prevents people who have not committed a crime from getting to work, picking up their children, keeping medical appointments, and ultimately from escaping debt.

Your Committee also finds that recently adopted guidelines by the American Bar Association on preventing fines and fees that penalize poverty recommend against driver's license suspension and the imposition of fines that result in substantial and undue hardship. Additionally, at least four states do not allow driver's licenses to be suspended or restricted for unpaid court debt. This measure will prohibit the imposition of restrictions on a person's ability to obtain a driver's license and conduct other types of business due to unpaid civil monetary obligations in Hawaii.

As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1344, S.D. 1, and recommends that it pass Third Reading.

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

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KARL RHOADS, Chair