STAND. COM. REP. NO. 1015

Honolulu, Hawaii

RE: S.B. No. 1348

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. 1348 entitled:

"A BILL FOR AN ACT RELATING TO THE SMALL BUSINESS REGULATORY REVIEW BOARD,"

begs leave to report as follows:

The purpose and intent of this measure is to clarify the intent of the Small Business Regulatory Review Board's powers when reviewing state and county administrative rules that impact small business.

Your Committee received testimony in support of this measure from the Department of Business, Economic Development, and Tourism; Small Business Regulatory Review Board; Chamber of Commerce Hawaii; Maui Chamber of Commerce; and Building Industry Association of Hawaii. Your Committee received testimony in opposition to this measure from one individual. Your Committee received comments on this measure from the Hawaii Farm Bureau.

Your Committee finds that the Small Business Regulatory Review Board plays an important role in protecting small businesses in Hawaii and ensuring that state agency rules that could impact small businesses are consistent with state law and county ordinances. Your Committee further finds that it is important that the Board's purview is clearly understood by the small business community, state and county agencies, Hawaii business chambers, and trade organizations. This measure will clarify the Board's powers to avoid any potential misinterpretation.

Your Committee has amended this measure by:

(1) Clarifying that the Small Business Regulatory Review Board may consider requests from small business owners to review any proposal for a new rule, proposal to amend a rule, or existing rule by a state agency; and

(2) Authorizing the Board to make recommendations to a county council or the mayor for requests regarding county ordinances or rules.

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. 1348, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1348, S.D. 1.

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

________________________________

KARL RHOADS, Chair