STAND. COM. REP. NO. 3333

Honolulu, Hawaii

RE: S.B. No. 2783

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 2783 entitled:

"A BILL FOR AN ACT RELATING TO REGISTRATION FEES,"

begs leave to report as follows:

The purpose and intent of this measure is to reduce the annual vehicle registration fee by fifty percent for certain qualifying veterans who have been determined to have a service-connected fifty percent or greater disability rating for compensation or a service-connected disability rating of fifty percent or greater.

Your Committee received written comments in support of this measure from the Department of Transportation and three individuals.

Your Committee received written comments on this measure from the Tax Foundation of Hawaii.

Your Committee finds that existing law exempts certain qualifying disabled veterans from paying annual vehicle registration fees, but only if they have been determined to be one hundred percent disabled. Your Committee finds that it is appropriate for the State to also reduce the burden of the registration fee by fifty percent for certain qualifying veterans who have been determined to be at least fifty percent disabled.

Your Committee has amended this measure by:

(1) Inserting language to clarify that the reduced annual vehicle registration fee applies to qualifying veterans who are at least fifty percent disabled but less than one hundred percent disabled; and

(2) Changing the effective date to July 1, 2050, to facilitate further discussion on the measure.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2783, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2783, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair