STAND. COM. REP. NO. 3219

Honolulu, Hawaii

RE: S.B. No. 2874

S.D. 2

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. 2874, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HURRICANE PREPAREDNESS,"

begs leave to report as follows:

The purpose and intent of this measure is to require the Insurance Commissioner to establish a safe home program through which to make grants for the installation of wind resistive devices on residential properties.

Additionally, this measure appropriates funds to implement the program.

Your Committee received written comments in support of this measure from the Department of Commerce and Consumer Affairs, Hawaii Emergency Management Agency, Hawaii Insurers Council, and one individual.

Your Committee finds that this measure will encourage property owners to make their homes more wind-resistant and less likely to suffer damages from hurricanes and high winds. Consequently, fewer instances of property damage will result in a lower number of insurance claims, which will reduce, over time, the costs of homeowners' insurance premiums for all Hawaii residents.

Your Committee has amended this measure by:

(1) Changing the appropriations to unspecified amounts;

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

(3) Making technical nonsubstantive changes for purposes of clarity, consistency, and style.

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. 2874, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2874, S.D. 2.

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

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DONOVAN M. DELA CRUZ, Chair