STAND. COM. REP. NO. 2441

Honolulu, Hawaii

RE: S.B. No. 3111

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committees on Transportation and Energy, Economic Development, and Tourism, to which was referred S.B. No. 3111 entitled:

"A BILL FOR AN ACT RELATING TO ELECTRIC VEHICLES,"

beg leave to report as follows:

The purpose and intent of this measure is to clarify vehicle registration laws by defining the term "alternative fuel vehicle".

Your Committees received testimony in support of this measure from the Department of Transportation and Hawaii Auto Dealers Association. Your Committees received comments on this measure from the Hawaii Climate Change Mitigation and Adaptation Commission.

Your Committees find that section 249-31, Hawaii Revised Statutes, requires an annual vehicle registration fee for alternative fuel vehicles as a substitute for paying road taxes, which are part of purchasing gasoline in the State. Flex fuel vehicles, which use renewable fuel such as E85, a blend of 85 percent ethanol and 15 percent gasoline, are considered alternative fuel vehicles. However, because E85 is not yet available in Hawaii, owners of flex fuel vehicles must use only gasoline, subjecting them to double taxation. This measure clarifies that only vehicles that do not use petroleum-based gasoline are alternative fuel vehicles.

Your Committees have amended this measure by adding a definition of "alternative fuel vehicle", limiting them to vehicles that do not use petroleum-based gasoline as fuel.

As affirmed by the records of votes of the members of your Committees on Transportation and Energy, Economic Development, and Tourism that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 3111, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 3111, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Transportation and Energy, Economic Development, and Tourism,

________________________________ GLENN WAKAI, Chair

________________________________ LORRAINE R. INOUYE, Chair