STAND. COM. REP. NO. 1554

Honolulu, Hawaii

RE: H.B. No. 149

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 149, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO GIFT CERTIFICATES,"

begs leave to report as follows:

The purpose and intent of this measure is to clarify that cards issued by a county for the purposes of paying transit fares, county fees, and other uses as authorized by an applicable county ordinance are not subject to the State's unfair and deceptive practices statutes related to gift certificates.

Your Committee received written comments in support of this measure from the Department of Transportation Services of the City and County of Honolulu and one individual.

Your Committee finds that many large cities, including the City and County of Honolulu, have adopted the use of smart cards to pay for public transit fares. Your Committee also finds that these smart cards may be used in the future to pay for on-street parking, permits, and registration fees. Your Committee believes that clarifying that these types of cards are exempt from the State's unfair and deceptive practices laws relating to gift certificates will support the counties' adoption and administration of smart card programs.

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 H.B. No. 149, H.D. 1, S.D. 1, and recommends that it pass Third Reading.

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

________________________________

DONOVAN M. DELA CRUZ, Chair