STAND. COM. REP. NO. 304-22

Honolulu, Hawaii

, 2022

RE: H.B. No. 1452

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Transportation, to which was referred H.B. No. 1452 entitled:

"A BILL FOR AN ACT RELATING TO MOTOR VEHICLE REGISTRATION,"

begs leave to report as follows:

The purpose of this measure is to repeal the limitation on the amount that a county may increase the fee for certificates of registration for motor vehicles other than U-drive motor vehicles.

Your Committee received testimony in support of this measure from one member of the Kaua‘i County Council. Your Committee received testimony in opposition to this measure from Enterprise Holdings. Your Committee received comments on this measure from the Tax Foundation of Hawaii and Avis Budget Group.

Your Committee finds that traffic congestion is a serious problem that negatively affects the quality of life for residents and visitors in Hawaii. As traffic congestion continues to increase, people are forced to spend more time sitting in vehicles. Adjustments to the registration fee for U-drive motor vehicles will create parity between U-drive vehicles and all other motor vehicles and provide additional resources to the counties to improve traffic conditions.

Your Committee has amended this measure by:

(1) Subjecting U-drive motor vehicles to the same motor vehicle registration fees as other motor vehicles;

(2) Restoring language that establishes a limit on the amount that a county may increase the fee for certificates of registration for motor vehicles other than U-drive motor vehicles and designating an unspecified amount for the limit;

(3) Changing the effective date to July 1, 2050, to encourage further discussion; and

(4) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Transportation that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1452, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1452, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

HENRY J.C. AQUINO, Chair