STAND. COM. REP. NO. 220-22

Honolulu, Hawaii

, 2022

RE: H.B. No. 1785

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 Labor & Tourism, to which was referred H.B. No. 1785 entitled:

"A BILL FOR AN ACT RELATING TO TOURISM GOVERNANCE,"

begs leave to report as follows:

The purpose of this measure is to require the Legislative Reference Bureau to conduct a study that identifies and analyzes alternative tourism governance systems and submit a report to the Legislature of potential tourism governance options for consideration.

Your Committee received testimony in support of this measure from the Hawai‘i Tourism Authority, Public Policy Center at the University of Hawai‘i at Mānoa, and one individual. Your Committee received testimony in opposition to this measure from the State Procurement Office. Your Committee received comments on this measure from the Department of Budget and Finance and Legislative Reference Bureau.

Your Committee finds that in recent years, the Hawaii Tourism Authority's resident sentiment survey registered a dramatic increase in the number of residents who believe that tourism brings more problems than benefits. Your Committee further finds that a proper balance must be sought between generating revenue and contributing to as few social and environmental problems as possible. This measure will provide information to enable the Legislature to consider alternatives to tourism governance to strike the appropriate balance.

Your Committee has amended this measure by:

(1) Changing the effective date to December 25, 2040, to encourage further discussion; and

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

Should your Committee on Finance decide to hear this measure, your Committee respectfully requests that it consider appropriating $500,000 for the two-year study and report.

As affirmed by the record of votes of the members of your Committee on Labor & Tourism that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1785, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1785, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor & Tourism,

____________________________

RICHARD H.K. ONISHI, Chair