STAND. COM. REP. NO. 500

Honolulu, Hawaii

RE: S.B. No. 1298

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 Health, to which was referred S.B. No. 1298 entitled:

"A BILL FOR AN ACT RELATING TO GLASS CONTAINERS,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Increase the advance disposal fee collected on glass containers to five cents; and

(2) Remove the exemption for glass deposit beverage containers.

Your Committee received testimony in support of this measure from the Department of Health, Zero Waste Big Island, Qan LLC, and fifty-two individuals. Your Committee received testimony in opposition to this measure from the Hawaii Food Industry Association, Wine Institute, Chamber of Commerce Hawaii, Glass Packaging Institute, and Hawaii Liquor Wholesalers Association.

Your Committee finds that the Hawaii Advanced Disposal Fee (ADF) program has not changed the 1.5 cents fee imposed on glass containers in twenty-seven years. Section 342G-84, Hawaii Revised Statutes, mandates that the Department of Health allocate funds collected by the advance disposal fee to each county based on that county’s de facto population, so that the counties may operate glass recovery programs. Increasing the fee will allow the Department of Health to allocate a greater amount of funds to the less-populated neighbor islands and will provide a dramatic increase in funds vital for the continuation of the glass recycling program. With landfills reaching limited capacity throughout the State, the Legislature acknowledges the need to ensure the maintenance of glass recovery programs that divert disposed products from landfills.

Your Committee has amended this measure by:

(1) Keeping the provision that applies the glass advance disposal fee only to glass containers that are not glass deposit beverage containers;

(2) Inserting a blank amount for the disposal fee collected on glass containers; and

(3) Inserting an effective date of July 1, 2050, to encourage further discussion.

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1298, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1298, S.D. 1, and be referred to your Committee on Ways and Means.

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

________________________________

JARRETT KEOHOKALOLE, Chair