STAND. COM. REP. NO. 2573

Honolulu, Hawaii

RE: S.B. No. 3170

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Transportation, to which was referred S.B. No. 3170 entitled:

"A BILL FOR AN ACT RELATING TO FUEL TAXES,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Allow federal pandemic relief funds received by the State to be used to supplement payment into the county highway funds; and

(2) Permit the County of Hawaii to appropriate the county's share of fuel tax revenue for the maintenance of substandard private subdivision roads that are used by the public.

Your Committee received testimony in support of this measure from one individual. Your Committee received testimony in opposition to this measure from one individual. Your Committee received comments on this measure from Department of Budget and Finance, Department of the Attorney General, and Tax Foundation of Hawaii.

Your Committee finds that to offset costs of the county fuel tax, this measure allows fair and reasonable allocation of funds from federal pandemic relief sources as determined by the Director of Finance.

Your Committee has amended this measure by inserting an effective date of January 1, 2050, to encourage further discussion.

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 S.B. No. 3170, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3170, S.D. 1, and be referred to your Committee on Ways and Means.

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

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CHRIS LEE, Chair