STAND. COM. REP. NO. 832

Honolulu, Hawaii

RE: S.B. No. 1500

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 1500, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ELECTRIC UTILITIES,"

begs leave to report as follows:

The purpose and intent of this measure is to authorize the Public Utilities Commission to appoint a receiver to take temporary action if the Commission finds it necessary to ensure continued adequate electric services from investor-owned electric utilities.

Your Committee received written comments in support of this measure from the Department of Commerce and Consumer Affairs, Division of Consumer Advocacy; and International Brotherhood of Electrical Workers Local Union 1260.

Your Committee received written comments on this measure from the Public Utilities Commission and Hawaiian Electric.

Your Committee finds that the Public Utilities Commission already has the authority to appoint a receiver to take temporary actions on behalf of a regulated water or sewer utility when the continuity or quality of the utility's operations are jeopardized. Your Committee believes that this measure will ensure that the Commission can take similar proactive measures on behalf of customers if an investor-owned electric utility fails to provide adequate service or creates a serious and imminent threat to customer safety.

Your Committee has amended this measure by adopting amendments recommended by the International Brotherhood of Electrical Workers, Local Union 1260, to:

(1) Require an appointed receiver to recognize and maintain the terms and conditions of any existing collective bargaining agreement; and

(2) Prohibit the receiver from inducing or causing a reduction in force, or terminating a covered employee, other than for a cause consistent with any collective bargaining agreement.

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 S.B. No. 1500, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1500, S.D. 2.

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

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DONOVAN M. DELA CRUZ, Chair