STAND. COM. REP. NO. 242

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 50

       S.D. 1

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

 

Sir:

 

     Your Committee on Transportation and Culture and the Arts, to which was referred S.B. No. 50 entitled:

 

"A BILL FOR AN ACT RELATING TO CONSUMER PROTECTION,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to:

 

     (1)  Establish as a deceptive practice advertising, displaying, or offering a price for goods or services that does not include all mandatory fees or charges, subject to certain exceptions;

 

     (2)  Repeal the definition of "vehicle license recovery fees";

 

     (3)  Limit to vehicle license and registration fees and weight taxes the fees and taxes that a motor vehicle lessor may pass on to a lessee;

 

     (4)  Amend the prorated amount of vehicle license and registration fees and weight taxes that a motor vehicle lessor may pass on to a lessee; and

 

     (5)  Repeal the requirement that rental car companies submit annual audits to the Office of Consumer Protection of the Department of Commerce and Consumer Affairs.

 

     Your Committee received testimony in opposition to this measure from Avis Budget Group, Enterprise Mobility, and CTIA.

 

     Your Committee received comments on this measure from the Department of the Attorney General, Department of Commerce and Consumer Affairs, and Turo.

 

     Your Committee finds that deceptive trade practices are detrimental to consumers.  Your Committee further finds that while there are both state and federal regulations, more is needed to ensure that consumers are given clear, accurate, and transparent information to guide their purchasing decisions.  The goal of this measure is to protect consumers from practices that will undermine their ability to make informed commercial decisions.

 

Accordingly, your Committee has amended this measure by:

 

     (1)  Deleting Part II of the measure which would have:

 

          (A)  Repealed the definition of "vehicle license recovery fees";

 

          (B)  Limited to vehicle license and registration fees and weight taxes the fees and taxes that a motor vehicle lessor may pass on to a lessee;

 

          (C)  Amended the prorated amount of vehicle license and registration fees and weight taxes that a motor vehicle lessor may pass on to a lessee; and

 

          (D)  Repealed the requirement that rental car companies submit annual audits to the Office of Consumer Protection of the Department of Commerce and Consumer Affairs; and

 

     (2)  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 Transportation and Culture and the Arts that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 50, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 50, S.D. 1, and be referred to your Committee on Commerce and Consumer Protection.

 

Respectfully submitted on behalf of the members of the Committee on Transportation and Culture and the Arts,

 

 

 

________________________________

CHRIS LEE, Chair