STAND

 

STAND. COM. REP. NO. 101-04

Honolulu, Hawaii

, 2004

RE: H.B. No. 1940

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Water, Land Use, and Hawaiian Affairs, to which was referred H.B. No. 1940 entitled:

"A BILL FOR AN ACT RELATING TO BOATING,"

begs leave to report as follows:

The purpose of this bill is to:

(1) Place a cap of three percent of gross revenues on the small boat harbor mooring fees for commercial vessels; and

(2) Require that certain boating fees established by rule be deposited into the Boating Special Fund (Special Fund).

The Ocean Tourism Coalition, 17 individual companies that are members of the Ocean Tourism Coalition, Ka'anapali Kai, Inc., and Sailing Shipps, Ltd., testified in support of this bill. Paradise Cruise, Ltd., testified in support of this bill with amendments. The Ala Wai Marina Board and an individual testified against the measure. The Board of Land and Natural Resources and Kapalua Kai Sailing, Inc., commented on this bill.

Your Committee finds that many small boat harbors are in desperate need of funds to improve deteriorating facilities. Current fees fixed at two percent of gross revenue cannot meet the needs of these harbors. This bill will allow for a maximum 50 percent increase in these fees to three percent of gross revenue. This is a large increase but many commercial enterprises testified that repairs would be worth additional fees provided there was a limit on how high the fees can be raised. If a 50 percent increase does not provide enough funding for needed repairs, legislative oversight will be required to raise the cap.

Your Committee understands the frustration of the boating community and hopes that the additional funding provided by these increased fees and by the additional requirement that certain boating regulation fees and penalties be deposited into the Special Fund will provide DLNR with the resources it needs to improve small boat harbor facilities throughout the state.

As affirmed by the record of votes of the members of your Committee on Water, Land Use, and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1940 and recommends that it pass Second Reading and be referred to the Committee on Finance.

 

Respectfully submitted on behalf of the members of the Committee on Water, Land Use, and Hawaiian Affairs,

 

		____________________________ EZRA R. KANOHO, Chair