STAND. COM. REP. NO. 2461

Honolulu, Hawaii

RE: S.B. No. 2727

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Agriculture and Environment, to which was referred S.B. No. 2727 entitled:

"A BILL FOR AN ACT RELATING TO DEPOSIT BEVERAGE CONTAINERS,"

begs leave to report as follows:

The purpose and intent of this measure is to exempt a beverage dealer who is located in a high-density population area from operating a redemption center if the dealer is located within one mile, rather than two miles, of a certified redemption center operated independently of the dealer.

Your Committee received testimony in support of this measure from the Department of Health and Department of Environmental Services of the City and County of Honolulu. Your Committee received testimony in opposition to this measure from the Hawaii Food Industry Association and one individual.

Your Committee finds that under the deposit beverage container program, dealers are required to operate a redemption center unless the dealer is located in a high-density population and within two miles of a certified redemption center that is operated independently of a dealer. This has resulted in a significant number of dealers being exempt from operating redemption centers. This measure limits the exemption to one mile, rather than two miles of a certified redemption center that is operated independently of a dealer to require more dealers to operate redemption centers thereby providing more recycling opportunities to Hawaii consumers.

Your Committee notes the testimony of the Department of Health and agrees that the effective date of this measure should be extended by three years, to July 1, 2023, to allow the Department of Health to convene an advisory committee per section 342G-122, Hawaii Revised Statutes, and revise section 11-282-31, Hawaii Administrative Rules, to update the dealer exemptions to operate redemption centers.

Your Committee has amended this measure by inserting an effective date of July 1, 2023.

As affirmed by the record of votes of the members of your Committee on Agriculture and Environment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2727, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2727, S.D. 1, and be referred to your Committee on Commerce, Consumer Protection, and Health.

Respectfully submitted on behalf of the members of the Committee on Agriculture and Environment,

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MIKE GABBARD, Chair