STAND. COM. REP. NO. 1526

Honolulu, Hawaii

RE: H.B. No. 264

H.D. 1

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Commerce and Consumer Protection, to which was referred H.B. No. 264, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO TRANSPORTATION NETWORK COMPANIES,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Establish requirements and permitting procedures for transportation network companies operating in the State; and

(2) Make permanent insurance requirements for transportation network companies and transportation network drivers.

Your Committee received testimony in support of this measure from the Department of Transportation; Hawaii Insurers Council; Uber Technologies, Inc.; and one individual. Your Committee received testimony in opposition to this measure from Robert's Hawaii, Inc. and Hawaii Transportation Association.

Your Committee finds that, under existing law, transportation network company driver screening and other important operating requirements are mandated only for the City and County of Honolulu, not for all islands across the State. This measure incorporates consensus language between stakeholders to enable the Department of Transportation to issue permits and conduct annual audits to increase public safety and ensure transportation network companies and their drivers are properly regulated uniformly across the State.

Your Committee has amended this measure by:

(1) Clarifying that all permit fees collected by the Director of Transportation shall be deposited into the State Highway Fund established by section 248-9. Hawaii Revised Statutes;

(2) Inserting an effective date of July 1, 2021; and

(3) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

As affirmed by the record of votes of the members of your Committee on Commerce and Consumer Protection that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 264, H.D. 1, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 264, H.D. 1, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Commerce and Consumer Protection,

________________________________

ROSALYN H. BAKER, Chair