STAND. COM. REP. NO. 639

Honolulu, Hawaii

, 2023

RE: H.B. No. 1375

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Water & Land, to which was referred H.B. No. 1375, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO TOURISM,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Establish the powers, duties, and responsibilities of the Destination Management Agency, including its Director and Commission;

(2) Establish the Tourism Special Fund and County Assistance Special Fund, to receive allocations from transient accommodations tax revenue; and

(3) Repeal the Hawaii Tourism Authority.

Your Committee received testimony in support of this measure from the Friends of Kuilima, Rainbow Inn, and sixteen individuals. Your Committee received testimony in opposition to this measure from the Civil Beat Law Center for the Public Interest and one individual. Your Committee received comments on this measure from the Department of Business, Economic Development, and Tourism; Department of Taxation; Hawai‘i Tourism Authority; Office of Information Practices; Kohala Coast Resort Association; Tax Foundation of Hawaii; Maui Hotel & Lodging Association; and one individual.

Your Committee finds that the success of the Hawaii Tourism Authority has brought a surplus of visitors to the State. While this has stimulated economic growth, your Committee finds that residents' concerns regarding the impacts of over tourism on the State's infrastructure and natural resources continue to grow. Your Committee emphasizes the importance of veering away from marketing the State as a tourist destination and moving toward a policy of balanced destination management to address the concerns of residents while also providing visitors an opportunity to enjoy the State's natural resources and culture.

Your Committee has amended this measure by:

(1) Providing that, for purposes of holding executive meetings, information relating to marketing plans and strategies may be disclosed after the execution of the marketing plans and strategies; and

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

As affirmed by the record of votes of the members of your Committee on Water & Land that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1375, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as H.B. No. 1375, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Water & Land,

____________________________

LINDA ICHIYAMA, Chair