STAND. COM. REP. NO. 1218

Honolulu, Hawaii

, 2023

RE: H.B. No. 1375

H.D. 3

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 1375, H.D. 2, 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 one individual. Your Committee received testimony in opposition to this measure from one individual. Your Committee received comments on this measure from the Department of Taxation; Department of Business, Economic Development, and Tourism; Office of Information Practices; Hawai‘i Tourism Authority; Kohala Coast Resort Association; Tax Foundation of Hawaii; Maui Hotel & Lodging Association; Hawai‘i Lodging & Tourism Association; and Maui Vacation Rental Association.

Your Committee has amended this measure by:

(1) Changing the transient accommodations tax revenues allocation to the Tourism Special Fund and all deposits from the Tourism Special Fund to unspecified amounts; 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 Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1375, H.D. 2, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1375, H.D. 3.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

KYLE T. YAMASHITA, Chair