STAND. COM. REP. NO. 1264

Honolulu, Hawaii

, 2023

RE: S.B. No. 973

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Energy & Environmental Protection, to which was referred S.B. No. 973, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO TRANSPORTATION,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Beginning January 1, 2028, require rental vehicle companies using state facilities to pay or reimburse the State to construct new or use existing state electric vehicle charging infrastructure at those facilities; and

(2) Establish a task force to develop a plan to implement electric vehicle charging infrastructure to support one hundred percent electric vehicle rental car fleets in the State by 2035.

Your Committee received testimony in support of this measure from the Hawaii State Energy Office, Office of Planning and Sustainable Development, Climate Protectors Hawai‘i, Ulupono Initiative, Environmental Caucus of the Democratic Party of Hawai‘i, Kauai Climate Action Coalition, Blue Planet Foundation, and four individuals. Your Committee received testimony in opposition to this measure from two individuals. Your Committee received comments on this measure from Avis Budget Group, Enterprise Holdings, and Hawaiian Electric.

Your Committee finds that public vehicle fleets and rental motor vehicle fleets are responsible for the largest sources of vehicle pollution in the State. Your Committee further finds that transitioning rental motor vehicle fleets to zero-emission vehicles will reduce carbon emissions and increase the number of zero-emissions vehicles entering the secondary market. This measure supports the State's clean ground transportation goals and provides an opportunity for the State to achieve its goal of becoming carbon neutral by 2045.

Your Committee has amended this measure by:

(1) Changing the Chairperson of the task force from the Director of the Office of Planning and Sustainable Development or the Director's designee to the Director of Transportation or the Director's designee;

(2) Specifying that the task force representative from the rental car industry shall be appointed by the President of the Senate;

(3) Specifying that the task force representative from the hotel industry shall be appointed by the Speaker of the House of Representatives;

(4) Adding a representative from the Hawaiian Electric Company to the task force;

(5) Specifying that the task force shall submit its final report to the Legislature prior to the Regular Session of 2028;

(6) Specifying that the task force shall cease to exist on December 30, 2027;

(7) Changing the effective date to June 30, 3000, to encourage further discussion; and

(8) 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 Energy & Environmental Protection that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 973, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 973, S.D. 2, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

NICOLE E. LOWEN, Chair