STAND. COM. REP. NO. 1766

 

Honolulu, Hawaii

                   

 

RE:     H.B. No. 1458

        H.D. 1

        S.D. 1

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

 

Sir:

 

     Your Committee on Commerce and Consumer Protection, to which was referred H.B. No. 1458, H.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO LIQUOR LICENSES,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to increase the liquor manufacturing limits for Class 18 small craft producer pub license holders.

 

     Your Committee received testimony in support of this measure from Big Island Brewhaus, LLC; Kauai Beer Company; Maui Wine, Ltd.; Honolulu Beerworks; Craft ‘Ohana; Lanikai Brewing Company; and two individuals.  Your Committee received testimony in opposition to this measure from the Hawaii Liquor Wholesalers Association and one individual.

 

     Your Committee finds that existing law places limits on the amount of malt beverages, wine, and alcohol that a small craft producer pub licensee may produce during the license year.  The existing limits can stifle economic growth for a small craft producer, or the industry at large.  To meet current demands and promote economic growth, these production limits should be increased.  This measure accordingly allows local businesses to continue to expand economic growth and, in doing so, increase manufacturing job opportunities.

     Your Committee finds that this measure, as currently drafted, could potentially be subject to a constitutional challenge as discriminating against out-of-state manufacturers.  Accordingly, your Committee has amended this measure by deleting language that would have restricted a small craft producer pub licensee's manufacturing limit to malt beverages, wine, and alcohol manufactured in the State.

 

     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. 1458, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1458, H.D. 1, S.D. 1, and be placed on the calendar for Third Reading.

 

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

 

 

 

________________________________

JARRETT KEOHOKALOLE, Chair