STAND. COM. REP. NO. 1468

Honolulu, Hawaii

RE: S.C.R. No. 73

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Transportation and Culture and the Arts, to which was referred S.C.R. No. 73 entitled:

"SENATE CONCURRENT RESOLUTION REQUESTING THE DEPARTMENT OF TRANSPORTATION TO CONDUCT AN ASSESSMENT REPORT TO EVALUATE THE FEASIBILITY AND PRACTICALITY OF IMPLEMENTING HIGHER LEVELS OF COMMERCIAL GENERAL LIABILITY INSURANCE FOR THE GENERAL AVIATION INDUSTRY AND HELICOPTER OPERATIONS AT AIRPORTS IN THE STATE,"

begs leave to report as follows:

The purpose and intent of this measure is to request the Department of Transportation to conduct an assessment report to evaluate the feasibility and practicality of implementing higher levels of commercial general liability insurance for the general aviation industry and helicopter operations at airports in the State.

Your Committee received testimony in support of this measure from Blue Hawaiian, Air Methods, Aeroplex Group Partners, and one individual.

Your Committee finds that the general aviation industry and operation of helicopters in a safe manner is of paramount importance. Higher levels of required commercial general liability insurance may be associated with increased private sector incentives to adopt national or worldwide best practices. The Airports Council International – North America conducted a study on the adequacy of insurance coverage requirements beginning in 2006. The study found that general liability limits across the country identified ranges of $1,000,000 at San Francisco International Airport to a maximum value of $300,000,000 at John F. Kennedy International Airport. This measure provides an opportunity for the Department of Transportation to collect valuable data to ensure the general aviation industry, particularly helicopters, hold sufficient levels of general liability insurance for the safety of operators and passengers.

As affirmed by the record of votes of the members of your Committee on Transportation and Culture and the Arts that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 73 and recommends its adoption.

Respectfully submitted on behalf of the members of the Committee on Transportation and Culture and the Arts,

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CHRIS LEE, Chair