STAND. COM. REP. NO. 217

Honolulu, Hawaii

, 2023

RE: H.B. No. 647

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 Consumer Protection & Commerce, to which was referred H.B. No. 647 entitled:

"A BILL FOR AN ACT RELATING TO ALCOHOL,"

begs leave to report as follows:

The purpose of this measure is to update the definition of "beer" for purposes of the laws regulating intoxicating liquor and the liquor tax law.

Your Committee received testimony in support of this measure from Lanikai Brewing Company, Big Island Brewhaus, and Maui Brewing Co. Your Committee received testimony in opposition to this measure from one individual. Your Committee received comments on this measure from the Department of Taxation.

Your Committee finds that the existing statutory definition of "beer" follows the traditional basic ingredients used in historical beer manufacturing. However, this definition does not adequately reflect the expansion of the craft beer manufacturing sector and is not in alignment with the federal definition. This measure will alleviate these inconsistencies.

Your Committee has amended this measure by changing the effective date to June 30, 3000, to encourage further discussion.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 647, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 647, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

MARK M. NAKASHIMA, Chair