THE SENATE	S.B. NO.	2993
THIRTY-THIRD LEGISLATURE, 2026
STATE OF HAWAII

A BILL FOR AN ACT

relating to transportation.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that ground transportation makes up thirty-eight per cent of transportation emissions in the State and light-duty vehicles make up eighty-five per cent of those emissions. The legislature recognizes that reducing vehicle miles traveled by commuters will be a key component to meeting the State's decarbonization goals and legal requirements outlined in the Navahine F. v. Hawaii Department of Transportation, which can be achieved by promoting the use of public transit.

The legislature further finds that state employees have limited commuter benefits. In 2024, the house of representatives adopted House Resolution No. 191, Regular Session of 2024, which urged the department of accounting and general services and department of human resources development to evaluate subsidizing public transit for public employees. Currently, the only transportation benefit the State offers is a pre-tax deduction of a state employee's paycheck to purchase a transit pass or pay for parking as allowed by the Internal Revenue Service. The State indirectly subsidizes employee parking stalls in downtown Honolulu on average between $130 to $238 a month, and provides no subsidy for employees using public transit, carpooling, walking, biking, and other modes of transportation that reduce transportation emissions.

The legislature also finds that opting for public transit and active modes of transportation over private vehicles for commutes can help employees save money on fuel, insurance, parking, and vehicle maintenance costs, which can also help reduce the cost of living. Additionally, active modes of transportation can enhance quality of life, health, and wellbeing through physical activity.

The legislature also finds that state employee focus groups conducted in July and August of 2024 by the Oahu metropolitan planning organization revealed that fifty-four per cent of respondents would ride public transit to work if public transit passes were fully subsidized or discounted and forty-eight per cent of respondents stated they would walk, ride a bike, or scooter to work with a financial incentive.

The legislature notes that other jurisdictions such as Redmond, Washington and Nashville, Tennessee have successfully implemented free public transportation options for government employees. These jurisdictions have also reported increased employee retention and decreased tardiness or absences upon participating in the commuter benefits program.

Accordingly, the purpose of this Act is to require and appropriate funds for the department of human resources development to offer fully subsidized transit passes for all state employees.

SECTION 2. Chapter 76, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§76-    Subsidized public transit passes; state employees. The department of human resources development shall, in coordination with each county's transportation agency or department, offer fully subsidized public transit passes as a benefit option for all state employees. The public transit passes shall be integrated into employee badges in accordance with existing transit pass badging programs."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2026-2027 to offer fully subsidized public transit passes as a benefit option for all state employees.

The sum appropriated shall be expended by the department of human resources development for the purposes of this Act.

SECTION 4. New statutory material is underscored.

SECTION 5. This Act shall take effect on July 1, 2026.

INTRODUCED BY:

_____________________________

Report Title:

DHRD; Public Transit Passes; State Employees

Description:

Requires and appropriates funds for the Department of Human Resources Development to offer fully subsidized public transit passes for state employees.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.