STAND. COM. REP. NO. 542-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 2022

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Transportation, to which was referred H.B. No. 2022 entitled:

"A BILL FOR AN ACT RELATING TO MOTOR VEHICLE REGISTRATION,"

begs leave to report as follows:

The purpose of this measure is to specify that the county annual vehicle registration fee shall be equal to the state annual motor vehicle registration fee.

Your Committee received testimony in opposition to this measure from the Hawaii Transportation Association. Your Committee received comments on this measure from the Tax Foundation of Hawaii.

Your Committee finds that the State and counties each impose annual vehicle registration fees that are collected concurrently, yet existing law does not expressly require parity between the state and county registration amounts. This structure can create inconsistencies among counties and lead to confusion regarding the total registration costs assessed to vehicle owners. By establishing uniformity between the state and county for annual fees and assessments related to motor vehicles, this measure would promote transparency, administrative efficiency, and predictability for motorists statewide.

Your Committee has amended this measure by:

(1) Clarifying that the county annual motor vehicle registration fee shall not exceed the state annual motor vehicle registration fee;

(2) Requiring the counties to:

(A) Spend a portion of the revenues collected from county motor vehicle registration fees and weight tax on roadway repair and maintenance; and

(B) Submit an annual report to the Legislature;

(3) Specifying that the county annual vehicle weight tax shall not exceed the state annual vehicle weight tax;

(4) Changing the effective date to July 1, 3000, to encourage further discussion; and

(5) 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 Transportation that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2022, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2022, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Transportation,

____________________________

DARIUS KILA, Chair