STAND. COM. REP. NO. 3016

Honolulu, Hawaii

RE: S.B. No. 2835

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred S.B. No. 2835 entitled:

"A BILL FOR AN ACT RELATING TO LIQUOR,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) In counties of fewer than two hundred thousand residents, but more than one hundred thousand residents, exempt the three-day temporary liquor licenses for fundraising events, known as class 10 special licenses, from any requirement to obtain fire-related clearances;

(2) Allow applications for class 10 special licenses to be submitted electronically and for a single application to apply any fundraising event that spans multiple parcels of land owned by the same entity; and

(3) Increase the percentage of fines assessed by all county liquor commissions that may be used to fund public liquor-related educational or enforcement programs.

Your Committee received testimony in support of this measure from one member of the Maui County Council, Maui Brewing Co., Maui Chamber of Commerce, Maui Hotel & Lodging Association, and one individual.

Your Committee finds that class 10 special licenses allow nonprofit organizations to responsibly serve or sell liquor at limited events, often including school fundraisers, cultural festivals, charitable galas, and community celebrations. The ability to obtain one of these licenses can significantly increase fundraising capacity, directly benefitting programs that serve local families, youth, and vulnerable populations. Your Committee further finds that the existing process for obtaining a class 10 special license lacks sufficient clarity, consistency, and enforceable standards. This measure will strengthen oversight, clarify compliance expectations, and ensure that the privilege of serving alcohol at temporary events is exercised responsibly.

Your Committee has amended this measure by:

(1) Inserting an effective date of March 22, 2075, to encourage further discussion; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2835, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2835, S.D. 1.

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

________________________________

KARL RHOADS, Chair