271-12 Applications for certificates of public convenience and necessity. (a) Except as otherwise provided in this section and in section 271-16, no person shall engage in the business of a common carrier by motor vehicle on any public highway in this State, unless there is in force with respect to such carrier a certificate of public convenience and necessity issued by the public utilities commission authorizing such operation.

(b) Applications for certificates shall be made in writing to the commission, be verified under oath, and shall be in such form and contain such information, and be accompanied by proof of service upon interested parties as the commission shall, by regulation, require.

(c) Subject to section 271-15, a certificate shall be issued to any qualified applicant therefor, authorizing the whole or any part of the operations covered by the application if it is found that the applicant is fit, willing, and able properly to perform the service proposed and to conform to this chapter and the requirements, rules, and regulations of the commission thereunder, and that the proposed service, to the extent to be authorized by the certificate, is or will be required by the present or future public convenience and necessity; otherwise the application shall be denied.

(d) Any certificate issued under this section covering the transportation of property shall be issued as an irregular route certificate and shall specify the island or islands or portion or portions thereof within which service may be rendered. Any certificate covering the transportation of passengers shall specify the service to be rendered and the routes over which, the fixed termini, if any, between which, and the intermediate and off-route points, if any, at which the motor carrier is authorized to operate, and the certificate may include authority to transport in the same vehicle with the passengers, baggage of passengers, express, and also to transport baggage of passengers in a separate vehicle. There shall, at the time of issuance, and from time to time thereafter, be attached to the exercise of the privileges granted by the certificate such reasonable terms, conditions, and limitations as the public convenience and necessity may from time to time require, including terms, conditions, and limitations as to the extensions of the service territory or route or routes of the carriers, and such terms and conditions as are necessary to carry out, with respect to the operations of the carrier, the requirements established by the commission under sections 271-9(a)(1) and 271-9(a)(4), provided that the terms, conditions, or limitations shall not restrict the right of the carrier to add to his or its equipment and facilities in the service territory or over the routes or between the termini as the development of business and the demands of the public shall require.

(e) Any common carrier by motor vehicle transporting passengers under any such certificate may occasionally deviate from the route over which and the fixed termini between which it is authorized to operate under the certificate under such rules and regulations as the commission may prescribe. [L 1961, c 121, pt of 2; am L 1962, c 12, 2; Supp, 106C-10; HRS 271-12; am L 1991, c 57, 13]

 

Attorney General Opinions

 

Carrier must secure commission approval before adding different type of equipment as proviso in subsection (d) applies only to adding authorized type. Att. Gen. Op. 62-37.

Grandfather clause, issuance of certificates thereunder. Att. Gen. Op. 62-51.

 

Case Notes

 

Commission's findings under subsection (c) of public convenience and necessity and of applicant's fitness must be supported by substantial evidence. 55 H. 463, 522 P.2d 1272 (1974).

As this chapter contains no provisions regarding dormancy, and "public convenience and necessity" is not a prerequisite to transfer of certificates of public convenience and necessity pursuant to 271-18(d), the public utilities commission was not required to permit intervenor carriers to argue those issues in proceedings regarding carrier's transfer applications. 93 H. 45, 995 P.2d 776 (2000).

Public utilities commission did not err in declining to apply the standards of subsection (c) or engage in dormancy analysis in carrier's transfer application proceedings where commission concluded that carrier's services had not been dormant for a significant period of time; that carrier had ceased operations because of financial and other internal problems, immediately initiated negotiations to transfer certificate, and entered bankruptcy shortly thereafter mitigated against application of dormancy doctrine. 93 H. 45, 995 P.2d 776 (2000).

Where the public utilities commission acted within its prerogatives in treating bankrupt carrier's application as a request to permit other carriers to continue bankrupt carrier's existing service, and in doing so considered the public interest factors required under 271-1 and 271-18, this section and the new service doctrine were inapposite to the case. 93 H. 45, 995 P.2d 776 (2000).

As this section does not require the public utilities commission to limit a carrier to a specific type of motor vehicle, commission did not exceed its statutory authority in granting company's application. 104 H. 98, 85 P.3d 623 (2004).

 

 

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