Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 700
                                        S.D. 1

Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii


     Your Committee on Transportation and Intergovernmental
Affairs, to which was referred S.B. No. 700 entitled: 


begs leave to report as follows:

     The purpose of this measure is to enact provisions
regulating neighborhood electric vehicles.

     Testimony in support of this measure was received from the
Department of Customer Services of the City and County of
Honolulu, MMS, Inc., and the Electric Vehicle Association of
Hawaii.  The State Insurance Commissioner of the Department of
Commerce and Consumer Affairs submitted testimony commenting on
this measure.

     Your Committee finds that neighborhood electric vehicles
(NEV) may be a viable alternative to the use of cars within
neighborhoods.  The NEV has a maximum speed of twenty-five miles
per hour with minimum noise and pollutant emissions and high
energy efficiency.  Your Committee also finds that establishment
of a NEV and electric vehicle industry in the State would create
high technology employment and business opportunities.

     Your Committee has amended this measure by making technical,
nonsubstantive changes for purposes of style.

     As affirmed by the record of votes of the members of your
Committee on Transportation and Intergovernmental Affairs that is

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                                   STAND. COM. REP. NO. 242
                                   Page 2

attached to this report, your Committee is in accord with the
intent and purpose of S.B. No. 700, as amended herein, and
recommends that it pass Second Reading in the form attached
hereto as S.B. No. 700, S.D. 1, and be referred to the Committee
on Commerce and Consumer Protection.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Transportation
                                   and Intergovernmental Affairs,

                                   CAL KAWAMOTO, Chair

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