Honolulu, Hawaii

, 2002

RE: H.B. No. 2030




Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii


Your Committee on Transportation, to which was referred H.B. No. 2030 entitled:


begs leave to report as follows:

The purpose of this bill is to allow towing companies to defray costs incurred through storage of towed vehicles by:

(1) Allowing an increase in storage fees from $15 to $25 per day to store a vehicle for the first seven days; and

(2) Allowing an increase in storage fees from $10 to $20 per day to store a vehicle each day after the initial seven days.

The Hawaii State Towing Association submitted testimony in favor of this measure. The Department of Commerce and Consumer Affairs and the Hawaii Insurers Council testified in opposition to this bill.

Towing companies provide a valuable public service for Hawaii's motorists. However, increased costs in operating a towing service, along with increased storage costs and "scrapping" costs for the disposal of unclaimed or derelict vehicles, has caused tow operators to incur financial hardships. This measure would allow tow companies to recoup costs through an increase in storage fees to a fee analogous to that charged by other, similar businesses.

Although the legality of this measure has been questioned and concerns regarding increased costs of having a vehicle towed for the average consumer through this fee increase, your Committee feels that further discussion of this measure is warranted.

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. 2030 and recommends that it pass Second Reading and be referred to the Committee on Judiciary and Hawaiian Affairs.


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