STAND. COM. REP. NO. 3638

 

Honolulu, Hawaii

                   

 

RE:     H.B. No. 1833

        H.D. 2

        S.D. 1

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

 

Sir:

 

     Your Committees on Transportation and Commerce, Consumer Protection, and Health, to which was referred H.B. No. 1833, H.D. 2, entitled:

 

"A BILL FOR AN ACT RELATING TO PEER-TO-PEER CAR-SHARING,"

 

beg leave to report as follows:

 

     The purpose and intent of this measure is to regulate peer-to-peer car sharing in Hawaii by creating certain insurance, notice, recordkeeping, and disclosure requirements.

 

     Your Committees received testimony in support of this measure from the Department of Transportation and SanHi Government Strategies, LLLP.  Your Committees received testimony in opposition to this measure from Avail, Inc./Allstate and Hawaii Association for Justice.  Your Committees received comments on this measure from Department of Taxation; Department of Commerce and Consumer Affairs; Tax Foundation of Hawaii; Getaround, Inc.; and Turo, Inc.

 

     Your Committees find that this measure creates a new chapter in the Hawaii Revised Statutes to govern peer-to-peer car sharing in Hawaii.  However, your Committees also find that the measure lacks adequate protection for consumers.  Furthermore, your Committees find that the measure, as written, subjects peer-to-peer car sharing programs to double taxation.

     Accordingly, your Committees have amended this measure by:

 

     (1)  Adopting the proposed amendments from the Department of Commerce and Consumer Affairs, which improves consumer protection by requiring peer-to-peer car sharing programs to:

 

          (A)  Provide primary insurance coverage;

 

          (B)  Disclose to the consumer all required taxes and fees, costs, insurance costs, and total price to rent the vehicle;

 

          (C)  Collect complete and accurate data such as insurance policy numbers, coverage amounts, and the names and contact information of car share drivers and car share owners; and

 

          (D)  Remove vehicles subject to recall from the peer-to-peer car sharing platform;

 

     (2)  Adopting the proposed amendments from the Department of Taxation, which clarify that the Rental Vehicle Surcharge Tax marketplace facilitator is not the lessor of the vehicle; and

 

     (3)  Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.

 

     As affirmed by the records of votes of the members of your Committees on Transportation and Commerce, Consumer Protection, and Health that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1833, H.D. 2, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 1833, H.D. 2, S.D. 1, and be referred to your Committee on Ways and Means.

 


Respectfully submitted on behalf of the members of the Committees on Transportation and Commerce, Consumer Protection, and Health,

 

________________________________

ROSALYN H. BAKER, Chair

 

________________________________

LORRAINE R. INOUYE, Chair