STAND. COM. REP. NO. 511

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 251

       S.D. 1

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

 

Sir:

 

     Your Committee on Transportation, to which was referred S.B. No. 251 entitled:

 

"A BILL FOR AN ACT RELATING TO TRANSPORTATION NETWORK COMPANIES,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to make permanent the motor vehicle insurance requirements for transportation network companies and drivers by repealing the sunset provision of Act 236, Session Laws of Hawaii 2016 (Act 236).

 

     Your Committee received testimony in support of this measure from Hawaii Insurers Council, American Property Casualty Insurance Association, Hawaii Transportation Association, and Uber Technologies.

 

     Your Committee finds that in 2016 the Legislature passed Act 236 that established insurance requirements for transportation network companies to protect their drivers and passengers.  This was necessary as most personal insurance policies carried by drivers do not provide coverage for this type of commercial activity.  This measure will remove the sunset provision of Act 236 and make the insurance requirements for transportation network companies and drivers permanent.

 

     Your Committee further finds that there is no statewide regulation of transportation network companies.  Such regulation is necessary to ensure the safety, reliability, and cost-effectiveness of rides provided by transportation network companies and to ensure access to transportation options for residents and visitors.

 

     Accordingly, your Committee has amended this measure by:

 

     (1)  Adding the contents of S.B. No. 770, Regular Session of 2021, a substantially similar measure which establishes requirements and permitting procedures for transportation network companies operating in the State, with the exception of certain provisions that may have conflicted with the federal Employee Retirement Income Security Act;

 

     (2)  Inserting a new section 1 to reflect its amended purpose; and

 

     (3)  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 Transportation that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 251, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 251, S.D. 1, and be referred to your Committee on Commerce and Consumer Protection.

 

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

 

 

 

________________________________

CHRIS LEE, Chair