Bill Text: HI HB1161 | 2025 | Regular Session | Amended
Bill Title: Relating To Transportation.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed) 2025-02-28 - Passed Third Reading with none voting aye with reservations; Representative(s) Alcos, Garcia, Muraoka, Reyes Oda voting no (4) and Representative(s) Cochran, Pierick, Templo, Ward excused (4). Transmitted to Senate. [HB1161 Detail]
Download: Hawaii-2025-HB1161-Amended.html
HOUSE OF REPRESENTATIVES |
H.B. NO. |
1161 |
THIRTY-THIRD LEGISLATURE, 2025 |
H.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO TRANSPORTATION.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
The purpose of this Act is to:
(1) Authorize a county to impose a mileage-based road usage surcharge;
(2) Clarify the disposition of funds for the state mileage-based road usage charge;
(3) Repeal the requirement for the department of transportation to establish county subaccounts within the state highway fund;
(4) Establish the state mileage-based road usage charge subaccount within the state highway fund;
(5) Clarify the rate and calculation of the state mileage-based road usage charge; and
(6) Appropriate funds.
SECTION 2. Chapter 249, Hawaii Revised Statutes, is amended by adding three new sections to be appropriately designated and to read as follows:
"§249-A County mileage-based road usage charge;
established. (a) Beginning July 1, 2028, in
addition to all other fees and taxes levied by this chapter, a county may
impose a county mileage-based road usage charge on electric vehicles.
(b) The county mileage-based road usage charge
shall be calculated by the director of finance at the rate established under
section 249-B, multiplied by the number of miles traveled, less the estimated
amount of paid county motor fuel taxes that correspond with the number of miles
traveled, as shall be determined by rule.
The number of miles traveled shall be calculated as the difference
between the electric vehicle's two most recent odometer readings, as noted on
the electric vehicle's certificate of inspection issued pursuant to section
286-26(e).
(c) If a county establishes a mileage-based road
usage charge pursuant to section 249-B, for the first registration renewal of
new electric vehicles for which no certificate of inspection is required, the
county mileage-based road usage charge assessed shall be $50, which shall be
subtracted from the calculation of the county mileage-based road usage charge
upon that electric vehicle's second registration renewal.
(d) The county mileage-based road usage charge
shall be paid each year following the electric vehicle's most recent registration
together with all other taxes and fees levied by this chapter on a staggered
basis as established by each county as authorized by section 286-51 to ensure
that the county mileage-based road usage charge is due and payable at the same
time and shall be collected together with the county registration fee. The
county mileage-based road usage charge shall be deemed delinquent if not paid
with the county registration fee.
(e) Notwithstanding subsection (a), all electric
vehicles registered in the State that qualify for an exemption under sections 249-4, 249-5.5, 249-6, and
249-6.5 shall be exempt from this section.
(f) Each county may adopt rules pursuant to
chapter 91 for establishing and administering the county mileage-based road
usage charge.
(g) For the purposes of this section,
"electric vehicle" has the same meaning as in section 249-36.
§249-B County mileage-based road usage charge;
rate; establishment. (a) Each county shall establish the rate to be
used to calculate the amount of that county's mileage-based road usage charge
in the manner provided for by ordinances involving the expenditure of public
funds; provided that until such rate is established, the county mileage-based
road usage charge for each county shall be zero.
(b) No ordinance establishing the rate for a
county mileage-based road usage charge shall be adopted until a public hearing
on the proposed rate for the county mileage-based road usage charge has been
held. Public notice of the hearing shall
be given at least twice within the thirty-day period immediately preceding the
date of the hearing. The rate for the
county mileage-based road usage charge shall take effect on the first day of
the second month following the adoption of an ordinance establishing a county
mileage-based road usage charge.
(c) Each county may establish a per mile rate for
a county mileage-based road usage charge that is:
(1) One or more cents, a fraction of a
cent, or both; or
(2) Zero.
(d)
If a county mileage-based road usage charge cannot be calculated because
of missing, incomplete, or incorrect odometer reading information, a vehicle
subject to the county mileage‑based road usage charge shall be subject to
a default county mileage-based road usage charge as established by the county.
§249-C County mileage-based road usage charge; dispositions. The county mileage-based road usage charge for each county shall be collected by the respective county and deposited into the respective county highway fund established pursuant to section 249-18; provided that amounts collected in the county of Maui on vehicle miles traveled on the island of Lanai shall be used solely for expenditures on the island of Lanai; provided further that the amounts collected in the county of Maui on vehicle miles traveled on the island of Molokai shall be used solely for expenditures on the island of Molokai."
SECTION 3. Section 248-9, Hawaii Revised Statutes, is amended to read as follows:
"§248-9 State highway fund. (a) Moneys in the state highway fund may be expended for the following purposes:
(1) To pay the costs of operation, maintenance, and repair of the state highway system, including without limitation, the cost of equipment and general administrative overhead;
(2) To pay the costs of acquisition, including real property and interests therein; planning; designing; construction; and reconstruction of the state highway system and bikeways, including without limitation, the cost of equipment and general administrative overhead;
(3) To reimburse the general fund for interest on and principal of general obligation bonds issued to finance highway projects where the bonds are designated to be reimbursable out of the state highway fund;
(4) To pay the costs of construction, maintenance, and repair of county roads; provided that none of the funds expended on a county road or program shall be federal funds when expenditure would cause a violation of federal law or a federal grant agreement; and
(5) To pay the costs of establishing and maintaining a drug and alcohol toxicology testing laboratory that is intended to support the prosecution of offenses relating to operation of a motor vehicle while under the influence of an intoxicant.
(b) At any time, the director of transportation may transfer from the state highway fund all or any portion of available moneys determined by the director of transportation to exceed one hundred thirty-five per cent of the requirements for the ensuing twelve months for the state highway fund as permitted by and in accordance with section 37-53. For purposes of the determination, the director of transportation shall take into consideration:
(1) The amount of federal funds and bond funds on deposit in, and budgeted to be expended from, the state highway fund during the period;
(2) Amounts on deposit in the state highway fund that are encumbered or otherwise obligated;
(3) Budgeted amounts payable from the state highway fund during the period;
(4) Revenues anticipated to be received by and expenditures to be made from the state highway fund during the period based on existing agreements and other information for the ensuing twelve months; and
(5) Any other factors as the director of transportation shall deem appropriate.
[(c) The department of transportation shall
establish county subaccounts within the state highway fund. Notwithstanding
subsections (a) and (b), funds in each county subaccount shall be expended for
state highway road capacity projects in the respective county.
For
purposes of this subsection, "state highway road capacity project"
means construction:
(1) Of a new road;
(2) To widen or add additional lanes to
an existing road; or
(3) That increases the number of
vehicles that may be driven on an island and alleviates the level of traffic
congestion on existing roads of that island,
and any planning, design, or right-of-way
acquisition related to the construction.]
(c) There is
established within the state highway fund a state
mileage-based road usage charge subaccount.
All fees, taxes, and charges collected by chapter 249 shall be
deposited into a state mileage-based road usage subaccount under the state
highway fund to be administered by the department of transportation; provided
that funds may be used to pay for any expenditures in collaboration with the
state mileage-based road usage charge including disbursements or reimbursements
back to the vehicle owners."
SECTION 4. Section 249-18, Hawaii Revised Statutes, is amended to read as follows:
"§249-18
Highway fund. All taxes, fees, or charges collected
under this chapter, except those collected pursuant to sections 249-14 and
249-14.5[,] and the state mileage-based road usage charge established
under 249-36, shall be deposited in a county fund to be known as the
"highway fund" and shall be expended in the county in which the taxes,
fees, or charges are collected for the following purposes:
(1) For acquisition, designing, construction, improvement, repair, and maintenance of public roads and highways, including without restriction of the foregoing purposes, costs of new land therefor, of permanent storm drains or new bridges, as well as repairs or additions to storm drains or bridges;
(2) For installation, maintenance, and repair of street lights and power, and other charges for street lighting purposes, including replacement of old street lights, on county maintained public roads and highways;
(3) For purposes and functions connected with traffic control and preservation of safety upon the public highways and streets;
(4) For payment of interest on and redemption of bonds issued to finance highway and street construction and improvements;
(5) In the case of the city and county of
Honolulu, for appropriation for the police department up to the sum of
$500,000. No expenditures shall be made
out of this fund [which] that will jeopardize federal aid for
highway construction;
(6) For purposes and functions connected with mass transit; and
(7) For the acquisition, design, construction, improvement, repair, and maintenance of bikeways."
SECTION 5. Section 249-36, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:
"(a) Beginning July 1, 2025, in addition to all other fees and taxes levied by this chapter,
electric vehicles shall be subject to a state mileage-based road usage
charge. The state mileage-based road
usage charge shall be calculated by the county director of finance at the rate
of 0.8 cents per mile traveled, multiplied by the number of miles traveled,
less the estimated amount of paid state fuel taxes that correspond with the
number of miles traveled. The department
shall adopt rules pursuant to chapter 91 to determine the method for
calculating the estimated amount of paid state fuel taxes that correspond with
the number of miles traveled. The number
of miles traveled shall be calculated as the difference between the vehicle's
two most recent odometer readings, as noted on the vehicle's certificate of
inspection pursuant to section 286-26(e). The state mileage-based road usage charge
shall be not less than $0, and, until June 30, 2028, the state mileage-based
road usage charge shall be not more than $50 per year. For the first registration renewal of new
motor vehicles for which no certificate of inspection is required, the state
mileage-based road usage charge assessed shall be $50, and [such] the
amount once paid shall be subtracted from the calculation of the state
mileage-based road usage charge upon that vehicle's second registration
renewal. If the state mileage-based
road usage charge cannot be calculated because of missing, incomplete, or
incorrect odometer reading information:
(1) Until June 30, 2028, a vehicle
subject to the state mileage-based road usage charge is subject to a default
state mileage-based road usage charge of $50; and
(2) Effective July 1, 2028, a vehicle
subject to the state mileage-based road usage shall be subject to a default
state mileage-based road usage charge of $80."
SECTION 6. Section 431:10C-103, Hawaii Revised Statutes, is amended by amending the definition of "motor vehicle" to read as follows:
""Motor
vehicle" means any vehicle of a type required to be registered under
chapter 286, including a trailer attached to [such] a vehicle, but not
including motorcycles [and motor scooters]."
SECTION
7. Section 437D-3, Hawaii Revised
Statutes, is amended by amending the definition of "vehicle license
recovery fees" to read as follows:
""Vehicle
license recovery fees" includes motor vehicle weight taxes under section
249-2; fees connected with the registration of specially constructed,
reconstructed, or rebuilt vehicles, special interest vehicles, or imported
vehicles as referenced in section 286-41(c); license plate and emblem fees
under section 249-7(b); state and county mileage-based road usage charges
under sections 249-36 and 249-A; inspection fees as referenced in section
286-26; highway beautification fees as referenced in section 286-51(b)(1); and
any use tax under chapter 238."
SECTION 8. There is appropriated out of the state highway fund the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the implementation of the state mileage-based road usage charge program, to be used with available federal funds; provided that moneys appropriated pursuant to this section shall not lapse at the end of the fiscal year and any unexpended or unencumbered funds as of June 30, 2026, shall lapse into the state highway fund as of that date.
The sum appropriated shall be expended by the department of transportation for the purposes of this Act.
SECTION
9. There is appropriated out of the
state highway fund the sum of $
or so much thereof as may be necessary for fiscal year 2025-2026 to be used
with $802,400 federal funds and the sum of $
or so much thereof as may be necessary for fiscal year 2026-2027 to be used
with $1,542,480 federal funds, for the continued implementation of the state
mileage-based road user charge established pursuant to section 249-36, Hawaii
Revised Statutes; provided that the moneys appropriated for fiscal year
2025-2026 and fiscal year 2026-2027 for the purposes of this Act shall not lapse
at the end of their respective fiscal year and any unexpended or unencumbered
funds as of June 30, 2028, shall lapse into the state highway fund as of that
date.
The sums
appropriated shall be expended by the department of transportation for the
purposes of this Act.
SECTION 10. In codifying the new sections added by section 2 of this Act, the
revisor of statutes shall substitute appropriate section numbers for the
letters used in designating and referring to the new sections in this Act.
SECTION 11. Statutory material to be repealed is
bracketed and stricken. New statutory
material is underscored.
SECTION 12. This Act shall take effect on July 1, 3000.
Report Title:
Department of Transportation; Electric Vehicles; State Mileage-Based Road Usage Charge; County Mileage-Based Road Usage Charge; State Highway Fund; Appropriation
Description:
Authorizes
a county to impose a mileage-based road usage charge. Provides and requires a county to establish
the rate of the charge. Clarifies the
disposition of funds for state mileage-based road usage charge. Repeals the requirement of the Department of
Transportation to establish county subaccounts within the State Highway
Fund. Establishes the State
Mileage-Based Road Usage Charge Subaccount within the State Highway Fund. Clarifies the rate and calculation of the
state mileage-based road usage charge. Effective 7/1/3000. (HD1)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.