RELATING TO MOTOR CARRIERS.

SB1510

THE SENATE

S.B. NO.

1510

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to motor carriers
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

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SECTION 1.
�
The legislature finds that the State's beach
parks, scenic viewpoints, hiking trailheads, cultural sites, wildlife habitats,
and other natural resources are popular destinations for visitors to the State.
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However, these sites are often located
alongside congested state highways or county roads with limited parking.

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The legislature further finds that
there are community based non-profit organizations that collaborate with the
State, counties, visitor industry, and impacted neighborhoods to address traffic
congestion in these areas, such as the shuttle system currently in use in H
ā
�
ena, Kaua
�
i,
which reduces the number of vehicles on the narrow Kuhio highway.
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This shuttle system generates revenues to
fund shuttle operations, as well as improvements at the H
ā
�
ena state park, parking attendant salaries,
and the costs of maintaining and expanding lo
�
i
and cultural sites within H
ā
�
ena state park.

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The purpose of this Act is to exempt
non-profit community-based organizations that provide transportation services
from the State's motor carrier regulations, under certain circumstances.

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SECTION
2
.
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Section 271-5,
Hawaii Revised Statutes, is amended to read as follows:

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"
�271
-
5
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Exemptions, generally.
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Notwithstanding any other provisions of this
chapter, its contents shall not apply to:

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(1)
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Persons
transporting their own property where the transportation is in furtherance of a
primary business purpose or enterprise of that person, except where the
transportation is undertaken by a motor carrier to evade the regulatory
purposes of this chapter;

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(2)
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Persons operating
motor vehicles when engaged in the transportation of school children and
teachers to and from school, and to and from school functions; provided that
these persons may engage in providing transportation at special rates for
groups of persons belonging to an eleemosynary or benevolent organization or
association domiciled in this State where the organization or association
sponsors or is conducting a nonregular excursion; provided that whenever the
persons engage in the transportation of persons other than those exempted in
this paragraph, that portion of their operation shall not be exempt from this
chapter.
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Nothing in this paragraph shall
be construed to authorize any person to engage in the transportation of
persons, other than the transportation of persons exempted by the terms of this
paragraph, without a permit or certificate issued by the commission authorizing
such transportation;

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(3)
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Persons operating
taxicabs or other motor vehicles utilized in performing a bona fide taxicab
service.
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"Taxicab" includes:

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(A)
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Any motor vehicle
used in the movement of passengers on the public highways under the following
circumstances, namely the passenger hires the vehicle on call or at a fixed
stand, with or without baggage for transportation, and controls the vehicle to
the passenger's destination;

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(B)
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Any motor vehicle
for hire having seating accommodations for eight or fewer passengers used in
the movement of passengers on the public highways that may, as part of a
continuous trip, pick up or discharge passengers from various unrelated
locations; provided that they shall be regulated by the counties in accordance
with section 46-16.5(c); and provided further that this subparagraph shall not
apply to any exclusive rights granted by the department of transportation for
taxicab services at facilities under the department's control; and

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(C)
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Any motor vehicle
having seating accommodations for eight or fewer passengers used in the
movement of passengers on the public highways between a terminal, i.e., a fixed
stand, in the Honolulu district, as defined in section 4-1 and a terminal in a
geographical district outside the limits of the Honolulu district, and vice
versa, without picking up passengers other than at the terminals or fixed
stands; provided that the passengers may be picked up by telephone call from
their homes in the rural area or may be unloaded at any point between the fixed
stands or may be delivered to their homes in the rural area;

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(4)
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Persons operating
motor vehicles in the transportation of persons pursuant to a franchise from
the legislature and whose operations are presently regulated under chapter 269;

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(5)
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Nonprofit
agricultural cooperative associations to the extent that they engage in the
transportation of their own property or the property of their members;

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(6)
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Persons operating
motor vehicles specially constructed for the towing of disabled or wrecked
vehicles but not otherwise used in the transportation of property for
compensation or hire;

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(7)
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Persons operating
motor vehicles in the transportation of mail, newspapers, periodicals,
magazines, messages, documents, letters, or blueprints;

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(8)
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Persons operating
funeral cars or ambulances;

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(9)
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Persons operating
motor vehicles in the transportation of garbage or refuse;

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(10)
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Persons operating
the type of passenger carrying motor vehicles known as "sampan buses"
within the radius of twenty miles from the city of Hilo, Hawaii;

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(11)
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Persons
transporting unprocessed pineapple to a cannery, seed corn to a processing
facility, or
�
returning any containers
used in such transportation to the fields;

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(12)
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Sugar plantations
transporting sugarcane, raw sugar, molasses, sugar by-products, and farming
supplies for neighboring farmers pursuant to contracts administered by the
United States Department of Agriculture;

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(13)
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Persons engaged in
the ranching or meat or feed business who transport cattle to slaughterhouses
for hire where such transportation is their sole transportation for hire and
where their earnings from the transportation constitute less than fifty per
cent of their gross income from their business and the transportation for hire;

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(14)
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Persons
transporting unprocessed raw milk to processing plants and returning any
containers used in such transportation to dairy farms for reloading;

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(15)
�
Persons
transporting animal feeds to animal husbandry farmers and farming supplies
directly to animal husbandry farmers and returning any containers used in such
transportation to these sources of such feeds and supplies for reloading;

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(16)
�
Persons engaged in
transporting not more than fifteen passengers between their places of abode, or
termini near such places, and their places of employment in a single daily
round trip where the driver is also on the driver's way to or from the driver's
place of employment;

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(17)
�
Persons
transporting passengers without charge in motor vehicles owned or operated by
such person, where such transportation is provided in conjunction with and in
furtherance of a related primary business purpose or enterprise of that person,
and such transportation is provided only directly to and from the place of
business of such person, except that this exemption shall not apply to persons
making any contract, agreement, or arrangement to provide, procure, furnish, or
arrange for transportation as a travel agent or broker or a person engaged in
tour or sightseeing activities, nor shall this exemption apply where the
transportation is undertaken by a person to evade the regulatory purposes of
this chapter; [
and
]

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(18)
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Persons conducting
the type of county-regulated passenger carrying operation known as "jitney
services".
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For the purposes of this
paragraph, "jitney services" means public transportation services
utilizing motor vehicles that have seating accommodations for six to
twenty-five passengers, operate along specific routes during defined service
hours, and levy a flat fare schedule[
.
]
; and

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(19)
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Non-profit
community-based organizations providing transportation services; provided that:

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(A)
�
The
transportation services are operated within the parameters of a state or county-approved
plan that is within the purview of a state or county government agency;

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(B)
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The
non-profit community-based organization owns the transportation service related
assets and these assets cannot be sold for profit or personal gain for the
duration of the exemption from this chapter; and

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(C)
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Community
stakeholders have a role in the operation of the non-profit community-based organization.
"

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SECTION
3.
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Statutory material to be repealed is
bracketed and stricken.
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New statutory
material is underscored.

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SECTION 4.
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This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

Report Title:

Motor
Carriers; Exemptions; Non-Profit Community-Based Organizations

Description:

Exempts non-profit
community-based organizations providing transportation services from motor
carrier regulations under certain circumstances.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.