Bill Text: HI HB1163 | 2010 | Regular Session | Amended

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Bill Title: Commercial Harbors; Indemnification

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2009-05-11 - Carried over to 2010 Regular Session. [HB1163 Detail]

Download: Hawaii-2010-HB1163-Amended.html

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STAND. COM. REP. NO. 920

 

Honolulu, Hawaii

                  

 

RE:    H.B. No. 1163

       H.D. 2

 

 

 

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

 

Madam:

 

     Your Committee on Transportation, International and Intergovernmental Affairs, to which was referred H.B. No. 1163, H.D. 2, entitled:

 

"A BILL FOR AN ACT RELATING TO HARBORS,"

 

begs leave to report as follows:

 

     The purpose of this measure is to allow the Department of Transportation to impose upon private parties using state harbors the duty to defend, hold harmless, and indemnify the State.

 

     This measure also defines "state harbor property" as the commercial harbors, ports, roadsteads, harbor buildings, and other harbor facilities of the State, including docks, wharves, piers, quays, bulkheads, or landings therein.

 

     Your Committee received testimony in support of this measure from the Department of Transportation.

 

     Section 19-41-7, Hawaii Administrative Rules, imposes a duty upon users of harbor facilities to defend and indemnify the State against all claims arising from their operations on Department of Transportation property and their use of the Department's facilities, except where the Department was proven to be solely and legally negligent.  However, the Hawaii Supreme Court, in Haole v. State of Hawaii, 111 Haw. 144 (2006), held that the Department lacked the statutory authority to adopt a rule imposing such a duty.  This measure provides the Department of Transportation with the express authority to impose the duty by rule, thus protecting the State from financial exposure in lawsuits filed against the State for injury caused to plaintiffs by the negligent acts of harbor facility users.

 

     As affirmed by the record of votes of the members of your Committee on Transportation, International and Intergovernmental Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1163, H.D. 2, and recommends that it pass Second Reading and be referred to the Committee on Judiciary and Government Operations.

 

Respectfully submitted on behalf of the members of the Committee on Transportation, International and Intergovernmental Affairs,

 

		____________________________ J. KALANI ENGLISH, Chair