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SCR 150

REQUESTING THE DEPARTMENT OF TRANSPORTATION TO CONVENE A WORKING GROUP TO DEVELOP AND RECOMMEND FEDERAL, STATE, AND COUNTY PROGRAMS SUBSIDIZING THE TRANSPORT OF WATERBORNE CARGO.

2025 Regular Session Introduced by Lorraine Inouye

Create a DOT-led Waterborne Cargo Subsidies Working Group to develop and recommend federal, state, and county subsidies for Hawaii’s interisland freight, with a 2026 report.

The committee(s) on TRN recommend(s) that the measure be deferred.
#dot #subsidies #watercarriers
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Bill Summary · SCR 150

Summary of SCR 150 (SCR150_SD1)

A concurrent resolution in Hawaii urging the Department of Transportation (DOT) to convene a working group to develop and recommend federal, state, and county programs subsidizing the transport of waterborne cargo. The measure aims to address the cost and availability of interisland freight and to explore subsidies that support maritime transportation of goods.

1) Purpose and Intent

  • Request DOT to convene a Waterborne Cargo Subsidies Working Group to develop and recommend subsidy programs at the federal, state, and county levels.
  • Seek to ensure continuity and financial sustainability of waterborne freight, while recognizing Hawaii’s geographic dependence on maritime transport for most goods.
  • Intended to build on prior work (S.R. 125, 2020; Water Carrier Working Group report, 2021) and to push for legislative readiness (drafting of potential subsidy language).

2) Background Context (from the version)

  • Hawaii relies heavily on maritime transport: over 80% of goods consumed are imported, and about 98% of those imported goods are moved by water.
  • Geography limits alternative freight modes (rail/freight) compared to continental U.S., making water carriers essential.
  • Shipping costs can inflate the price of imported goods by up to 7.5%.
  • Existing subsidies exist for cargo transported by air to remote destinations, but not for general waterborne cargo.
  • The 2021 Water Carrier Working Group recommended funding for general cargo subsidies be sourced from federal, state, and county programs and called for a DOT-led process to develop subsidies and proposed legislation.

3) Key Provisions and Provisions’ Effect

  • The resolution requests DOT to convene a Waterborne Cargo Subsidies Working Group.
  • Composition of the working group:
    • President of the Senate (or designee)
    • Speaker of the House (or designee)
    • Mayors or designees from each county
    • One representative from DBEDT (Department of Business, Economic Development, and Tourism)
    • One representative from DOT
    • One representative from the Department of Agriculture
    • Chairs of the Senate and House transportation committees
    • One member from each water carrier operating in Hawaii
  • Purpose of the group:
    • Develop and recommend federal, state, and county subsidy programs for waterborne cargo
    • Draft legislative language and coordinate with relevant bodies
  • Reporting and timeline:
    • A status update on the development of these programs due no later than 20 days before the 2026 Regular Session convenes
    • DOT to lead efforts toward establishing a local waterborne cargo subsidies program and to draft related legislation
    • DOT to coordinate with Hawaii’s congressional delegation to sponsor federal subsidy legislation

4) Affected Entities and Sectors

  • State level: DOT, DBEDT, Department of Agriculture; Hawaii Senate and House transportation committees
  • County level: Mayors and county transportation departments
  • Private sector: All water carriers operating in Hawaii
  • Federal level: U.S. Department of Transportation and Hawaii’s congressional delegation

5) Procedural and Timeline Details

  • Introduced: March 7, 2025
  • Senate action: SCR150-SD1 adopted in amended form and transmitted to the House (early April 2025)
  • House action: TRN debt-closed referrals; hearing scheduled for April 10, 2025
  • Status: The TRN committee recommended deferral of the measure (as of April 10, 2025)
  • If revived, the working group and reporting deadlines center on updates prior to the 2026 Regular Session

6) Status and Next Steps

  • Current status: Deferred by the Transportation (TRN) committee.
  • Next steps (if revived): Potential rescheduling for discussion, renegotiation of scope, and advancement toward establishing the working group and drafting subsidy-related legislation.

This summary captures the bill’s objective to advance subsidized waterborne cargo programs through a multi-stakeholder working group, grounded in Hawaii’s maritime freight realities and prior policy work.

Compiled from official sources — confirm details with the bill’s official record.

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