HB 1060: RELATING TO EMERGENCY PREPAREDNESS.

A BILL FOR AN ACT

RELATING TO EMERGENCY PREPAREDNESS.

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

     SECTION 1.  The legislature finds that there is a need for community readiness centers in various communities to ensure emergency preparedness.  A community readiness center will serve as a place for residents to receive emergency preparedness training and emergency information, supplies, and basic medical care during and after an emergency event.  The community readiness centers will also be used to store and refrigerate medical supplies and provide a place for residents to charge electrical devices and access the internet.  The establishment of these community readiness centers will require partnerships between numerous agencies and private entities and the legislature finds that the Hawaii emergency management agency is the most suitable agency to coordinate the establishment of community readiness centers.

     The legislature further finds that community readiness center sites should be carefully identified to ensure proper connection to the electrical grid and be equipped with a solar and back-up battery storage system to guard against power outages.  Residents should be directly involved in the location and design of community readiness centers in their respective communities.

     The legislature notes that the use of funds from the environmental response, energy, and food security tax is appropriate for this purpose.  The legislature also finds that the establishment of community readiness centers will require dedicated funding and that there is a nexus between the need for community readiness centers and the use of petroleum and other fossil fuels.  Therefore, it is appropriate to tax petroleum and other fossil fuel usage to fund community readiness centers.

     Accordingly, the purpose of this Act is to:

     (1)  Establish the community readiness centers program to be implemented and administered by the Hawaii emergency management agency;

     (2)  Establish the community readiness centers special fund for the implementation and administration of the community readiness centers program;

     (3)  Rename the environmental response, energy, and food security tax to the environmental response, energy, food security, and resilience tax; and

     (4)  Allocate portions of the environmental response, energy, food security, and resilience tax into the community readiness centers special fund.

     SECTION 2.  Chapter 127A, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

     "§127A-A  Community readiness centers program; established.  (a)  There is established the community readiness centers program within the agency to set up community readiness centers in various communities to ensure emergency preparedness by providing training and emergency information, supplies, and basic medical care during and after an emergency event.  The community readiness centers shall also be used to store and refrigerate medical supplies and provide a place for residents to charge electrical devices and access the Internet.

     (b)  In implementing and administering the community readiness centers program, the agency shall:

     (1)  Identify potential site locations for the establishment of community readiness centers;

     (2)  Negotiate and arrange for the purchase or lease of suitable sites for community readiness centers;

     (3)  Contract to design and construct community readiness centers, which may include retrofitting current structures; provided that if constructed on an empty site, the agency shall ensure that the community readiness centers will abide by the International Code Council 500 standard, which is capable of withstanding 250 mph wind - category five hurricanes;

     (4)  Install a solar and back-up battery storage system, multiple electrical charging stations, internet access, and the capability to refrigerate medical supplies at each community readiness center site; and

     (5)  Obtain suitable emergency supplies, including non- perishable food, and equip each community readiness center site with emergency supplies.

     (c)  The agency shall provide a selection criteria matrix of standards necessary for constructing community readiness centers in consultation with the Hawaii earthquake and tsunami advisory committee and the state hazard mitigation forum to identify geographic areas where community readiness centers would be able to withstand natural disasters.

     (d)  The agency shall utilize the partnership established through the Hawaii hazards awareness and resilience program to maintain each of the community readiness centers.

     §127A-B  Community readiness centers special fund; established.  (a)  There is established within the state treasury the community readiness centers special fund, into which shall be deposited:

     (1)  Appropriations made by the legislature;

     (2)  Interest earned on any moneys in the fund; and

     (3)  Moneys from the environmental response, energy, food security, and resilience tax pursuant to section 243-3.5.

     (b)  Moneys in the fund shall be administered by the agency and used for the following purposes:

     (1)  The purchase or lease of suitable community readiness centers sites;

     (2)  The design and construction of community readiness centers, which may include the retrofitting of existing structures;

     (3)  The installation of solar panels and a back-up battery storage system at each community readiness center;

     (4)  The installation of electrical charging stations, internet access, and capability to refrigerate medical supplies at each community readiness center;

     (5)  The purchase of suitable emergency supplies for community readiness centers; and

     (6)  The administration and maintenance of community readiness centers."

     SECTION 3.  Section 128D-2, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  There is created within the state treasury an environmental response revolving fund, which shall consist of moneys appropriated to the fund by the legislature, moneys paid to the fund as a result of departmental compliance proceedings, moneys paid to the fund pursuant to court-ordered awards or judgments, moneys paid to the fund in court-approved or out-of-court settlements, all interest attributable to investment of money deposited in the fund, moneys deposited in the fund from the environmental response, energy, [and] food security, and resilience tax pursuant to section 243-3.5, and moneys allotted to the fund from other sources."

     SECTION 4.  Section 201-12.8, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  There is created within the state treasury an energy security special fund, which shall consist of:

     (1)  The portion of the environmental response, energy, [and] food security, and resilience tax specified under section 243-3.5;

     (2)  Moneys appropriated to the fund by the legislature;

     (3)  All interest attributable to investment of money deposited in the fund; and

     (4)  Moneys allotted to the fund from other sources, including under section 196-6.5. "

     SECTION 5.  Section 243-3.5, Hawaii Revised Statutes, is amended as follows:

     1.  By amending its title and subsections (a) and (b) to read:

     "§243-3.5  Environmental response, energy, [and] food security, and resilience tax; uses.

     (a)  In addition to any other taxes provided by law, subject to the exemptions set forth in section 243-7, there is hereby imposed a state environmental response, energy, [and] food security, and resilience tax on each barrel or fractional part of a barrel of petroleum product sold by a distributor to any retail dealer or end user of petroleum product, other than a refiner.  The tax shall be [$1.05] $           on each barrel or fractional part of a barrel of petroleum product that is not aviation fuel; provided that of the tax collected pursuant to this subsection:

     (1)  5 cents of the tax on each barrel shall be deposited into the environmental response revolving fund established under section 128D-2;

     (2)  4 cents of the tax on each barrel shall be deposited into the energy security special fund established under section 201-12.8;

     (3)  5 cents of the tax on each barrel shall be deposited into the energy systems development special fund established under section 304A-2169.1;

     (4)  3 cents of the tax on each barrel shall be deposited into the electric vehicle charging system subaccount established pursuant to section 269-33(e); [and]

     (5)  3 cents of the tax on each barrel shall be deposited into the hydrogen fueling system subaccount established pursuant to section 269-33(f)[.]; and

     (6)       cents of the tax on each barrel shall be deposited into the community readiness centers special fund established pursuant to section 127A-B.

     The tax imposed by this subsection shall be paid by the distributor of the petroleum product.

     (b)  In addition to subsection (a), the tax shall also be imposed on each one million British thermal units of fossil fuel sold by a distributor to any retail dealer or end user, other than a refiner, of fossil fuel.  The tax shall be 19 cents on each one million British thermal units of fossil fuel; provided that of the tax collected pursuant to this subsection:

     (1)  4.8 per cent of the tax on each one million British thermal units shall be deposited into the environmental response revolving fund established under section 128D-2;

     (2)  14.3 per cent of the tax on each one million British thermal units shall be deposited into the energy security special fund established under section 201-12.8; [and]

     (3)  9.5 per cent of the tax on each one million British thermal units shall be deposited into the energy systems development special fund established under section 304A-2169.1[.]; and

     (4)       per cent of the tax on each one million British thermal units shall be deposited into the community readiness centers special fund established pursuant to section 127A-B.

     The tax imposed by this subsection shall be paid by the distributor of the fossil fuel."

     SECTION 6.  Section 304A-2169.1, Hawaii Revised Statues, is amended by amending subsection (b) to read as follows:

     "(b)  Deposits into the special fund may be from the following:

     (1)  Appropriations from the legislature;

     (2)  A portion of the environmental response, energy, [and] food security, and resilience tax pursuant to section 243-3.5; and

     (3)  Investment earnings, gifts, donations, or other income received by the Hawaii natural energy institute."

     SECTION 7.  In codifying the new sections added by section 2 and referenced by section 5 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

     SECTION 8.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 9.  This Act shall take effect on July 1, 3000.

Report Title:

HI-EMA; Community Readiness Centers; Community Readiness Centers Special Fund; Environmental Response, Energy, Food Security, and Resilience Tax

Description:

Establishes the Community Readiness Centers Program to be implemented and administered by the Hawaii Emergency Management Agency.  Establishes the Community Readiness Centers Special Fund to fund the Community Readiness Centers Program.  Renames the Environmental Response, Energy, and Food Security Tax to the Environmental Response, Energy, Food Security, and Resilience Tax and directs a portion of the tax into the Community Readiness Centers Special Fund.  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.

A BILL FOR AN ACT

RELATING TO EMERGENCY PREPAREDNESS.

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

     SECTION 1.  The legislature finds that there is a need for community readiness centers in various communities to ensure emergency preparedness.  A community readiness center will serve as a place for residents to receive emergency preparedness training and emergency information, supplies, and basic medical care during and after an emergency event.  The community readiness centers will also be used to store and refrigerate medical supplies and provide a place for residents to charge electrical devices and access the internet.  The establishment of these community readiness centers will require partnerships between numerous agencies and private entities and the legislature finds that the Hawaii emergency management agency is the most capable agency to coordinate the establishment of community readiness centers.

     The legislature further finds that community readiness center sites should be carefully identified to ensure proper connection to the electrical grid and be equipped with a solar and back-up battery storage system to guard against power outages.  Communities should be directly involved in the location and design of community readiness centers in their respective communities.

     The legislature notes that the use of funds from the environmental response, energy, and food security tax is appropriate for this purpose.  The legislature further finds that the establishment of community readiness centers will require dedicated funding and that there is a nexus between the need for community readiness centers and the use of petroleum and other fossil fuels.  Therefore, it is appropriate to tax petroleum and other fossil fuel usage to fund community readiness centers.

     Accordingly, the purpose of this Act is to:

     (1)  Establish the community readiness centers program to be implemented and administered by the Hawaii emergency management agency;

     (2)  Establish the community readiness centers special fund for the implementation and administration of the community readiness centers program;

     (3)  Rename the environmental response, energy, and food security tax to the environmental response, energy, food security, and resilience tax; and

     (4)  Allocate portions of the environmental response, energy, and food security tax into the community readiness centers special fund.

     SECTION 2.  Chapter 127A, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

     "§127A-A  Community readiness centers program; established.  (a)  There is established the community readiness centers program within the agency to set up community readiness centers in various communities to ensure emergency preparedness by providing training and emergency information, supplies, and basic medical care during and after an emergency event.  The community readiness centers shall also be used to store and refrigerate medical supplies and provide a place for residents to charge electrical devices and access the internet.

     (b)  In implementing and administering the community readiness centers program, the agency shall:

     (1)  Identify potential site locations for the establishment of community readiness centers facilities;

     (2)  Negotiate and arrange for the purchase or lease of suitable sites;

     (3)  Contract to design and construct community readiness centers facilities, which may include retrofitting current structures; provided that if constructed on an empty site, the agency shall ensure that the community readiness centers facilities will abide by the International Code Council 500 standard, which is capable of withstanding 250 mph wind - category five hurricanes;

     (4)  Install a solar and back-up battery storage system, multiple electrical charging stations, internet access, and the capability to refrigerate medical supplies at each community readiness center site; and

     (5)  Obtain suitable emergency supplies, including non- perishable food, and equip each community readiness center site with emergency supplies.

     (c)  The agency shall provide a selection criteria matrix of standards necessary for constructing community readiness centers in consultation with the Hawaii earthquake and tsunami advisory committee and the State hazard mitigation forum to identify geographic areas where community readiness centers sites would be able to withstand natural disasters.

     (d)  The agency shall utilize the partnership established through the Hawaii hazards awareness and resilience program to maintain each of the community readiness centers.

     §127A-B  community readiness centers special fund; established.  (a)  There is established within the state treasury the community readiness centers special fund, into which shall be deposited:

     (1)  Appropriations made by the legislature;

     (2)  Interest earned on any monies in the fund; and

     (3)  Monies from the environmental response, energy, food security, and resilience tax pursuant to section 243-3.5.

     (b)  Monies in the fund shall be administered by the agency and used for the following purposes:

     (1)  The purchase or lease of suitable community readiness centers sites;

     (2)  The design and construction of community readiness centers facilities, which may include the retrofitting of existing structures;

     (3)  The installation of solar panels and a back-up battery storage system at each community readiness centers facilities site;

     (4)  The installation of electrical charging stations, internet access, and capability to refrigerate medical supplies at each community readiness center facility;

     (5)  The purchase of suitable emergency supplies for community readiness centers; and

     (6)  The administration and maintenance of community readiness centers."

     SECTION 3.  Section 128D-2, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  There is created within the state treasury an environmental response revolving fund, which shall consist of moneys appropriated to the fund by the legislature, moneys paid to the fund as a result of departmental compliance proceedings, moneys paid to the fund pursuant to court-ordered awards or judgments, moneys paid to the fund in court-approved or out-of-court settlements, all interest attributable to investment of money deposited in the fund, moneys deposited in the fund from the environmental response, energy, [and] food security, and resilience tax pursuant to section 243-3.5, and moneys allotted to the fund from other sources."

     SECTION 4.  Section 201-12.8, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  There is created within the state treasury an energy security special fund, which shall consist of:

     (1)  The portion of the environmental response, energy, [and] food security, and resilience tax specified under section 243-3.5;

     (2)  Moneys appropriated to the fund by the legislature;

     (3)  All interest attributable to investment of money deposited in the fund; and

     (4)  Moneys allotted to the fund from other sources, including under section 196-6.5. "

     SECTION 5.  Section 243-3.5, Hawaii Revised Statutes, is amended as follows:

     1.  By amending its title to read:

     "§243-3.5  Environmental response, energy, [and] food security, and resilience tax; uses."

     2.  By amending subsections (a) and (b) to read:

     "(a)  In addition to any other taxes provided by law, subject to the exemptions set forth in section 243-7, there is hereby imposed a state environmental response, energy, [and] food security, and resilience tax on each barrel or fractional part of a barrel of petroleum product sold by a distributor to any retail dealer or end user of petroleum product, other than a refiner.  The tax shall be $1.10 on each barrel or fractional part of a barrel of petroleum product that is not aviation fuel; provided that of the tax collected pursuant to this subsection:

     (1)  5 cents of the tax on each barrel shall be deposited into the environmental response revolving fund established under section 128D-2;

     (2)  4 cents of the tax on each barrel shall be deposited into the energy security special fund established under section 201-12.8;

     (3)  5 cents of the tax on each barrel shall be deposited into the energy systems development special fund established under section 304A-2169.1;

     (4)  3 cents of the tax on each barrel shall be deposited into the electric vehicle charging system subaccount established pursuant to section 269-33(e); [and]

     (5)  3 cents of the tax on each barrel shall be deposited into the hydrogen fueling system subaccount established pursuant to section 269-33(f)[.]; and

     (6)  5 cents of the tax on each barrel shall be deposited into the community readiness centers special fund established pursuant to section 127A-B.

     The tax imposed by this subsection shall be paid by the distributor of the petroleum product.

     (b)  In addition to subsection (a), the tax shall also be imposed on each one million British thermal units of fossil fuel sold by a distributor to any retail dealer or end user, other than a refiner, of fossil fuel.  The tax shall be 19 cents on each one million British thermal units of fossil fuel; provided that of the tax collected pursuant to this subsection:

     (1)  4.8 per cent of the tax on each one million British thermal units shall be deposited into the environmental response revolving fund established under section 128D-2;

     (2)  14.3 per cent of the tax on each one million British thermal units shall be deposited into the energy security special fund established under section 201-12.8; [and]

     (3)  9.5 per cent of the tax on each one million British thermal units shall be deposited into the energy systems development special fund established under section 304A-2169.1[.]; and

     (4)  11.4 per cent of the tax on each one million British thermal units shall be deposited into the community readiness centers special fund established pursuant to section 127A-B.

     The tax imposed by this subsection shall be paid by the  distributor of the fossil fuel. "

     SECTION 6.  Section 304A-2169.1, Hawaii Revised Statues, is amended by amending subsection (b) to read as follows:

     "(b)  Deposits into the special fund may be from the following:

     (1)  Appropriations from the legislature;

     (2)  A portion of the environmental response, energy, [and] food security, and resilience tax pursuant to section 243-3.5; and

     (3)  Investment earnings, gifts, donations, or other income received by the Hawaii natural energy institute."

     SECTION 7.  In codifying the new sections added by section 2 and referenced by section 5 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

     SECTION 8.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 9.  This Act, upon its approval, shall take effect on July 1, 2025.

Report Title:

HI-EMA; Community Readiness Centers; Community Readiness Centers Special Fund; Environmental Response, Energy, and Food Security Tax

Description:

Establishes the Community Readiness Centers Program to be implemented and administered by the Hawaii Emergency Management Agency.  Establishes the Community Readiness Centers Special Fund to fund the Community Readiness Centers Program.  Renames the Environmental Response, Energy, and Food Security Tax to the Environmental Response, Energy, Food Security, and Resilience Tax and directs a portion of the tax into the Community Readiness Centers Special Fund.  Effective 7/1/2025.

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

STAND. COM. REP. NO.  772

Honolulu, Hawaii

                , 2025

RE:   H.B. No. 1060

      H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

     Your Committee on Public Safety, to which was referred H.B. No. 1060 entitled:

"A BILL FOR AN ACT RELATING TO EMERGENCY PREPAREDNESS,"

begs leave to report as follows:

     The purpose of this measure is to:

     (1)  Establish the Community Readiness Centers Program to be implemented and administered by the Hawaii Emergency Management Agency;

     (2)  Establish the Community Readiness Centers Special Fund for the implementation and administration of the Community Readiness Centers Program;

     (3)  Rename the Environmental Response, Energy, and Food Security Tax to the Environmental Response, Energy, Food Security, and Resilience Tax; and

     (4)  Allocate portions of the Environmental Response, Energy, Food Security, and Resilience Tax into the Community Readiness Centers Special Fund.

     Your Committee received testimony in support of this measure from the Department of Defense and Hawaiʻi Emergency Management Agency.  Your Committee received comments on this measure from the Department of Taxation; Hawaiʻi Climate Advisory Team; and Tax Foundation of Hawaii.

     Your Committee finds that as natural disasters become more frequent, it is critical to have centralized locations where communities across the State can access essential support and health and medical services during and after emergencies.

     Your Committee has amended this measure by:

     (1)  Changing the amount of the tax on each barrel or fractional part of a barrel of petroleum product that is not aviation fuel to be deposited into the Community Readiness Centers Special Fund to an unspecified amount;

     (2)  Changing the percentage of the tax on each one million British thermal units of certain fossil fuels to be deposited into the Community Readiness Centers Special Fund to an unspecified amount;

     (3)  Changing its effective date to July 1, 3000, to encourage further discussion; and

     (4)  Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Public Safety that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1060, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1060, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Public Safety,