House Standing Committee on Consumer Protection & Commerce

Good afternoon. We are convening the Committee on Consumer Protection and Commerce. It's Wednesday, April 22, 2pm agenda in Conference Room 430. We are hearing our final set of resos this afternoon. And just a quick reminder. We have a two minute time limit, and that timer will start flashing, and I will ask you to wrap up your comments.

First up on the agenda is SCR 96, SD 1, requesting the Public Utilities Commission to provide a report to the legislature on the progress of the Hawaii Electric Reliability Administrator. Chair for the testimony.

We have one exciting testifier here today, Jon Itomura on behalf of the Public Utilities Commission with comments.

Very exciting.

Set the bar high for you.

No. I'm serious. Aloha. Good afternoon, Vice Chair Grandinetti, Chair Matayoshi, and Members of the House Committee on Consumer Protection and Commerce. My name is Andrew Okabe. I'm an engineer at the Hawaii Public Utilities Commission.

I'm the Hawaii Electric Reliability Administrator engineer. I'm here on behalf of Jon, Chair Jon Itomura and the commission. I stand on the commission's written testimony offering comment on SCR 96, SD 1. I'm available for the committee's questions. Thank you.

Thank you.

Okay. Next up, we have SCR 109, SD 1, urging the insurance commissioner to study the potential benefits of expanding the use of mail order pharmacy in the state. First up, we have DCCA's Insurance Division in support.

Vice chair, chair, members of the committee. Justice Chiu for the Insurance Division. Please give our written testimony to provide support.

Thank you. Next up, we have, he just stepped out. Let me come back to Jack. Next up, we have HMSA in support.

Good afternoon. Vice Chair Grandinetti, and then Chair Matayoshi, members of the committee, Walden Au on behalf of HMSA. We appreciate that the committee has taken up hearing this. Excuse me. Senate Concurrent Resolution.

The discussions that have been having around affordability, especially in the space of pharmacy pharmaceuticals. We feel that on behalf of all of our members continue to find a path for affordability and access to be at the heart of this issue. We appreciate that the insurance commissioner is at least all supportive of the study that would be asked of them when we move for questions. Thank you.

And next up, we have, Jack Lewin from SHPDA in opposition.

Thank you, chair, vice chair, and members. Shipta, you know, we we certainly defer to the insurance commissioner in terms of, whether they undertake this, but we don't think this resolution is needed. We think people have access to mail order pharmacies now. We'd like to just kind of protect the access to a real pharmacist to counsel patients when it's needed, to remind them of medication interactions and so forth.

And we think that some of the kind of corporate work in terms of how PBMs and how prescriptions are now managed there's no question.

It could be cheaper if everybody went mail mail order, and it might be more convenient for some people. We we'd wanna support that for them. But we think that just spreading this or getting it toward looking at a mandate is is not appropriate or the safest way to go. So we're not sure this is really a beneficial need. Thank you.

Thank you. Next up, we have Hawaii Pharmacists Association in opposition.

Good afternoon, Sheriff, Vice chair members of Cindy Corey Sanders, Executive Director of the Hawaii Pharmacists Association will stand on our testimony in opposition, understanding that the legislation that's currently in place that used over mail order pharmacy provides parity across the market. We don't think it needs any adjustment at this time. Thank you.

K. Thank you. Next up, we have Hawaii Association of Health Plans in support.

Good afternoon, chair, vice chair, members of the committee. Rachel Wilkinson on behalf of the Hawaii Association of Health Plans, and we're gonna stand in our written testimony.

Thank you. Next up. We have Walgreens with comments. On zoom. That person.

Okay? Anyone else here wishing to testify in this measure? Okay. Hearing none. Members, any questions?

I'm just double checking. The Insurance Division did not testify. They have no one here. Right?

Yes. He's right over there.

Sorry. Can can you please Yeah.

Of course.

So your testimony, it was comments, but you also asked for a $100,000.

Our comments were in support, and we also did, yes, ask for a $100,000.

But this is a resolution. Resolutions don't if resolutions don't if resolutions don't allow for, the appropriations of funds, are you still in support?

We're, you know, we're in support of the resolution. Right? And, as as other testifiers pointed out, we we don't have the full scope of expertise to to do a a full report that that that report asks us to do, that the resolution asks us to do.

So we we would request some funds just to However, the legislature would be able to get it to us whether it's an appropriation or some other need just to be able to contract with some third party to help us with data or data collection or something along those lines to to to really be able to do the full report. Thanks.

For you guys, is it a matter of just freeing up b funds to to do it? Or do you have the money in the in the account already?

That's a great question. I'll have to get back to you.

Okay. You also have questions for anyone in this measure?

I have questions for SHPDA. Is Miller pharmacies already available to Hawaii residents. Correct?

To most residents, it is. Yeah. To most insurance side, it's an option people can select.

So what would expansion entail? And is that just removing parity as exists in current statute.

I think the the imp the the impetus behind this is that if if we went all the mail order, there's probably gonna be a reduction in cost and for some people, an improvement in convenience. But we lose something in terms of the personal interaction between the pharmacist and patient. And for, for some communities, you know, the pharmacy and the interaction there is important. In fact, we're wanting to use pharmacists more and more across the spectrum to to kind of help, benefit clinical practices in general.

So, you know, I just think it's, an issue that it's available now for people.

I don't think we need to move toward mandating it. Thank you.

Thank you.

Members, any other questions? Okay. If not, let's move on to SCR 164, SD 1, prioritizing efforts to protect Hawaii's critical infrastructure from foreign influence. So we have... Oh, we have two. First up, Greenpeace Hawaii in support.

Aloha. Good morning. My name is... Chair, Vice Chair, and Committee Members. My name is Dave Mulinix, co-founder and Hawaii state representative of Greenpeace Hawaii. On behalf of our thousands of members and supporters statewide, we stand in strong support of SCR 164.

This resolution is brilliantly written, so we have nothing to add to it. However, we would like to thank, take this opportunity to thank you, Chair Matayoshi and Committee Members, for hearing this important measure and for your ongoing commitment to consumer protection. Please pass this resolution as is to protect Hawaii consumers. Mahalo.

Alright. Next up, we have 350 Hawaii in support. Go ahead. Yep. We can hear you.

Aloha, Chair, Vice Chair, Members of the Committee. My name is Sherry Pollack, and I'm with 350 Hawaii. We stand on our written testimony with strong support for this resolution. The serious consequences from relying on imports, especially for food and energy, is a lesson we all should have learned by now.

To build immunity against economic instability, natural disasters, or geopolitical events, we must accelerate our efforts to eliminate dependence on imported food, energy, and other commodities and consider the security and resilience of critical infrastructure in all future planning and decision making.

If we prioritize community led, renewable, and locally available energy and food systems, we can build and achieve lasting resilience. We owe this to our keiki and future generations. Please pass and implement this important measure. Mahalo.

Thank you. That's all the testifiers we have signed up. Anyone else here to testify in this measure? Okay. Seeing none. Members, any questions?

Alright. Let's move on. SCR 172, SD 1, HD 1, requesting the Public Utilities Commission to conduct a comprehensive analysis on the best paths to maximize cost reduction and minimize financial risk to Hawaii residents while meeting state goals. First up, we have DCCA with comments.

Aloha, Chair, Vice Chair, Members. Maria Tome on behalf of Michael Angelo. We will stand on our written testimony with comments. Thank you.

Thank you. Next up, Hawaii State Energy Office with comments.

Aloha, Vice Chair, Members. Hawaii State Energy Office. We stand on our written testimony providing comments and are available for questions. Thank you.

Thank you. Next up, PUC with comments.

Aloha, Chair, Vice Chair, Members of the Committee. Ashley Norman on behalf of PUC. We stand on our written comments.

Is there just one microphone in this room? Okay. Are they able to hear them from over there? Okay. Just making sure. Sorry. New room. Next up, Earthjustice in support.

Aloha. Yeah. I can confirm we could hear on Zoom what was going on in the room. Isaac Moriwake, Earthjustice. Good afternoon, Chair, Vice Chair, Members of the Committee. We stand on our written testimony in support and available for any questions. Mahalo.

Alright. That's all the testifiers we have today. Anyone else here to testify in this measure? Seeing none. Members, any questions? Alright.

Last measure, SCR 166 SD one. Requesting the Public Utilities Commission to make certain judgments, considerations, and decisions when making any determination relating to a generational energy commitment for the state. First up, we have DCCA consumer advocate with comments.

Aloha. Maria Tome on behalf of my testimony with copies. Thank you.

Next up, Hawaii State Energy Office with comments.

Aloha. Monique Sanchez with Hawaii State Energy Office. We stand on our written testimony with comments, and I'm available for questions. Thank you.

Next up, PUC with comments.

Good afternoon, Chair, Vice Chair, Members Committee, (couldn't hear the name PUC. We sent on our, testimonies, with comments, and I'm available for any questions.

Thank you. Next up, 350 Hawaii with comments.

Again, Chair, Vice Chair, members of the committee. My name is Sherry Pollock, and I'm with 350 Hawaii. We stand on our written testimony with comments on this measure. This resolution was intended to put guardrails in place to protect ratepayers and safeguard Hawaii's long term economic and environmental interests.

It should be a serious concern to all who call Hawaii home that Jira, the same company that has proposed to build an LNG power plant on Oahu, submitted opposition testimony to this measure, both in its original language and the current amended version, which offers much weaker protection.

As the CPC committee, we ask that you take note for future reference that Jara has been accused by watchdog organizations of predatory business practices and ignoring concerns from those living near its projects. And please Google Freeport Texas LNG explosion for an example of a project Jira has substantial holdings with.

The fact that Jira has come out in opposition to this measure and that independent third party experts have challenged the validity of Jara's claims that LNG is a cost effective transitional fuel option to renewable energy just says it all right there. Mahalo.

Alright. Next up, Greenpeace Hawaii with comments.

Good morning once again. Good afternoon. Sorry. Aloha, Chair, Vice Chair, Committee members. My name is Dave Monnax, cofounder and Hawaii State Representative, Greenpeace Hawaii.

On behalf of our thousands of members and supporters statewide, we stand in strong opposition to bringing LNG to Hawaii. Our concerns were affirmed in a recent EEP committee informational briefing on April 16, where third party energy experts underscore the finding that LNG Pathway is not in Hawaii's best financial and consumer interest.

If you do intend to pass this resolution, please add the amendments to SCR 166 from our written testimony to restore the original intent of this resolution, which will ensure measures are in place to protect Hawaii rate payers and safeguard Hawaii's long term economic and environmental interest. And have a wonderful day in our beautiful Hawaii.

That's all the testifiers we have signed up. Anyone else here to testify on this measure? Members, any questions? Okay. Recess.

Reconvening the Committee on Consumer Protection and Commerce for our April 22, 2pm agenda decision making. First up on the agenda is SCR 96, SD 1. Recommendation on this one is to move it out as is. Is there any discussion? Okay. Chair for the vote.

Yeah. Vice Chair's recommendation is to move out SCR 96, SD 1 as is. Chair and Vice Chair vote aye. [Roll Call] Full house. Alright. Chair, your recommendation is adopted.

Next up is SCR 109, SD 1. Recommendation on this one is to defer. Any discussion? Oh. Okay. Chair for the vote. Oh, you don't... I was gonna do one hearing flawlessly. Okay. Moving on to SCR 164, SD 1. Recommendation is to move this one out as is. Any discussion? Okay. Seeing none. Chair for the vote.

Alright. Vice Chair's recommendation is to pass SCR 164, SD 1 as is. Noting the presence of all Members. Any Members voting with reservations? Any noes? Okay. Vice Chair, your recommendations adopted.

Thank you. Next up is SCR 172, SD 1, HD 1. Recommendation is to move out as is. Any discussion? Seeing none. Chair for the vote.

Okay. Vice Chair's recommendation is to move out SCR 172, SD 1, HD 1 as is. Any Members voting with reservations? Any Members voting no? Vice Chair, your recommendation is adopted.

Thank you. And our final measure is SCR 166, SD 1. We're gonna make one amendment on this. There was some discussion in the testimony about the second be it resolved clause. We're gonna amend that to read, be it further resolved that the Public Utilities Commission is requested to evaluate any proposal involving liquefied natural gas or other imported fuels with direct consideration of its potential effects on or delays to the state's statutory renewable portfolio standards, including the 2045 deadline. Any discussion? Okay. Seeing none. Chair for the vote.

Alright. Vice Chair's recommendation is to pass SCR 166, SD 1 with amendments. Any Members voting with reservations? Any noes? Vice Chair, your recommendation is adopted.

Thank you, and thank you for your patience. Do you wanna speak? Okay. We are adjourned.