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Friday, May 2, 2025
HB1422: Nonprofits Exempt from Motor Carrier Law
By News Release @ 3:21 PM :: 131 Views :: Kauai County, Small Business

LEGISLATURE PASSES MOTOR CARRIER LAW EXEMPTION FOR COMMUNITY-BASED TRANSPORTATION PROGRAMS 

News Release from House Democratic Caucus, May 1, 2025

Honolulu, Hawaiʻi – On Wednesday, April 30, 2025, the House and Senate approved HB1422 CD1, a bill that exempts nonprofit and community-based organizations from Hawaiʻi’s Motor Carrier Law under certain conditions. 

Introduced by House Speaker Nadine K. Nakamura and supported by her fellow Kauaʻi legislators, Senate President Ronald D. Kouchi, Representative Luke A. Evslin, and Representative Dee Morikawa, the measure highlights a shared commitment to providing support for sustainable, community-led transportation initiatives. 

“This bill recognizes that programs like the Hā‘ena State Park access and entry management program, which reinvests its proceeds into environmental and community benefits, shouldn’t be treated like traditional, for-profit carriers,” said House Speaker Nadine K. Nakamura (House D-15 Hā‘ena, Wainiha, Hanalei, Princeville, Kīlauea, Anahola, Keālia, Kapa‘a, portion of Wailua, Kawaihau). “These organizations' efforts have proven effective in reducing traffic and managing visitor impact, but existing regulations create roadblocks for operations. This legislation intends to remove those roadblocks and inspire similar partnerships statewide to advance sustainable tourism and resource management.” 

According to Nakamura, while the project in Kaua‘i’s North Shore has been successful, it does not directly fall into any of the existing exemptions under the Motor Carrier Law. However, there are exemptions in place for other similar operations, including sampan buses operating within the vicinity of Hilo, Hawaiʻi, and persons conducting jitney services.  

“This measure will allow community-based non-profit organizations to continue providing essential transportation services that reduce traffic and support the preservation of natural and cultural resources by exempting them from certain motor carrier regulatory requirements,” said Senate President Ronald D. Kouchi (Senate D-8 Kaua‘i, Ni‘ihau). “This demonstrates the Legislature’s support for nonprofit programs that are rooted in community values and long-term sustainability. Mahalo to all who were involved, especially the committee chairs, in moving this bill forward.” 

Across the island chain, the Department of Land and Natural Resources is actively working with Hoala Kealakekua Nui, another community-based non-profit who is in the process of establishing a shuttle and access management system to reduce visitor traffic along the rural Napoʻopoʻo road that leads down to the Kealakekua Bay State Historical Park. Another impacted area is the drive to East Maui where this legislation may provide Maui community-based non-profits an incentive to also develop a transportation strategy to reduce the number of independent drivers. In addition to alleviating traffic, roadway blockages and crowded parking in these rural areas, the shuttles themselves become interpretive venues to educate the out-of-state visitor prior to their arrival to these wahi pana to help inform and cultivate a culturally sensitive visitor experience. 

The bill received strong support from the County of Kaua‘i Office of Economic Development, organizations such as Hui Maka‘āinana o Makana, the Hanalei Initative, Hoʻāla Kealakekua Nui and Hanalei residents.  

HB1422 CD1 will now be sent to the Governor's desk for signature. 

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