HI SB657

Amends Hawaii Revised Statutes section 437D-8.4 to allow rental car companies to pass on vehicle license and registration fees and weight taxes using a revised proration formula (the specific formula amount is left blank in the bill text where strikethrough appears).

Permits rental car companies to recover a greater portion of mandatory government fees from customers compared to the current law's three hundred sixty-five day proration period, which results in significant unrecovered fees.

Requires the motor vehicle rental industry to report to the legislature no later than twenty days prior to the regular session of 2019 on the effects of the law, including average vehicle license recovery fees charged per customer, profit margins, and actual vehicle service time.

Defines "vehicle license recovery fee" for reporting purposes to include motor vehicle weight taxes, registration fees for specially constructed or imported vehicles, license plate fees, and applicable use taxes.

Takes effect on March 1, 2050, and ensures that amendments to section 437D-8.4(a) will not be repealed when that section is reenacted on December 31, 2027.