H.B. 1094 Summary

• Amends Hawaii Revised Statutes Section 102-10 to expand the Department of Transportation's authority to modify airport concession contracts when significant hardships occur, including those caused by COVID-19.

• Allows the department to grant relief measures beyond rent reduction, including entering new contracts, modifying existing contract terms, adjusting rent, extending contract terms, permitting contract transfers or withdrawals without default, and other forms of relief.

• Defines "significant hardship" to include: business volume reductions of 15% or more for 60+ days or 10% or more for 180+ days; construction delays exceeding 90 days; unexpected circumstances affecting contract feasibility; unequal relief terms across concession contracts; and situations preventing subleases or joint ventures from amortizing improvements.

• Limits airport concession contract terms to a maximum of 20 years including any extensions and exempts airport concessions from the provisions of chapter 171 when in conflict with the bill's purpose.

• Requires gubernatorial approval for relief measures and takes effect upon approval.