[§261E-12]  Rates, fares, and other charges
of air carriers.  (a)  In the transportation of passengers, every Hawaii
air carrier shall:



(1)  Provide safe and adequate service, equipment, and
facilities for the transportation of the passengers; and



(2)  Establish, observe, and enforce just and
reasonable:



(A)  Rates, fares, and charges;



(B)  Regulations and practices relating to
rates, fares, and charges; and



(C)  Regulations and practices relating to:



(i)  The issuance, form, and substance of
tickets;



(ii)  The carrying of personal, sample, and
excess baggage;



(iii)  The facilities for transportation; and



(iv)  All other matters relating to or connected
with the transportation of passengers as determined by the commission.



(b)  In the transportation of property, every
Hawaii air carrier shall:



(1)  Provide safe and adequate service, equipment, and
facilities for the transportation of the property; and



(2)  Establish, observe, and enforce just and
reasonable:



(A)  Rates, charges, and classifications;



(B)  Regulations and practices relating to
rates, charges, and classifications; and



(C)  Regulations and practices relating to:



(i)  The manner and method of presenting,
marking, packing, and delivering property for transportation;



(ii)  The facilities for transportation; and



(iii)  All other matters relating to or connected
with the transportation of property as determined by the commission.



(c)  All charges made for any service rendered
by any Hawaii air carrier in the transportation of passengers or property or in
connection with the service shall be just and reasonable and every unjust and
unreasonable charge for the service or any part thereof shall be prohibited and
declared to be unlawful.



(d)  Any person or body politic may make a complaint
in writing to the commission that any rate, fare, charge, rule, or practice, in
effect or proposed to be put into effect, is or will be in violation of this
section.  Whenever, after hearing, upon complaint or in an investigation on its
own initiative, the commission determines that any individual rate, fare, or
charge, demanded, charged, or collected by any Hawaii air carrier, or any rule
or practice whatsoever of the Hawaii air carrier affecting the rate, fare, or
charge or the value of the service is or will be unjust or unreasonable, the
commission shall determine and prescribe the lawful rate, fare, or charge or
the maximum or minimum rate, fare, or charge thereafter to be observed, or the
lawful rule or practice thereafter to be made effective.



(e)  In the exercise of its power to prescribe
just and reasonable rates, fares, and charges for the transportation of
passengers or property by Hawaii air carriers and to prescribe classifications,
rules, and practices relating thereto, the commission shall give consideration,
among other factors, to the following:



(1)  The effect of the rates upon the movement of
traffic by the Hawaii air carrier or carriers for which the rates are
prescribed;



(2)  The need, in the public interest, of adequate and
efficient transportation service by the carriers at the lowest cost consistent
with the furnishing of the service; and



(3)  The need for revenues sufficient to enable the
carriers, under honest, economical, and efficient management, including the
operation of service at reasonable load factors, to provide the service.



(f)  The commission shall establish and
thereafter periodically adjust the recognized level of the fare, rate, or
charge.  The commission may adjust the recognized level by increasing or
decreasing it, as appropriate, by the percentage change in the aggregate cost
per available seat mile of similarly situated carriers for fares and per
available ton mile for general commodity rates.



(g)  The commission shall have no authority to
find that any fare, rate, or other charge for service established by any Hawaii
air carrier is unjust, unreasonable, or unjustified or to suspend the fare,
rate, or other charge on the basis that the fare, rate or charge is too low or
too high if the fare, rate, or charge is not more than five per cent higher or
ten per cent lower than the recognized level of the fare, rate, or charge. 
Separate recognized levels shall be established and thereafter periodically
adjusted on a peak and off-peak basis for first class fares, normal economy
fares, tour basing fares, group fares, kamaaina fares, and for general
commodity rates.  The commission shall have no authority to find that a
contract freight rate is unjust or unreasonable. [L Sp 2008, c 1, pt of §2]