STAND. COM. REP. NO. 1666

                                 Honolulu, Hawaii
                                                   , 1999

                                 Re: S.C.R. No. 33
                                     S.D. 1
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Transportation, to which was referred
S.C.R. No. 33, S.D. 1, entitled: 

     "A BILL FOR AN ACT REQUESTING URGENT ATTENTION TO AN
     EXPEDITIOUS PLAN OF ACTION TO RESTORE KAUMALAPAU HARBOR,"

begs leave to report as follows:

     The purpose of this Senate Concurrent Resolution is to
expedite the restoration of Kaumalapau Harbor on the island of
Lanai.

     Your Committee finds that the residents of the island of
Lanai can no longer depend on the pineapple industry for their
economic health, and must seek other solutions for economic
diversification.  Your Committee further finds that other avenues
for the economic welfare of the island's residents will require
the restoration of the badly deteriorated Kaumalapau Harbor, the
only site for commercial vessels.  Your Committee has learned
that the title to Kaumalapau Harbor is held by the Lanai Company.

     This Senate Concurrent Resolution requests the Governor, the
Department of Transportation, and the Lanai Company to attend to
this urgent matter and to agree to an expedient plan of action to
restore Kaumalapua Harbor immediately, and requests the
Department of Transportation to report on the status of the
project to the Legislature by April 1, 1999.


 
 
 
                                 STAND. COM. REP. NO. 1666
                                 Page 2

 
     Testimonies in support of this Senate Concurrent Resolution
were received from the Department of Transportation, a State
Representative, the Maui County Council, and the Lanai Company,
Inc. which testified that the Lanai Company was negotiating with
the State to transfer title of the Harbor in order to qualify for
partial federal funding.

     Your Committee has amended this Senate Concurrent Resolution
by amending the date for the Department of Transportation's
report to the Legislature.  
  
     As affirmed by the record of votes of the members of your
Committee on Transportation that is attached to this report, your
Committee concurs with the intent and purpose of S.C.R. No. 33,
S.D. 1, as amended herein, and recommends that it be referred to
the Committee on Finance, in the form attached hereto as S.C.R.
No. 33, S.D. 1, H.D. 1.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Transportation,



                                   ______________________________
                                   KENNETH T. HIRAKI, Chair