REPORT TITLE:
Ocean leasing


DESCRIPTION:
Appropriates funds to establish two pilot projects and identify
two pilot ocean aquaculture project zones.  Requires the
department of land and natural resources (DLNR) to establish two
pilot ocean aquaculture project zones for research or commercial
projects for open aquaculture.  Authorizes DLNR to grant a lease
of state marine waters and submerged lands for two open ocean
aquaculture zones.  Requires a DLNR, in conjunction with the
department of agriculture, report back to the legislature prior
to the 2000 regular session.  (HB984 HD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        984
HOUSE OF REPRESENTATIVES                H.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
________________________________________________________________
________________________________________________________________


                   A  BILL  FOR  AN  ACT

RELATING TO OCEAN LEASING.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  As an ocean state, Hawaii is surrounded by a
 
 2 vast array of valuable marine resources.  In fact, the Hawaiian
 
 3 islands are blessed with a large exclusive economic zone of
 
 4 923,000 square miles, and territorial (12-mile limit) and state
 
 5 (3-mile limit) waters, together which comprise 55,000 square
 
 6 miles.  The legislature finds that these large areas are
 
 7 underutilized and can be put to more productive uses in an
 
 8 environmentally-sustainable manner through the application of
 
 9 open ocean aquaculture technologies.
 
10      The legislature further finds that ocean aquaculture or
 
11 mariculture is successful, profitable, and sustainable in many
 
12 areas of the world, such as Scandinavia, South America, Asia, and
 
13 other parts of the United States.  For example, successful
 
14 offshore technologies are being used for salmon in Norway and
 
15 Chile, pearl oysters in several South Pacific countries, bluefin
 
16 tuna in Australia, and seaweeds and oysters in Japan.
 
17 Encouraging sustainable commercial ocean mariculture could
 
18 provide the State with another viable economic niche,
 
19 particularly in the aquaculture industry.
 

 
Page 2                                                     984
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1      Interest in offshore mariculture in Hawaii is growing as new
 
 2 marine species, such as moi, are routinely cultured as "off-the-
 
 3 shelf" cage and other rearing technologies suitable for oceanic
 
 4 conditions become more readily available.  The legislature
 
 5 recognizes that this is also a segment of the Hawaii aquaculture
 
 6 industry with great potential for nationally-relevant applied
 
 7 research and commercial development through the newly-formed
 
 8 Pacific marine aquaculture center.  Many experts believe that
 
 9 putting to use the ninety-five per cent of the world's oceans
 
10 that do not contribute substantially to fisheries supplies, will
 
11 be an important solution to global protein needs in the next
 
12 millenium.
 
13      In 1986, the State passed the ocean and submerged lands
 
14 leasing act codified as chapter 190D, Hawaii Revised Statutes,
 
15 which established procedures for the leasing of state marine
 
16 waters and submerged lands for mariculture.  However, no lease
 
17 has been granted under chapter 190D to date because of severe
 
18 limitations in the law that do not allow commercial mariculture
 
19 leases.  Several factors are being considered to make the law
 
20 more reasonable and amenable to those concerned, including
 
21 economic feasibility, environmental impacts, legislative
 
22 oversight, ceded lands, and exclusive use and access issues.
 

 
 
 
Page 3                                                     984
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1      The purpose of this Act is to provide funds to:
 
 2      (1)  Establish two pilot projects to investigate,
 
 3           demonstrate, and gain first-hand knowledge of the
 
 4           critical issues, advantages and disadvantages, and
 
 5           positive and negative effects of open ocean aquaculture
 
 6           in Hawaii; and
 
 7      (2)  Identify two pilot ocean aquaculture project zones,
 
 8           which shall be determined by detailed environmental and
 
 9           operational assessments after consultation with the
 
10           affected and appropriate parties in the community.
 
11      SECTION 2.  The department of land and natural resources, in
 
12 cooperation with the department of agriculture, the University of
 
13 Hawaii, and the private sector, shall establish two pilot ocean
 
14 aquaculture project zones for research or commercial projects for
 
15 open ocean aquaculture; provided that the zones for the pilot
 
16 project shall be not more than fifty acres each.  The exact
 
17 location shall be determined by detailed environmental and
 
18 operational assessments after consultation with appropriate
 
19 members of the boating, diving, fishing, and ocean recreational
 
20 communities, and the affected community in that particular area.
 
21      SECTION 3.  Of the two pilot projects, one project shall
 
22 address the submerged hanging bag culture of endemic black pearl
 

 
 
 
Page 4                                                     984
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1 oysters (Pinctada margaretifera) for pearls and wild stock
 
 2 recovery, and the other project shall utilize a native fish
 
 3 species, such as moi (Polydactylus sexfilis), for cage culture in
 
 4 the surface waters.
 
 5      SECTION 4.  The department of land and natural resources may
 
 6 grant a lease of state marine waters and submerged lands for two
 
 7 open ocean aquaculture zones pursuant to chapters 171 and 183C,
 
 8 Hawaii Revised Statutes, for up to ten years; provided the leases
 
 9 may be renewed, for these pilot project activities.
 
10      SECTION 5.  The department of land and natural resources, in
 
11 conjunction with the department of agriculture, shall submit a
 
12 report of the actions and progress undertaken pursuant to this
 
13 Act, including any recommendations with regard to ocean leasing
 
14 and open ocean aquaculture in the State, to the legislature no
 
15 later than twenty days before the convening of the regular
 
16 session of 2000.
 
17      SECTION 6.  There is appropriated out of the general
 
18 revenues of the State of Hawaii the sum of $1 or so much thereof
 
19 as may be necessary for fiscal year 1999-2000 for the purposes of
 
20 this Act.
 
21      SECTION 7.  The sum appropriated shall be expended by the
 
22 department of agriculture, in consultation with the department of
 

 
 
 
Page 5                                                     984
                                     H.B. NO.           H.D. 1
                                                        
                                                        

 
 1 land and natural resources, the University of Hawaii, and the
 
 2 private sector, for the purposes of this Act.
 
 3      SECTION 8.  This Act shall take effect on July 1, 1999.