REPORT TITLE:
HCDA Development Jurisdiction


DESCRIPTION:
Transfers the development responsibilities of the Barbers Point
Naval Air Station Redevelopment Commission to the HCDA.
Designates former Barbers Point Naval Air Station area as an
enterprise zone.  (SD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        2584
THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
________________________________________________________________
________________________________________________________________


                   A  BILL  FOR  AN  ACT

RELATING TO THE HAWAII COMMUNITY DEVELOPMENT AUTHORITY.



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

 1      SECTION 1.  Chapter 206E, Hawaii Revised Statutes, is
 
 2 amended by adding a new part to be appropriately designated and
 
 3 to read as follows:
 
 4        "PART  .  KALAELOA COMMUNITY DEVELOPMENT DISTRICT
 
 5      §206E-A  Findings and purpose.(a)  The legislature finds
 
 6 that:
 
 7      (1)  The federal Department of Defense reevaluated the need
 
 8           for Barbers Point Naval Air Station, initiated a base
 
 9           realignment and closure process, and declared
 
10           approximately 2,150 acres of valuable lands to be
 
11           surplus to military and other federal agency needs;
 
12      (2)  These surplus lands were made available to the State
 
13           for redevelopment to satisfy pressing public and
 
14           private sector needs and to promote economic
 
15           development;
 
16      (3)  The governor established the Barbers Point Naval Air
 
17           Station redevelopment commission by executive order to
 
18           develop a community reuse plan, and approved the plan
 
19           for these surplus lands at Barbers Point Naval Air
 

 
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 1           Station;
 
 2      (4)  The community redevelopment plan includes sites for a
 
 3           regional and beach park for public recreational use, a
 
 4           publicly-operated airport for civil aviation use,
 
 5           public facilities including a life safety academy and a
 
 6           desalination plant, facilities and land for programs to
 
 7           support the homeless, residential, light industrial,
 
 8           and commercial land to be managed by the department of
 
 9           Hawaiian home lands, and economic development projects
 
10           that will stimulate the economy and produce jobs within
 
11           the area; and
 
12      (5)  The traditional Hawaiian name for the Barbers Point
 
13           area is "Kalaeloa" which means "long point".
 
14      (b)  The purpose of this part is to:
 
15      (1)  Designate the Hawaii community development authority as
 
16           the local redevelopment authority for surplus lands at
 
17           Barbers Point Naval Air Station to be conveyed to the
 
18           State under the base realignment and closure process;
 
19      (2)  Authorize the authority to negotiate with and receive
 
20           lands, buildings, and property from the federal
 
21           Department of Defense;
 
22      (3)  Authorize and empower the authority to redevelop these
 
23           lands in accordance with the reuse plan approved by the
 

 
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 1           governor; and
 
 2      (4)  Rename the surplus lands at Barbers Point Naval Air
 
 3           Station to be received by the State as the "Kalaeloa
 
 4           community development district".
 
 5      §206E-B  Definitions.  As used in this part, the following
 
 6 words and terms have the following meanings unless the context
 
 7 indicates otherwise:
 
 8      "Commercial project" means an undertaking involving
 
 9 commercial or light industrial development, which includes a
 
10 mixed use development where commercial or light industrial
 
11 facilities may be built into, adjacent to, under, or above
 
12 residential units.
 
13      "County" means the city and county of Honolulu.
 
14      "Redevelopment project" means an undertaking for the
 
15 acquisition, clearance, replanning, reconstruction, naming or
 
16 renaming, or a combination of these and other methods, of an area
 
17 for a residential project, for an incidental commercial project,
 
18 for residential, recreational, commercial, or industrial projects
 
19 associated with former military lands at Barbers Point Naval Air
 
20 Station conveyed under the base realignment and closure process,
 
21 and for facilities incidental or appurtenant thereto, pursuant to
 
22 and in accordance with this chapter.  The terms "acquisition,
 
23 clearance, replanning, reconstruction, and rehabilitation"
 

 
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 1 include renewal, redevelopment, conservation, restoration, naming
 
 2 or renaming, or improvement or any combination thereof.
 
 3      "Residential project" means a project or that portion of a
 
 4 multipurpose project, including residential dwelling units,
 
 5 designed and intended for the purpose of providing housing and
 
 6 facilities incidental or appurtenant thereto.
 
 7      §206E-C  Barbers Point Naval Air Station redevelopment;
 
 8 authority to redevelop established.  (a)  The Hawaii community
 
 9 development authority shall be the designated agency of the State
 
10 for the purpose of implementing this part.
 
11      (b)  The purpose of the authority shall be to act as the
 
12 local redevelopment authority to facilitate the redevelopment of
 
13 Barbers Point Naval Air Station in accordance with the Barbers
 
14 Point Naval Air Station community reuse plan.  In addition to any
 
15 other duties that the authority may have pursuant to this
 
16 chapter, the authority's duties shall include but not be limited
 
17 to:
 
18      (1)  Coordinating with the Navy and other entities during
 
19           the preparation of an environmental impact statement
 
20           and conduct of remediation activities for the Barbers
 
21           Point Naval Air Station community reuse plan;
 
22      (2)  Assisting the landholders designated by the plan in the
 
23           marketing of their properties and the preparation and
 

 
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 1           processing of conveyance requests;
 
 2      (3)  Assisting the Navy by providing "caretaker services"
 
 3           after the closure of Barbers Point Naval Air Station as
 
 4           necessary;
 
 5      (4)  Working with the Navy and others to ensure that
 
 6           infrastructure support is provided to the existing
 
 7           developed area, which is referred to as the "downtown
 
 8           area" and other federally retained areas;
 
 9      (5)  Developing the infrastructure necessary to support the
 
10           implementation of the Barbers Point Naval Air Station
 
11           community reuse plan; and
 
12      (6)  Providing, to the extent feasible, maximum opportunity
 
13           for the reuse of surplus property by private enterprise
 
14           or state and county government.
 
15      §206E-D  Designation of the Kalaeloa community development
 
16 district.  (a)  The federal Department of Defense declared
 
17 approximately 2,150 acres of land at the Barbers Point Naval Air
 
18 Station to be surplus to its needs and under a base realignment
 
19 and closure process transferred these surplus lands to the
 
20 Barbers Point Naval Air Station redevelopment commission, which
 
21 in turn shall transfer the lands to the Hawaii community
 
22 development authority as the local redevelopment authority
 
23 established by the State.  The governor has approved and
 

 
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 1 forwarded to the Navy a community reuse plan for these lands.
 
 2      (b)  The legislature designates these lands to be received
 
 3 by the State as the "Kalaeloa community development district" and
 
 4 the harbor known as Barbers Point harbor as Kalaeloa Barbers
 
 5 Point harbor, in recognition of the traditional Hawaiian name for
 
 6 the area, which means "long point".
 
 7      §206E-E  District established; boundaries.  The Kalaeloa
 
 8 community development district is established and shall include
 
 9 all lands within tax map key numbers 9-1-31:28, 9-1-13:09, and
 
10 9-1-13:01, excluding those areas to be retained by the federal
 
11 government.
 
12      §206E-F  Kalaeloa community development district;
 
13 development guidance policies.  The following shall be the
 
14 development guidance policies generally governing the authority's
 
15 actions in the Kalaeloa community development district:
 
16      (1)  Development shall be in accordance with the community
 
17           reuse plan;
 
18      (2)  With the approval of the governor and concurrence of
 
19           the Navy, the authority, upon the concurrence of a
 
20           majority of its voting members, may modify and make
 
21           changes to the reuse plan to respond to changing
 
22           conditions; provided that prior to amending the reuse
 
23           plan, the authority shall conduct a public hearing to
 

 
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 1           inform the public of the proposed changes and receive
 
 2           public input;
 
 3      (3)  Development shall seek to promote economic development
 
 4           and employment opportunities by fostering diverse land
 
 5           uses and encouraging private sector investments that
 
 6           utilize the opportunities presented by the receipt of
 
 7           property from the base closure consistent with the
 
 8           needs of the public;
 
 9      (4)  The authority may engage in planning, design, and
 
10           construction activities inside the district and outside
 
11           the district; provided that activities outside the
 
12           district relate to infrastructure development, area-
 
13           wide drainage improvements, roadways realignments and
 
14           improvements, business and industrial relocation, and
 
15           other activities deemed by it necessary to carry out
 
16           the redevelopment of the district and to implement this
 
17           chapter.  Studies or coordinating activities to be
 
18           undertaken by the authority may address facility
 
19           systems, industrial relocation, and other activities in
 
20           conjunction with the county and appropriate state
 
21           agencies;
 
22      (5)  Planning, replanning, rehabilitation, development,
 
23           redevelopment, naming and renaming, and other
 

 
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 1           preparation for reuse of Barbers Point Naval Air
 
 2           Station under this chapter are public uses and purposes
 
 3           for which public money may be spent and private
 
 4           property acquired;
 
 5      (6)  Historic sites and culturally significant facilities,
 
 6           settings, and locations shall be preserved to the
 
 7           extent feasible and traditional Hawaiian names, terms,
 
 8           and phrases restored;
 
 9      (7)  Land use and redevelopment activities within the
 
10           district shall be coordinated with and to the extent
 
11           possible complement existing county and state policies,
 
12           plans, and programs affecting the district; and
 
13      (8)  Public facilities within the district shall be planned,
 
14           located, and developed to support the redevelopment
 
15           policies established by this chapter for the district,
 
16           the reuse plan approved by the governor, and rules
 
17           adopted pursuant to this chapter.
 
18      §206E-G  Kalaeloa community development revolving fund.
 
19 There is created the Kalaeloa community development revolving
 
20 fund into which all receipts and revenues of the authority shall
 
21 be deposited.  Proceeds from the fund shall be used for the
 
22 purposes of this part."
 
23      SECTION 2.  Section 206E-3, Hawaii Revised Statutes, is
 

 
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 1 amended by amending subsection (b) to read as follows:
 
 2      "(b)  The authority shall consist of eleven voting members.
 
 3 The director of finance, the director of business, economic
 
 4 development, and tourism, the comptroller, and the director of
 
 5 transportation, or their respective designated representatives
 
 6 shall serve as ex officio, voting members.  Seven members shall
 
 7 be appointed by the governor for staggered terms pursuant to
 
 8 section 26-34; provided that four members shall be appointed at
 
 9 large and, initially, three members, hereinafter referred to as
 
10 county members, shall be selected from a list of ten prospective
 
11 appointees recommended by the local governing body of the county
 
12 in which the initial designated district is situated; and
 
13 provided further that when vacancies occur in any of the three
 
14 positions for which the members were selected from a list of
 
15 county recommendations, the governor shall fill such vacancies on
 
16 the basis of one from a list of four recommendations, two from a
 
17 list of seven recommendations, or three from a list of ten
 
18 recommendations.  The list of recommendations shall be made by
 
19 the local governing body of the county.
 
20      If an additional district is designated by the legislature
 
21 [in a county other than the county in which the initial
 
22 designated district is situated], the total membership of the
 
23 authority shall be increased as prescribed above by the
 

 
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 1 appointment of [three] one additional [members.] member per
 
 2 neighborhood board situated in the district.  Each neighborhood
 
 3 board in the district shall submit a list of recommendations from
 
 4 which the governor shall appoint one person from each list.
 
 5      Notwithstanding section 92-15, a majority of all members
 
 6 shall constitute a quorum to do business, and the concurrence of
 
 7 a majority of all members shall be necessary to make any action
 
 8 of the authority valid; except that, on any matter relating
 
 9 solely to a specific community development district, the county
 
10 members representing districts other than that specific community
 
11 development district shall not vote, and concurrence shall be
 
12 required of a majority of that portion of the authority made up
 
13 of all ex officio voting members, members at large, and county
 
14 members representing the district for which action is being
 
15 proposed in order for such action to be valid.  All members shall
 
16 continue in office until their respective successors have been
 
17 appointed and qualified.  Except as herein provided, no member
 
18 appointed under this subsection shall be an officer or employee
 
19 of the State or its political subdivisions."
 
20      SECTION 3.  Section 209E-4, Hawaii Revised Statutes, is
 
21 amended to read as follows:
 
22      "§209E-4 Enterprise zone designation.(a)  The governing
 
23 body of any county may apply in writing to the department to have
 

 
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 1 an area declared to be an enterprise zone.  The application shall
 
 2 include a description of the location of the area or areas in
 
 3 question, and a general statement identifying proposed local
 
 4 incentives to complement the state and any federal incentives.
 
 5      (b)  The governor, upon the recommendation of the director,
 
 6 shall approve the designation of up to six areas in each county
 
 7 as enterprise zones for a period of twenty years.  Any such area
 
 8 shall be located in one United States census tract or two or more
 
 9 contiguous United States census tracts in accordance with the
 
10 most recent decennial United States Census.  The census tract or
 
11 tracts within which each enterprise zone is located also shall
 
12 meet at least one of the following criteria:
 
13      (1)  Twenty-five per cent or more of the population have
 
14           incomes below eighty per cent of the median family
 
15           income of the county; or
 
16      (2)  The unemployment rate is 1.5 times the state average.
 
17      (c)  Notwithstanding subsection (b), census tract #405
 
18 within the county of Kauai shall be eligible for designation as
 
19 an enterprise zone.  The eligibility for designation shall remain
 
20 in effect until January 1, 1997, unless the governor earlier
 
21 determines that the eligibility is no longer necessary.
 
22      (d)  Notwithstanding subsection (b) or (c), only lands
 
23 classified as agricultural in the Waialua district on Oahu, as
 

 
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 1 defined in section 4-1(3)(D), shall be designated an enterprise
 
 2 zone on July 1, 1997, and the designation shall remain in effect
 
 3 until June 30, 2002.
 
 4      (e)  Notwithstanding subsection (b), (c), or (d), the lands
 
 5 identified in section 206E-E and conveyed to the State of Hawaii
 
 6 by the United States Department of Defense known as the Kalaeloa
 
 7 community development district, shall be designated an enterprise
 
 8 zone on July 1, 2000, and the designation shall remain in effect
 
 9 until June 30, 2010."
 
10      SECTION 4.  Chapter 206G, Hawaii Revised Statutes, is
 
11 repealed.
 
12      SECTION 5.  All lands conveyed to the Barbers Point Naval
 
13 Air Station redevelopment commission by the federal government
 
14 shall be transferred to the Hawaii community development
 
15 authority upon the approval of this Act.
 
16      SECTION 6.  All moneys contained in the Kalaeloa community
 
17 development revolving fund established pursuant to section 206G-
 
18 8, Hawaii Revised Statutes, prior to the effective date of this
 
19 Act shall be transferred to the Kalaeloa community development
 
20 revolving fund established pursuant to section 1 of this Act.
 
21      SECTION 7.  The powers, functions, and duties of the Barbers
 
22 Point Naval Air Station redevelopment commission are transferred
 
23 to the Hawaii community development authority.  All references in
 

 
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 1 any contract, or other document entered into by the Barbers Point
 
 2 Naval Air Station redevelopment commission shall apply to the
 
 3 Hawaii community development authority as if the latter were
 
 4 specifically named in the law, contract, or other document in
 
 5 place of the Barbers Point Naval Air Station redevelopment
 
 6 commission.  The Hawaii community development authority shall
 
 7 assume the duties and carry out any contracts entered into by the
 
 8 Barbers Point Naval Air Station redevelopment commission prior to
 
 9 the effective date of this Act.
 
10      All employees, with the exception of the executive director
 
11 of the Barbers Point Naval Air Station redevelopment commission,
 
12 whose functions are transferred by this Act shall be transferred
 
13 with their functions and shall continue to perform their regular
 
14 duties upon their transfer, subject to the state personnel laws
 
15 and this Act.
 
16      No employee of the Barbers Point Naval Air Station
 
17 redevelopment commission, with the exception of the executive
 
18 director of the Barbers Point Naval Air Station redevelopment
 
19 commission, shall suffer any loss of salary, seniority, prior
 
20 service credit, vacation, sick leave, or other employee benefit
 
21 or privilege as a consequence of this Act.
 
22      With the exception of the executive director of the Barbers
 
23 Point Naval Air Station redevelopment commission, if an office or
 

 
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 1 position held by an officer or employee having tenure is
 
 2 abolished, the officer or employee shall not thereby be separated
 
 3 from public employment, but shall be transferred to the Hawaii
 
 4 community development authority with the same pay and
 
 5 classification for which the officer or employee is eligible
 
 6 under the personnel laws of the State as determined by the
 
 7 authority or the governor.
 
 8      SECTION 8.  The Hawaii community development authority, with
 
 9 the approval of the governor, may issue from time to time revenue
 
10 bonds in amounts not exceeding the total amount of bonds
 
11 authorized to be issued by the legislature, and in no event
 
12 exceeding in the aggregate $0, for the purpose of constructing,
 
13 acquiring, remodeling, furnishing, and equipping any public
 
14 facility, including acquisition of the site thereof relating to
 
15 the Kalaeloa community development district.
 
16      All revenue bonds issued pursuant to this Act shall be in
 
17 accordance with part III of chapter 39, Hawaii Revised Statutes,
 
18 unless otherwise specified by law.
 
19      All revenue bonds issued pursuant to this Act shall be
 
20 issued in the name of the Hawaii community development authority
 
21 and not in the name of the State.  The final maturity date of the
 
22 revenue bonds may be any date not exceeding thirty years from the
 
23 date of issuance.
 

 
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 1      SECTION 9.  There is appropriated out of the general
 
 2 revenues of the State of Hawaii the sum of $0, or so much thereof
 
 3 as may be necessary for fiscal year 2000-2001, for the purpose of
 
 4 offsetting the costs associated with transferring the oversight
 
 5 responsibilities of the Barbers Point Naval Air Station
 
 6 redevelopment commission to the Hawaii community development
 
 7 authority.
 
 8      The sum appropriated shall be expended by the Hawaii
 
 9 community development authority for the purposes of this Act.
 
10      SECTION 10.  In codifying the new part added to chapter
 
11 206E, Hawaii Revised Statutes, by section 1 of this Act, the
 
12 revisor of statutes shall substitute appropriate section numbers
 
13 for the letters used in the designation of the new sections in
 
14 this Act.
 
15      SECTION 11.  It is the intent of this Act to not impair the
 
16 obligation of the State or any agency thereof to the holders of
 
17 any bond issued by the State or by any such agency, and to the
 
18 extent, and only to the extent, necessary to effectuate this
 
19 intent, the governor may modify the strict provisions of this
 
20 Act, but shall promptly report any such modifications with
 
21 reasons therefor to the legislature at its next session
 
22 thereafter for review by the legislature.
 
23      SECTION 12.  Statutory material to be repealed is bracketed.
 

 
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 1 New statutory material is underscored.
 
 2      SECTION 13.  This Act shall take effect upon its approval;
 
 3 provided that section 9 shall take effect on July 1, 2000.