Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Hawaiian Affairs, to which was referred H.B. No. 627, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to provide Hawaiian homestead communities with a greater level of self-determination by:

The Department of Hawaiian Home Lands, the State Council of Hawaiian Homestead Associations, the Ahupua`a O Molokai, the Princess Kahanu Estates Association, and three private citizens testified in support of the measure. Ka Lahui Hawaii, Hui Kako'o Aina Ho'opulapula, and four private citizens opposed the passage of the measure.

Your Committee finds that this measure reaffirms the State's and the federal government's trust obligations as established under the Hawaiian Homes Commission Act of 1920, as amended (HHCA) and provides existing lessees and their homestead associations with a greater level of self determination with regard to how their communities would be managed and improved. According to the testimony submitted, although this process has been in effect unofficially for some years, official establishment at this time would ensure its continuance.

Your Committee also finds that in light of the recent court cases filed in federal court challenging the validity of and the entitlements bestowed by the HHCA, the addition of sections to the HHCA reaffirming the State's and the federal government's trust relationship with HHCA beneficiaries seem prudent in that such additions could serve as a basis by which to defend the rights of HHCA beneficiaries.

However, your Committee has some concerns regarding the plight of those qualifying native Hawaiians who are on the waiting list to obtain a Hawaiian homestead lot. The proposed amendments make no mention of including this class of beneficiaries, potentially placing their future rights to Hawaiian home lands and the resources that the HHCA and the Department of Hawaiian Home Lands provide, in jeopardy, if a federal court rules against the validity of the HHCA.

Concerns were also raised over the reaffirmation of trust responsibility section of the measure in that it may detract and divide the Hawaiian sovereignty movement as a whole, thus dividing the native Hawaiian community from those of Hawaiian ancestry who are less than fifty percent native Hawaiian.

With these concerns in mind, your Committee has amended the measure by:

For these reasons, your Committee believes that this amended measure serves as a solution that concomitantly does not detract from the entitlements already provided to HHCA beneficiaries with homesteads and which preserves future benefits for those beneficiaries on the waiting list as well.

As affirmed by the record of votes of the members of your Committee on Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 627, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 627, H.D. 1, S.D. 1, and be referred to the Committee on Judiciary.